Federal Register / Vol. 80, No. 22 / Tuesday, February 3, 2015 / Notices 5753 

1 In particular, the written request for confidential 

treatment that accompanies the comment must 

include the factual and legal basis for the request, 

and must identify the specific portions of the 

comment to be withheld from the public record. See 

FTC Rule 4.9(c), 16 CFR 4.9(c). 

Stevenson, Alabama; (2) Bill Hall, 

Stevenson, Alabama; (3) Gena Hall 

Blackmon, Stevenson, Alabama; (4) 

Revocable Trust for Julia Ann Harris 

Hale, Holbert Leon Hale, Jr., and Julia 

Ann Harris Hale, as Trustees; all of 

Newnan, Georgia; (5) Revocable Trust 

for Holbert Leon Hale, Jr., Holbert Leon 

Hale, Jr., and Julia Ann Harris Hale, as 

Trustees, all of Newnan, Georgia; (6) 

Mona Hale Peterman, Raleigh, North 

Carolina; (7) Benjamin Peterman, 

Raleigh, North Carolina; (8) Matthew 

Peterman, Raleigh, North Carolina; (9) 

Jennifer Hale Dickerson, Mount 

Pleasant, South Carolina; (10) Stephen 

Dickerson, Mount Pleasant, South 

Carolina; and (11) Patricia Searels, 

Austin, Texas; to retain 10 percent or 

more of the outstanding shares of First 

Bancshares of Stevenson, Inc., and its 

subsidiary, First Southern State Bank, 

both of Stevenson, Alabama. 

Board of Governors of the Federal Reserve 

System, January 29, 2015. 

Michael J. Lewandowski, 

Associate Secretary of the Board. 

[FR Doc. 2015–02078 Filed 2–2–15; 8:45 am] 

BILLING CODE 6210–01–P 

FEDERAL TRADE COMMISSION 

[File No. 141 0108] 

Cerberus Institutional Partners V, L.P., 

AB Acquisition LLC, and Safeway Inc.; 

Analysis of Proposed Consent Order 

To Aid Public Comment 

AGENCY: Federal Trade Commission. 

ACTION: Proposed Consent Agreement. 

SUMMARY: The consent agreement in this 

matter settles alleged violations of 

federal law prohibiting unfair methods 

of competition. The attached Analysis to 

Aid Public Comment describes both the 

allegations in the draft complaint and 

the terms of the consent order— 

embodied in the consent agreement— 

that would settle these allegations. 

DATES: Comments must be received on 

or before February 26, 2015. 

ADDRESSES: Interested parties may file a 

comment at https://

ftcpublic.commentworks.com/ftc/ 

albertsonssafewayconsent online or on 

paper, by following the instructions in 

the Request for Comment part of the 

SUPPLEMENTARY INFORMATION section 

below. Write ‘‘Albertson’s and Safeway 

Inc.,—Consent Agreement; File No. 141 

0108’’ on your comment and file your 

comment online at https://

ftcpublic.commentworks.com/ftc/ 

albertsonssafewayconsent by following 

the instructions on the web-based form. 

If you prefer to file your comment on 

paper, write ‘‘Albertson’s and Safeway 

Inc.,—Consent Agreement; File No. 141 

0108’’ on your comment and on the 

envelope, and mail your comment to the 

following address: Federal Trade 

Commission, Office of the Secretary, 

600 Pennsylvania Avenue NW., Suite 

CC–5610 (Annex D), Washington, DC 

20580, or deliver your comment to the 

following address: Federal Trade 

Commission, Office of the Secretary, 

Constitution Center, 400 7th Street SW., 

5th Floor, Suite 5610 (Annex D), 

Washington, DC 20024. 

FOR FURTHER INFORMATION CONTACT: 

Alexis Gilman, Bureau of Competition, 

(202–326–2579) or Dan Ducore, Bureau 

of Competition, (202–326–2526), 600 

Pennsylvania Avenue NW., Washington, 

DC 20580. 

SUPPLEMENTARY INFORMATION: Pursuant 

to Section 6(f) of the Federal Trade 

Commission Act, 15 U.S.C. 46(f), and 

FTC Rule 2.34, 16 CFR 2.34, notice is 

hereby given that the above-captioned 

consent agreement containing consent 

order to cease and desist, having been 

filed with and accepted, subject to final 

approval, by the Commission, has been 

placed on the public record for a period 

of thirty (30) days. The following 

Analysis to Aid Public Comment 

describes the terms of the consent 

agreement, and the allegations in the 

complaint. An electronic copy of the 

full text of the consent agreement 

package can be obtained from the FTC 

Home Page (for January 27, 2015), on 

the World Wide Web, at http://

www.ftc.gov/os/actions.shtm. 

You can file a comment online or on 

paper. For the Commission to consider 

your comment, we must receive it on or 

before February 26, 2015. Write 

‘‘Albertson’s and Safeway Inc.,— 

Consent Agreement; File No. 141 0108’’ 

on your comment. Your comment— 

including your name and your state— 

will be placed on the public record of 

this proceeding, including, to the extent 

practicable, on the public Commission 

Web site, at http://www.ftc.gov/os/

publiccomments.shtm. As a matter of 

discretion, the Commission tries to 

remove individuals’ home contact 

information from comments before 

placing them on the Commission Web 

site. 

Because your comment will be made 

public, you are solely responsible for 

making sure that your comment does 

not include any sensitive personal 

information, like anyone’s Social 

Security number, date of birth, driver’s 

license number or other state 

identification number or foreign country 

equivalent, passport number, financial 

account number, or credit or debit card 

number. You are also solely responsible 

for making sure that your comment does 

not include any sensitive health 

information, like medical records or 

other individually identifiable health 

information. In addition, do not include 

any ‘‘[t]rade secret or any commercial or 

financial information which . . . is 

privileged or confidential,’’ as discussed 

in Section 6(f) of the FTC Act, 15 U.S.C. 

