Cerberus Institutional Partners V, L.P., AB Acquisition LLC, and Safeway Inc.; Analysis of Proposed Consent Order To Aid Public Comment, 5753-5758 [2015-01971]

Download as PDF Federal Register / Vol. 80, No. 22 / Tuesday, February 3, 2015 / Notices Stevenson, Alabama; (2) Bill Hall, Stevenson, Alabama; (3) Gena Hall Blackmon, Stevenson, Alabama; (4) Revocable Trust for Julia Ann Harris Hale, Holbert Leon Hale, Jr., and Julia Ann Harris Hale, as Trustees; all of Newnan, Georgia; (5) Revocable Trust for Holbert Leon Hale, Jr., Holbert Leon Hale, Jr., and Julia Ann Harris Hale, as Trustees, all of Newnan, Georgia; (6) Mona Hale Peterman, Raleigh, North Carolina; (7) Benjamin Peterman, Raleigh, North Carolina; (8) Matthew Peterman, Raleigh, North Carolina; (9) Jennifer Hale Dickerson, Mount Pleasant, South Carolina; (10) Stephen Dickerson, Mount Pleasant, South Carolina; and (11) Patricia Searels, Austin, Texas; to retain 10 percent or more of the outstanding shares of First Bancshares of Stevenson, Inc., and its subsidiary, First Southern State Bank, both of Stevenson, Alabama. Board of Governors of the Federal Reserve System, January 29, 2015. Michael J. Lewandowski, Associate Secretary of the Board. [FR Doc. 2015–02078 Filed 2–2–15; 8:45 am] BILLING CODE 6210–01–P FEDERAL TRADE COMMISSION [File No. 141 0108] Cerberus Institutional Partners V, L.P., AB Acquisition LLC, and Safeway Inc.; Analysis of Proposed Consent Order To Aid Public Comment Federal Trade Commission. Proposed Consent Agreement. AGENCY: ACTION: The consent agreement in this matter settles alleged violations of federal law prohibiting unfair methods of competition. The attached Analysis to Aid Public Comment describes both the allegations in the draft complaint and the terms of the consent order— embodied in the consent agreement— that would settle these allegations. DATES: Comments must be received on or before February 26, 2015. ADDRESSES: Interested parties may file a comment at https:// ftcpublic.commentworks.com/ftc/ albertsonssafewayconsent online or on paper, by following the instructions in the Request for Comment part of the SUPPLEMENTARY INFORMATION section below. Write ‘‘Albertson’s and Safeway Inc.,—Consent Agreement; File No. 141 0108’’ on your comment and file your comment online at https:// ftcpublic.commentworks.com/ftc/ albertsonssafewayconsent by following the instructions on the web-based form. If you prefer to file your comment on rljohnson on DSK3VPTVN1PROD with NOTICES SUMMARY: VerDate Sep<11>2014 14:46 Feb 02, 2015 Jkt 235001 paper, write ‘‘Albertson’s and Safeway Inc.,—Consent Agreement; File No. 141 0108’’ on your comment and on the envelope, and mail your comment to the following address: Federal Trade Commission, Office of the Secretary, 600 Pennsylvania Avenue NW., Suite CC–5610 (Annex D), Washington, DC 20580, or deliver your comment to the following address: Federal Trade Commission, Office of the Secretary, Constitution Center, 400 7th Street SW., 5th Floor, Suite 5610 (Annex D), Washington, DC 20024. FOR FURTHER INFORMATION CONTACT: Alexis Gilman, Bureau of Competition, (202–326–2579) or Dan Ducore, Bureau of Competition, (202–326–2526), 600 Pennsylvania Avenue NW., Washington, DC 20580. SUPPLEMENTARY INFORMATION: Pursuant to Section 6(f) of the Federal Trade Commission Act, 15 U.S.C. 46(f), and FTC Rule 2.34, 16 CFR 2.34, notice is hereby given that the above-captioned consent agreement containing consent order to cease and desist, having been filed with and accepted, subject to final approval, by the Commission, has been placed on the public record for a period of thirty (30) days. The following Analysis to Aid Public Comment describes the terms of the consent agreement, and the allegations in the complaint. An electronic copy of the full text of the consent agreement package can be obtained from the FTC Home Page (for January 27, 2015), on the World Wide Web, at http:// www.ftc.gov/os/actions.shtm. You can file a comment online or on paper. For the Commission to consider your comment, we must receive it on or before February 26, 2015. Write ‘‘Albertson’s and Safeway Inc.,— Consent Agreement; File No. 141 0108’’ on your comment. Your comment— including your name and your state— will be placed on the public record of this proceeding, including, to the extent practicable, on the public Commission Web site, at http://www.ftc.gov/os/ publiccomments.shtm. As a matter of discretion, the Commission tries to remove individuals’ home contact information from comments before placing them on the Commission Web site. Because your comment will be made public, you are solely responsible for making sure that your comment does not include any sensitive personal information, like anyone’s Social Security number, date of birth, driver’s license number or other state identification number or foreign country equivalent, passport number, financial account number, or credit or debit card PO 00000 Frm 00026 Fmt 4703 Sfmt 4703 5753 number. You are also solely responsible for making sure that your comment does not include any sensitive health information, like medical records or other individually identifiable health information. In addition, do not include any ‘‘[t]rade secret or any commercial or financial information which . . . is privileged or confidential,’’ as discussed in Section 6(f) of the FTC Act, 15 U.S.C. 46(f), and FTC Rule 4.10(a)(2), 16 CFR 4.10(a)(2). In particular, do not include competitively sensitive information such as costs, sales statistics, inventories, formulas, patterns, devices, manufacturing processes, or customer names. If you want the Commission to give your comment confidential treatment, you must file it in paper form, with a request for confidential treatment, and you have to follow the procedure explained in FTC Rule 4.9(c), 16 CFR 4.9(c).1 Your comment will be kept confidential only if the FTC General Counsel, in his or her sole discretion, grants your request in accordance with the law and the public interest. Postal mail addressed to the Commission is subject to delay due to heightened security screening. As a result, we encourage you to submit your comments online. To make sure that the Commission considers your online comment, you must file it at https:// ftcpublic.commentworks.com/ftc/ albertsonssafewayconsent by following the instructions on the web-based form. If this Notice appears at http:// www.regulations.gov/#!home, you also may file a comment through that Web site. If you file your comment on paper, write ‘‘Albertson’s and Safeway Inc.,— Consent Agreement; File No. 141 0108’’ on your comment and on the envelope, and mail your comment to the following address: Federal Trade Commission, Office of the Secretary, 600 Pennsylvania Avenue NW., Suite CC– 5610 (Annex D), Washington, DC 20580, or deliver your comment to the following address: Federal Trade Commission, Office of the Secretary, Constitution Center, 400 7th Street SW., 5th Floor, Suite 5610 (Annex D), Washington, DC 20024. If possible, submit your paper comment to the Commission by courier or overnight service. Visit the Commission Web site at http://www.ftc.gov to read this Notice and the news release describing it. The 1 In particular, the written request for confidential treatment that accompanies the comment must include the factual and legal basis for the request, and must identify the specific portions of the comment to be withheld from the public record. See FTC Rule 4.9(c), 16 CFR 4.9(c). E:\FR\FM\03FEN1.SGM 03FEN1 5754 Federal Register / Vol. 80, No. 22 / Tuesday, February 3, 2015 / Notices FTC Act and other laws that the Commission administers permit the collection of public comments to consider and use in this proceeding as appropriate. The Commission will consider all timely and responsive public comments that it receives on or before February 26, 2015. You can find more information, including routine uses permitted by the Privacy Act, in the Commission’s privacy policy, at http://www.ftc.gov/ftc/privacy.htm. Analysis of Agreement Containing Consent Order To Aid Public Comment rljohnson on DSK3VPTVN1PROD with NOTICES I. Introduction and Background The Federal Trade Commission (‘‘Commission’’) has accepted for public comment, subject to final approval, an Agreement Containing Consent Order (‘‘Consent Order’’) from Cerberus Institutional Partners V, L.P. (‘‘Cerberus’’), its wholly owned subsidiary, AB Acquisition, LLC (‘‘Albertson’s’’), and Safeway Inc. (‘‘Safeway’’) (collectively, the ‘‘Respondents’’). On March 6, 2014, Albertson’s and Safeway entered into a merger agreement whereby Albertson’s agreed to purchase 100% of the equity of Safeway for approximately $9.2 billion (the ‘‘Acquisition’’). The purpose of the proposed Consent Order is to remedy the anticompetitive effects that otherwise would result from the Acquisition. Under the terms of the proposed Consent Order, Respondents are required to divest 168 stores and related assets in 130 local supermarket geographic markets (collectively, the ‘‘relevant markets’’) in eight states to four Commission-approved buyers. The divestitures must be completed within a time-period ranging from 60 to 150 days following the date of the Acquisition. Finally, the Commission and Respondents have agreed to an Order to Maintain Assets that requires Respondents to operate and maintain each divestiture store in the normal course of business, through the date the store is ultimately divested to a buyer. The proposed Consent Order has been placed on the public record for 30 days to solicit comments from interested persons. Comments received during this period will become part of the public record. After 30 days, the Commission again will review the proposed Consent Order and any comments received, and decide whether it should withdraw the Consent Order, modify the Consent Order, or make it final. The Commission’s Complaint alleges that the Acquisition, if consummated, would violate Section 7 of the Clayton Act, as amended, 15 U.S.C. 18, and Section 5 of the Federal Trade VerDate Sep<11>2014 14:46 Feb 02, 2015 Jkt 235001 Commission Act, as amended, 15 U.S.C. 45, by removing an actual, direct, and substantial supermarket competitor in the 130 local supermarket geographic markets. The elimination of this competition would result in significant competitive harm; specifically the Acquisition will allow the combined entity to increase prices above competitive levels, unilaterally or by coordinating with remaining market participants. Similarly, absent a remedy, there is significant risk that the merged firm may decrease quality and service aspects of their stores below competitive levels. The