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NASH FINCH WILL DEVELOP AND IMPLEMENT STRATEGY

MINNEAPOLIS -- Nash Finch Co. here is finishing up the diagnostic phase of its top-to-bottom assessment of operations and plans to turn its attention to strategy development and implementation plans, Ron Marshall, president and chief executive officer, said last week. . 10, which showed sales and operating cash flow down. In other developments: * Nash Finch said it has entered into a definitive agreement

MINNEAPOLIS -- Nash Finch Co. here is finishing up the diagnostic phase of its top-to-bottom assessment of operations and plans to turn its attention to strategy development and implementation plans, Ron Marshall, president and chief executive officer, said last week.

. 10, which showed sales and operating cash flow down. In other developments: * Nash Finch said it has entered into a definitive agreement to purchase Joyce's Food Stores, a five-unit operation based in Emmitsburg, Iowa, for an undisclosed sum. The transaction is expected to close early next year. Norm Soland, senior vice president and secretary of general counsel for Nash Finch, said the company "has not yet decided whether or not to operate [the proposed acquisitions] as corporate stores or sell them to independent customers" who then be supplied by Nash Finch. The Joyce's stores are currently supplied by Fleming Cos.

* The company has embarked on what Marshall called "an aggressive timetable" for year-2000 compliance after discovering that its Horizons information system "will not provide the level of year-2000 readiness that the company expected."

Nash Finch said sales dropped 3.5% to $1.3 billion for the 16-week quarter and 1.5% to $3.2 billion for the year to date. The company reported net income of $3.4 million for the quarter and $4.1 million for the 40 weeks, compared with net losses in the year-ago periods resulting from a special charge of $31.3 million for asset impairment and some internal consolidation.

Earnings before interest, taxes, depreciation and amortization declined 12.2% for the quarter to $28 million, or 2.1% of sales, compared with $31.9 million, or 2.4%, a year ago; for the 40 weeks EBITDA fell 13.9% to $71.6 million, or 2.2% of sales, compared with $83.2 million, or 2.5%, a year ago.

The company said EBITDA for the quarter and 40 weeks excludes an extraordinary charge of $5.6 million related to debt refinancing and the special charge of $31.3 million.