Albertsons Expands KeHE Supply Deal

Albertsons has selected KeHE Distributors (KeHE) as its primary distribution partner to supply natural, organic, specialty and fresh products to its nationwide network of more than 2,200 grocery stores in 33 states and the District of Columbia.

The new pact with Albertsons significantly expands KeHE's existing business with the Boise-based retailer, particularly in the western United States.

"Our account team has delivered superior operational results and helped Albertsons Companies grow its business," said Mike Leone, KeHE's chief commercial officer. "This decision is an affirmation of that."

With KeHE's new distribution center in northern California and planned upgrades this year to its distribution centers in Portland, Ore., and Flower Mound, Texas, Leone said KeHE has the infrastructure and capacity to successfully manage the Albertsons' distribution requirements. Additionally, the expanded partnership will have a positive impact on KeHE's other customers and will result in increased business volume and projected increased service levels that will also be enhanced across its entire U.S. distribution network.

Employee-owned, Naperville, Ill.-based KeHE provides natural, organic, specialty and fresh products to natural food stores, chain and independent grocery stores and other specialty product retailers throughout North America.