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Harveys tightens belt as Food Lion grows

The supermarket chain Harveys, owned by the Belgium-based Delhaize Group, plans to shut its Nashville GA distribution center in May 2006.

To trim costs and enhance the resources of its sister banner Food Lion, Harveys will consolidate some of its corporate office functions. This will affect about 200 employees between now and third quarter 2006. Harveys stores will be supplied by Food Lion distribution centers in South Carolina and Florida.

Meanwhile, bolstered by strong sales, Salisbury NC-based Food Lion said it plans to open 10 new stores in the Greenville-Spartanburg SC market in 2006. The retailer will initiate a market renewal of its 77 stores in Washington DC in 2006. Food Lion's operating profits in the United States rose 0.4% to $222.6 million in the fiscal third quarter ended October 1.

TAGS: Grocery
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