46(f), and FTC Rule 4.10(a)(2), 16 CFR 

4.10(a)(2). In particular, do not include 

competitively sensitive information 

such as costs, sales statistics, 

inventories, formulas, patterns, devices, 

manufacturing processes, or customer 

names. 

If you want the Commission to give 

your comment confidential treatment, 

you must file it in paper form, with a 

request for confidential treatment, and 

you have to follow the procedure 

explained in FTC Rule 4.9(c), 16 CFR 

4.9(c).1 Your comment will be kept 

confidential only if the FTC General 

Counsel, in his or her sole discretion, 

grants your request in accordance with 

the law and the public interest. 

Postal mail addressed to the 

Commission is subject to delay due to 

heightened security screening. As a 

result, we encourage you to submit your 

comments online. To make sure that the 

Commission considers your online 

comment, you must file it at https://

ftcpublic.commentworks.com/ftc/ 

albertsonssafewayconsent by following 

the instructions on the web-based form. 

If this Notice appears at http://

www.regulations.gov/#!home, you also 

may file a comment through that Web 

site. 

If you file your comment on paper, 

write ‘‘Albertson’s and Safeway Inc.,— 

Consent Agreement; File No. 141 0108’’ 

on your comment and on the envelope, 

and mail your comment to the following 

address: Federal Trade Commission, 

Office of the Secretary, 600 

Pennsylvania Avenue NW., Suite CC– 

5610 (Annex D), Washington, DC 20580, 

or deliver your comment to the 

following address: Federal Trade 

Commission, Office of the Secretary, 

Constitution Center, 400 7th Street SW., 

5th Floor, Suite 5610 (Annex D), 

Washington, DC 20024. If possible, 

submit your paper comment to the 

Commission by courier or overnight 

service. 

Visit the Commission Web site at 

http://www.ftc.gov to read this Notice 

and the news release describing it. The 


rljohnson on DSK3VPTVN1PROD with NOTICES
5754 Federal Register / Vol. 80, No. 22 / Tuesday, February 3, 2015 / Notices 

2Supermarket shoppers would be unlikely to 

switch to one of these other types of retailers in 

response to a small but significant increase in price 

or ‘‘SSNIP’’ by a hypothetical supermarket 

monopolist. See U.S. DOJ and FTC Horizontal 

Merger Guidelines § 4.1.1 (2010). 

3See, e.g., Bi-Lo Holdings, LLC/Delhaize 

America, LLC, Docket C–4440 (February 25, 2014); 

AB Acquisition, LLC, Docket C–4424 (December 23, 

FTC Act and other laws that the 

Commission administers permit the 

collection of public comments to 

consider and use in this proceeding as 

appropriate. The Commission will 

consider all timely and responsive 

public comments that it receives on or 

before February 26, 2015. You can find 

more information, including routine 

uses permitted by the Privacy Act, in 

the Commission’s privacy policy, at 

http://www.ftc.gov/ftc/privacy.htm. 

Analysis of Agreement Containing 

Consent Order To Aid Public Comment 

I. Introduction and Background 

The Federal Trade Commission 

(‘‘Commission’’) has accepted for public 

comment, subject to final approval, an 

Agreement Containing Consent Order 

(‘‘Consent Order’’) from Cerberus 

Institutional Partners V, L.P. 

(‘‘Cerberus’’), its wholly owned 

subsidiary, AB Acquisition, LLC 

(‘‘Albertson’s’’), and Safeway Inc. 

(‘‘Safeway’’) (collectively, the 

‘‘Respondents’’). On March 6, 2014, 

Albertson’s and Safeway entered into a 

merger agreement whereby Albertson’s 

agreed to purchase 100% of the equity 

of Safeway for approximately $9.2 

billion (the ‘‘Acquisition’’). The purpose 

of the proposed Consent Order is to 

remedy the anticompetitive effects that 

otherwise would result from the 

Acquisition. Under the terms of the 

proposed Consent Order, Respondents 

are required to divest 168 stores and 

related assets in 130 local supermarket 

geographic markets (collectively, the 

‘‘relevant markets’’) in eight states to 

four Commission-approved buyers. The 

divestitures must be completed within a 

time-period ranging from 60 to 150 days 

following the date of the Acquisition. 

Finally, the Commission and 

Respondents have agreed to an Order to 

Maintain Assets that requires 

Respondents to operate and maintain 

each divestiture store in the normal 

course of business, through the date the 

store is ultimately divested to a buyer. 

The proposed Consent Order has been 

placed on the public record for 30 days 

to solicit comments from interested 

persons. Comments received during this 

period will become part of the public 

record. After 30 days, the Commission 

again will review the proposed Consent 

Order and any comments received, and 

decide whether it should withdraw the 

Consent Order, modify the Consent 

Order, or make it final. 

The Commission’s Complaint alleges 

that the Acquisition, if consummated, 

would violate Section 7 of the Clayton 

Act, as amended, 15 U.S.C. 18, and 

Section 5 of the Federal Trade 

Commission Act, as amended, 15 U.S.C. 

45, by removing an actual, direct, and 

substantial supermarket competitor in 

the 130 local supermarket geographic 

markets. The elimination of this 

competition would result in significant 

competitive harm; specifically the 

Acquisition will allow the combined 

entity to increase prices above 

competitive levels, unilaterally or by 

coordinating with remaining market 

participants. Similarly, absent a remedy, 

there is significant risk that the merged 

firm may decrease quality and service 

aspects of their stores below competitive 

levels. The proposed Consent Order 

would remedy the alleged violations by 

requiring divestitures to replace 

competition that otherwise would be 

lost in the relevant markets because of 

the Acquisition. 

