Loblaw to Open 50 New Stores and Spend $1.2 Billion Investment on Renovations
BRAMPTON, ON - Loblaw Companies Limited will invest more than C$1.2 billion ($935 million U.S.) into its Canadian business in 2015. In a press release, the company has said its investment will include construction projects for dozens of new and existing stores, e-commerce expansion, and continued investment in supply chain and IT infrastructure.
"While we continue to invest in the IT and infrastructure engines of our business, we're increasingly making investments that Canadians will see with their own eyes – improving our offer, adding stores, and creating jobs locally," said Galen G. Weston, Executive Chairman and President, Loblaw. "True to our strategy, our investment will create better access to fresh food, wellness solutions closer to home, e-commerce convenience, and a family of stores that elevate grocery, pharmacy, apparel and banking experiences."
Loblaw's investment is also expected to create more than 20,000 jobs through store staffing and construction, according to the release.
Some of the in-store improvements will concentrate on Loblaw's Joe Fresh discount clothing line, which the company plans to add 50 stores this year according to The Canadian Press.
It will also look to renovate Shoppers' locations acquired in a blockbuster $12.4-billion deal announced in July 2013. Since completing the purchase, Loblaw has been steadily introducing its No Name and President's Choice brand products, along with fresh food, in some locations to the pharmacy stores.
According to The Canadian Press, Loblaw and other Canadian retailers will benefit from Target's decision to close all its Canadian stores.
Loblaw Spokesman Kevin Groh told The Canadian Press that the company views competition in the Canadian grocery market "still heavy," but noted that the pace of retailers opening or building new stores has actually slowed compared to previous years.
Target's departure from the country has left a large amount of retail space, and this announcement signals that Loblaw intends to step in to fill that gap.
Stay tuned to AndNowUKnow for more updates on this continuing story.
