Supervalu Gains $600 Million of Annualized New Supply Services With Retailers

MINNEAPOLIS -- Supervalu on Monday announced it has gained in excess of $600 million in annualized primary grocery wholesale business since the end of fiscal 2003, which ended Feb. 24, 2003. The company also said it may be interested in some of Fleming's assets.

Chairman and CEO Jeff Noddle said he was pleased with the company's success in building wholesale volume. "As we indicated a few months ago, our first priority was to provide temporary secondary supply services to Fleming-supplied retailers in order to maintain reliable product supply and service levels for their operations. Second, we continue to seek new customer relationships and convert secondary supply customers to primary supply relationships."

Commenting on Fleming's efforts to sell its grocery wholesale assets, Noddle added, "We will continue to monitor the bankruptcy process and may be interested in certain assets that fit with our long-term financial and strategic objectives. We are concerned about Fleming's continuing loss of independent retail volume due to the poor service levels since their bankruptcy filing on April 1, 2003."

Noddle said the distributor is aggressively seeking additional independent retailers. "Through our broad array of logistics services, Supervalu continues to provide many retailers, traditional and non-traditional, with the tools they need to succeed in today's increasingly expanding and competitive grocery channel," he said.
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