Rainbow Foods to close one of its stores in Plymouth
- Blog Post by: John Ewoldt
- March 25, 2013 - 5:07 PM
Roundy's, the parent company of Rainbow Foods, will close its Plymouth store on Rockford Road on May 8, said a store employee who was asked to confirm the closing. This is in addition to the Robbinsdale store closing April 10 and The Forest Lake store that closed in January. Currently, the supermarket retailer has 31 locations in the Twin Cities area. The supermarket with the largest market share in the metro, Supervalu/ Cub Foods, has 61 stores.
According to Roundy's director of public affairs, Vivian King, the Plymouth store was profitable, but they lost their lease and a Kohl's will replace the supermarket. A representative from Kohl's would not confirm that the Wisconsin-based retailer was moving into the location.
Wisconsin-based supermarket analyst David Livingston said Rainbow and Cub Foods are suffering in a time of big change. "Cub and Rainbow are up to their eyeballs in debt," he said.
King said the company has found it challenging to control costs as the economy continues to impact families’ budgets.
When the Forest Lake location closed, 59 employees lost their jobs, according to the Minnesota Department of Employment and Economic Development.
© 2013 Star Tribune