MINNEAPOLIS (November 1, 2006) - Supervalu on Tuesday said it had closed an offering of $500 million in 7.5% senior notes due 2014. The company will use proceeds from the offering to purchase units in a wholly owned subsidiary, New Albertsons, created when Supervalu purchases Albertsons assets earlier this year. The closing of the notes offering satisfies the financial condition to the New Albertsons purchase offer, but other closing conditions remain, Supervalu said. The offer to purchase New Albertsons units will expire Nov. 20 unless extended or terminated earlier by Supervalu, the company said.

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