proposed Consent Order would remedy the alleged violations by requiring divestitures to replace competition that otherwise would be lost in the relevant markets because of the Acquisition. The Respondents AB Acquisition, LLC, owned by New York-based private equity firm Cerberus Capital Management, L.P., is the parent company of Albertson’s LLC and New Albertson’s, Inc. (together ‘‘Albertson’s’’). As of March 19, 2014, Albertson’s LLC operated 630 supermarkets, primarily under its Albertson’s banner. Presently, Albertson’s stores are located in Arkansas, Arizona, California, Colorado, Florida, Idaho, Louisiana, Montana, Nevada, New Mexico, North Dakota, Oregon, Texas, Utah, Washington, and Wyoming. Albertson’s LLC also operates supermarkets in Texas under the Market Street, Amigos, and United Supermarkets banners. United Supermarkets is a traditional grocery store, while Market Street offers specialty and ‘‘whole-health’’ products, and Amigos has an international and Hispanic format. As of March 19, 2014, New Albertson’s, Inc., owned and operated 445 supermarkets under the Jewel-Osco, ACME, Shaw’s, and Star Market banners, dispersed throughout Iowa, Illinois, Indiana, Delaware, Maryland, Pennsylvania, New Jersey, Massachusetts, Maine, New Hampshire, Rhode Island, and Vermont. As of December 2013, Safeway owned 1,332 supermarkets, making it one of the largest food and drug retailers in the United States. Stores are operated under the Safeway banner in Alaska, Arizona, California, Colorado, District of Columbia, Delaware, Hawaii, Idaho, Maryland, Montana, Nebraska, Nevada, New Mexico, Oregon, South Dakota, Virginia, Washington, and Wyoming. Safeway also operates stores under the following banners: Pavilions, Pak ’n Save, and The Market in California; Randall’s and Tom Thumb in Texas; Genuardi’s in Pennsylvania; Vons in PO 00000 Frm 00027 Fmt 4703 Sfmt 4703 California and Nevada; and Carr’s in Alaska. Retail Sale of Food and Other Grocery Products In Supermarkets The Acquisition presents substantial antitrust concerns for the retail sale of food and other grocery products in supermarkets. Supermarkets are defined as traditional full-line retail grocery stores that sell, on a large-scale basis, food and non-food products that customers regularly consume at home— including, but not limited to, fresh meat, dairy products, frozen foods, beverages, bakery goods, dry groceries, detergents, and health and beauty products. This broad set of products and services provides a ‘‘one-stop shopping’’ experience for consumers by enabling them to shop in a single store for all of their food and grocery needs. The ability to offer consumers one-stop shopping is a critical differentiating factor between supermarkets and other food retailers. The relevant product market includes supermarkets within ‘‘hypermarkets,’’ such as Wal-Mart Supercenters. Hypermarkets also sell an array of products that would not be found in traditional supermarkets. However, hypermarkets, like conventional supermarkets, contain bakeries, delis, dairy, produce, fresh meat, and sufficient product offerings to enable customers to purchase all of their weekly grocery requirements in a single shopping visit. Other types of retailers—such as hard discounters, limited assortment stores, natural and organic markets, ethnic specialty stores, and club stores—also sell food and grocery items. These types of retailers, however, are not in the relevant product market because they offer a more limited range of products and services than supermarkets and because they appeal to a distinct customer type. Shoppers typically do not view these other food and grocery retailers as adequate substitutes for supermarkets.2 Further, although these other types of retailers offer some competition, supermarkets do not view them as providing as significant or close competition as traditional supermarkets. Thus, consistent with prior Commission precedent, these other types of retailers are excluded from the relevant product market.3 2 Supermarket shoppers would be unlikely to switch to one of these other types of retailers in response to a small but significant increase in price or ‘‘SSNIP’’ by a hypothetical supermarket monopolist. See U.S. DOJ and FTC Horizontal Merger Guidelines § 4.1.1 (2010). 3 See, e.g., Bi-Lo Holdings, LLC/Delhaize America, LLC, Docket C–4440 (February 25, 2014); AB Acquisition, LLC, Docket C–4424 (December 23, E:\FR\FM\03FEN1.SGM 03FEN1 Federal Register / Vol. 80, No. 22 / Tuesday, February 3, 2015 / Notices rljohnson on DSK3VPTVN1PROD with NOTICES The relevant geographic markets in which to analyze the effects of the Acquisition are areas that range from a two- to ten-mile radius around each of the Respondents’ supermarkets, depending on factors such as population density, traffic patterns, and unique characteristics of each market. Where the Respondents’ supermarkets are located in rural, isolated areas, the relevant geographic areas are larger than areas where the Respondents’ supermarkets are located in more densely populated suburban areas. A hypothetical monopolist of the retail sale of food and grocery products in supermarkets in each relevant area could profitably impose a small but significant non-transitory increase in price. The 130 geographic markets in which to analyze the effects of the Acquisition are local areas in and around: (1) Anthem, Arizona; (2) Carefree, Arizona; (3) Flagstaff, Arizona; (4) Lake Havasu, Arizona; (5) Prescott, Arizona; (6) Prescott Valley, Arizona; (7) Scottsdale, Arizona; (8) Tucson (Eastern), Arizona; (9) Tucson (Southwest), Arizona; (10) Alpine, California; (11) Arroyo Grande/ Grover Beach, California; (12) Atascadero, California; (13) Bakersfield, California; (14) Burbank, California; (15) Calabasas, California; (16) Camarillo, California; (17) Carlsbad (North), California; (18) Carlsbad (South), California; (19) Carpinteria, California; (20) Cheviot Hills/Culver City, California; (21) Chino Hills, California; (22) Coronado, California; (23) Diamond Bar, California; (24) El Cajon, California; (25) Hermosa Beach, California; (26) Imperial Beach, California; (27) La Jolla, California; (28) La Mesa, California; (29) Ladera Ranch, California; (30) Laguna Beach, California; (31) Laguna Niguel, California; (32) Lakewood, California; (33) Lemon Grove, California; (34) Lomita, California; (35) Lompoc, California; (36) Mira Mesa (North), California; (37) Mira Mesa (South), California; (38) Mission Viejo/Laguna Hills, California; (39) Mission Viejo (North), California; (40) Morro Bay, 2013); Konkinlijke Ahold N.V./Safeway Inc., Docket C–4367 (August 17, 2012); Shaw’s/Star Markets, Docket C–3934 (June 28, 1999); Kroger/Fred Meyer, Docket C–3917 (January 10, 2000); Albertson’s/ American Stores, Docket C–3986 (June 22, 1999); Ahold/Giant, Docket C–3861 (April 5, 1999); Albertson’s/Buttrey, Docket C–3838 (December 8, 1998); Jitney-Jungle Stores of America, Inc., Docket C–3784 (January 30, 1998). But see Wal-Mart/ Supermercados Amigo, Docket C–4066 (November 21, 2002) (the Commission’s complaint alleged that in Puerto Rico, club stores should be included in a product market that included supermarkets because club stores in Puerto Rico enabled consumers to purchase substantially all of their weekly food and grocery requirements in a single shopping visit). VerDate Sep<11>2014 14:46 Feb 02, 2015 Jkt 235001 California; (41) National City, California; (42) Newbury, California; (43) Newport, California; (44) Oxnard, California; (45) Palm Desert/Rancho Mirage, California; (46) Palmdale, California; (47) Paso Robles, California; (48) Poway, California; (49) Rancho Cucamonga/ Upland, California; (50) Rancho Santa Margarita, California; (51) San Diego (Clairemont), California; (52) San Diego (Hillcrest/University Heights), California; (53) San Diego (Tierrasanta), California; (54) San Luis Obispo, California; (55) San Marcos, California; (56) San Pedro, California; (57) Santa Barbara, California; (58) Santa Barbara/ Goleta, California; (59) Santa Clarita, California; (60) Santa Monica, California; (61) Santee, California; (62) Simi Valley, California; (63) Solana Beach, California; (64) Thousand Oaks, California; (65) Tujunga, California; (66) Tustin (Central), California; (67) Tustin/ Irvine, California; (68) Ventura, California; (69) Westlake Village, California; (70) Yorba Linda, California; (71) Butte, Montana; (72) Deer Lodge, Montana; (73) Missoula, Montana; (74) Boulder City, Nevada; (75) Henderson, (East), Nevada; (76) Henderson (Southwest), Nevada; (77) Summerlin, Nevada; (78) Ashland, Oregon; (79) Baker County, Oregon; (80) Bend, Oregon; (81) Eugene, Oregon; (82) Grants Pass, Oregon; (83) Happy Valley/ Clackamas, Oregon; (84) Keizer, Oregon; (85) Klamath Falls, Oregon; (86) Lake Oswego, Oregon; (87) Milwaukie, Oregon; (88) Sherwood, Oregon; (89) Springfield, Oregon; (90) Tigard, Oregon; (91) West Linn, Oregon; (92) Colleyville, Texas; (93) Dallas (Far North), Texas; (94) Dallas (Farmers/ Branch/North Dallas), Texas; (95) Dallas (University Park/Highland Park), Texas; (96) Dallas (University Park/Northeast), Texas; (97) McKinney, Texas; (98) Plano, Texas; (99) Roanoke, Texas; (100) Rowlett, Texas; (101) Bremerton, Washington; (102) Burien, Washington; (103) Everett, Washington; (104) Federal Way, Washington; (105) Gig Harbor, Washington; (106) Lake Forest Park, Washington; (107) Lake Stevens, Washington; (108) Lakewood, Washington; (109) Liberty Lake, Washington; (110) Milton, Washington; (111) Monroe, Washington; (112) Oak Harbor, Washington; (113) Olympia (East), Washington; (114) Port Angeles, Washington; (115) Port Orchard, Washington; (116) Puyallup, Washington; (117) Renton (East HillMeridian), Washington; (118) Renton (New Castle), Washington; (119) Sammamish, Washington; (120) Shoreline, Washington; (121) Silverdale, Washington; (122) Snohomish, PO 00000 Frm 00028 Fmt 4703 Sfmt 4703 5755 Washington; (123) Tacoma (Eastside), Washington; (124) Tacoma (Spanaway), Washington; (125) Walla Walla, Washington; (126) Wenatchee, Washington; (127) Woodinville, Washington; (128) Casper, Wyoming; (129) Laramie, Wyoming; and (130) Sheridan, Wyoming. Each of the relevant geographic markets is highly concentrated and the Acquisition would significantly increase market concentration and eliminate substantial direct competition between two significant supermarket operators. The post-Acquisition HHI levels in the relevant markets vary from 2,562 to 10,000 points, and the HHI deltas vary from 225 to 5,000 points. Under the 2010 Department of Justice and Federal Trade Commission Horizontal Merger Guidelines (‘‘Merger Guidelines’’), an