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SUPERVALU Announces Agreement with Blackwells Capital

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Blackwells Agrees to Support All SUPERVALU Nominees at 2018 Annual
Meeting

SUPERVALU INC. (NYSE:SVU) today announced that it has entered into an
agreement with Blackwells Capital.

Pursuant to the terms of the agreement, Blackwells has agreed to
withdraw its director nominees and vote all of its shares in support of
SUPERVALU's full slate of directors at the Company's upcoming 2018
Annual Meeting of Stockholders, to be held on August 16, 2018.
Blackwells has also withdrawn its stockholder proposal to be considered
at the 2018 Annual Meeting and agreed to abide by certain customary
standstill provisions, which will be in effect until July 30, 2019.

"We are pleased to have reached this agreement with Blackwells, as we
may now dedicate our full attention to continuing to operate our
business and to completing the transaction with UNFI, which delivers a
substantial premium and immediate and certain value to our
stockholders," said Donald Chappel, Chairman of the Board.

The full agreement between SUPERVALU and Blackwells will be filed on a
Form 8-K with the U.S. Securities and Exchange Commission.

Barclays and Lazard are serving as financial advisors and Wachtell,
Lipton, Rosen & Katz is serving as legal advisor to SUPERVALU.

About SUPERVALU INC.
SUPERVALU INC. is one of the largest
grocery wholesalers and retailers in the U.S. with annual sales of
approximately $15 billion. SUPERVALU serves customers across the United
States through a network of 3,606 stores composed of 3,495 wholesale
primary stores operated by customers serviced by SUPERVALU's food
distribution business and 111 traditional retail grocery stores in
continuing operations operated under three retail banners in three
geographic regions (store counts as of June 16, 2018). Headquartered in
Minnesota, SUPERVALU has approximately 23,000 employees (in continuing
operations). For more information about SUPERVALU visit www.supervalu.com.

Forward Looking Statements

This communication contains "forward-looking statements" within the
meaning of the "safe harbor" provisions of the Private Securities
Litigation Reform Act of 1995. SUPERVALU's actual results may differ
from their expectations, estimates and projections and consequently, you
should not rely on these forward-looking statements as predictions of
future events. Words such as "expect," "estimate," "project," "budget,"
"forecast," "anticipate," "intend," "plan," "may," "will," "could,"
"should," "believes," "predicts," "potential," "might" and "continues,"
and similar expressions are intended to identify such forward-looking
statements. These forward-looking statements include, without
limitation, SUPERVALU's expectations with respect to future performance
and anticipated financial impacts of the business combination with UNFI,
the satisfaction of the closing conditions to the business combination
and the timing of the completion of the business combination. These
forward-looking statements involve significant risks and uncertainties
that could cause actual results to differ materially from expected
results. Most of these factors are outside SUPERVALU's control and are
difficult to predict. Factors that may cause such differences include,
but are not limited to: (1) the occurrence of any event, change or other
circumstances that could give rise to the termination of the merger
agreement relating to the proposed business combination; (2) the outcome
of any legal proceedings that may be instituted against UNFI or
SUPERVALU following the announcement of the merger agreement and the
transactions contemplated therein; (3) the inability to complete the
business combination, including due to failure to obtain approval of the
shareholders of SUPERVALU or other conditions to closing in the merger
agreement; (4) risks related to the financing of the transaction; (5)
the risk that the business combination disrupts current plans and
operations as a result of the announcement and consummation of the
business combination; (6) the ability to recognize the anticipated
benefits of the business combination, which may be affected by, among
other things, competition, the ability of the combined company to grow
and manage growth profitably and retain its key employees; (7) costs
related to the business combination; (8) risks related to the disruption
of the transaction to SUPERVALU and its management; (9) the effect of
announcement of the transaction on SUPERVALU's ability to retain and
hire key personnel and maintain relationships with customers, suppliers
and other third parties; and (10) other risks and uncertainties
identified in UNFI's and SUPERVALU's filings with the Securities and
Exchange Commission ("SEC"). More information about other potential
factors that could affect SUPERVALU's business and financial results is
included under the captions "Risk Factors" and "Management's Discussion
and Analysis of Financial Condition and Results of Operations" and
SUPERVALU's Report on Form 10-K for the fiscal year ended February 24,
2018, as amended, and any updates to those risk factors set forth in
UNFI's and SUPERVALU's Quarterly Reports on Form 10-Q, Current Reports
on Form 8-K and other filings, which have been filed with the SEC and
are available on the SEC's website at www.sec.gov.
The foregoing list of factors is not exclusive. SUPERVALU cautions
readers not to place undue reliance upon any forward-looking statements,
which speak only as of the date made. SUPERVALU does not undertake or
accept any obligation or undertaking to release publicly any updates or
revisions to any forward-looking statements to reflect any change in its
expectations or any change in events, conditions or circumstances on
which any such statement is based, other than as required by applicable
law.

Additional Information will be Filed with the SEC

SUPERVALU INC. (including any successor thereof, "SUPERVALU") plans to
file with the SEC a proxy statement in connection with the contemplated
transaction (the "Proxy Statement"), and SUPERVALU may file with the SEC
other documents regarding the proposed transaction. The definitive Proxy
Statement will be mailed to shareholders of SUPERVALU. SHAREHOLDERS OF
SUPERVALU ARE URGED TO READ THE PROXY STATEMENT REGARDING THE
TRANSACTION CAREFULLY AND IN ITS ENTIRETY WHEN IT BECOMES AVAILABLE AND
ANY OTHER DOCUMENTS FILED WITH THE SEC BY SUPERVALU, AS WELL AS ANY
AMENDMENTS OR SUPPLEMENTS TO THOSE DOCUMENTS, BECAUSE THEY WILL CONTAIN
IMPORTANT INFORMATION ABOUT THE PROPOSED TRANSACTION. Investors will be
able to obtain free copies of the Proxy Statement (when available) and
other documents filed with the SEC by SUPERVALU through the website
maintained by the SEC at www.sec.gov<http://www.sec.gov>.
Free copies of the Proxy Statement (when available) and other documents
filed with the SEC can also be obtained by directing a request to
SUPERVALU INC., Investor Relations, P.O. Box 990, Minneapolis, MN 55344.

Participants in the Solicitation

UNFI, SUPERVALU and their respective directors and certain of their
executive officers and employees may be deemed to be participants in the
solicitation of proxies from the shareholders of SUPERVALU in respect of
the proposed transaction. Information regarding SUPERVALU's directors
and executive officers is available in its proxy statement for its 2018
annual meeting of stockholders, which was filed with the SEC on July 2,
2018, and information regarding UNFI's directors and executive officers
is available in its proxy statement for its 2017 annual meeting of
stockholders, which was filed with the SEC on November 3, 2017.
Information regarding the persons who may, under the rules of the SEC,
be deemed participants in the proxy solicitation and a description of
their direct and indirect interests, by security holdings or otherwise,
will be contained in the Proxy and other relevant materials to be filed
with the SEC when they become available. Free copies of this document
may be obtained as described in the preceding paragraph.

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