The Respondents 

AB Acquisition, LLC, owned by New 

York-based private equity firm Cerberus 

Capital Management, L.P., is the parent 

company of Albertson’s LLC and New 

Albertson’s, Inc. (together 

‘‘Albertson’s’’). As of March 19, 2014, 

Albertson’s LLC operated 630 

supermarkets, primarily under its 

Albertson’s banner. Presently, 

Albertson’s stores are located in 

Arkansas, Arizona, California, Colorado, 

Florida, Idaho, Louisiana, Montana, 

Nevada, New Mexico, North Dakota, 

Oregon, Texas, Utah, Washington, and 

Wyoming. Albertson’s LLC also operates 

supermarkets in Texas under the Market 

Street, Amigos, and United 

Supermarkets banners. United 

Supermarkets is a traditional grocery 

store, while Market Street offers 

specialty and ‘‘whole-health’’ products, 

and Amigos has an international and 

Hispanic format. As of March 19, 2014, 

New Albertson’s, Inc., owned and 

operated 445 supermarkets under the 

Jewel-Osco, ACME, Shaw’s, and Star 

Market banners, dispersed throughout 

Iowa, Illinois, Indiana, Delaware, 

Maryland, Pennsylvania, New Jersey, 

Massachusetts, Maine, New Hampshire, 

Rhode Island, and Vermont. 

As of December 2013, Safeway owned 

1,332 supermarkets, making it one of the 

largest food and drug retailers in the 

United States. Stores are operated under 

the Safeway banner in Alaska, Arizona, 

California, Colorado, District of 

Columbia, Delaware, Hawaii, Idaho, 

Maryland, Montana, Nebraska, Nevada, 

New Mexico, Oregon, South Dakota, 

Virginia, Washington, and Wyoming. 

Safeway also operates stores under the 

following banners: Pavilions, Pak ’n 

Save, and The Market in California; 

Randall’s and Tom Thumb in Texas; 

Genuardi’s in Pennsylvania; Vons in 

California and Nevada; and Carr’s in 

Alaska. 

Retail Sale of Food and Other Grocery 

Products In Supermarkets 

The Acquisition presents substantial 

antitrust concerns for the retail sale of 

food and other grocery products in 

supermarkets. Supermarkets are defined 

as traditional full-line retail grocery 

stores that sell, on a large-scale basis, 

food and non-food products that 

customers regularly consume at home— 

including, but not limited to, fresh meat, 

dairy products, frozen foods, beverages, 

bakery goods, dry groceries, detergents, 

and health and beauty products. This 

broad set of products and services 

provides a ‘‘one-stop shopping’’ 

experience for consumers by enabling 

them to shop in a single store for all of 

their food and grocery needs. The ability 

to offer consumers one-stop shopping is 

a critical differentiating factor between 

supermarkets and other food retailers. 

The relevant product market includes 

supermarkets within ‘‘hypermarkets,’’ 

such as Wal-Mart Supercenters. 

Hypermarkets also sell an array of 

products that would not be found in 

traditional supermarkets. However, 

hypermarkets, like conventional 

supermarkets, contain bakeries, delis, 

dairy, produce, fresh meat, and 

sufficient product offerings to enable 

customers to purchase all of their 

weekly grocery requirements in a single 

shopping visit. 

Other types of retailers—such as hard 

discounters, limited assortment stores, 

natural and organic markets, ethnic 

specialty stores, and club stores—also 

sell food and grocery items. These types 

of retailers, however, are not in the 

relevant product market because they 

offer a more limited range of products 

and services than supermarkets and 

because they appeal to a distinct 

customer type. Shoppers typically do 

not view these other food and grocery 

retailers as adequate substitutes for 

supermarkets.2 Further, although these 

other types of retailers offer some 

competition, supermarkets do not view 

them as providing as significant or close 

competition as traditional supermarkets. 

Thus, consistent with prior Commission 

precedent, these other types of retailers 

are excluded from the relevant product 

market.3


rljohnson on DSK3VPTVN1PROD with NOTICES
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2013); Konkinlijke Ahold N.V./Safeway Inc., Docket 

C–4367 (August 17, 2012); Shaw’s/Star Markets, 

Docket C–3934 (June 28, 1999); Kroger/Fred Meyer, 

Docket C–3917 (January 10, 2000); Albertson’s/ 

American Stores, Docket C–3986 (June 22, 1999); 

Ahold/Giant, Docket C–3861 (April 5, 1999); 

Albertson’s/Buttrey, Docket C–3838 (December 8, 

1998); Jitney-Jungle Stores of America, Inc., Docket 

C–3784 (January 30, 1998). But see Wal-Mart/ 

Supermercados Amigo, Docket C–4066 (November 

21, 2002) (the Commission’s complaint alleged that 

in Puerto Rico, club stores should be included in 

a product market that included supermarkets 

because club stores in Puerto Rico enabled 

consumers to purchase substantially all of their 

weekly food and grocery requirements in a single 

shopping visit). 4See Exhibit A. 

The relevant geographic markets in 

which to analyze the effects of the 

Acquisition are areas that range from a 

two- to ten-mile radius around each of 

the Respondents’ supermarkets, 

depending on factors such as population 

density, traffic patterns, and unique 

characteristics of each market. Where 

the Respondents’ supermarkets are 

located in rural, isolated areas, the 

relevant geographic areas are larger than 

areas where the Respondents’ 

supermarkets are located in more 

densely populated suburban areas. A 

hypothetical monopolist of the retail 

sale of food and grocery products in 

supermarkets in each relevant area 

could profitably impose a small but 

significant non-transitory increase in 

price. 