acquisition that results in an HHI in excess of 2,500 points and increases the HHI by more than 200 points is presumed anticompetitive. Thus, the presumptions of illegality and anticompetitive effects are easily met, and often far exceeded, in the relevant geographic markets at issue. The relevant markets are also highly concentrated in terms of the number of remaining market participants postAcquisition. Of the 130 geographic markets, the acquisition will result in a merger-to-monopoly in 13 markets and a merger-to-duopoly in 42 markets. In the remaining markets, the Acquisition will reduce the number of market participants from four to three in 43 markets, five to four in 27 markets, and six to five in five markets.4 The anticompetitive implications of such significant increases in market concentration are reinforced by substantial evidence demonstrating that Albertson’s and Safeway are close and vigorous competitors in terms of price, format, service, product offerings, promotional activity, and location in each of the relevant geographic markets. Absent relief, the Acquisition would eliminate significant head-to-head competition between Albertson’s and Safeway and would increase the ability and incentive of Albertson’s to raise prices unilaterally post-Acquisition. The Acquisition would also decrease incentives to compete on non-price factors, such as service levels, convenience, and quality. Lastly, the high levels of concentration also increase the likelihood of competitive harm through coordinated interaction in markets in which Albertson’s will face only one other traditional supermarket competitor post-Acquisition. Given the transparency of pricing and promotional 4 See E:\FR\FM\03FEN1.SGM Exhibit A. 03FEN1 5756 Federal Register / Vol. 80, No. 22 / Tuesday, February 3, 2015 / Notices practices among supermarkets and that supermarkets ‘‘price check’’ competitors in the ordinary course of business, the Acquisition increases the possibility that Albertson’s and its remaining competitor could simply follow each other’s price increases post-Acquisition. New entry or expansion in the relevant markets is unlikely to deter or counteract the anticompetitive effects of the Acquisition. Moreover, even if a prospective entrant existed, the entrant must secure a viable location, obtain the necessary permits and governmental approvals, build its retail establishment or renovate an existing building, and open to customers before it could begin operating and serve as a relevant competitive constraint. As a result, new entry sufficient to achieve a significant market impact and act as a competitive constraint is unlikely to occur in a timely manner. The Proposed Consent Order The proposed remedy, which requires the divestiture of Albertson’s or Safeway supermarkets in the relevant markets to four Commission-approved up-front buyers (the ‘‘proposed buyers’’) will restore fully the competition that otherwise would be eliminated in these markets as a result of the Acquisition. Specifically, Respondents have agreed to divest: • 146 stores and related assets in Arizona, California, Nevada, Oregon, and Washington to Haggen, Inc. (‘‘Haggen’’); • Two stores in Washington to Supervalu, Inc. (‘‘Supervalu’’); • 12 stores and related assets in Texas to Associated Wholesale Grocers (‘‘AWG’’); and • Eight stores and related assets in Montana and Wyoming to Associated Food Stores (‘‘Associated’’). The proposed buyers appear to be highly suitable purchasers and are well positioned to enter the relevant geographic markets and prevent the increase in market concentration and likely competitive harm that otherwise would have resulted from the Acquisition. The supermarkets currently owned by any of the proposed buyers are all located outside the relevant geographic markets in which they are purchasing divested stores. Haggen is a regional supermarket chain with 18 supermarkets in Washington and Oregon. Haggen will purchase all but two of the divested stores in Washington, because Haggen already operates stores in those two geographic markets. Supervalu will purchase the two stores in Washington that Haggen is not purchasing. Supervalu is a wholesale distributor that also operates 190 corporate-owned supermarkets and previously owned these two Washington stores. AWG is a member-owned cooperative grocery wholesaler supplying nearly 3,000 supermarkets in 33 states. Although AWG does not currently own or operate any supermarkets, AWG has owned and operated corporate-owned supermarkets in the past. Finally, Associated is a member-owned cooperative grocery wholesaler that supplies and operates retail supermarkets. Associated’s members operate approximately 424 grocery stores in ten states, and the cooperative, through a subsidiary, owns and operates 43 corporate-owned supermarkets located in Utah and Nevada. It is expected that AWG will assign its operating rights in the 12 Texas stores it is acquiring to RLS Supermarkets, LLC (d/b/a Minyard Food Stores) and that Associated will assign its rights in the eight Montana and Wyoming stores it is acquiring to Missoula Fresh Market LLC, Ridley’s Family Markets, Inc., and Stokes Inc. The Proposed Consent Order requires Respondents to divest: (a) The Arizona, California, Nevada, Oregon, and Washington assets to Haggen within 150 days from the date of the Acquisition; (b) the two stores in Washington to Supervalu within 100 days of the date of the Acquisition; (c) the Texas assets to AWG within 60 days of the date of the Acquisition; and (d) the Montana and Wyoming assets to Associated within 60 days of the date of the Acquisition. If, at the time before the Proposed Consent Order is made final, the Commission determines that any of the proposed buyers are not acceptable buyers, Respondents must immediately rescind the divestiture(s) and divest the assets to a different buyer that receives the Commission’s prior approval. The proposed Consent Order contains additional provisions designed to ensure the adequacy of the proposed relief. For example, Respondents have agreed to an Order to Maintain Assets that will be issued at the time the Proposed Consent Order is accepted for public comment. The Order to Maintain Assets requires Albertson’s and Safeway to operate and maintain each divestiture store in the normal course of business, through the date the store is ultimately divested to a buyer. Since the divestiture schedule runs for an extended period of time (potentially up to 150 days following the Acquisition date), the Proposed Consent Order appoints Richard King as a Monitor to oversee the Respondents’ compliance with the requirements of the Proposed Consent Order and Order to Maintain Assets. Mr. King has the experience and skill-set to be an effective Monitor, no identifiable conflicts, and sufficient time to dedicate to this matter through its conclusion. Lastly, for a period of ten years, Albertson’s is required to give the Commission prior notice of plans to acquire any interest in a supermarket that has operated or is operating in the counties included in the relevant markets. * * * The sole purpose of this Analysis is to facilitate public comment on the proposed Consent Order. This Analysis does not constitute an official interpretation of the proposed Consent Order, nor does it modify its terms in any way. EXHIBIT A rljohnson on DSK3VPTVN1PROD with NOTICES Area number City 1 ........... 2 ........... 3 ........... 4 ........... 5 ........... 6 ........... 7 ........... 8 ........... 9 ........... 10 ......... 11 ......... 12 ......... Anthem ........................................... Carefree ......................................... Flagstaff ......................................... Lake Havasu .................................. Prescott .......................................... Prescott Valley ............................... Scottsdale ...................................... Tucson (Eastern) ........................... Tucson (Southwest) ....................... Alpine ............................................. Arroyo Grande/Grover Beach ........ Atascadero ..................................... VerDate Sep<11>2014 14:46 Feb 02, 2015 State Jkt 235001 PO 00000 AZ AZ AZ AZ AZ AZ AZ AZ AZ CA CA CA Merger result 4 5 5 4 4 4 3 4 5 3 3 3 Frm 00029 to to to to to to to to to to to to 3 4 4 3 3 3 2 3 4 2 2 2 .... .... .... .... .... .... .... .... .... .... .... .... Fmt 4703 HHI (pre) 2768 2298 2744 2609 2675 2828 3797 3341 2018 3857 3690 3456 Sfmt 4703 HHI (post) 3423 2976 3365 3401 3405 3340 5001 4130 2909 5002 6864 6242 Delta Divested store(s) 655 678 621 792 730 512 1204 789 891 1145 3174 2786 E:\FR\FM\03FEN1.SGM SFY 1726. ALB 979. ALB 967. ALB 1027. ALB 953. ALB 965. ALB 983. SFY 234 & 2611. ALB 972. SFY 2333. ALB 6304. ALB 6390. 03FEN1 5757 Federal Register / Vol. 80, No. 22 / Tuesday, February 3, 2015 / Notices EXHIBIT A—Continued Area number rljohnson on DSK3VPTVN1PROD with NOTICES 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... 53 54 55 56 57 58 59 60 61 62 63 64 65 66 67 68 69 70 71 72 73 74 75 76 77 78 79 80 81 82 ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... City State Bakersfield ..................................... Burbank .......................................... Calabasas ...................................... Camarillo ........................................ Carlsbad (North) ............................ Carlsbad (South) ............................ Carpinteria ...................................... Cheviot Hills/Culver City ................ Chino Hills ...................................... Coronado Island ............................. Diamond Bar .................................. El Cajon ......................................... Hermosa Beach ............................. Imperial Beach ............................... La Jolla ........................................... La Mesa ......................................... Ladera Ranch ................................ Laguna Beach ................................ Laguna Niguel ................................ Lakewood ....................................... Lemon Grove ................................. Lomita ............................................ Lompoc .......................................... Mira Mesa (North) .......................... Mira Mesa (South) ......................... Mission Viejo/Laguna Hills ............. Mission Viejo (North) ..................... Morro Bay ...................................... National City ................................... Newbury Park ................................ Newport Beach .............................. Oxnard ........................................... Palm Desert/Rancho Mirage .......... Palmdale ........................................ Paso Robles ................................... Poway ............................................ Rancho Cucamonga/Upland .......... Rancho Santa Margarita ................ San Diego (Clairemont) ................. San Diego (Hillcrest/University Heights). San Diego, CA (Tierrasanta) ......... San Luis Obispo ............................ San Marcos .................................... San Pedro ...................................... Santa Barbara ................................ Santa Barbara/Goleta .................... Santa Clarita .................................. Santa Monica ................................. Santee ............................................ Simi Valley ..................................... Solana Beach ................................. Thousand Oaks .............................. Tujunga .......................................... Tustin (central) ............................... Tustin/Irvine .................................... Ventura ........................................... Westlake Village ............................ Yorba Linda .................................... Butte ............................................... Deer Lodge .................................... Missoula ......................................... Boulder City ................................... Henderson (East) ........................... Henderson (Southwest) ................. Summerlin ...................................... Ashland .......................................... Baker County ................................. Bend ............................................... Eugene ........................................... Grants Pass ................................... VerDate Sep<11>2014 14:46 Feb 02, 2015 Jkt 235001 PO 00000 Merger result HHI (pre) HHI (post) Delta Divested store(s) CA CA CA CA CA CA CA CA CA CA CA CA CA CA CA CA CA CA CA CA CA CA CA CA CA CA CA CA CA CA CA CA CA CA CA CA CA CA CA CA 6 3 3 5 4 5 2 4 4 2 3 4 5 2 3 3 2 3 4 6 3 3 4 5 2 4 3 5 3 3 5 4 6 4 4 4 4 4 3 3 to to to to to to to to to to to to to to to to to to to to to to to to to to to to to to to to to to to to to to to to 5 2 2 4 3 4 1 3 3 1 2 3 4 1 2 2 1 2 3 5 2 2 3 4 1 3 2 4 2 2 4 3 5 3 3 3 3 3 2 2 .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... 1923 4199 3400 2950 2977 2209 5012 2394 3596 5025 4466 2983 2752 5869 5505 3382 5081 3335 3190 2073 3581 3695 2566 2412 6904 3157 3933 2965 3748 3629 3160 2939 2196 3056 2851 2540 3266 2628 4066 4436 2562 5011 5415 4215 3888 3210 10,000 3914 4047 10,000 5231 3597 4371 10,000 7083 5997 10,000 5799 3883 2581 6059 5040 3713 3808 10,000 3784 5012 4056 5013 5833 3811 3375 3094 4039 5427 3526 4118 4300 6374 6571 639 812 2015 1265 911 1001 4988 1520 451 4975 765 614 1619 4131 1578 2615 4919 2464 693 508 2478 1345 1147 1396 3096 627 1079 1091 1265 2204 651 436 898 983 2576 986 852 1672 2308 2135 ALB 6323, 6325 & 6379. ALB 6315. SFY 2031. ALB 6385. ALB 6701. ALB 6720. SFY 2425. ALB 6168 & 6169. SFY 2597. ALB 6747. SFY 2062. ALB 6771. ALB 6127, 6138, 6153 & 6189. ALB 6228. ALB 6788. SFY 2064 & 2137. SFY 2703. ALB 6575. SFY 1676. ALB 6154. SFY 2365. ALB 6107. ALB 6339. ALB 6742 & 6772. ALB 6770. ALB 6517. SFY 1670. SFY 2312. SFY 2006, 2336 & 3063. SFY 1793. ALB 6504. ALB 6217. SFY 2383 & 3218. ALB 6329. SFY 2317. ALB 6741 & 6763. ALB 6523 & 6589. ALB 6521. ALB 6781. ALB 6714 & 6715. CA CA CA CA CA CA CA CA CA CA CA CA CA CA CA CA CA CA MT MT MT NV NV NV NV OR OR OR OR OR 2 4 3 3 4 3 4 4 3 5 3 3 3 4 4 4 5 4 3 2 4 2 4 3 4 2 2 6 5 4 to to to to to to to to to to to to to to to to to to to to to to to to to to to to to to 1 3 2 2 3 2 3 3 2 4 2 2 2 3 3 3 4 3 2 1 3 1 3 2 3 1 1 5 4 3 .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... 5586 2896 5991 3518 2741 3909 2646 3293 3477 3633 3830 4057 3688 3474 3939 2732 1955 2803 4701 5000 3107 5051 2705 3653 3107 5013 5102 2632 2392 2769 10,000 5306 6282 6442 3462 7469 3732 4879 6133 7101 6188 6047 3969 4348 4485 3550 3563 4588 5189 10,000 4063 10,000 3356 5042 4367 10,000 10,000 3824 3414 3537 4414 2410 291 2924 721 3560 1086 1586 2656 3468 2358 1990 281 874 546 818 1608 1785 488 5000 956 4949 651 1389 1260 4987 4898 1192 1022 768 ALB 6760. ALB 6372 & 6409. SFY 2174. ALB 6160 & 6164. ALB 6351 & 6352. SFY 2048 & 2691. SFY 1669 & 1961. ALB 6162. ALB 6727. ALB 6317 & 6363; SFY 2163. ALB 6702. ALB 6369. ALB 6397. SFY 2146 & 2324. SFY 2822. ALB 6318. ALB 6388. ALB 6510. ALB 2007. SFY 3256. SFY 1573 & 2619. SFY 2391. ALB 6014 & 6019. ALB 6028. SFY 1688, 2392 & 2395. SFY 4292. ALB 261. ALB 587 & 588. ALB 507 & 568. ALB 501 & 537. Frm 00030 Fmt 4703 Sfmt 4703 E:\FR\FM\03FEN1.SGM 03FEN1 5758 Federal Register / Vol. 80, No. 22 / Tuesday, February 3, 2015 / Notices EXHIBIT A—Continued Area number 83 84 85 86 87 88 89 90 91 92 93 94 ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... ......... 95 ......... 96 ......... 97 ......... 98 ......... 99 ......... 100 ....... 101 ....... 102 ....... 103 ....... 104 ....... 105 ....... 106 ....... 107 ....... 108 ....... 109 ....... 110 ....... 111 ....... 112 ....... 113 ....... 114 ....... 115 ....... 116 ....... 117 ....... 118 ....... 119 ....... 120 ....... 121 ....... 122 ....... 123 ....... 124 ....... 125 ....... 126 ....... 127 ....... 128 ....... 129 ....... 130 ....... City State Happy Valley/Clackamas ............... Keizer ............................................. Klamath Falls ................................. Lake Oswego ................................. Milwaukie ....................................... Sherwood ....................................... Springfield ...................................... Tigard ............................................. West Linn ....................................... Colleyville ....................................... Dallas (Far North) .......................... Dallas (Farmers Branch/North Dallas). Dallas (University Park/Highland Park). Dallas (University Park/Northeast Dallas). McKinney ....................................... Plano .............................................. Roanoke ......................................... Rowlett ........................................... Bremerton ...................................... Burien ............................................. Everett ............................................ Federal Way ................................... Gig Harbor ..................................... Lake Forest Park ........................... Lake Stevens ................................. Lakewood ....................................... Liberty Lake ................................... Milton .............................................. Monroe ........................................... Oak Harbor .................................... Olympia (East) ............................... Port Angeles .................................. Port Orchard .................................. Puyallup ......................................... Renton (East Hill-Meridian) ............ Renton (New Castle) ..................... Sammamish ................................... Shoreline ........................................ Silverdale ....................................... Snohomish ..................................... Tacoma (Eastside) ......................... Tacoma (Spanaway) ...................... Walla Walla .................................... Wenatchee ..................................... Woodinville ..................................... Casper ............................................ Laramie .......................................... Sheridan ......................................... Merger result to to to to to to to to to to to to HHI (post) .... .... .... .... .... .... .... .... .... .... .... .... 5006 2852 2511 3176 5729 3989 4400 2261 3611 2686 2413 3746 10,000 3367 2917 5604 6082 5028 5197 2984 6268 3465 2891 5175 4994 515 406 2428 353 1039 797 723 2657 779 478 1429 ALB 503. ALB 562. SFY 1766 & 4395. ALB 521. ALB 566. ALB 579. SFY 311. ALB 559, 565 & 576. ALB 506. SFY 3555 & 3576. ALB 4140. ALB 4182. TX 4 to 3 .... 2755 4261 1506 ALB 4134 & 4168. TX 5 to 4 .... 2345 3065 720 ALB 4132 & 4297. TX TX TX TX WA WA WA WA WA WA WA WA WA WA WA WA WA WA WA WA WA WA WA WA WA WA WA WA WA WA WA WY WY WY 5 4 3 3 4 5 5 5 3 5 5 5 3 3 4 3 6 3 4 3 4 4 2 4 4 2 4 5 5 3 3 4 3 3 2692 3105 4680 3386 2721 1979 2301 2312 3396 3889 2646 2333 3483 3960 2911 4296 2205 3773 2747 4160 3304 4417 5761 3792 2845 5595 3260 2707 2624 3744 3568 3816 3793 4802 3613 3541 5351 5450 3399 4489 2586 2709 5235 4352 3455 3170 5090 5010 3352 6446 2566 5588 3362 5072 3719 5274 10,000 4017 3516 10,000 3727 3360 3417 5047 5192 4353 5000 5421 921 436 671 2064 678 2510 285 397 1839 463 809 837 1607 1050 441 2150 361 1815 615 912 415 857 4239 225 671 4405 467 653 793 1303 1624 537 1207 619 SFY 3573. SFY 2568. ALB 4149. ALB 4197. ALB 443. ALB 411 & 473. SFY 517. ALB 496. SFY 2949. ALB 425. ALB 477. ALB 465. SFY 1741. ALB 472. ALB 476. SFY 3518. ALB 415. ALB 404. SFY 1082. ALB 468. ALB 470. SFY 1468. ALB 403. SFY 442. ALB 492. ALB 401. ALB 498. SFY 551. ALB 225. ALB 244. ALB 459. SFY 433 & 2468. ALB 2063. SFY 2664. 4 3 2 2 3 4 4 4 2 4 4 4 2 2 3 2 5 2 3 2 3 3 1 3 3 1 3 4 4 2 2 3 2 2 .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... .... GENERAL SERVICES ADMINISTRATION [FR Doc. 2015–01971 Filed 2–2–15; 8:45 am] [Notice–CECANF–2015–01; Docket No. 2015–0004; Sequence No. 1] rljohnson on DSK3VPTVN1PROD with NOTICES Commission To Eliminate Child Abuse and Neglect Fatalities; Announcement of Meeting Commission To Eliminate Child Abuse and Neglect Fatalities. ACTION: Meeting notice. AGENCY: The Commission to Eliminate Child Abuse and Neglect Fatalities SUMMARY: VerDate Sep<11>2014 14:46 Feb 02, 2015 Jkt 235001 Divested store(s) 2 5 5 4 3 3 3 5 3 5 5 4 By direction of the Commission. Donald S. Clark, Secretary. BILLING CODE 6750–01–P Delta OR OR OR OR OR OR OR OR OR TX TX TX to to to to to to to to to to to to to to to to to to to to to to to to to to to to to to to to to to 1 4 4 3 2 2 2 4 2 4 4 3 HHI (pre) PO 00000 Frm 00031 Fmt 4703 Sfmt 4703 (CECANF), a Federal Advisory Committee established by the Protect Our Kids Act of 2012, Public Law 112– 275, will hold a meeting open to the public on Thursday, February 26, 2015 and Friday, February 27, 2015 in Portland, Oregon. DATES: The meetings will be held on Thursday, February 26, 2015, from 8:00 a.m. to 5:30 p.m., and Friday, February 27, 2015 from 8:00 a.m. to 12:30 p.m. Pacific Standard Time. ADDRESSES: CECANF will convene its meeting at the Marriott City Center, 520 SW Broadway, Portland, Oregon 97205. E:\FR\FM\03FEN1.SGM 03FEN1

