Fall 2009

High hopes for Yucaipa and A&P

Union members look out for each other. Your union leadership works hard every day to ensure that your contracts are strong, your benefits are sound and that you are safe and respected at your workplace.

Beyond the day-to-day responsibilities of protecting your job, Local 152 also looks to the future. We keep a keen eye on the supermarket industry and the other industries we represent to make sure the companies we work with are healthy, especially in these tough economic times.

One encouraging development in recent months has been the hands-on approach with A&P supermarkets taken by The Yucaipa Companies, a private equity firm founded by billionaire investor Ronald Burkle. The firm purchased a large stake in the supermarket chain earlier this year, and it was a significant investment and a big risk to take on. Since then, A&P has parted ways with its CEO and Director of Labor Relations, both good signs to us.

Burkle and his colleagues wouldn't have taken that risk, however, if they didn't see a reward down the road. To that end, we hope that prosperity comes sooner than later, for the sake of our members and our union.

A&P was doomed before Yucaipa stepped up and took the reins. The firm's sizeable investment in the chain makes it clear that it is making a long-term commitment to the financial health of A&P. This means that the Pathmark and Super Fresh (both owned by A&P) locations where our members work will be in a good position to increase sales and become more competitive in a crowded sector of the marketplace.

A brighter future

The prosperity that Yucaipa is betting on will hopefully translate into more work hours for our members and expanded job opportunities.

We have faith that Yucaipa can turn the A&P brand around. Our early dealings with the firm so far have been positive, and we're cautiously optimistic that we'll be able to move forward on implementing new contracts for both Pathmark and Super Fresh members, who have been working under contract extensions for more than a year.

Optimism was not something we had while bargaining with A&P in the past. But we look forward to bringing our contract proposals to the bargaining table once again with a new set of players and finding a way to build a fair contract that improves our members' lives.

Local 152 members benefit from the success of the companies they work for. We hope Yucaipa continues to work diligently to improve the A&P name and strengthen its relationship with us so we will have more good news to share with you in the future.

Sincerely,

Brian String
President