Empire Company Limited launches major transformation initiative ‘Project Sunrise’

Company to deliver $500 million in annualized savings by 2020

Stellarton, NS, 2017-May-06 — /EPR Retail News/ — Empire Company Limited (“Empire”) today (May 4, 2017) launched ‘Project Sunrise’, a major transformation initiative that will deliver $500 million in annualized savings by the end of fiscal 2020. This significant cost reduction will allow Empire to reinvest in its business and grow its sales and bottom line.

“We have an aggressive goal to transform our organization, better serve our customers, empower our employees and assuredly move from defense to offense in the market. To do this we need to unleash the talents and scale we already have at our disposal,” said Michael Medline, President & CEO. “The future Sobeys will operate with a simpler, leaner structure, more efficient core processes and tools and will better leverage its $24 billion national scale. This will free us up to be extremely nimble, thrill our customers and grow market share. Results of this transformation will take time, but we are committed to seeing them through given the compelling prize.”

The $500 million in annualized cost savings will come from:

  • Collapsing multiple, independent regions into a largely national, functionally-led structure. This will simplify the way the company conducts business and will result in a reduced workforce;
  • Simplifying how the company collaborates with vendors while leveraging its purchasing scale as a $24 billion national company; and
  • Driving enterprise-wide efficiencies and productivity initiatives.

Empire has laid out a comprehensive three-year plan for the transformation. The plan is a clear response to Empire’s business performance over the past 18 months as well as Mr. Medline’s observations since joining Empire that the company needed to change its trajectory, including re-engaging with customers and making difficult decisions that had not been made in the past.

Starting immediately, the company will move to restructure the organization. This important work will clarify role accountabilities while eliminating cumbersome regional duplication and complexity in decision making and operations. The changes will focus on office staff only; front-line store employees and distribution centres will not be impacted. Initial results from this transformational initiative are not expected to be reflected until the end of calendar 2017. “

“We understand and appreciate the impact that change of this magnitude will have on our employees, but are committed to moving with unprecedented velocity to make tough decisions and execute changes while not putting service to our customers at risk,” said Mr. Medline. “We have been very careful to balance significant change to our organization with awareness of the risks associated with a major transformation. We will focus on making these bold changes while at the same time ensuring we stabilize performance, particularly in Western Canada.”

In order to support the transformation and realize $500 million in cost savings, management expects to record significant one-time costs in adjusted earnings for severance, relocation, retraining, minor systems development, and third-party support. These initial one-time costs will begin to be expensed in the fourth quarter of fiscal 2017 with the majority of the costs expensed in the first half of fiscal 2018 and some additional costs through the remainder of fiscal 2018. Further details on these costs will be communicated as part of the company’s fourth quarter financial release in June.

Today (May 4, 2017), Mr. Medline is pleased to announce the company’s new, largely national and functionally-led organizational structure and leadership appointments. The appointments are a mix of top internal candidates and new additions to the team. Effective immediately, the following individuals will report to Mr. Medline:

  • Jason Potter has been appointed Executive Vice President, Operations, which establishes a single role responsible for driving in-store execution and efficiency across grocery banners and regions, leading to a consistent and significantly improved customer experience.
  • Lyne Castonguay has been appointed Executive Vice President, Merchandising, to take responsibility for determining the suite of products and programs the company offers to drive gross margin across grocery banners and regions.
  • Pierre St-Laurent has been appointed Executive Vice President, Quebec. Recognizing the unique aspects of the company’s business in this province, the Quebec business will retain responsibility for Operations, Merchandising and Marketing. Mr. St-Laurent will work closely with Ms. Castonguay and Mr. Potter to ensure consistent processes, ways of working and one voice to vendors nationally.
  • Vivek Sood has been appointed Executive Vice President, Related Businesses, to facilitate a sharp focus on the Pharmacy, Wholesale, Fuel, Convenience and Liquor businesses in their entirety.
  • Rob Adams will remain General Manager, Discount Format, and will report directly to the CEO while Empire determines its future discount strategy.
  • The role of Marketing has been elevated to report to the CEO with national responsibility and a dedicated team to reflect the emphasis placed on the voice of the customer, brand management and digital innovation. The company is currently conducting an external search to fill this role.

In addition to the leadership roles noted above, the following functions will also report to Mr. Medline and provide national, business-wide support.