Agencies

[Federal Register Volume 80, Number 22 (Tuesday, February 3, 2015)]
[Notices]
[Pages 5753-5758]
From the Federal Register Online via the Government Printing Office [www.gpo.gov]
[FR Doc No: 2015-01971]


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FEDERAL TRADE COMMISSION

[File No. 141 0108]


Cerberus Institutional Partners V, L.P., AB Acquisition LLC, and 
Safeway Inc.; Analysis of Proposed Consent Order To Aid Public Comment

AGENCY: Federal Trade Commission.

ACTION: Proposed Consent Agreement.

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SUMMARY: The consent agreement in this matter settles alleged 
violations of federal law prohibiting unfair methods of competition. 
The attached Analysis to Aid Public Comment describes both the 
allegations in the draft complaint and the terms of the consent order--
embodied in the consent agreement--that would settle these allegations.

DATES: Comments must be received on or before February 26, 2015.

ADDRESSES: Interested parties may file a comment at https://ftcpublic.commentworks.com/ftc/albertsonssafewayconsent online or on 
paper, by following the instructions in the Request for Comment part of 
the SUPPLEMENTARY INFORMATION section below. Write ``Albertson's and 
Safeway Inc.,--Consent Agreement; File No. 141 0108'' on your comment 
and file your comment online at https://ftcpublic.commentworks.com/ftc/albertsonssafewayconsent by following the instructions on the web-based 
form. If you prefer to file your comment on paper, write ``Albertson's 
and Safeway Inc.,--Consent Agreement; File No. 141 0108'' on your 
comment and on the envelope, and mail your comment to the following 
address: Federal Trade Commission, Office of the Secretary, 600 
Pennsylvania Avenue NW., Suite CC-5610 (Annex D), Washington, DC 20580, 
or deliver your comment to the following address: Federal Trade 
Commission, Office of the Secretary, Constitution Center, 400 7th 
Street SW., 5th Floor, Suite 5610 (Annex D), Washington, DC 20024.

FOR FURTHER INFORMATION CONTACT: Alexis Gilman, Bureau of Competition, 
(202-326-2579) or Dan Ducore, Bureau of Competition, (202-326-2526), 
600 Pennsylvania Avenue NW., Washington, DC 20580.

SUPPLEMENTARY INFORMATION: Pursuant to Section 6(f) of the Federal 
Trade Commission Act, 15 U.S.C. 46(f), and FTC Rule 2.34, 16 CFR 2.34, 
notice is hereby given that the above-captioned consent agreement 
containing consent order to cease and desist, having been filed with 
and accepted, subject to final approval, by the Commission, has been 
placed on the public record for a period of thirty (30) days. The 
following Analysis to Aid Public Comment describes the terms of the 
consent agreement, and the allegations in the complaint. An electronic 
copy of the full text of the consent agreement package can be obtained 
from the FTC Home Page (for January 27, 2015), on the World Wide Web, 
at http://www.ftc.gov/os/actions.shtm.
    You can file a comment online or on paper. For the Commission to 
consider your comment, we must receive it on or before February 26, 
2015. Write ``Albertson's and Safeway Inc.,--Consent Agreement; File 
No. 141 0108'' on your comment. Your comment--including your name and 
your state--will be placed on the public record of this proceeding, 
including, to the extent practicable, on the public Commission Web 
site, at http://www.ftc.gov/os/publiccomments.shtm. As a matter of 
discretion, the Commission tries to remove individuals' home contact 
information from comments before placing them on the Commission Web 
site.
    Because your comment will be made public, you are solely 
responsible for making sure that your comment does not include any 
sensitive personal information, like anyone's Social Security number, 
date of birth, driver's license number or other state identification 
number or foreign country equivalent, passport number, financial 
account number, or credit or debit card number. You are also solely 
responsible for making sure that your comment does not include any 
sensitive health information, like medical records or other 
individually identifiable health information. In addition, do not 
include any ``[t]rade secret or any commercial or financial information 
which . . . is privileged or confidential,'' as discussed in Section 
6(f) of the FTC Act, 15 U.S.C. 46(f), and FTC Rule 4.10(a)(2), 16 CFR 
4.10(a)(2). In particular, do not include competitively sensitive 
information such as costs, sales statistics, inventories, formulas, 
patterns, devices, manufacturing processes, or customer names.
    If you want the Commission to give your comment confidential 
treatment, you must file it in paper form, with a request for 
confidential treatment, and you have to follow the procedure explained 
in FTC Rule 4.9(c), 16 CFR 4.9(c).\1\ Your comment will be kept 
confidential only if the FTC General Counsel, in his or her sole 
discretion, grants your request in accordance with the law and the 
public interest.
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    \1\ In particular, the written request for confidential 
treatment that accompanies the comment must include the factual and 
legal basis for the request, and must identify the specific portions 
of the comment to be withheld from the public record. See FTC Rule 
4.9(c), 16 CFR 4.9(c).
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    Postal mail addressed to the Commission is subject to delay due to 
heightened security screening. As a result, we encourage you to submit 
your comments online. To make sure that the Commission considers your 
online comment, you must file it at https://ftcpublic.commentworks.com/ftc/albertsonssafewayconsent by following the instructions on the web-
based form. If this Notice appears at http://www.regulations.gov/#!home, you also may file a comment through that Web site.
    If you file your comment on paper, write ``Albertson's and Safeway 
Inc.,--Consent Agreement; File No. 141 0108'' on your comment and on 
the envelope, and mail your comment to the following address: Federal 
Trade Commission, Office of the Secretary, 600 Pennsylvania Avenue NW., 
Suite CC-5610 (Annex D), Washington, DC 20580, or deliver your comment 
to the following address: Federal Trade Commission, Office of the 
Secretary, Constitution Center, 400 7th Street SW., 5th Floor, Suite 
5610 (Annex D), Washington, DC 20024. If possible, submit your paper 
comment to the Commission by courier or overnight service.
    Visit the Commission Web site at http://www.ftc.gov to read this 
Notice and the news release describing it. The

[[Page 5754]]

FTC Act and other laws that the Commission administers permit the 
collection of public comments to consider and use in this proceeding as 
appropriate. The Commission will consider all timely and responsive 
public comments that it receives on or before February 26, 2015. You 
can find more information, including routine uses permitted by the 
Privacy Act, in the Commission's privacy policy, at http://www.ftc.gov/ftc/privacy.htm.

Analysis of Agreement Containing Consent Order To Aid Public Comment

I. Introduction and Background

    The Federal Trade Commission (``Commission'') has accepted for 
public comment, subject to final approval, an Agreement Containing 
Consent Order (``Consent Order'') from Cerberus Institutional Partners 
V, L.P. (``Cerberus''), its wholly owned subsidiary, AB Acquisition, 
LLC (``Albertson's''), and Safeway Inc. (``Safeway'') (collectively, 
the ``Respondents''). On March 6, 2014, Albertson's and Safeway entered 
into a merger agreement whereby Albertson's agreed to purchase 100% of 
the equity of Safeway for approximately $9.2 billion (the 
``Acquisition''). The purpose of the proposed Consent Order is to 
remedy the anticompetitive effects that otherwise would result from the 
Acquisition. Under the terms of the proposed Consent Order, Respondents 
are required to divest 168 stores and related assets in 130 local 
supermarket geographic markets (collectively, the ``relevant markets'') 
in eight states to four Commission-approved buyers. The divestitures 
must be completed within a time-period ranging from 60 to 150 days 
following the date of the Acquisition. Finally, the Commission and 
Respondents have agreed to an Order to Maintain Assets that requires 
Respondents to operate and maintain each divestiture store in the 
normal course of business, through the date the store is ultimately 
divested to a buyer.
    The proposed Consent Order has been placed on the public record for 
30 days to solicit comments from interested persons. Comments received 
during this period will become part of the public record. After 30 
days, the Commission again will review the proposed Consent Order and 
any comments received, and decide whether it should withdraw the 
Consent Order, modify the Consent Order, or make it final.
    The Commission's Complaint alleges that the Acquisition, if 
consummated, would violate Section 7 of the Clayton Act, as amended, 15 
U.S.C. 18, and Section 5 of the Federal Trade Commission Act, as 
amended, 15 U.S.C. 45, by removing an actual, direct, and substantial 
supermarket competitor in the 130 local supermarket geographic markets. 
The elimination of this competition would result in significant 
competitive harm; specifically the Acquisition will allow the combined 
entity to increase prices above competitive levels, unilaterally or by 
coordinating with remaining market participants. Similarly, absent a 
remedy, there is significant risk that the merged firm may decrease 
quality and service aspects of their stores below competitive levels. 
The proposed Consent Order would remedy the alleged violations by 
requiring divestitures to replace competition that otherwise would be 
lost in the relevant markets because of the Acquisition.

