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News / Business

Haggen plans to close or sell 27 of its stores

The Columbian
Published: August 14, 2015, 5:00pm

BELLINGHAM — Bellingham-based Haggen is planning to close or sell 27 grocery stores as it works to streamline operations after making a huge acquisition earlier this year.

The grocer is closing 16 stores in California, five in Arizona, five in Oregon and one in Washington, according to a news release from the company. The Washington store affected by this announcement is in the Spanaway area of Pierce County. The Oregon stores that will close include two in Klamath Falls and one each in Tulatin, Grants Pass and Keizer.

The reason for the store reduction is to strengthen its competitive position, according to the news release. Most of the stores being closed or sold were acquired as part of the transaction in which Alberstons and Safeway divested 146 stores in order to complete a merger earlier this year.

“By making the tough choice to close and sell some stores, we will be able to invest in stores that have the potential to thrive under the Haggen banner,” said Haggen CEO Pacific Southwest Bill Shaner in the news release.

In recent weeks the company has experienced some challenges as it converted more than 100 stores to the Haggen banner, resulting in some employees layoffs in the Southwest region.

The stores slated to close or be closed will be in operation for 60 days.

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