Tag Archives: SVU

QUICK BLURBS [ADS, AXP, BAC, IBKR, KMX, SVU]

(4,146 words) [IBKR] Partly due to an exceptionally low volatility trading environment, which has made it difficult to earn profits and which Petterfy says may continue “indefinitely,” the company is winding down its options market making operations. While the company will use the excess capital from market making to further support its brokerage operations, the latter […]

[SVU] OPPORTUNITY POST SAVE-A-LOT DIVESTITURE?

(959 words) Ugly few years for this poor grocer, but the implied valuation of the core wholesale business looks like it could be interesting post recent Save-A-Lot divestiture (discount grocer). The company used most of its $1.3bn in gross proceeds ($1.24bn after taxes) to significantly reduce its debt load by $1.1bn (total PF net secured/net […]
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[SVU] RETAIL FOOD DEFLATION CONTINUES AND FIERCE COMPETITION PERSISTS

(506 words) 10/19/2016: SVU (Earnings Call) On 10/17, SVU announced the sale of its Save-A-Lot business [discount grocer] to Onyx for $1.4bn in cash (proceeds to be used towards debt repayment) w/ an end of Jan expected close. Retail sales (comps -5.9%; traffic -5.2%, basket -0.7% w/ sequential deterioration) continue to be negatively impacted by […]
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[KR, SVU] FOOD DEFLATION WON’T ABATE UNTIL EARLY 2017; PRICING SIMILAR TO 2009

(766 words) 9/9/2016: KR (Earnings Call) KR’s surveys suggest that its customers are “less confident about the economy now” vs. 3 months ago and that they expect the economy to “get worse in the next 3 months.”  Interestingly, KR’s customers are telling the co. that their basket of goods is costing more when the co. […]
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