The Respondents

    AB Acquisition, LLC, owned by New York-based private equity firm 
Cerberus Capital Management, L.P., is the parent company of Albertson's 
LLC and New Albertson's, Inc. (together ``Albertson's''). As of March 
19, 2014, Albertson's LLC operated 630 supermarkets, primarily under 
its Albertson's banner. Presently, Albertson's stores are located in 
Arkansas, Arizona, California, Colorado, Florida, Idaho, Louisiana, 
Montana, Nevada, New Mexico, North Dakota, Oregon, Texas, Utah, 
Washington, and Wyoming. Albertson's LLC also operates supermarkets in 
Texas under the Market Street, Amigos, and United Supermarkets banners. 
United Supermarkets is a traditional grocery store, while Market Street 
offers specialty and ``whole-health'' products, and Amigos has an 
international and Hispanic format. As of March 19, 2014, New 
Albertson's, Inc., owned and operated 445 supermarkets under the Jewel-
Osco, ACME, Shaw's, and Star Market banners, dispersed throughout Iowa, 
Illinois, Indiana, Delaware, Maryland, Pennsylvania, New Jersey, 
Massachusetts, Maine, New Hampshire, Rhode Island, and Vermont.
    As of December 2013, Safeway owned 1,332 supermarkets, making it 
one of the largest food and drug retailers in the United States. Stores 
are operated under the Safeway banner in Alaska, Arizona, California, 
Colorado, District of Columbia, Delaware, Hawaii, Idaho, Maryland, 
Montana, Nebraska, Nevada, New Mexico, Oregon, South Dakota, Virginia, 
Washington, and Wyoming. Safeway also operates stores under the 
following banners: Pavilions, Pak 'n Save, and The Market in 
California; Randall's and Tom Thumb in Texas; Genuardi's in 
Pennsylvania; Vons in California and Nevada; and Carr's in Alaska.

Retail Sale of Food and Other Grocery Products In Supermarkets

    The Acquisition presents substantial antitrust concerns for the 
retail sale of food and other grocery products in supermarkets. 
Supermarkets are defined as traditional full-line retail grocery stores 
that sell, on a large-scale basis, food and non-food products that 
customers regularly consume at home--including, but not limited to, 
fresh meat, dairy products, frozen foods, beverages, bakery goods, dry 
groceries, detergents, and health and beauty products. This broad set 
of products and services provides a ``one-stop shopping'' experience 
for consumers by enabling them to shop in a single store for all of 
their food and grocery needs. The ability to offer consumers one-stop 
shopping is a critical differentiating factor between supermarkets and 
other food retailers.
    The relevant product market includes supermarkets within 
``hypermarkets,'' such as Wal-Mart Supercenters. Hypermarkets also sell 
an array of products that would not be found in traditional 
supermarkets. However, hypermarkets, like conventional supermarkets, 
contain bakeries, delis, dairy, produce, fresh meat, and sufficient 
product offerings to enable customers to purchase all of their weekly 
grocery requirements in a single shopping visit.
    Other types of retailers--such as hard discounters, limited 
assortment stores, natural and organic markets, ethnic specialty 
stores, and club stores--also sell food and grocery items. These types 
of retailers, however, are not in the relevant product market because 
they offer a more limited range of products and services than 
supermarkets and because they appeal to a distinct customer type. 
Shoppers typically do not view these other food and grocery retailers 
as adequate substitutes for supermarkets.\2\ Further, although these 
other types of retailers offer some competition, supermarkets do not 
view them as providing as significant or close competition as 
traditional supermarkets. Thus, consistent with prior Commission 
precedent, these other types of retailers are excluded from the 
relevant product market.\3\
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    \2\ Supermarket shoppers would be unlikely to switch to one of 
these other types of retailers in response to a small but 
significant increase in price or ``SSNIP'' by a hypothetical 
supermarket monopolist. See U.S. DOJ and FTC Horizontal Merger 
Guidelines Sec.  4.1.1 (2010).
    \3\ See, e.g., Bi-Lo Holdings, LLC/Delhaize America, LLC, Docket 
C-4440 (February 25, 2014); AB Acquisition, LLC, Docket C-4424 
(December 23, 2013); Konkinlijke Ahold N.V./Safeway Inc., Docket C-
4367 (August 17, 2012); Shaw's/Star Markets, Docket C-3934 (June 28, 
1999); Kroger/Fred Meyer, Docket C-3917 (January 10, 2000); 
Albertson's/American Stores, Docket C-3986 (June 22, 1999); Ahold/
Giant, Docket C-3861 (April 5, 1999); Albertson's/Buttrey, Docket C-
3838 (December 8, 1998); Jitney-Jungle Stores of America, Inc., 
Docket C-3784 (January 30, 1998). But see Wal-Mart/Supermercados 
Amigo, Docket C-4066 (November 21, 2002) (the Commission's complaint 
alleged that in Puerto Rico, club stores should be included in a 
product market that included supermarkets because club stores in 
Puerto Rico enabled consumers to purchase substantially all of their 
weekly food and grocery requirements in a single shopping visit).

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[[Page 5755]]

    The relevant geographic markets in which to analyze the effects of 
the Acquisition are areas that range from a two- to ten-mile radius 
around each of the Respondents' supermarkets, depending on factors such 
as population density, traffic patterns, and unique characteristics of 
each market. Where the Respondents' supermarkets are located in rural, 
isolated areas, the relevant geographic areas are larger than areas 
where the Respondents' supermarkets are located in more densely 
populated suburban areas. A hypothetical monopolist of the retail sale 
of food and grocery products in supermarkets in each relevant area 
could profitably impose a small but significant non-transitory increase 
in price.
    The 130 geographic markets in which to analyze the effects of the 
Acquisition are local areas in and around: (1) Anthem, Arizona; (2) 
Carefree, Arizona; (3) Flagstaff, Arizona; (4) Lake Havasu, Arizona; 
(5) Prescott, Arizona; (6) Prescott Valley, Arizona; (7) Scottsdale, 
Arizona; (8) Tucson (Eastern), Arizona; (9) Tucson (Southwest), 
Arizona; (10) Alpine, California; (11) Arroyo Grande/Grover Beach, 
California; (12) Atascadero, California; (13) Bakersfield, California; 
(14) Burbank, California; (15) Calabasas, California; (16) Camarillo, 
California; (17) Carlsbad (North), California; (18) Carlsbad (South), 
California; (19) Carpinteria, California; (20) Cheviot Hills/Culver 
City, California; (21) Chino Hills, California; (22) Coronado, 
California; (23) Diamond Bar, California; (24) El Cajon, California; 
(25) Hermosa Beach, California; (26) Imperial Beach, California; (27) 
La Jolla, California; (28) La Mesa, California; (29) Ladera Ranch, 
California; (30) Laguna Beach, California; (31) Laguna Niguel, 
California; (32) Lakewood, California; (33) Lemon Grove, California; 
(34) Lomita, California; (35) Lompoc, California; (36) Mira Mesa 
(North), California; (37) Mira Mesa (South), California; (38) Mission 
Viejo/Laguna Hills, California; (39) Mission Viejo (North), California; 
(40) Morro Bay, California; (41) National City, California; (42) 
Newbury, California; (43) Newport, California; (44) Oxnard, California; 
(45) Palm Desert/Rancho Mirage, California; (46) Palmdale, California; 
(47) Paso Robles, California; (48) Poway, California; (49) Rancho 
Cucamonga/Upland, California; (50) Rancho Santa Margarita, California; 
(51) San Diego (Clairemont), California; (52) San Diego (Hillcrest/
University Heights), California; (53) San Diego (Tierrasanta), 
California; (54) San Luis Obispo, California; (55) San Marcos, 
California; (56) San Pedro, California; (57) Santa Barbara, California; 
(58) Santa Barbara/Goleta, California; (59) Santa Clarita, California; 
(60) Santa Monica, California; (61) Santee, California; (62) Simi 
Valley, California; (63) Solana Beach, California; (64) Thousand Oaks, 
California; (65) Tujunga, California; (66) Tustin (Central), 
California; (67) Tustin/Irvine, California; (68) Ventura, California; 
(69) Westlake Village, California; (70) Yorba Linda, California; (71) 
Butte, Montana; (72) Deer Lodge, Montana; (73) Missoula, Montana; (74) 
Boulder City, Nevada; (75) Henderson, (East), Nevada; (76) Henderson 
(Southwest), Nevada; (77) Summerlin, Nevada; (78) Ashland, Oregon; (79) 
Baker County, Oregon; (80) Bend, Oregon; (81) Eugene, Oregon; (82) 
Grants Pass, Oregon; (83) Happy Valley/Clackamas, Oregon; (84) Keizer, 
Oregon; (85) Klamath Falls, Oregon; (86) Lake Oswego, Oregon; (87) 
Milwaukie, Oregon; (88) Sherwood, Oregon; (89) Springfield, Oregon; 
(90) Tigard, Oregon; (91) West Linn, Oregon; (92) Colleyville, Texas; 
(93) Dallas (Far North), Texas; (94) Dallas (Farmers/Branch/North 
Dallas), Texas; (95) Dallas (University Park/Highland Park), Texas; 
(96) Dallas (University Park/Northeast), Texas; (97) McKinney, Texas; 
(98) Plano, Texas; (99) Roanoke, Texas; (100) Rowlett, Texas; (101) 
Bremerton, Washington; (102) Burien, Washington; (103) Everett, 
Washington; (104) Federal Way, Washington; (105) Gig Harbor, 
Washington; (106) Lake Forest Park, Washington; (107) Lake Stevens, 
Washington; (108) Lakewood, Washington; (109) Liberty Lake, Washington; 
(110) Milton, Washington; (111) Monroe, Washington; (112) Oak Harbor, 
Washington; (113) Olympia (East), Washington; (114) Port Angeles, 
Washington; (115) Port Orchard, Washington; (116) Puyallup, Washington; 
(117) Renton (East Hill-Meridian), Washington; (118) Renton (New 
Castle), Washington; (119) Sammamish, Washington; (120) Shoreline, 
Washington; (121) Silverdale, Washington; (122) Snohomish, Washington; 
(123) Tacoma (Eastside), Washington; (124) Tacoma (Spanaway), 
Washington; (125) Walla Walla, Washington; (126) Wenatchee, Washington; 
(127) Woodinville, Washington; (128) Casper, Wyoming; (129) Laramie, 
Wyoming; and (130) Sheridan, Wyoming.
    Each of the relevant geographic markets is highly concentrated and 
the Acquisition would significantly increase market concentration and 
eliminate substantial direct competition between two significant 
supermarket operators. The post-Acquisition HHI levels in the relevant 
markets vary from 2,562 to 10,000 points, and the HHI deltas vary from 
225 to 5,000 points. Under the 2010 Department of Justice and Federal 
Trade Commission Horizontal Merger Guidelines (``Merger Guidelines''), 
an acquisition that results in an HHI in excess of 2,500 points and 
increases the HHI by more than 200 points is presumed anticompetitive. 
Thus, the presumptions of illegality and anticompetitive effects are 
easily met, and often far exceeded, in the relevant geographic markets 
at issue.
    The relevant markets are also highly concentrated in terms of the 
number of remaining market participants post-Acquisition. Of the 130 
geographic markets, the acquisition will result in a merger-to-monopoly 
in 13 markets and a merger-to-duopoly in 42 markets. In the remaining 
markets, the Acquisition will reduce the number of market participants 
from four to three in 43 markets, five to four in 27 markets, and six 
to five in five markets.\4\
---------------------------------------------------------------------------

