SUPERVALU Announces 1-for-7 Reverse Stock Split
Thursday, July 20, 2017 4:35:00 PM ET
SUPERVALU INC. (SVU ) (the "Company")
today announced a 1-for-7 reverse split of its common stock, effective
as of the close of business on August 1, 2017. Beginning on August 2,
2017, the Companys common stock will trade on the NYSE on a
At the Companys annual meeting of stockholders on July 19, 2017, the
Companys stockholders authorized the Board of Directors to amend the
Restated Certificate of Incorporation of the Company to effect a reverse
stock split at a ratio in the range of 1-for-5 to 1-for-7.
When the reverse stock split becomes effective, the number of authorized
shares of the Companys common stock will decrease to 57,142,857, while
the number of issued and outstanding shares will be reduced from
approximately 268,504,100 to 38,351,030. No fractional shares will be
issued following the reverse stock split. In lieu of any fractional
shares, any holder of less than one share of common stock will be
entitled to receive cash for such holders fractional share. The reverse
stock split will not impact the authorized number of shares of preferred
stock of the Company, none of which are outstanding.
The reverse stock split will reduce the number of shares of common stock
available for issuance under the Companys equity compensation plans in
proportion to the reverse stock split ratio. Upon effectiveness, the
reverse stock split will cause a reduction in the number of shares of
common stock issuable upon exercise or vesting of equity awards in
proportion to the reverse stock split ratio and will cause a
proportionate increase in any exercise price of such awards. The number
of shares of common stock issuable upon exercise or vesting of equity
awards will be rounded to the nearest whole share.
The Companys common stock will continue to trade on the NYSE under the
symbol "SVU." The new CUSIP number for the common stock following the
reverse stock split is 868536 301.
Registered stockholders holding all of their shares of common stock
electronically in book-entry form do not need to take any action in
connection with the reverse stock split. For those stockholders holding
physical stock certificates, the Companys transfer agent, Wells Fargo
Shareowner Services, will send instructions for the surrender of such
stockholders current certificates in exchange for a statement of
holding. When such stockholders submit their certificates representing
pre-split shares of common stock, their post-split shares, if any, will
be held electronically in direct registration book entry account. This
means that, instead of receiving a new stock certificate, these
stockholders will receive a statement of holding that indicates the
number of post-split shares, if any, they own. The Company will no
longer issue physical stock certificates unless a stockholder makes a
specific request for a share certificate representing the stockholders
post-split ownership interest or if the stockholder holds restricted
Additional information about the reverse stock split can be found in the
Companys definitive proxy statement filed with the Securities and
Exchange Commission on June 5, 2017, a copy of which is also available
or at www.supervalu.com
under the SEC Filings tab located on the Investors page.
About SUPERVALU INC. (The
following information on sales, store counts and employees is as of
SUPERVALUs last fiscal year end and does not include Unified Grocers)
SUPERVALU INC. is one of the largest grocery wholesalers and retailers
in the U.S. with annual sales of approximately $12 billion in fiscal
2017. SUPERVALU serves customers across the United States through a
network of 2,363 stores including 1,902 stores operated by wholesale
customers serviced primarily by the Companys food distribution business
and 217 traditional retail grocery stores operated under five retail
banners in six geographic regions (store counts as of February 25,
2017). Headquartered in Minnesota, SUPERVALU has approximately 29,000
Founded in 1922, Unified Grocers is a wholesale grocery distributor that
supplies independent retailers throughout the western United States.
Unified and its subsidiaries offer independent retailers all the
resources they need to compete in the supermarket industry.
For more information about SUPERVALU visit www.supervalu.com.
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SOURCE: SUPERVALU INC.
Steve Bloomquist, 952-828-4144
Jeff Swanson, 952-903-1645