LUMBERTON, N.C. — Approximately 25 Piggly Wiggly stores in the eastern part of North Carolina are in the process of switching wholesalers — to Merchants Distributors Inc., Hickory, N.C., from Nash Finch, Minneapolis, industry sources told SN.
Alec Covington, president and chief executive officer of Nash Finch, said in a conference call last week the company expects revenues in its wholesale segment to drop between $22 million and $25 million in the current quarter as a customer in the Southeast, which he did not name, transitions to another supplier.
Nash Finch officials could not be reached for additional comment; an MDI spokesman declined comment. Wholesale volume at Nash Finch was approximately $2.7 billion last year, or 82% of the company's sales total of $3.2 billion; MDI’s volume was approximately $1.8 billion.
The Piggly Wiggly franchise is owned by C&S Wholesale Grocers, Keene, N.H. Sources told SN C&S has authorized MDI to distribute to some of its Piggly Wiggly stores. There were also reports another 30 or so Piggly Wiggly stores might switch to MDI from Nash Finch.
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