KASH N' KARRY CASH FLOW HIGHER; SEES SUPPLY CONTRACT EXTENDED

TAMPA, Fla. -- Kash n' Karry Food Stores here reported increased operating cash flow and sales in the first quarter and cited the extension of a contract.

hree-year contract that was signed in September. Ronald Johnson, chairman, president and chief executive officer, told SN the contract could be worth $75 million a year in revenues to Kash n' Karry. For the quarter ended Oct. 29, sales and same-store sales rose 4.3%. The company, which emerged from Chapter 11 bankruptcy protection in December 1994, said it had a net loss for the 13-week quarter of $1.8 million, compared with a loss of $8.7 million a year ago. Operating cash flow rose 31.3% to $10.4 million, compared with $7.9 million in last year's first quarter. Ken Bann, a securities analyst with Lehman Bros., New York, said the company's results "are better than almost anyone expected, and the 4.3% increase in same-store sales is the best in the company's history."

1ST-QUARTER RESULTS

Qtr Ended 10/29/95 10/30/94

Sales $250.4 million $240.1 million

Change 4.3%

Same-store 4.3%

Net Income ($1.8 million) ($8.7 million)