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7-Eleven Chooses McLane Company as Key Supplier to U.S. Stores

DALLAS - Leading convenience retailer 7-Eleven Inc., which celebrated its 75th birthday on Thursday, has signed a 40-month agreement with McLane Company Inc. to supply its U.S. stores. The new supply agreement designates the Temple, Texas-based grocery and foodservice distributor as the primary wholesaler for substantially all grocery, frozen food, health and beauty care, cigarettes, general merchandise and proprietary products sold in 7-Eleven stores.

Based on recent historical data, 7-Eleven stores will purchase an estimated $2 billion in goods annually from McLane. The contract is effective until January 2006.

7-Eleven said it was able to negotiate new terms including improved cost of goods, increased service-level standards and the flexibility to develop, test and implement innovative new demand chain solutions that address the specific distribution needs of its 5,300-store network. To accelerate the benefits of the new supply agreement, the company negotiated an early start date of Sept. 21, 2002.

"McLane Company has enjoyed a relationship with 7-Eleven that dates back to 1975, and we are excited to be chosen from among the other bidders and for the continued opportunity to service their stores," said Terry McElroy, president of McLane Grocery Distribution. "The last 10 years have seen 7-Eleven define a new, efficient model for distribution, and the McLane teammates are proud to continue to be associated with their success."

McLane Company Inc., a wholly-owned subsidiary of Wal-Mart Stores Inc., provides distribution services to multiple industries throughout the United States.
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