NEWS WATCH 2003-02-24

Supervalu to Convert Metro Stores to Shoppers

onverting its 16 Metro supermarkets in the Baltimore area to its Shoppers Food Warehouse price-impact banner, a spokeswoman for the company told SN last week. She said Supervalu would make a formal announcement concerning the conversions within the next few weeks. Both the Metro and Shoppers banners were added as part of Supervalu's 1999 acquisition of Richfood Holdings, along with the Farm Fresh banner in Norfolk, Va.

Report: Farmer Jack Could Be Up for Sale

MONTVALE, N.J. -- Add Farmer Jack to the list of banners that A&P here is reportedly offering for sale. According to local reports, unidentified former Farmer Jack executives said the 109-unit chain, previously one of A&P's most profitable, has begun losing money and is thought to be up for sale. Sales have been especially slow in the Lansing, Mich., and Toledo, Ohio, markets, the former executives reportedly said. A&P could not be reached for comment, but it has said it would consider asset sales to strengthen its financial position. It also is thought to be weighing the sale of its Kohl's banner in Wisconsin. A&P recently agreed to sell nine stores in New England and is pursing additional sales of stores in Massachusetts.

Vons.com Expands Service in Las Vegas Area

ARCADIA, Calif. -- Vons here, a division of Safeway, Pleasanton, Calif., said it expanded its online grocery-delivery service in Las Vegas by adding 15 more ZIP codes to the territory it already covered. The company now delivers to 35 ZIP codes in Las Vegas, North Las Vegas and Henderson. The company charges $4.95 for orders over $150 and $9.95 for orders under $150.

Fleming Adds Distribution TO 114 Conoco C-Stores

DALLAS -- Fleming Cos. here said it would begin supplying 114 Conoco-brand convenience stores in Utah, Colorado, Oklahoma, Texas and Missouri. The company said the contract, which begins in April, would provide Fleming with $35 million in annual volume. A spokesman for Fleming said the stores previously had been supplied by Wal-Mart's McLane Co., Temple, Texas. Fleming currently supplies more than 700 stores for ConocoPhillips through an existing, multi-year agreement. Separately, Fleming will reportedly wind down operation at its Fort Wayne, Ind., distribution center in the weeks following the March 8 ending of its supply pact with Kmart.