The 130 geographic markets in which 

to analyze the effects of the Acquisition 

are local areas in and around: (1) 

Anthem, Arizona; (2) Carefree, Arizona; 

(3) Flagstaff, Arizona; (4) Lake Havasu, 

Arizona; (5) Prescott, Arizona; (6) 

Prescott Valley, Arizona; (7) Scottsdale, 

Arizona; (8) Tucson (Eastern), Arizona; 

(9) Tucson (Southwest), Arizona; (10) 

Alpine, California; (11) Arroyo Grande/ 

Grover Beach, California; (12) 

Atascadero, California; (13) Bakersfield, 

California; (14) Burbank, California; (15) 

Calabasas, California; (16) Camarillo, 

California; (17) Carlsbad (North), 

California; (18) Carlsbad (South), 

California; (19) Carpinteria, California; 

(20) Cheviot Hills/Culver City, 

California; (21) Chino Hills, California; 

(22) Coronado, California; (23) Diamond 

Bar, California; (24) El Cajon, California; 

(25) Hermosa Beach, California; (26) 

Imperial Beach, California; (27) La Jolla, 

California; (28) La Mesa, California; (29) 

Ladera Ranch, California; (30) Laguna 

Beach, California; (31) Laguna Niguel, 

California; (32) Lakewood, California; 

(33) Lemon Grove, California; (34) 

Lomita, California; (35) Lompoc, 

California; (36) Mira Mesa (North), 

California; (37) Mira Mesa (South), 

California; (38) Mission Viejo/Laguna 

Hills, California; (39) Mission Viejo 

(North), California; (40) Morro Bay, 

California; (41) National City, California; 

(42) Newbury, California; (43) Newport, 

California; (44) Oxnard, California; (45) 

Palm Desert/Rancho Mirage, California; 

(46) Palmdale, California; (47) Paso 

Robles, California; (48) Poway, 

California; (49) Rancho Cucamonga/ 

Upland, California; (50) Rancho Santa 

Margarita, California; (51) San Diego 

(Clairemont), California; (52) San Diego 

(Hillcrest/University Heights), 

California; (53) San Diego (Tierrasanta), 

California; (54) San Luis Obispo, 

California; (55) San Marcos, California; 

(56) San Pedro, California; (57) Santa 

Barbara, California; (58) Santa Barbara/ 

Goleta, California; (59) Santa Clarita, 

California; (60) Santa Monica, 

California; (61) Santee, California; (62) 

Simi Valley, California; (63) Solana 

Beach, California; (64) Thousand Oaks, 

California; (65) Tujunga, California; (66) 

Tustin (Central), California; (67) Tustin/ 

Irvine, California; (68) Ventura, 

California; (69) Westlake Village, 

California; (70) Yorba Linda, California; 

(71) Butte, Montana; (72) Deer Lodge, 

Montana; (73) Missoula, Montana; (74) 

Boulder City, Nevada; (75) Henderson, 

(East), Nevada; (76) Henderson 

(Southwest), Nevada; (77) Summerlin, 

Nevada; (78) Ashland, Oregon; (79) 

Baker County, Oregon; (80) Bend, 

Oregon; (81) Eugene, Oregon; (82) 

Grants Pass, Oregon; (83) Happy Valley/ 

Clackamas, Oregon; (84) Keizer, Oregon; 

(85) Klamath Falls, Oregon; (86) Lake 

Oswego, Oregon; (87) Milwaukie, 

Oregon; (88) Sherwood, Oregon; (89) 

Springfield, Oregon; (90) Tigard, 

Oregon; (91) West Linn, Oregon; (92) 

Colleyville, Texas; (93) Dallas (Far 

North), Texas; (94) Dallas (Farmers/ 

Branch/North Dallas), Texas; (95) Dallas 

(University Park/Highland Park), Texas; 

(96) Dallas (University Park/Northeast), 

Texas; (97) McKinney, Texas; (98) 

Plano, Texas; (99) Roanoke, Texas; (100) 

Rowlett, Texas; (101) Bremerton, 

Washington; (102) Burien, Washington; 

(103) Everett, Washington; (104) Federal 

Way, Washington; (105) Gig Harbor, 

Washington; (106) Lake Forest Park, 

Washington; (107) Lake Stevens, 

Washington; (108) Lakewood, 

Washington; (109) Liberty Lake, 

Washington; (110) Milton, Washington; 

(111) Monroe, Washington; (112) Oak 

Harbor, Washington; (113) Olympia 

(East), Washington; (114) Port Angeles, 

Washington; (115) Port Orchard, 

Washington; (116) Puyallup, 

Washington; (117) Renton (East HillMeridian), Washington; (118) Renton 

(New Castle), Washington; (119) 

Sammamish, Washington; (120) 

Shoreline, Washington; (121) Silverdale, 

Washington; (122) Snohomish, 

Washington; (123) Tacoma (Eastside), 

Washington; (124) Tacoma (Spanaway), 

Washington; (125) Walla Walla, 

Washington; (126) Wenatchee, 

Washington; (127) Woodinville, 

Washington; (128) Casper, Wyoming; 

(129) Laramie, Wyoming; and (130) 

Sheridan, Wyoming. 

Each of the relevant geographic 

markets is highly concentrated and the 

Acquisition would significantly increase 

market concentration and eliminate 

substantial direct competition between 

two significant supermarket operators. 

The post-Acquisition HHI levels in the 

relevant markets vary from 2,562 to 

10,000 points, and the HHI deltas vary 

from 225 to 5,000 points. Under the 

2010 Department of Justice and Federal 

Trade Commission Horizontal Merger 

Guidelines (‘‘Merger Guidelines’’), an 

acquisition that results in an HHI in 

excess of 2,500 points and increases the 

HHI by more than 200 points is 

presumed anticompetitive. Thus, the 

presumptions of illegality and 

anticompetitive effects are easily met, 

and often far exceeded, in the relevant 

geographic markets at issue. 

The relevant markets are also highly 

concentrated in terms of the number of 

remaining market participants postAcquisition. Of the 130 geographic 

markets, the acquisition will result in a 

merger-to-monopoly in 13 markets and 

a merger-to-duopoly in 42 markets. In 

the remaining markets, the Acquisition 

will reduce the number of market 

participants from four to three in 43 

markets, five to four in 27 markets, and 

six to five in five markets.4

The anticompetitive implications of 

such significant increases in market 

concentration are reinforced by 

substantial evidence demonstrating that 

Albertson’s and Safeway are close and 

vigorous competitors in terms of price, 

format, service, product offerings, 

promotional activity, and location in 

each of the relevant geographic markets. 

