Albertsons Companies, Inc. (NYSE: ACI) (the “Company”) has announced a significant transition within its Board of Directors, set to take effect on February 21, 2025. The Board has accepted the resignation of Steve Feinberg as a Member of the Board following his nomination for the role of U.S. Deputy Secretary of Defense. Concurrently, the Board has appointed Frank Bruno as a new director, ensuring a seamless transition in leadership and governance.
This change is being carried out in accordance with the Stockholders Agreement dated June 25, 2020, between Albertsons and Cerberus Capital Management, L.P. (“Cerberus”), a private investment firm with deep-rooted ties to the Company. As part of the agreement, Cerberus holds the right to designate board members, and Mr. Bruno has been selected to step into this role following Mr. Feinberg’s departure.
Steve Feinberg’s Resignation and Government Nomination
Steve Feinberg, the founder and CEO of Cerberus Capital Management, has been a long-standing supporter of Albertsons Companies. His leadership and strategic insight have been instrumental in guiding the Company through industry shifts, corporate growth initiatives, and financial restructuring efforts.
His departure from the Board is prompted by his nomination for the position of U.S. Deputy Secretary of Defense, a testament to his expertise and leadership qualities. If confirmed, Mr. Feinberg will be taking on a critical role in national security, helping to shape defense policies and strategic military operations. The Company and its stakeholders extend their best wishes to Mr. Feinberg in his new endeavor.
Vivek Sankaran, CEO of Albertsons Companies, expressed gratitude for Mr. Feinberg’s contributions:
Reflecting on his time with Albertsons, Mr. Feinberg remarked:
Introduction of Frank Bruno to the Board
To ensure continued strategic leadership, the Board has appointed Frank Bruno to fill the vacancy left by Mr. Feinberg’s resignation. Mr. Bruno is the Co-Chief Executive Officer of Cerberus Capital Management, L.P., and has extensive experience in financial management, investment strategy, and corporate leadership.
With over $65 billion in assets under management, Cerberus is a powerhouse in private equity, private credit, real estate, and various other investment classes. Mr. Bruno’s expertise in these areas positions him as a valuable addition to the Board, particularly as Albertsons continues to navigate an evolving retail landscape marked by digital transformation, supply chain challenges, and shifting consumer preferences.
Frank Bruno’s Vision for Albertsons
Mr. Bruno has expressed enthusiasm about his new role and his commitment to supporting Albertsons Companies in its mission. Upon accepting the position, he stated:
His addition to the Board is expected to further strengthen Albertsons’ governance, bringing fresh perspectives on investment and corporate growth. With a background in overseeing large-scale financial operations and strategic investments, Mr. Bruno will be an integral part of Albertsons’ continued efforts to enhance operational efficiency, customer experience, and shareholder value.
The Role of Cerberus in Albertsons’ Growth
Cerberus Capital Management has been a significant investor in Albertsons since 2006, playing a key role in various strategic initiatives, including acquisitions, market expansions, and digital transformation efforts. The firm has provided financial backing and strategic guidance, helping Albertsons strengthen its position as one of the leading supermarket chains in the United States.
Under Cerberus’ influence, Albertsons has successfully navigated economic shifts, competitive pressures, and technological advancements in the grocery industry. The partnership has facilitated critical growth initiatives, including the acquisition of Safeway in 2015 and the expansion of e-commerce capabilities in response to evolving consumer behaviors.
Strategic Direction and Future Growth
As Albertsons moves forward, the Company remains committed to its core mission: delivering exceptional value, quality products, and superior service to customers nationwide. The leadership transition comes at a pivotal time when the grocery industry is witnessing rapid changes, including the growing influence of e-commerce, sustainability efforts, and evolving consumer expectations.
Vivek Sankaran highlighted the importance of this transition:
This statement underscores the Company’s focus on customer-centric strategies, digital transformation, and operational excellence. Albertsons has been investing heavily in technology-driven solutions, including AI-powered inventory management, enhanced online grocery shopping experiences, and sustainability initiatives to reduce its environmental footprint.
