Minyard's to Move From Self-Distribution to AWG

COPPELL, Texas -- Minyard Food Stores here will announce today an agreement to outsource its warehouse and distribution functions to Associated Wholesale Grocers, Kansas City, Kan., as part of its “transformation strategy” to build on its niche strength and reduce costs. The company also re-emphasized its commitment to the fresh concept, Latino-themed Carnival Super Markets as its primary growth vehicle. “Outsourcing distribution will enable us to free up assets by tightening overhead and make us more competitive by increasing efficiency and reducing our costs of delivering product to the shelves,” Michael D. Byars, chief executive officer, said. “It will also free up assets and resources that can be reinvested in the stores.” According to Byars, Minyard's go-forward strategy will also encompass using its fresh concept, Latino-themed Carnival Super Markets as its primary growth vehicle; selling or leasing its 722,000-square-foot distribution center and related assets here to another operator; closing or consolidating underperforming locations, remodeling others and seeking potential acquisitions in the Dallas-Fort Worth marketplace; upgrading retail technology systems and back-office functions; and giving consideration to changing the company's corporate name to “Carnival” to reflect the new emphasis. -- Elliot Zwiebach