Absent relief, the Acquisition would 

eliminate significant head-to-head 

competition between Albertson’s and 

Safeway and would increase the ability 

and incentive of Albertson’s to raise 

prices unilaterally post-Acquisition. The 

Acquisition would also decrease 

incentives to compete on non-price 

factors, such as service levels, 

convenience, and quality. Lastly, the 

high levels of concentration also 

increase the likelihood of competitive 

harm through coordinated interaction in 

markets in which Albertson’s will face 

only one other traditional supermarket 

competitor post-Acquisition. Given the 

transparency of pricing and promotional 


rljohnson on DSK3VPTVN1PROD with NOTICES
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practices among supermarkets and that 

supermarkets ‘‘price check’’ competitors 

in the ordinary course of business, the 

Acquisition increases the possibility 

that Albertson’s and its remaining 

competitor could simply follow each 

other’s price increases post-Acquisition. 

New entry or expansion in the 

relevant markets is unlikely to deter or 

counteract the anticompetitive effects of 

the Acquisition. Moreover, even if a 

prospective entrant existed, the entrant 

must secure a viable location, obtain the 

necessary permits and governmental 

approvals, build its retail establishment 

or renovate an existing building, and 

open to customers before it could begin 

operating and serve as a relevant 

competitive constraint. As a result, new 

entry sufficient to achieve a significant 

market impact and act as a competitive 

constraint is unlikely to occur in a 

timely manner. 

The Proposed Consent Order 

The proposed remedy, which requires 

the divestiture of Albertson’s or Safeway 

supermarkets in the relevant markets to 

four Commission-approved up-front 

buyers (the ‘‘proposed buyers’’) will 

restore fully the competition that 

otherwise would be eliminated in these 

markets as a result of the Acquisition. 

Specifically, Respondents have agreed 

to divest: 

• 146 stores and related assets in 

Arizona, California, Nevada, Oregon, 

and Washington to Haggen, Inc. 

(‘‘Haggen’’); 

• Two stores in Washington to 

Supervalu, Inc. (‘‘Supervalu’’); 

• 12 stores and related assets in Texas 

to Associated Wholesale Grocers 

(‘‘AWG’’); and 

• Eight stores and related assets in 

Montana and Wyoming to Associated 

Food Stores (‘‘Associated’’). 

The proposed buyers appear to be 

highly suitable purchasers and are well 

positioned to enter the relevant 

geographic markets and prevent the 

increase in market concentration and 

likely competitive harm that otherwise 

would have resulted from the 

Acquisition. The supermarkets currently 

owned by any of the proposed buyers 

are all located outside the relevant 

geographic markets in which they are 

purchasing divested stores. 

Haggen is a regional supermarket 

chain with 18 supermarkets in 

Washington and Oregon. Haggen will 

purchase all but two of the divested 

stores in Washington, because Haggen 

already operates stores in those two 

geographic markets. Supervalu will 

purchase the two stores in Washington 

that Haggen is not purchasing. 

Supervalu is a wholesale distributor that 

also operates 190 corporate-owned 

supermarkets and previously owned 

these two Washington stores. AWG is a 

member-owned cooperative grocery 

wholesaler supplying nearly 3,000 

supermarkets in 33 states. Although 

AWG does not currently own or operate 

any supermarkets, AWG has owned and 

operated corporate-owned supermarkets 

in the past. Finally, Associated is a 

member-owned cooperative grocery 

wholesaler that supplies and operates 

retail supermarkets. Associated’s 

members operate approximately 424 

grocery stores in ten states, and the 

cooperative, through a subsidiary, owns 

and operates 43 corporate-owned 

supermarkets located in Utah and 

Nevada. It is expected that AWG will 

assign its operating rights in the 12 

Texas stores it is acquiring to RLS 

Supermarkets, LLC (d/b/a Minyard Food 

Stores) and that Associated will assign 

its rights in the eight Montana and 

Wyoming stores it is acquiring to 

Missoula Fresh Market LLC, Ridley’s 

Family Markets, Inc., and Stokes Inc. 

The Proposed Consent Order requires 

Respondents to divest: (a) The Arizona, 

California, Nevada, Oregon, and 

Washington assets to Haggen within 150 

days from the date of the Acquisition; 

(b) the two stores in Washington to 

Supervalu within 100 days of the date 

of the Acquisition; (c) the Texas assets 

to AWG within 60 days of the date of 

the Acquisition; and (d) the Montana 

and Wyoming assets to Associated 

within 60 days of the date of the 

Acquisition. If, at the time before the 

Proposed Consent Order is made final, 

the Commission determines that any of 

the proposed buyers are not acceptable 

buyers, Respondents must immediately 

rescind the divestiture(s) and divest the 

assets to a different buyer that receives 

the Commission’s prior approval. 

The proposed Consent Order contains 

additional provisions designed to 

ensure the adequacy of the proposed 

relief. For example, Respondents have 

agreed to an Order to Maintain Assets 

that will be issued at the time the 

Proposed Consent Order is accepted for 

public comment. The Order to Maintain 

Assets requires Albertson’s and Safeway 

to operate and maintain each divestiture 

store in the normal course of business, 

through the date the store is ultimately 

divested to a buyer. Since the 

divestiture schedule runs for an 

extended period of time (potentially up 

to 150 days following the Acquisition 

date), the Proposed Consent Order 

appoints Richard King as a Monitor to 

oversee the Respondents’ compliance 

with the requirements of the Proposed 

Consent Order and Order to Maintain 

Assets. Mr. King has the experience and 

skill-set to be an effective Monitor, no 

identifiable conflicts, and sufficient 

time to dedicate to this matter through 

its conclusion. Lastly, for a period of ten 

years, Albertson’s is required to give the 

Commission prior notice of plans to 

acquire any interest in a supermarket 

that has operated or is operating in the 

counties included in the relevant 

markets. 