  • As previously communicated, Michael Vels will join the company as Executive Vice President & Chief Financial Officer on June 12.
  • Clinton Keay will assume the role of Executive Vice President, Technology and Lead of the company’s Transformation Office.
  • Simon Gagné will continue to oversee all of Sobeys people programs, policies and support practices as Executive Vice President, Human Resources.
  • Karin McCaskill will continue to serve as Senior Vice President, General Counsel and Secretary.
  • Sangeetha Chandru will continue to serve as Vice President, Corporate Strategy.

“Our new structure reflects a manifest change for the business,” said Mr. Medline. “We have made deliberate choices throughout. For example, we are elevating key functions, such as marketing, in order to more effectively communicate with our customers. We are balancing potential risk to our unique Quebec and Discount businesses by keeping them distinct, while harmonizing the way they operate nationally. We are ensuring focus on the core grocery business by separating out related businesses, like pharmacy and fuel, into a distinct functional structure.”

The appointment of these leaders represents the beginning of a broader organizational design process. Company leaders will be responsible for designing and staffing their teams in cascades through the balance of the year.

Decisions regarding where functional teams will be located will be determined through the organizational design process; however, the company expects to maintain its major offices across the country, including a significant and ongoing presence in Stellarton, Nova Scotia where the company remains headquartered.

François Vimard, Executive Vice President, will retire after a distinguished 22-year career with the company, including as Interim President & CEO.

Yves Laverdière, President, Quebec business unit will also retire from the company following 21 years helping to build the IGA business into Quebec’s leading food retailer.

Empire and its employees are grateful for the dedication and service of both Mr. Vimard and Mr. Laverdière and the roles they have played in helping to grow the company over the past two decades.

Beth Newlands Campbell, who served as President, Atlantic/Ontario business unit, will leave the organization in June. The company thanks Ms. Newlands Campbell for her leadership over the past 18 months with the company.


This document contains forward-looking statements which are presented for the purpose of assisting the reader to contextualize the company’s financial position and understand management’s expectations regarding the company’s strategic priorities, objectives and plans. These forward-looking statements may not be appropriate for other purposes. Forward-looking statements are identified by words or phrases such as “anticipates”, “expects”, “believes”, “estimates”, “intends”, “could”, “may”, “plans”, “predicts”, “projects”, “will”, “would”, “foresees” and other similar expressions or the negative of these terms.

By its very nature, forward-looking information requires the company to make assumptions and is subject to inherent risks, uncertainties and other factors which may cause actual results to differ materially from forward-looking statements made. For more information on risks, uncertainties and assumptions that may impact the company’s forward-looking statements, please refer to the company’s materials filed with the Canadian securities regulatory authorities, including the “Risk Management” section of the company’s Annual Information Form and Annual Management’s Discussion and Analysis.

Although the company believes the predictions, forecasts, expectations or conclusions reflected in the forward-looking information are reasonable, it can give no assurance that such matters will prove to have been correct. Readers are urged to consider the risks, uncertainties and assumptions carefully in evaluating the forward-looking information and are cautioned not to place undue reliance on such forward-looking information. Forward-looking statements do not take into account the effect of transactions occurring after the statements have been made on the company’s business. The forward-looking information in this document reflects the company’s current expectations and is subject to change after this date. The company does not undertake to update any forward-looking statements that may be made by or on behalf of the company other than as required by applicable securities laws.

Empire Company Limited (TSX: EMP.A) is a Canadian company headquartered in Stellarton, Nova Scotia. Empire’s key businesses are food retailing and related real estate. With approximately $24 billion in annualized sales and $8.7 billion in assets, Empire and its subsidiaries, franchisees and affiliates employ approximately 125,000 people.

Additional financial information relating to Empire, including the Company’s Annual Information Form, can be found on the Company’s website at www.empireco.ca or on SEDAR at www.sedar.com

Proudly Canadian, with headquarters in Stellarton, Nova Scotia, Sobeys has been serving the food shopping needs of Canadians since 1907. A wholly-owned subsidiary of Empire Company Limited (TSX: EMP.A), Sobeys owns or franchises approximately 1,500 stores in all 10 provinces under retail banners that include Sobeys, Safeway, IGA, Foodland, FreshCo, Thrifty Foods, and Lawton’s Drug Stores as well as more than 350 retail fuel locations. Sobeys, its franchisees and affiliates employ more than 125,000 people. The company’s purpose is to help Canadians Eat Better, Feel Better and Do Better. More information on Sobeys Inc. can be found at www.sobeyscorporate.com.

