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illion, up by 2.1%. In July 2009, Tengelmann negotiated an investment agreement with Yucaipa<br />

Companies in the US, where the latter was able to boost its interest in the US supermarket chain,<br />

A&P, from 4.5% to 27.6%, leaving Tengelmann with a 38.6% interest in A&P. That capita<br />

investment, worth about $175 million, helped A&P. Tengelmann now is regrouping. In January<br />

2011, it purchased a 30% stake in Otto Gourmet GmbH, a mail order firm for meat and seafood<br />

products worldwide. Tengelmann also has directed its interests into new areas, purchasing ecommerce<br />

properties in fashions and baby products: Zalando.de, brands4friends.de, babymarkt.de,<br />

and yourtailor.de. Also, managing director and general partner Karl-Erian W. Haub is a<br />

co-owner of TEDi, a discount chain that was started in 2004. TEDi sells products (mostly general<br />

merchandise as well as cosmetics, laundry products and food items) at € 1 each. This chain, which<br />

locates its stores near Tengelmann outlets, has recently surpassed 1,000 units. UPDATE: In fiscal<br />

2011 (ending December 31), the group generated sales of € 10.78 billion +2.4% of which 32%<br />

was outside Germany. In total, the Group oversees 4,256 stores in 15 European countries.<br />

Procurement Contacts: The company deals with more than 5,500 suppliers. At headquarters,<br />

purchasing is controlled by H. Meier, Senior Executive for Purchasing; and Fritz Teelen, Senior<br />

Executive of Sales Operations<br />

WAKEFERN FOOD CORP. (WHOLESALE SERVICES DIVISION)<br />

600 York St., P.O. Box 506, Elizabeth, NJ 07207<br />

Tel: (908) 527-3300<br />

Fax: (908) 527-3397<br />

www.shoprite.com<br />

Total Fiscal 2011Sales: $12.8 Billion +8.5%; Wholesale Sales: $9.5 Billion<br />

Percentage of Sales in Exclusive Brands: 35%+ (E)<br />

Principal Business: Wakefern claims to be the largest retailer-owned cooperative in the US,<br />

supplying 230 member-owned ShopRite stores—by itself representing one of the largest<br />

supermarket chains in the Northeast. There are 47 members, who operate in six states: New Jersey,<br />

New York, Connecticut, Massachuettes, Pennsylvania, and Delaware. Through its ShopRite<br />

Supermarkets Inc. subsidiary, Wakefern operates 72 corporate owned ShopRite stores: 45<br />

PriceRite and 27 ShopRite. The PriceRite limited assortment grocery stores average 35,000 square<br />

feet and stocking some 500 products under the PriceRite brand) operate in five Northeast states. Its<br />

Wholesale Services Division, while primarily supplying products to the ShopRite chain, also<br />

offers assistance to domestic as well as international customers. All of its more than 3,000 private<br />

label products are available to companies outside the cooperative.

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