* * * 

The sole purpose of this Analysis is 

to facilitate public comment on the 

proposed Consent Order. This Analysis 

does not constitute an official 

interpretation of the proposed Consent 

Order, nor does it modify its terms in 

any way. 

EXHIBIT A 

Area 

number City State Merger result 

HHI 

(pre) 

HHI 

(post) Delta Divested store(s) 

1 ........... Anthem ........................................... AZ 4 to 3 .... 2768 3423 655 SFY 1726. 

2 ........... Carefree ......................................... AZ 5 to 4 .... 2298 2976 678 ALB 979. 

3 ........... Flagstaff ......................................... AZ 5 to 4 .... 2744 3365 621 ALB 967. 

4 ........... Lake Havasu .................................. AZ 4 to 3 .... 2609 3401 792 ALB 1027. 

5 ........... Prescott .......................................... AZ 4 to 3 .... 2675 3405 730 ALB 953. 

6 ........... Prescott Valley ............................... AZ 4 to 3 .... 2828 3340 512 ALB 965. 

7 ........... Scottsdale ...................................... AZ 3 to 2 .... 3797 5001 1204 ALB 983. 

8 ........... Tucson (Eastern) ........................... AZ 4 to 3 .... 3341 4130 789 SFY 234 & 2611. 

9 ........... Tucson (Southwest) ....................... AZ 5 to 4 .... 2018 2909 891 ALB 972. 

10 ......... Alpine ............................................. CA 3 to 2 .... 3857 5002 1145 SFY 2333. 

11 ......... Arroyo Grande/Grover Beach ........ CA 3 to 2 .... 3690 6864 3174 ALB 6304. 

12 ......... Atascadero ..................................... CA 3 to 2 .... 3456 6242 2786 ALB 6390. 


rljohnson on DSK3VPTVN1PROD with NOTICES
Federal Register / Vol. 80, No. 22 / Tuesday, February 3, 2015 / Notices 5757 

EXHIBIT A—Continued 

Area 

number City State Merger result 

HHI 

(pre) 

HHI 

(post) Delta Divested store(s) 

13 ......... Bakersfield ..................................... CA 6 to 5 .... 1923 2562 639 ALB 6323, 6325 & 6379. 

14 ......... Burbank .......................................... CA 3 to 2 .... 4199 5011 812 ALB 6315. 

15 ......... Calabasas ...................................... CA 3 to 2 .... 3400 5415 2015 SFY 2031. 

16 ......... Camarillo ........................................ CA 5 to 4 .... 2950 4215 1265 ALB 6385. 

17 ......... Carlsbad (North) ............................ CA 4 to 3 .... 2977 3888 911 ALB 6701. 

18 ......... Carlsbad (South) ............................ CA 5 to 4 .... 2209 3210 1001 ALB 6720. 

19 ......... Carpinteria ...................................... CA 2 to 1 .... 5012 10,000 4988 SFY 2425. 

20 ......... Cheviot Hills/Culver City ................ CA 4 to 3 .... 2394 3914 1520 ALB 6168 & 6169. 

21 ......... Chino Hills ...................................... CA 4 to 3 .... 3596 4047 451 SFY 2597. 

22 ......... Coronado Island ............................. CA 2 to 1 .... 5025 10,000 4975 ALB 6747. 

23 ......... Diamond Bar .................................. CA 3 to 2 .... 4466 5231 765 SFY 2062. 

24 ......... El Cajon ......................................... CA 4 to 3 .... 2983 3597 614 ALB 6771. 

25 ......... Hermosa Beach ............................. CA 5 to 4 .... 2752 4371 1619 ALB 6127, 6138, 6153 & 6189. 

26 ......... Imperial Beach ............................... CA 2 to 1 .... 5869 10,000 4131 ALB 6228. 

27 ......... La Jolla ........................................... CA 3 to 2 .... 5505 7083 1578 ALB 6788. 

28 ......... La Mesa ......................................... CA 3 to 2 .... 3382 5997 2615 SFY 2064 & 2137. 

29 ......... Ladera Ranch ................................ CA 2 to 1 .... 5081 10,000 4919 SFY 2703. 

30 ......... Laguna Beach ................................ CA 3 to 2 .... 3335 5799 2464 ALB 6575. 

31 ......... Laguna Niguel ................................ CA 4 to 3 .... 3190 3883 693 SFY 1676. 

32 ......... Lakewood ....................................... CA 6 to 5 .... 2073 2581 508 ALB 6154. 

33 ......... Lemon Grove ................................. CA 3 to 2 .... 3581 6059 2478 SFY 2365. 

34 ......... Lomita ............................................ CA 3 to 2 .... 3695 5040 1345 ALB 6107. 

35 ......... Lompoc .......................................... CA 4 to 3 .... 2566 3713 1147 ALB 6339. 

36 ......... Mira Mesa (North) .......................... CA 5 to 4 .... 2412 3808 1396 ALB 6742 & 6772. 

37 ......... Mira Mesa (South) ......................... CA 2 to 1 .... 6904 10,000 3096 ALB 6770. 

38 ......... Mission Viejo/Laguna Hills ............. CA 4 to 3 .... 3157 3784 627 ALB 6517. 

39 ......... Mission Viejo (North) ..................... CA 3 to 2 .... 3933 5012 1079 SFY 1670. 

40 ......... Morro Bay ...................................... CA 5 to 4 .... 2965 4056 1091 SFY 2312. 

41 ......... National City ................................... CA 3 to 2 .... 3748 5013 1265 SFY 2006, 2336 & 3063. 

42 ......... Newbury Park ................................ CA 3 to 2 .... 3629 5833 2204 SFY 1793. 

43 ......... Newport Beach .............................. CA 5 to 4 .... 3160 3811 651 ALB 6504. 

44 ......... Oxnard ........................................... CA 4 to 3 .... 2939 3375 436 ALB 6217. 