SOURCE: Empire Company Limited

For further information, please contact:

Media Contact:
Andrew Walker
Senior Vice President
Communications & Corporate Affairs
Empire Company Limited
(905) 238-7124 ext. 6711

Investor Contact:
Adam Sheparski
Senior Vice President, Finance
Empire Company Limited
(902) 752-8371 ext. 2778

The Bon-Ton Stores, Inc. to release its 1Q FY2017 financial results on Thursday, May 18, 2017

YORK, Pa., 2017-May-06 — /EPR Retail News/ — The Bon-Ton Stores, Inc. (NASDAQ:BONT) today (May 4, 2017) announced that its financial results for the first quarter fiscal 2017 will be released on Thursday, May 18, 2017. The company will host a conference call at 10:00 a.m. eastern time to discuss the financial results, followed by a question and answer session.

Investors and analysts interested in participating in the call are invited to dial (888) 428-9498 at 9:55 a.m. eastern time. A taped replay of the conference call will be available within two hours of the conclusion of the call and will remain available through Thursday, May 25, 2017. The number to call for the taped replay is (844) 512-2921 and the replay PIN is 5341864. The conference call will also be broadcast on the company’s website at http://investors.bonton.com. An online archive of the webcast will be available within two hours of the conclusion of the call.

About The Bon-Ton Stores, Inc.
The Bon-Ton Stores, Inc., with corporate headquarters in York, Pennsylvania and Milwaukee, Wisconsin, operates 261 stores, which includes nine furniture galleries and four clearance centers, in 25 states in the Northeast, Midwest and upper Great Plains under the Bon-Ton, Bergner’s, Boston Store, Carson’s, Elder-Beerman, Herberger’s and Younkers nameplates. The stores offer a broad assortment of national and private brand fashion apparel and accessories for women, men and children, as well as cosmetics and home furnishings. The Bon-Ton Stores, Inc. is an active and positive participant in the communities it serves. For further information, please visit http://investors.bonton.com.

SOURCE: The Bon-Ton Stores, Inc.


Investor Relations:
Jean Fontana
ICR, Inc.

News Provided by Acquire Media


Diebold Nixdorf announces 1Q 2017 financial results

NORTH CANTON, Ohio, 2017-May-06 — /EPR Retail News/ — Diebold Nixdorf (NYSE: DBD), today (May 4, 2017) reported its 2017 first quarter financial results. A complete, full-text press release, along with other earnings release documents, are accessible by visiting the Investor Relations section of Diebold Nixdorf’s website, located at the following link:  http://www.dieboldnixdorf.com/earnings 

As previously announced, Andy W. Mattes, Diebold Nixdorf president and chief executive officer, and Christopher A. Chapman, senior vice president and chief financial officer, will discuss the company’s financial performance during a conference call today at 8:30 a.m. (ET). Both the presentation and access to the call are available at http://www.dieboldnixdorf.com/earnings. A replay of the call will also be made available on the Investor Relations section of Diebold Nixdorf’s website for three months following the call.

(Note: If clicking on the above links does not open up a new web page, you may need to cut and paste the above URL into your browser’s address bar.)

About Diebold Nixdorf

Diebold Nixdorf, Incorporated (NYSE: DBD), is a world leader in enabling connected commerce for millions of consumers each day across the financial and retail industries. Its software-defined solutions bridge the physical and digital worlds of cash and consumer transactions conveniently, securely and efficiently. As an innovation partner for nearly all of the world’s top 100 financial institutions and a majority of the top 25 global retailers, Diebold Nixdorf delivers unparalleled services and technology that are essential to evolve in an ‘always on’ and changing consumer landscape.

Diebold Nixdorf has a presence in more than 130 countries with approximately 24,000 employees worldwide. The organization maintains corporate offices in North Canton, Ohio, USA and Paderborn, Germany. Visit www.DieboldNixdorf.com for more information.

SOURCE: Diebold Nixdorf


Media Relations:
Mike Jacobsen

Investor Relations:
Steve Virostek

Esprit opens new logistics center in Mönchengladbach, Germany

Esprit opens new logistics center in Mönchengladbach, Germany

Ratingen, Germany, 2017-May-06 — /EPR Retail News/ — On 26 April 2017, Esprit opened the new 80,000 sqm logistics center in Mönchengladbach, Germany, together with Goodman, a global leading owner, developer and manager of logistics real estate. The new facility is an expansion of the existing 53,000 sqm property occupied by Esprit and operated by the Fiege Group. As one of the largest fashion logistics centers in Germany, the expanded facility will be used to supply Esprit’s own stores and wholesale customers across Europe.

