Peapod Mulls Takeover

Troubled Internet grocer Peapod, Skokie, Ill., is weighing takeover offers from United Parcel Service, rival HomeGrocer.com and Netherlands-based Royal Ahold, according to CNET news. Earlier this month, Peapod suffered a one-two punch when investors withdrew an anticipated $120 million in funding after CEO William Mallory resigned for undisclosed health reasons. Peapod, which has steadily lost money since its 1989 startup despite building a customer base of 100,000 in eight metropolitan markets, had counted on the financing for ambitious expansion plans. Last year, Peapod lost $28.5 million on revenue of $73.1 million.