45 ......... Palm Desert/Rancho Mirage .......... CA 6 to 5 .... 2196 3094 898 SFY 2383 & 3218. 

46 ......... Palmdale ........................................ CA 4 to 3 .... 3056 4039 983 ALB 6329. 

47 ......... Paso Robles ................................... CA 4 to 3 .... 2851 5427 2576 SFY 2317. 

48 ......... Poway ............................................ CA 4 to 3 .... 2540 3526 986 ALB 6741 & 6763. 

49 ......... Rancho Cucamonga/Upland .......... CA 4 to 3 .... 3266 4118 852 ALB 6523 & 6589. 

50 ......... Rancho Santa Margarita ................ CA 4 to 3 .... 2628 4300 1672 ALB 6521. 

51 ......... San Diego (Clairemont) ................. CA 3 to 2 .... 4066 6374 2308 ALB 6781. 

52 ......... San Diego (Hillcrest/University 

Heights).

CA 3 to 2 .... 4436 6571 2135 ALB 6714 & 6715. 

53 ......... San Diego, CA (Tierrasanta) ......... CA 2 to 1 .... 5586 10,000 4414 ALB 6760. 

54 ......... San Luis Obispo ............................ CA 4 to 3 .... 2896 5306 2410 ALB 6372 & 6409. 

55 ......... San Marcos .................................... CA 3 to 2 .... 5991 6282 291 SFY 2174. 

56 ......... San Pedro ...................................... CA 3 to 2 .... 3518 6442 2924 ALB 6160 & 6164. 

57 ......... Santa Barbara ................................ CA 4 to 3 .... 2741 3462 721 ALB 6351 & 6352. 

58 ......... Santa Barbara/Goleta .................... CA 3 to 2 .... 3909 7469 3560 SFY 2048 & 2691. 

59 ......... Santa Clarita .................................. CA 4 to 3 .... 2646 3732 1086 SFY 1669 & 1961. 

60 ......... Santa Monica ................................. CA 4 to 3 .... 3293 4879 1586 ALB 6162. 

61 ......... Santee ............................................ CA 3 to 2 .... 3477 6133 2656 ALB 6727. 

62 ......... Simi Valley ..................................... CA 5 to 4 .... 3633 7101 3468 ALB 6317 & 6363; SFY 2163. 

63 ......... Solana Beach ................................. CA 3 to 2 .... 3830 6188 2358 ALB 6702. 

64 ......... Thousand Oaks .............................. CA 3 to 2 .... 4057 6047 1990 ALB 6369. 

65 ......... Tujunga .......................................... CA 3 to 2 .... 3688 3969 281 ALB 6397. 

66 ......... Tustin (central) ............................... CA 4 to 3 .... 3474 4348 874 SFY 2146 & 2324. 

67 ......... Tustin/Irvine .................................... CA 4 to 3 .... 3939 4485 546 SFY 2822. 

68 ......... Ventura ........................................... CA 4 to 3 .... 2732 3550 818 ALB 6318. 

69 ......... Westlake Village ............................ CA 5 to 4 .... 1955 3563 1608 ALB 6388. 

70 ......... Yorba Linda .................................... CA 4 to 3 .... 2803 4588 1785 ALB 6510. 

71 ......... Butte ............................................... MT 3 to 2 .... 4701 5189 488 ALB 2007. 

72 ......... Deer Lodge .................................... MT 2 to 1 .... 5000 10,000 5000 SFY 3256. 

73 ......... Missoula ......................................... MT 4 to 3 .... 3107 4063 956 SFY 1573 & 2619. 

74 ......... Boulder City ................................... NV 2 to 1 .... 5051 10,000 4949 SFY 2391. 

75 ......... Henderson (East) ........................... NV 4 to 3 .... 2705 3356 651 ALB 6014 & 6019. 

76 ......... Henderson (Southwest) ................. NV 3 to 2 .... 3653 5042 1389 ALB 6028. 

77 ......... Summerlin ...................................... NV 4 to 3 .... 3107 4367 1260 SFY 1688, 2392 & 2395. 

78 ......... Ashland .......................................... OR 2 to 1 .... 5013 10,000 4987 SFY 4292. 

79 ......... Baker County ................................. OR 2 to 1 .... 5102 10,000 4898 ALB 261. 

80 ......... Bend ............................................... OR 6 to 5 .... 2632 3824 1192 ALB 587 & 588. 

81 ......... Eugene ........................................... OR 5 to 4 .... 2392 3414 1022 ALB 507 & 568. 

82 ......... Grants Pass ................................... OR 4 to 3 .... 2769 3537 768 ALB 501 & 537. 


rljohnson on DSK3VPTVN1PROD with NOTICES
5758 Federal Register / Vol. 80, No. 22 / Tuesday, February 3, 2015 / Notices 

EXHIBIT A—Continued 

Area 

number City State Merger result 

HHI 

(pre) 

HHI 

(post) Delta Divested store(s) 

83 ......... Happy Valley/Clackamas ............... OR 2 to 1 .... 5006 10,000 4994 ALB 503. 

84 ......... Keizer ............................................. OR 5 to 4 .... 2852 3367 515 ALB 562. 

85 ......... Klamath Falls ................................. OR 5 to 4 .... 2511 2917 406 SFY 1766 & 4395. 

86 ......... Lake Oswego ................................. OR 4 to 3 .... 3176 5604 2428 ALB 521. 

87 ......... Milwaukie ....................................... OR 3 to 2 .... 5729 6082 353 ALB 566. 

88 ......... Sherwood ....................................... OR 3 to 2 .... 3989 5028 1039 ALB 579. 

89 ......... Springfield ...................................... OR 3 to 2 .... 4400 5197 797 SFY 311. 

90 ......... Tigard ............................................. OR 5 to 4 .... 2261 2984 723 ALB 559, 565 & 576. 

