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The Beginnings of Retail Expansion [1999-2001] In 2000, Roundy’s began expanding its retail ownership by purchasing the Ultra Mart stores and the Mega Mart, Inc. stores. This move added 24 large Pick ’n Save stores to the company’s total ownership.
Roundy’s Today [2002-2010] In 2002, Roundy’s was acquired by Willis Stein & Partners, an equity investment firm based in Chicago. At this time, Robert A. Mariano was appointed as Chairman and Chief Executive Officer of Roundy’s, bringing 28 years of food industry experience to the company. He had previously served as Chief Executive Officer of Dominick’s, a Chicago-based grocery chain. In an effort to continue the company’s retail expansion, Roundy’s acquired four Pick’n Save stores and three Rainbow stores in 2002. In June 2003, Roundy’s subsidiary, Copps, opened six stores in Madison, Wisconsin, which had been acquired from Kohl’s Food Stores parent, A&P. Later that month, the company announced the acquisition of 31 Rainbow food stores from Fleming Companies, Inc. The stores, located in the Minneapolis-St. Paul, Minnesota area extended Roundy’s reach westward.
In November 2003, Roundy’s announced plans to build a 1.1 million-square-foot distribution center in Oconomowoc, Wisconsin. The center was completed and occupied in January 2005. In July 2004, Roundy’s announced the closing of its Eldorado, Illinois and Evansville, Indiana distribution centers. Roundy’s closed the centers in an effort to refocus its efforts on retail operations and condense its distribution network. In August 2004, Roundy’s opened the Metro Market, a new-concept supermarket in Milwaukee’s downtown district. The store focused on fresh food, specialty products and a customized urban shopping experience. Some of the state-of-the-art technology featured at the Metro Market included “Pay by Touch” finger scan payment and mobile checkouts.
In June 2005, Roundy’s changed the company’s name to Roundy’s Supermarkets, Inc. to better reflect its retail focus. According to Mariano, “the corporate name change symbolizes the transformation of Roundy's from a long-time wholesale grocery supplier to a premier grocery retailer.” Furthering the company’s retail goals, Roundy’s announced a plan in July 2005 to transition approximately 50 independent retailer locations currently served by Roundy's from the Stevens Point and Oconomowoc distribution centers to SUPERVALU, Inc.'s Green Bay and Pleasant Prairie, Wis. distribution centers. The move excluded independently owned and operated Pick ‘n Save stores, which continue to be supplied by Roundy’s. Roundy's growth continued in 2006 with the acquisition of several more independent Pick 'n Save stores, bringing the corporate-owned store count to more than 140. The combination of acquisitions and new store openings earned Roundy's the distinction of being named the world's "Fastest Growing Retailer" by Stores magazine and Deloitte Touche Tohmatsu, a global consulting organization, in January 2006. Also in early 2006, Roundy's opened the doors to its new food processing plant in Kenosha, Wisconsin. The 120,000-square-foot facility began operations by producing Roundy's Own Brand ice before adding Roundy's Own Brand purified drinking water in February. Other items planned for production include ice cream, signature sausage, roast beef, cheese and other deli offerings. The Oconomowoc Distribution Center was accepted into Wisconsin’s Green Tier program in December 2006. The company took several steps to make the distribution center more environmentally friendly: *Installing lighting timers to conserve electric power consumption throughout the facility
As part of its commitment to environmental improvement, Roundy's also installed diesel oxidation catalysts that will reduse diesel exhaust emissions on more than one-fourth of the company's Class-8 truck fleet. The company is also committed to recycling cardboard, plastics and pallets at the center. Finally, Roundy's continues to work with the DNR to evaluate whether certain technological and operational equipment, processes or devices present actual benefits to reducing mobile emissions and improved fuel economy.
In January 2007, Roundy’s acquired five Milwaukee-area Jewel-Osco stores from SUPERVALU, Inc., converting the banners to Pick ’n Save. The company’s expansion continued with organic growth through new store openings and the acquisition of several more independent stores. By the end of the year, Roundy’s store count had increased to 153 and the organization was over 22,000-employees strong.
In January 2009, Roundy’s was named Outstanding Regional retailer by Progressive Grocer as part of the magazine’s annual Outstanding Independents Awards. Contributing to Roundy’s win was the company’s one-customer-at-a-time approach to service and a commitment to giving back to the communities where our customers and employees live and work. In the article appearing in the January/February issue of Progressive Grocer, Roundy’s Chairman and CEO Bob Mariano points to our aggressive retail growth strategy as one of the keys to the company’s success.
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Roundy’s continued to expand its retail ownership in 2001 with the acquisition of the Copps Corporation, which is based in Steven’s Point, Wisconsin. This acquisition included 21 corporate-owned supermarkets, a full-line distribution center and wholesale distribution to over 40 independently owned IGA supermarkets.
In October 2003, Roundy’s moved its business offices to downtown Milwaukee, consolidating its operations from three campuses into one state-of-the-art office structure. That same month, the company announced the formation of the Roundy’s Foundation, a new grant- making organization that provides funding to qualifying non-profit organizations dedicated to enhancing life in the communities in which employees and customers live and work. The Foundation’s focus emphasized three key areas: hunger relief, the advancement of literacy and families in crisis, as related to intervention and prevention of neglect and abuse.
In 2005, Roundy’s announced that its Lima, Ohio and Westville, Indiana distribution centers and related operations would be sold to Nash Finch. This move was made in an effort to support Roundy’s repositioning from wholesale to retail. As evidence of this move, the number of company-owned stores grew in April when Roundy’s purchased seven Pick ‘n Save stores in the Madison area.
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