H-E-B Kicks-off New Year with Renewed Commitment to Customer Savings by Slashing Prices on More Than 5,000 Products

Company Remains Bullish on Texas Economy by Expanding and Building New Stores and Facilities While Creating New Job Opportunities

SAN ANTONIO--(BUSINESS WIRE)--Fiercely proud of its deep Texas roots, this New Year finds H-E-B making a bold commitment to Texas families. In 2010, it will demonstrate pride in its pricing, products and Partners (employees) by once again lowering prices, opening new store locations, creating new job opportunities and continuing its strong community involvement.

“In the New Year, customers will have additional opportunities to save as H-E-B again lowers prices on more than 5,000 products that Texas families use most.”

This strong stance to invest in Texas, and thereby in its customers and its more than 72,000 Partners, comes as other retailers and businesses retrench due to the current economic climate. In contrast, H-E-B aims to lead by example and spur further economic development in the state it calls home by generating greater savings for Texas consumers, expanding its store operations and employment opportunities.

An indication of the benefit to consumers of H-E-B’s strong presence in Texas can be seen in the fact that the state’s residents enjoy among the lowest food prices in the nation. According to a 2008 Smart Money magazine article, San Antonio is noted as having grocery prices an incredible 22 percent cheaper than in other U.S. metropolitan areas.

“We believe that H-E-B’s strong presence in Texas is one of the reasons Texans enjoy some of the lowest food prices in the nation. We are committed to low prices, and are now priced even better,” said Suzanne Wade, President of the H-E-B San Antonio Division. “In the New Year, customers will have additional opportunities to save as H-E-B again lowers prices on more than 5,000 products that Texas families use most.”

This includes savings on H-E-B brand products and on national brand products across the store. Specific categories in which customers will see significant savings include diapers, hair care and personal wash, pet food, laundry detergent, and paper towels. Customers will also see savings on cereal, snacks, and frozen foods. On the stores’ fresh side, customers will see hot pricing on meat, produce and deli products.

Beginning January 6, from the moment customers enter the store, they will know the savings campaign is underway with bold new signage and highly visible shelf tags calling out specific products and savings.

Partners, known as “Low Price Ambassadors,” will walk the store and point out new savings to customers and answer questions. At the register, cashiers will highlight customer savings.

“The move to further lower our prices is a major effort to assist Texas families in 2010,” said Wade. “When customers visit our stores they will find lower prices and a renewed commitment to help them save.”

In 2010, Texans will have more locations to enjoy H-E-B’s products and services when the company opens 13 new stores in communities across the state, leading to the creation of approximately 5,000 new job opportunities for Texans. Additionally, the company will build a new distribution center in Temple, Texas, and will remodel and update more than 60 of its existing stores, creating thousands of new construction jobs.

H-E-B will also continue to invest in its 11 manufacturing plants located in Texas that produce products including milk, ice cream and bread, and in its 17 Texas distribution centers that employ more than 5,000 Texans.

“At H-E-B, we never forget it’s all about the customer. And today, we are putting an exclamation point on a longstanding commitment to low prices every day by offering even further reductions,” said Craig Boyan, H-E-B Chief Operating Officer. “We are proud to call Texas home and to help this great state with our continued economic and community investments.”

Texas families will also continue to benefit from H-E-B’s strong philanthropic “Spirit of Giving” efforts. Annually, the company donates five percent of its pre-tax earnings to non-profit organizations in the communities it serves. Additionally, H-E-B’s signature community giving programs like the H-E-B Food Bank Assistance program, which donates more than 26 million pounds of food to local food banks, The H-E-B Feast of Sharing Dinners, and the H-E-B Excellence in Education Awards, which recognizes outstanding public school educators with monetary gifts, will continue to receive strong financial support to serve the community.

About H-E-B

H-E-B, with sales of more than $15 billion operates more than 300 stores in Texas and Mexico. Known for its innovation and community service, H-E-B is recognized for its fresh food, quality products, convenient services, and a commitment to environmental responsibility and sustainability. The company strives to provide the best customer experience at everyday low prices. Based in San Antonio, H-E-B employs more than 72,000 Partners and serves millions of customers in more than 150 communities. For more information, visit www.heb.com.