91 ......... West Linn ....................................... OR 3 to 2 .... 3611 6268 2657 ALB 506. 

92 ......... Colleyville ....................................... TX 5 to 4 .... 2686 3465 779 SFY 3555 & 3576. 

93 ......... Dallas (Far North) .......................... TX 5 to 4 .... 2413 2891 478 ALB 4140. 

94 ......... Dallas (Farmers Branch/North Dallas).TX 4 to 3 .... 3746 5175 1429 ALB 4182. 

95 ......... Dallas (University Park/Highland 

Park).

TX 4 to 3 .... 2755 4261 1506 ALB 4134 & 4168. 

96 ......... Dallas (University Park/Northeast 

Dallas).

TX 5 to 4 .... 2345 3065 720 ALB 4132 & 4297. 

97 ......... McKinney ....................................... TX 5 to 4 .... 2692 3613 921 SFY 3573. 

98 ......... Plano .............................................. TX 4 to 3 .... 3105 3541 436 SFY 2568. 

99 ......... Roanoke ......................................... TX 3 to 2 .... 4680 5351 671 ALB 4149. 

100 ....... Rowlett ........................................... TX 3 to 2 .... 3386 5450 2064 ALB 4197. 

101 ....... Bremerton ...................................... WA 4 to 3 .... 2721 3399 678 ALB 443. 

102 ....... Burien ............................................. WA 5 to 4 .... 1979 4489 2510 ALB 411 & 473. 

103 ....... Everett ............................................ WA 5 to 4 .... 2301 2586 285 SFY 517. 

104 ....... Federal Way ................................... WA 5 to 4 .... 2312 2709 397 ALB 496. 

105 ....... Gig Harbor ..................................... WA 3 to 2 .... 3396 5235 1839 SFY 2949. 

106 ....... Lake Forest Park ........................... WA 5 to 4 .... 3889 4352 463 ALB 425. 

107 ....... Lake Stevens ................................. WA 5 to 4 .... 2646 3455 809 ALB 477. 

108 ....... Lakewood ....................................... WA 5 to 4 .... 2333 3170 837 ALB 465. 

109 ....... Liberty Lake ................................... WA 3 to 2 .... 3483 5090 1607 SFY 1741. 

110 ....... Milton .............................................. WA 3 to 2 .... 3960 5010 1050 ALB 472. 

111 ....... Monroe ........................................... WA 4 to 3 .... 2911 3352 441 ALB 476. 

112 ....... Oak Harbor .................................... WA 3 to 2 .... 4296 6446 2150 SFY 3518. 

113 ....... Olympia (East) ............................... WA 6 to 5 .... 2205 2566 361 ALB 415. 

114 ....... Port Angeles .................................. WA 3 to 2 .... 3773 5588 1815 ALB 404. 

115 ....... Port Orchard .................................. WA 4 to 3 .... 2747 3362 615 SFY 1082. 

116 ....... Puyallup ......................................... WA 3 to 2 .... 4160 5072 912 ALB 468. 

117 ....... Renton (East Hill-Meridian) ............ WA 4 to 3 .... 3304 3719 415 ALB 470. 

118 ....... Renton (New Castle) ..................... WA 4 to 3 .... 4417 5274 857 SFY 1468. 

119 ....... Sammamish ................................... WA 2 to 1 .... 5761 10,000 4239 ALB 403. 

120 ....... Shoreline ........................................ WA 4 to 3 .... 3792 4017 225 SFY 442. 

121 ....... Silverdale ....................................... WA 4 to 3 .... 2845 3516 671 ALB 492. 

122 ....... Snohomish ..................................... WA 2 to 1 .... 5595 10,000 4405 ALB 401. 

123 ....... Tacoma (Eastside) ......................... WA 4 to 3 .... 3260 3727 467 ALB 498. 

124 ....... Tacoma (Spanaway) ...................... WA 5 to 4 .... 2707 3360 653 SFY 551. 

125 ....... Walla Walla .................................... WA 5 to 4 .... 2624 3417 793 ALB 225. 

126 ....... Wenatchee ..................................... WA 3 to 2 .... 3744 5047 1303 ALB 244. 

127 ....... Woodinville ..................................... WA 3 to 2 .... 3568 5192 1624 ALB 459. 

128 ....... Casper ............................................ WY 4 to 3 .... 3816 4353 537 SFY 433 & 2468. 

129 ....... Laramie .......................................... WY 3 to 2 .... 3793 5000 1207 ALB 2063. 

130 ....... Sheridan ......................................... WY 3 to 2 .... 4802 5421 619 SFY 2664. 

By direction of the Commission. 

Donald S. Clark, 

Secretary. 

[FR Doc. 2015–01971 Filed 2–2–15; 8:45 am] 

BILLING CODE 6750–01–P 

GENERAL SERVICES 

ADMINISTRATION 

[Notice–CECANF–2015–01; Docket No. 

2015–0004; Sequence No. 1] 

Commission To Eliminate Child Abuse 

and Neglect Fatalities; Announcement 

of Meeting 

AGENCY: Commission To Eliminate 

Child Abuse and Neglect Fatalities. 

ACTION: Meeting notice. 

SUMMARY: The Commission to Eliminate 

Child Abuse and Neglect Fatalities 

(CECANF), a Federal Advisory 

Committee established by the Protect 

Our Kids Act of 2012, Public Law 112– 

275, will hold a meeting open to the 

public on Thursday, February 26, 2015 

and Friday, February 27, 2015 in 

Portland, Oregon. 

DATES: The meetings will be held on 

Thursday, February 26, 2015, from 8:00 

a.m. to 5:30 p.m., and Friday, February 

27, 2015 from 8:00 a.m. to 12:30 p.m. 

Pacific Standard Time. 

ADDRESSES: CECANF will convene its 

meeting at the Marriott City Center, 520 

SW Broadway, Portland, Oregon 97205. 


rljohnson on DSK3VPTVN1PROD with NOTICES