As part of an extensive transformation process, Esprit has comprehensively optimized many internal processes. One important component of this restructuring is the best possible improvement in efficiency of the logistics processes of the company. This objective is also served by the expansion of the spaces in the logistics center in Mönchengladbach. After extension, the logistics center now has a total area of 133,000 sqm and special equipment features for example such as 24,000 sqm mezzanine space with four cargo lifts and 80 loading gates. Esprit is consolidating several regional warehouses in Mönchengladbach and will in future use the property for Europe-wide distribution.

“The additional capacity at Regiopark Mönchengladbach is an essential component of our strategic restructuring at Esprit and the associated further development of the business model. Thanks to the modern concept for the extension of Goodman’s property, we will in future supply our partners and our own shops in a way that is even faster and demand based,” emphasizes Jose Antonio Ramos, Chief Commercial Officer at Esprit.

Jordan Corynen, Goodman Regional Director for Germany, Austria and Switzerland commenting on the rapidly changing market dynamics affecting retailers like Esprit, said: “Shorter product lifecycles, product line extensions, changing shopping habits and fierce competition for the fastest delivery time are just a few of the challenges facing the retail industry which can put significant strain on a company’s logistics operations. We help our customers meet these demands by providing future-proof facilities in top locations.”

Logistics service partner Fiege, will continue to run the operations of the logistics center and will be increasing the number of employees in the center to around 750. The company has been working for 16 years in partnership with Esprit and has been providing the fashion retailer with a variety of logistics services in this time.

The premier location for textile and fashion logistics:

The facility in the Regiopark Mönchengladbach is located just 1 kilometer from the A61. The site is also well connected to the national road network via the A44, A46 and A52 motorways. As such, the Regiopark is perfectly suited for the fast and reliable distribution of goods to Germany and Europe, in particular to the Benelux countries. Over the last few years, the Regiopark Mönchengladbach has developed into one of the most important locations for textile and fashion logistics in Germany and the City of Mönchengladbach has been positive about the development.

With the completion of the logistics center for Esprit, Goodman is further expanding its presence in this strategically important logistics location. In Mönchengladbach, the property group has previously developed a distribution center of over 130,000 sqm, occupied by Zalando, and a logistics center of 22,500 sqm, occupied by the logistics providers Logwin and Vetten, who are jointly active for a major fashion retailer.

The project was realized by Goodman for a subsidiary of the Goodman European Partnership (GEP), Goodman’s leading European investment vehicle. GEP has a portfolio of over 110 properties across 10 countries which already includes the existing 53,000 sqm warehouse for Esprit.

SOURCE: Esprit


SM Prime Holdings sets interest rates for its Peso-denominated Series G, 7-year retail bonds at 5.1683% p.a

Pasay City, Philippines, 2017-May-06 — /EPR Retail News/ — SM Prime Holdings, Inc. (SM Prime) has set the interest rates for its Peso-denominated Series G, 7-year retail bonds at 5.1683% p.a last May 2. SM Prime issued an aggregate principal amount of PHP15.0 billion of the Series G bonds, with an option to issue an additional amount of up to PHP5.0 billion. The retail bonds will be offered by SM Prime to investors through underwriters from May 4 to May 11, following the receipt of the Permit to Sell from the Securities and Exchange Commission. The retail bonds are set to be issued on May 18.

“The proceeds of the retail bonds will enable SM Prime to pursue our expansions of mall and residential businesses, which are the growth drivers of the company,” SM Prime President Jeffrey C. Lim said.

This series of SM Prime bonds due 2024 is the fourth offering of Peso-denominated retail bonds to the public. Similar to its previous bond issues, the SM Prime Series G bonds have been rated PRS Aaa by Philippine Rating Services Corporation (PhilRatings). A rating of PRS Aaa is the highest rating assigned by PhilRatings. This rating is given to long-term debt securities with the smallest degree of investment risk. This also indicates SM Prime’s strong capability to meet its financial commitment.

The SM Prime bonds’ joint issue managers are BDO Capital & Investment Corporation and China Bank Capital Corporation, which are also acting as joint lead underwriters and joint bookrunners together with BPI Capital Corporation, PNB Capital, First Metro Investment Corporation, and SB Capital Investment Corporation.

SM Prime remains committed to its role as a catalyst for economic growth, delivering innovative and sustainable lifestyle cities, thereby enriching the quality of life of millions of people.

SOURCE: SM Investments Corporation

For further information, please contact:

Alexander Pomento
Vice President, Investor Relations
SM Prime Holdings, Inc.
E-mail: alex.pomento@smprime.com
Tel. no.: +632 862 7940