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SAVE-A-LOT BREAKS GROUND ON NEW DISTRIBUTION CENTER IN LEXINGTON, N.C.

$24 million collaborative project designed to spur economic growth

St. Louis, Mo., January 20, 2011 — Save-A-Lot, one of the nation’s leading hard-discount grocery retailers and a wholly owned subsidiary of SUPERVALU (NYSE: SVU), today announced that it will break ground for a new 325,000-square-foot food distribution center in Lexington, North Carolina.  The state-of-the-art center located in Lexington’s Business Center is expected to open by December 2011 and employ more than 40 employees initially with the potential for hiring additional employees once the facility is at full capacity.  The project is the result of collaboration with the state of North Carolina and its One North Carolina Fund, the North Carolina Department of Commerce, Davidson County and the City of Lexington.

A groundbreaking ceremony will be held at 11:00 a.m. on Jan. 20, 2011 at the site, which is part of the Lexington Business Center, located at 133 Lexington Parkway. Participants will include Mayor John Walser, City of Lexington; Chairman Tommy Hedrick; Davidson County EDC and Commissioner Larry Potts, Davidson County.

“With this project, Save-A-Lot plans on investing more than $24 million in Lexington over the next three years,” said Bill Shaner, Save-A-Lot president and CEO.   “We chose Lexington for our new distribution center because of its excellent business climate, central location and industrious workforce. For the state of North Carolina and the surrounding region, it means economic growth and jobs. I believe this will be a wonderful partnership for Save-A-Lot, Lexington and the region.”

Poised for growth in the region
Save-A-Lot operates more than 1,200 stores in 39 states, and has identified plans to double the number of stores it operates nationally over the next five years.  Currently, there are 24 Save-A-Lot stores in North Carolina, including one in Lexington, with plans to open an additional three stores in by March, as well as two additional stores in South Carolina.  The new distribution center will help support the company’s growth plans in North Carolina and the surrounding area, which the company has identified as a key region for growth.

“As we see legacy industries exit the region, many of whom had distribution centers here, it is exciting to see other industries look to us as a region with potential for distribution, said Steve Googe, executive director of the Davidson County EDC.  “Save-a-Lot is a world class company and we are very pleased that they have chosen Lexington and Davidson County for their new distribution center.”

The new center will help Save-A-Lot supply its growing network of grocery stores, which offer consumers significant savings and conveniences. Compared with traditional grocery stores, the stores provide customers with everyday savings of up to 40 percent on their primary grocery needs. The stores carry approximately 1,200 to 1,500 of the most popular, in-demand products, as well as the company’s own exclusive label brands.

In addition to supporting Save-A-Lot stores and future growth in the region, the new state-of-the-art food distribution center will feature the latest in green technologies for the most efficient use of energy, including lights that only operate when a person is present and an HVAC system with smart thermostats.

About Save-A-Lot Food Stores
Save-A-Lot, a SUPERVALU (NYSE: SVU) company, is one of the nation’s leading hard discount carefully selected assortment grocery chains, operating nearly 1,200 stores in 39 states from Maine to California.  Serving more than five million shoppers each week, Save-A-Lot offers a savings of up to 40 percent on groceries when compared to conventional stores.  Customers enjoy savings on exclusive Save-A-Lot brands and national brands, plus fresh meat and farm-fresh fruits, vegetables and dairy, along with the most popular grocery and household items.  Save-A-Lot helps its customers live richer, fuller lives by saving them money and time through a smart, convenient shopping experience featuring great food, great prices and great people every day.  For more information on Save-A-Lot or to locate a store, please visit www.save-a-lot.com.