    \4\ See Exhibit A.
---------------------------------------------------------------------------

    The anticompetitive implications of such significant increases in 
market concentration are reinforced by substantial evidence 
demonstrating that Albertson's and Safeway are close and vigorous 
competitors in terms of price, format, service, product offerings, 
promotional activity, and location in each of the relevant geographic 
markets. Absent relief, the Acquisition would eliminate significant 
head-to-head competition between Albertson's and Safeway and would 
increase the ability and incentive of Albertson's to raise prices 
unilaterally post-Acquisition. The Acquisition would also decrease 
incentives to compete on non-price factors, such as service levels, 
convenience, and quality. Lastly, the high levels of concentration also 
increase the likelihood of competitive harm through coordinated 
interaction in markets in which Albertson's will face only one other 
traditional supermarket competitor post-Acquisition. Given the 
transparency of pricing and promotional

[[Page 5756]]

practices among supermarkets and that supermarkets ``price check'' 
competitors in the ordinary course of business, the Acquisition 
increases the possibility that Albertson's and its remaining competitor 
could simply follow each other's price increases post-Acquisition.
    New entry or expansion in the relevant markets is unlikely to deter 
or counteract the anticompetitive effects of the Acquisition. Moreover, 
even if a prospective entrant existed, the entrant must secure a viable 
location, obtain the necessary permits and governmental approvals, 
build its retail establishment or renovate an existing building, and 
open to customers before it could begin operating and serve as a 
relevant competitive constraint. As a result, new entry sufficient to 
achieve a significant market impact and act as a competitive constraint 
is unlikely to occur in a timely manner.

The Proposed Consent Order

    The proposed remedy, which requires the divestiture of Albertson's 
or Safeway supermarkets in the relevant markets to four Commission-
approved up-front buyers (the ``proposed buyers'') will restore fully 
the competition that otherwise would be eliminated in these markets as 
a result of the Acquisition. Specifically, Respondents have agreed to 
divest:
     146 stores and related assets in Arizona, California, 
Nevada, Oregon, and Washington to Haggen, Inc. (``Haggen'');
     Two stores in Washington to Supervalu, Inc. 
(``Supervalu'');
     12 stores and related assets in Texas to Associated 
Wholesale Grocers (``AWG''); and
     Eight stores and related assets in Montana and Wyoming to 
Associated Food Stores (``Associated'').
    The proposed buyers appear to be highly suitable purchasers and are 
well positioned to enter the relevant geographic markets and prevent 
the increase in market concentration and likely competitive harm that 
otherwise would have resulted from the Acquisition. The supermarkets 
currently owned by any of the proposed buyers are all located outside 
the relevant geographic markets in which they are purchasing divested 
stores.
    Haggen is a regional supermarket chain with 18 supermarkets in 
Washington and Oregon. Haggen will purchase all but two of the divested 
stores in Washington, because Haggen already operates stores in those 
two geographic markets. Supervalu will purchase the two stores in 
Washington that Haggen is not purchasing. Supervalu is a wholesale 
distributor that also operates 190 corporate-owned supermarkets and 
previously owned these two Washington stores. AWG is a member-owned 
cooperative grocery wholesaler supplying nearly 3,000 supermarkets in 
33 states. Although AWG does not currently own or operate any 
supermarkets, AWG has owned and operated corporate-owned supermarkets 
in the past. Finally, Associated is a member-owned cooperative grocery 
wholesaler that supplies and operates retail supermarkets. Associated's 
members operate approximately 424 grocery stores in ten states, and the 
cooperative, through a subsidiary, owns and operates 43 corporate-owned 
supermarkets located in Utah and Nevada. It is expected that AWG will 
assign its operating rights in the 12 Texas stores it is acquiring to 
RLS Supermarkets, LLC (d/b/a Minyard Food Stores) and that Associated 
will assign its rights in the eight Montana and Wyoming stores it is 
acquiring to Missoula Fresh Market LLC, Ridley's Family Markets, Inc., 
and Stokes Inc.
    The Proposed Consent Order requires Respondents to divest: (a) The 
Arizona, California, Nevada, Oregon, and Washington assets to Haggen 
within 150 days from the date of the Acquisition; (b) the two stores in 
Washington to Supervalu within 100 days of the date of the Acquisition; 
(c) the Texas assets to AWG within 60 days of the date of the 
Acquisition; and (d) the Montana and Wyoming assets to Associated 
within 60 days of the date of the Acquisition. If, at the time before 
the Proposed Consent Order is made final, the Commission determines 
that any of the proposed buyers are not acceptable buyers, Respondents 
must immediately rescind the divestiture(s) and divest the assets to a 
different buyer that receives the Commission's prior approval.
    The proposed Consent Order contains additional provisions designed 
to ensure the adequacy of the proposed relief. For example, Respondents 
have agreed to an Order to Maintain Assets that will be issued at the 
time the Proposed Consent Order is accepted for public comment. The 
Order to Maintain Assets requires Albertson's and Safeway to operate 
and maintain each divestiture store in the normal course of business, 
through the date the store is ultimately divested to a buyer. Since the 
divestiture schedule runs for an extended period of time (potentially 
up to 150 days following the Acquisition date), the Proposed Consent 
Order appoints Richard King as a Monitor to oversee the Respondents' 
compliance with the requirements of the Proposed Consent Order and 
Order to Maintain Assets. Mr. King has the experience and skill-set to 
be an effective Monitor, no identifiable conflicts, and sufficient time 
to dedicate to this matter through its conclusion. Lastly, for a period 
of ten years, Albertson's is required to give the Commission prior 
notice of plans to acquire any interest in a supermarket that has 
operated or is operating in the counties included in the relevant 
markets.
    * * *
    The sole purpose of this Analysis is to facilitate public comment 
on the proposed Consent Order. This Analysis does not constitute an 
official interpretation of the proposed Consent Order, nor does it 
modify its terms in any way.

                                                    Exhibit A
----------------------------------------------------------------------------------------------------------------
                                                 Merger                  HHI
Area number           City            State      result    HHI (pre)    (post)     Delta      Divested store(s)
----------------------------------------------------------------------------------------------------------------
1..........  Anthem...............         AZ  4 to 3....       2768       3423        655  SFY 1726.
2..........  Carefree.............         AZ  5 to 4....       2298       2976        678  ALB 979.
3..........  Flagstaff............         AZ  5 to 4....       2744       3365        621  ALB 967.
4..........  Lake Havasu..........         AZ  4 to 3....       2609       3401        792  ALB 1027.
5..........  Prescott.............         AZ  4 to 3....       2675       3405        730  ALB 953.
6..........  Prescott Valley......         AZ  4 to 3....       2828       3340        512  ALB 965.
7..........  Scottsdale...........         AZ  3 to 2....       3797       5001       1204  ALB 983.
8..........  Tucson (Eastern).....         AZ  4 to 3....       3341       4130        789  SFY 234 & 2611.
9..........  Tucson (Southwest)...         AZ  5 to 4....       2018       2909        891  ALB 972.
10.........  Alpine...............         CA  3 to 2....       3857       5002       1145  SFY 2333.
11.........  Arroyo Grande/Grover          CA  3 to 2....       3690       6864       3174  ALB 6304.
              Beach.
12.........  Atascadero...........         CA  3 to 2....       3456       6242       2786  ALB 6390.

[[Page 5757]]

