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C&S Wholesale Grocers to Acquire The Grocers Supply Company

Company Press Release

Keene, NH and Houston, TX – C&S Wholesale Grocers, Inc. and The Grocers Supply Company, Inc. announced today that C&S has agreed to acquire the wholesale distribution and supply business of Grocers Supply. The acquisition will include Grocers Supply’s warehouse and distribution operations in the Houston, Dallas, and Rio Grande Valley areas along with its approximately 1,800 employees, but will not include any of Grocers Supply’s retail operations. The transaction is expected to close before year-end and is subject to customary closing conditions, including regulatory approvals.

“The Grocers Supply Company has a century-long legacy of providing the highest level of service to its valued customers, which are primarily independent retailers and regional chains,” said Rick Cohen, C&S Chairman and CEO. “We very much look forward to partnering with the Grocers Supply team to continue this tradition and to expand the services and offerings available to its customers through the strength and scale of C&S. C&S is excited to enter the Southwestern United States market and to have the opportunity to service this growing and vital region.”

Grocers Supply distributes all major product lines, including grocery, frozen, dairy, meat, produce, general merchandise, and health and beauty care, and is also known as one of the leading distributors of Hispanic grocery products in the country, focusing on Texas-made and Texas-grown products. Grocers Supply’s largest customer is the Fiesta Mart chain of stores, which includes 60 retail locations, and is among the largest grocers in the country serving the Hispanic market.

“C&S is strongly committed to maintaining the service and product assortment that Grocers Supply’s loyal customers have come to expect,” said Cohen. “This is an exciting opportunity for both companies, as well our customers and employees, as we combine the best aspects of Grocers Supply and C&S to produce a truly differentiated offering to the independent grocer.”

Max Levit, President of Grocers Supply, said, “As the Levit Family planned for the next one hundred years, with the goal of sustaining the Grocers Supply wholesale business, we determined that selling the wholesale business would be in the best interest of its stakeholders. We carefully selected C&S Wholesale Grocers as the best choice for our employees and customers because of C&S’s commitment to growth, operational excellence, and service to independent grocers. We appreciate our loyal employees’ numerous accomplishments and look forward to seeing their future successes.”

Lazard Ltd is serving as financial advisor and Vinson & Elkins LLP is legal counsel to Grocers Supply for the transaction. Sullivan and Cromwell LLP is legal counsel to C&S.

About C&S Wholesale Grocers

C&S Wholesale Grocers, Inc., based in Keene, NH, is the largest wholesale grocery supply company in the U.S., supplying 5,000 independent supermarkets, chain stores, military bases, and institutions with over 150,000 different products. Founded in 1918 as a supplier to independent grocery stores, C&S now services customers of all sizes, from independent retailers to large chains.

About The Grocers Supply Company

The Grocers Supply Company, based in Houston, Texas is the largest wholesale grocery supplier in Texas, supplying over 900 independent grocery stores. Grocers Supply serves customers of all sizes, from single store independent retailers to chains such as Fiesta, FoodTown, Market Basket, Cox Foodarama / La Fiesta, Sellers Brothers, Minyard Food Stores, G. E. Foodland, and El Rio Grande.

Media Contacts

C&S Wholesale Grocers: Kristen Clark,

The Grocers Supply Company: Michael Nichols,