SUPERVALU INC. (SVU), Safeway Inc. (SWY): Whole Foods Market, Inc. (WFM)’ Impressive Growth Looks Set to Continue

Page 2 of 2

Safeway Inc. (NYSE:SWY) is venturing into the idea of building apartments over the store at new locations. It is also spending on store remodeling, replacement and new stores. Safeway also is in the “Organic food” markets through its own O Organics brand.

SUPERVALU INC. (NYSE:SVU) has done well after shedding some flab by selling off almost 900 assets for $3.3 billion as a part of a restructuring exercise. A leaner organization, with diminished infrastructure costs, has enabled the company to focus effectively on core operations.

Many grocery stores have started loading their shelves with organic and natural food items. SUPERVALU INC. (NYSE:SVU) should also follow Kroger’s move to add more organic and natural food items, an area of increasing demand from customers, both old and young. This would certainly help Supervalu grow sales. Also, offering organic food items would be in line with its initiatives, such as arranging its merchandise in ways that drive sales and advertisement through weekly newspaper inserts.

Conclusion

Whole Foods Market, Inc. (NASDAQ:WFM) has a good track record of performance, and there is significant opportunity in the organic food market. The company is looking to capture even more of it by opening stores in areas it doesn’t serve yet, making it worth a look.

The article Whole Foods’ Impressive Growth Looks Set to Continue originally appeared on Fool.com and is written by ANUP SINGH.

ANUP SINGH has no position in any stocks mentioned. The Motley Fool recommends Whole Foods Market. The Motley Fool owns shares of Supervalu and Whole Foods Market.

Copyright © 1995 – 2013 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.

Page 2 of 2