Spartan Stores enters distribution agreement with Chief Super Market

Spartan Stores Inc (Nasdaq:SPTN), a regional grocery distributor and retailer, has entered into a distribution agreement with Chief Super Market Inc, under which Spartan Stores will be its primary wholesale grocery supplier.

Chief operates 12 stores in northwest and west central Ohio under the Chief and Rays banners. Spartan Stores will assume distribution to all of Chief’s banners for grocery, dairy, frozen, bakery, and other products in March 2013.

“We are pleased to welcome Chief to our distribution network of independent grocers,” said Dennis Eidson, Spartan’s president and chief executive officer. “Chief is known for having strong grocery selections and well-merchandised stores and we look forward to supporting their continued success with our broad selection of private brand and national brand products, as well as value-added services. We are also very excited about our expansion into Ohio as securing new business in contiguous states is one of our key strategic business growth initiatives.”

Stephanie Skylar, Chief’s president and CEO, said, “We are committed to delighting our customers with great food and experiences, and believe that our new partnership with Spartan will help us achieve our mission as we offer our customers superior value and service.”

Grand Rapids MI-based Spartan Stores is the nation’s tenth-largest grocery distributor with 1.4 million square feet of warehouse, distribution, and office space in Grand Rapids. The company distributes more than 40,000 private and national brand products to about 375 independent grocery locations in Michigan, Indiana, and Ohio, and to 100 corporate-owned stores in Michigan. These include Family Fare Supermarkets, Glen’s Markets, D&W Fresh Markets, VG’s Food and Pharmacy, and Valu Land.