Minyard Agrees to Sell 37 of 58 Stores to Grocers Supply

ELLIOT ZWIEBACH

COPPELL, Texas — Minyard Food Stores here said yesterday it has reached an agreement to sell 37 stores — including 23 Carnival Markets, five Minyard-banner stores and nine Sack 'n Save warehouse stores, plus five fuel centers — to Grocers Supply Co., Houston, for an undisclosed amount. Grocers Supply already owns Fiesta Mart, which is expected to purchase 11 of the stores, while the rest are expected to be acquired by other Grocers Supply retail customers, Minyard said, with all transactions expected to be finalized by the end of the year. Minyard said it will continue to operate 21 Minyard -banner stores, which it said serve a different customer base than the Hispanic-oriented Carnival units. According to Michael D. Byars, Minyard president and chief executive officer, "Joining the Carnival brand with Fiesta Mart's management will offer many of our associates an expanded career track with a larger Texas chain." Byars said the Carnival concept performed well, but the softening economy affected the entire Minyard chain, "and the complexity of running three separate banners cost-effecitively in one market became more pronounced as our customer base was hit especially hard by the current downturn."

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