TORONTO -- The Food Basics stores that A&P is franchising in Ontario are expected to achieve sales of $700 million in 1997, A&P officials told SN last week.
asizes produce. Development of the format was facilitated by a labor agreement that enabled the chain to reduce costs and achieve parity with other low-cost operators, A&P said. It has 45 units operating under the Food Basics banner this year and expects to add at least 15 more by the end of 1997, a chain spokesman said.
The 45 Food Basics stores will account for sales "at an annual rate of $600 million this year," the spokesman said. He said he could not pinpoint a specific annual sales number since not all the stores have been in operation under the new banner for the full year.
Of the 45 units, 38 are franchised and seven are corporate-owned. However, the goal is for most future stores to be franchised, the spokesman said.