 
13.........  Bakersfield..........         CA  6 to 5....       1923       2562        639  ALB 6323, 6325 &
                                                                                             6379.
14.........  Burbank..............         CA  3 to 2....       4199       5011        812  ALB 6315.
15.........  Calabasas............         CA  3 to 2....       3400       5415       2015  SFY 2031.
16.........  Camarillo............         CA  5 to 4....       2950       4215       1265  ALB 6385.
17.........  Carlsbad (North).....         CA  4 to 3....       2977       3888        911  ALB 6701.
18.........  Carlsbad (South).....         CA  5 to 4....       2209       3210       1001  ALB 6720.
19.........  Carpinteria..........         CA  2 to 1....       5012     10,000       4988  SFY 2425.
20.........  Cheviot Hills/Culver          CA  4 to 3....       2394       3914       1520  ALB 6168 & 6169.
              City.
21.........  Chino Hills..........         CA  4 to 3....       3596       4047        451  SFY 2597.
22.........  Coronado Island......         CA  2 to 1....       5025     10,000       4975  ALB 6747.
23.........  Diamond Bar..........         CA  3 to 2....       4466       5231        765  SFY 2062.
24.........  El Cajon.............         CA  4 to 3....       2983       3597        614  ALB 6771.
25.........  Hermosa Beach........         CA  5 to 4....       2752       4371       1619  ALB 6127, 6138, 6153
                                                                                             & 6189.
26.........  Imperial Beach.......         CA  2 to 1....       5869     10,000       4131  ALB 6228.
27.........  La Jolla.............         CA  3 to 2....       5505       7083       1578  ALB 6788.
28.........  La Mesa..............         CA  3 to 2....       3382       5997       2615  SFY 2064 & 2137.
29.........  Ladera Ranch.........         CA  2 to 1....       5081     10,000       4919  SFY 2703.
30.........  Laguna Beach.........         CA  3 to 2....       3335       5799       2464  ALB 6575.
31.........  Laguna Niguel........         CA  4 to 3....       3190       3883        693  SFY 1676.
32.........  Lakewood.............         CA  6 to 5....       2073       2581        508  ALB 6154.
33.........  Lemon Grove..........         CA  3 to 2....       3581       6059       2478  SFY 2365.
34.........  Lomita...............         CA  3 to 2....       3695       5040       1345  ALB 6107.
35.........  Lompoc...............         CA  4 to 3....       2566       3713       1147  ALB 6339.
36.........  Mira Mesa (North)....         CA  5 to 4....       2412       3808       1396  ALB 6742 & 6772.
37.........  Mira Mesa (South)....         CA  2 to 1....       6904     10,000       3096  ALB 6770.
38.........  Mission Viejo/Laguna          CA  4 to 3....       3157       3784        627  ALB 6517.
              Hills.
39.........  Mission Viejo (North)         CA  3 to 2....       3933       5012       1079  SFY 1670.
40.........  Morro Bay............         CA  5 to 4....       2965       4056       1091  SFY 2312.
41.........  National City........         CA  3 to 2....       3748       5013       1265  SFY 2006, 2336 &
                                                                                             3063.
42.........  Newbury Park.........         CA  3 to 2....       3629       5833       2204  SFY 1793.
43.........  Newport Beach........         CA  5 to 4....       3160       3811        651  ALB 6504.
44.........  Oxnard...............         CA  4 to 3....       2939       3375        436  ALB 6217.
45.........  Palm Desert/Rancho            CA  6 to 5....       2196       3094        898  SFY 2383 & 3218.
              Mirage.
46.........  Palmdale.............         CA  4 to 3....       3056       4039        983  ALB 6329.
47.........  Paso Robles..........         CA  4 to 3....       2851       5427       2576  SFY 2317.
48.........  Poway................         CA  4 to 3....       2540       3526        986  ALB 6741 & 6763.
49.........  Rancho Cucamonga/             CA  4 to 3....       3266       4118        852  ALB 6523 & 6589.
              Upland.
50.........  Rancho Santa                  CA  4 to 3....       2628       4300       1672  ALB 6521.
              Margarita.
51.........  San Diego                     CA  3 to 2....       4066       6374       2308  ALB 6781.
              (Clairemont).
52.........  San Diego (Hillcrest/         CA  3 to 2....       4436       6571       2135  ALB 6714 & 6715.
              University Heights).
53.........  San Diego, CA                 CA  2 to 1....       5586     10,000       4414  ALB 6760.
              (Tierrasanta).
54.........  San Luis Obispo......         CA  4 to 3....       2896       5306       2410  ALB 6372 & 6409.
55.........  San Marcos...........         CA  3 to 2....       5991       6282        291  SFY 2174.
56.........  San Pedro............         CA  3 to 2....       3518       6442       2924  ALB 6160 & 6164.
57.........  Santa Barbara........         CA  4 to 3....       2741       3462        721  ALB 6351 & 6352.
58.........  Santa Barbara/Goleta.         CA  3 to 2....       3909       7469       3560  SFY 2048 & 2691.
59.........  Santa Clarita........         CA  4 to 3....       2646       3732       1086  SFY 1669 & 1961.
60.........  Santa Monica.........         CA  4 to 3....       3293       4879       1586  ALB 6162.
61.........  Santee...............         CA  3 to 2....       3477       6133       2656  ALB 6727.
62.........  Simi Valley..........         CA  5 to 4....       3633       7101       3468  ALB 6317 & 6363; SFY
                                                                                             2163.
63.........  Solana Beach.........         CA  3 to 2....       3830       6188       2358  ALB 6702.
64.........  Thousand Oaks........         CA  3 to 2....       4057       6047       1990  ALB 6369.
65.........  Tujunga..............         CA  3 to 2....       3688       3969        281  ALB 6397.
66.........  Tustin (central).....         CA  4 to 3....       3474       4348        874  SFY 2146 & 2324.
67.........  Tustin/Irvine........         CA  4 to 3....       3939       4485        546  SFY 2822.
68.........  Ventura..............         CA  4 to 3....       2732       3550        818  ALB 6318.
69.........  Westlake Village.....         CA  5 to 4....       1955       3563       1608  ALB 6388.
70.........  Yorba Linda..........         CA  4 to 3....       2803       4588       1785  ALB 6510.
71.........  Butte................         MT  3 to 2....       4701       5189        488  ALB 2007.
72.........  Deer Lodge...........         MT  2 to 1....       5000     10,000       5000  SFY 3256.
73.........  Missoula.............         MT  4 to 3....       3107       4063        956  SFY 1573 & 2619.
74.........  Boulder City.........         NV  2 to 1....       5051     10,000       4949  SFY 2391.
75.........  Henderson (East).....         NV  4 to 3....       2705       3356        651  ALB 6014 & 6019.
76.........  Henderson (Southwest)         NV  3 to 2....       3653       5042       1389  ALB 6028.
77.........  Summerlin............         NV  4 to 3....       3107       4367       1260  SFY 1688, 2392 &
                                                                                             2395.
78.........  Ashland..............         OR  2 to 1....       5013     10,000       4987  SFY 4292.
79.........  Baker County.........         OR  2 to 1....       5102     10,000       4898  ALB 261.
80.........  Bend.................         OR  6 to 5....       2632       3824       1192  ALB 587 & 588.
81.........  Eugene...............         OR  5 to 4....       2392       3414       1022  ALB 507 & 568.
82.........  Grants Pass..........         OR  4 to 3....       2769       3537        768  ALB 501 & 537.

[[Page 5758]]

 
83.........  Happy Valley/                 OR  2 to 1....       5006     10,000       4994  ALB 503.
              Clackamas.
84.........  Keizer...............         OR  5 to 4....       2852       3367        515  ALB 562.
85.........  Klamath Falls........         OR  5 to 4....       2511       2917        406  SFY 1766 & 4395.
86.........  Lake Oswego..........         OR  4 to 3....       3176       5604       2428  ALB 521.
87.........  Milwaukie............         OR  3 to 2....       5729       6082        353  ALB 566.
88.........  Sherwood.............         OR  3 to 2....       3989       5028       1039  ALB 579.
89.........  Springfield..........         OR  3 to 2....       4400       5197        797  SFY 311.
90.........  Tigard...............         OR  5 to 4....       2261       2984        723  ALB 559, 565 & 576.
91.........  West Linn............         OR  3 to 2....       3611       6268       2657  ALB 506.
92.........  Colleyville..........         TX  5 to 4....       2686       3465        779  SFY 3555 & 3576.
93.........  Dallas (Far North)...         TX  5 to 4....       2413       2891        478  ALB 4140.
94.........  Dallas (Farmers               TX  4 to 3....       3746       5175       1429  ALB 4182.
              Branch/North Dallas).
95.........  Dallas (University            TX  4 to 3....       2755       4261       1506  ALB 4134 & 4168.
              Park/Highland Park).
96.........  Dallas (University            TX  5 to 4....       2345       3065        720  ALB 4132 & 4297.
              Park/Northeast
              Dallas).
97.........  McKinney.............         TX  5 to 4....       2692       3613        921  SFY 3573.
98.........  Plano................         TX  4 to 3....       3105       3541        436  SFY 2568.
99.........  Roanoke..............         TX  3 to 2....       4680       5351        671  ALB 4149.
100........  Rowlett..............         TX  3 to 2....       3386       5450       2064  ALB 4197.
101........  Bremerton............         WA  4 to 3....       2721       3399        678  ALB 443.
102........  Burien...............         WA  5 to 4....       1979       4489       2510  ALB 411 & 473.
103........  Everett..............         WA  5 to 4....       2301       2586        285  SFY 517.
104........  Federal Way..........         WA  5 to 4....       2312       2709        397  ALB 496.
105........  Gig Harbor...........         WA  3 to 2....       3396       5235       1839  SFY 2949.
106........  Lake Forest Park.....         WA  5 to 4....       3889       4352        463  ALB 425.
107........  Lake Stevens.........         WA  5 to 4....       2646       3455        809  ALB 477.
108........  Lakewood.............         WA  5 to 4....       2333       3170        837  ALB 465.
109........  Liberty Lake.........         WA  3 to 2....       3483       5090       1607  SFY 1741.
110........  Milton...............         WA  3 to 2....       3960       5010       1050  ALB 472.
111........  Monroe...............         WA  4 to 3....       2911       3352        441  ALB 476.
112........  Oak Harbor...........         WA  3 to 2....       4296       6446       2150  SFY 3518.
113........  Olympia (East).......         WA  6 to 5....       2205       2566        361  ALB 415.
114........  Port Angeles.........         WA  3 to 2....       3773       5588       1815  ALB 404.
115........  Port Orchard.........         WA  4 to 3....       2747       3362        615  SFY 1082.
116........  Puyallup.............         WA  3 to 2....       4160       5072        912  ALB 468.
117........  Renton (East Hill-            WA  4 to 3....       3304       3719        415  ALB 470.
              Meridian).
118........  Renton (New Castle)..         WA  4 to 3....       4417       5274        857  SFY 1468.
119........  Sammamish............         WA  2 to 1....       5761     10,000       4239  ALB 403.
120........  Shoreline............         WA  4 to 3....       3792       4017        225  SFY 442.
121........  Silverdale...........         WA  4 to 3....       2845       3516        671  ALB 492.
122........  Snohomish............         WA  2 to 1....       5595     10,000       4405  ALB 401.
123........  Tacoma (Eastside)....         WA  4 to 3....       3260       3727        467  ALB 498.
124........  Tacoma (Spanaway)....         WA  5 to 4....       2707       3360        653  SFY 551.
125........  Walla Walla..........         WA  5 to 4....       2624       3417        793  ALB 225.
126........  Wenatchee............         WA  3 to 2....       3744       5047       1303  ALB 244.
127........  Woodinville..........         WA  3 to 2....       3568       5192       1624  ALB 459.
128........  Casper...............         WY  4 to 3....       3816       4353        537  SFY 433 & 2468.
129........  Laramie..............         WY  3 to 2....       3793       5000       1207  ALB 2063.
130........  Sheridan.............         WY  3 to 2....       4802       5421        619  SFY 2664.
----------------------------------------------------------------------------------------------------------------


    By direction of the Commission.
Donald S. Clark,
Secretary.
[FR Doc. 2015-01971 Filed 2-2-15; 8:45 am]
BILLING CODE 6750-01-P