Albertsons supermarket chain closes underperforming locations

Albertsons supermarket chain, Safeway, has added another store to its closing list as it announced the closure of its San Jose, Calif., location that has operated for over 57 years.

Safeway will close its store, which is located at 6150 Bollinger Road in the Orchard Farms Shopping Center in San Jose, on or before Nov. 13, a Safeway company spokesperson said. The store does not plan to lay off any employees, however.

Neither Albertsons nor Safeway have stated a reason for closing the San Jose store.

Safeway is closing its Bollinger Road location San Jose, Calif., on Nov. 13, 2026, but is not laying off employees.

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Employees will keep jobs after closing

“All associates will keep their jobs and be assigned to another store in the geographic area, consistent with the collective bargaining agreements,” the spokesperson said.

Safeway has 13 stores in San Jose, including one on Stevens Creek Boulevard that is less than a mile away from the Bollinger Road location and remains open.

The San Jose closing follows three other Safeway closings this year located on North Coast Highway in Newport, Ore., on July 25, 2026, which eliminated 69 jobs; on Maryland Avenue in Washington, D.C., on May 16, 2026, and on West Jackson Street in Hayward, Calif., on Feb. 2, 2026.

Safeway operates 912 locations in the U.S., according to its website as of Oct. 22, 2026.

Safeway also issued Worker Adjustment and Retraining Notification notices on Sept. 17, 2026, with plans to lay off 50 employees at its headquarters and corporate offices in Pleasanton, Calif., by Nov. 20, 2026.

Safeway closed stores in 2025

Safeway closed about 15 stores in 2025, which were among about 35 unprofitable stores that its parent Albertsons closed that year. Albertsons has not indicated whether any more unprofitable stores will close in the final months of 2026.

The company’s Chief Executive Officer Susan Morris said Albertsons is launching a comprehensive business review in an Oct. 13 statement on the company’s second quarter fiscal 2026 results. Her statement left the door open for future store closings.

“Although our second quarter performance was in-line with the expectations in our revised outlook, our results do not reflect the potential of the company,” Morris said.

“We are launching a comprehensive business review to speed up improvements in Albertsons’ performance and tackle even harder a cost structure we can no longer afford. Our work will find opportunities to simplify the organization, improve decision-making, reinvest savings in customer value, and boost long-term shareholder returns,” Morris said in the statement.

Albertsons launches a turnaround plan

The company in July 2026 launched its ACI Edge operating structure realignment as its first step in a broader turnaround to improve operating performance, strengthening competitiveness, and create greater long-term shareholder value.

The company is also reviewing its customer strategy, cost structure, operating model, portfolio of banners, markets assets and businesses, and capital allocation priorities.

Quarterly net sales and revenue fell

Albertsons net sales and other revenue declined by 0.1% year-over-year from $18.92 billion to $18.89 billion, in the second quarter ended Sept. 12, 2026.

Albertsons Companies operates 2,240 stores under its 22 brands across 35 states and the District of Columbia, including Albertsons, Safeway, Vons, Jewel-Osco, Shaw’s, Tom Thumb, Pavilions, and United Supermarkets.

The supermarket chain owner’s stores include 1,709 in-store pharmacies, 408 associated fuel centers, 22 dedicated distribution centers, and 19 manufacturing facilities.

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