Tube City Almanac

November 06, 2014

Bottom Dollar to Sell, Close 20 Local Stores

Category: News || By Submitted and Staff Report


Local officials helped mark the January 26, 2012 opening of a Bottom Dollar supermarket in the city's Christy Park neighborhood. The parent company of Bottom Dollar announced plans Thursday to close all of the company's 66 locations, including 20 in the Pittsburgh area. (Tube City Almanac file photo: Denise L. Ritter)

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Less than three years after opening stores in McKeesport, Homestead and other nearby communities to great fanfare, the parent company of Bottom Dollar Foods announced Thursday that all 66 locations are being sold to a competitor, and will close.

Salisbury, N.C., based Delhaize America --- itself a division of Belgium-based Delhaize Group --- said all of its Bottom Dollar locations are being sold to Aldi in a transaction reportedly valued at $15 million. Aldi also will assume leases on Bottom Dollar stores, as well as other financial obligations, according to published reports.

About 2,200 employees will lose their jobs.

"This decision was difficult given the impact on our associates, customers and communities in which we operate," said Gene Faller, vice president of retail operations for Bottom Dollar Food. "We want to thank our associates, customers and communities for their support over the past four years."

Aldi is also a discount supermarket chain, albeit with a more limited selection than Bottom Dollar, and is also a division of a European supermarket chain. According to broadcast reports, an Aldi spokesperson said it is too soon to say if any of the Bottom Dollar locations might reopen as Aldi stores.

The nearest Aldi locations to McKeesport are in North Versailles and North Huntingdon townships and West Mifflin.

The McKeesport Bottom Dollar at the corner of Eden Park Boulevard and Walnut Street in Christy Park opened Jan. 26, 2012 to great fanfare and was among the first of 20 Bottom Dollar locations in the Pittsburgh area to be announced.

Bottom Dollar is a discount, limited selection supermarket chain, in comparison to full-service stores such as Giant Eagle and Shop 'n Save. Delhaize also operates 1,100 full-service supermarkets, mainly in the southern United States, under the name "Food Lion," and nearly 200 in New England and New York state under the name "Hannaford."

Thursday's announcement indicated that Delhaize wants to concentrate on its full-service supermarkets, including Food Lion and Hannaford. The company had been opening new Bottom Dollar locations in the Pittsburgh area as recently as June 2014.

A Bottom Dollar spokesperson said laid-off employees will be offered career placement assistance and severance pay. No details were made public.






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