KROGER FUELS UP WITH 500TH CENTER

LIZA CASABONA / Additional Reporting: Mark Hamstra

MONTROSE, Colo. -- Kroger opened its 500th fuel center here at a City Market location recently, according to the chain.

"Gasoline is a natural addition to Kroger's one-stop-shopping strategy because it offers our customers tremendous convenience and value," said Robert Moeder, Kroger's vice president of convenience stores and supermarket petroleum, in a statement.

The new fuel center includes eight fuel pumps as well as an eight-foot by 12-foot kiosk that sells cigarettes, soft drinks, snacks, candy and miscellaneous oil-related products. The official grand opening of the center was July 30 through Aug. 1, according to sources at the store. The center was open for business July 21, however.

Unleaded regular gas is priced at $1.91 per gallon, but customers who purchased $35 in groceries with a loyalty card during the grand opening received a 25 cents-per-gallon discount for one fill-up, said store sources. Prior to the official grand opening, the discount was 15 cents.

"Kroger has done a lot with fuel centers in supermarkets. The expertise and knowledge -- the expertise for installation and the knowledge base for how it works and marketing it -- grew out of their convenience food store business," said Chuck Cerankosky, analyst, McDonald Investments, Cleveland.