Michigan Retailer Closes Thirteen Groceries

The 13 stores fell short of the company's financial performance targets andwere losing money, said company officials.The options being considered for the remaining 26 Food Town stores include asale to other retail grocery operators and/or the conversion of selectstores to other formats. The 13 stores generate approximately $110 million in annual retail sales,said the company.

James Meyer, chairman of the company, said he regrets having to make thedecision:"It is necessary to help expedite the process of returning our retailoperations to profitability. We have taken this step as a last resort aftercareful evaluation of all possible options and we greatly appreciate theefforts and loyalty of the affected associates."

He also said the company will review the remaining 26 Food Town stores and willreach a decision before March 29.The president of the company, Craig Sturken, said the closings will helpstrengthen its market position."Excess retail grocery store capacity in the Toledo area market has made itdifficult for many grocery operators to maintain profitable operations," henoted.

Locations of the 13 Ohio stores being closed include those in Toledo on MainStreet, W. Alexis Road, Lewis Avenue, Secor Road, Sylvania Avenue, AirportHighway and Monroe Street, and on Front Street in Maumee, Navarre Avenue inOregon, S. Main Street in Bowling Green, Woodville Road in Northwood,Sylvania Avenue in Sylvania and W. Perkins Road in Sandusky.

The company owns and operates 94 supermarkets and 21 deep-discount drugstores in Michigan and Ohio, including Ashcraft's Markets, Family FareSupermarkets, Food Town, Glen's Markets, Great Day Food Centers, Prevo'sFamily Markets and The Pharm.