Penn Traffic, C&S sign produce contract

The Penn Traffic Company has signed a produce procurement contract with C&S Wholesale Grocers Inc., the nation’s second-largest food wholesaler. Effective March 1, 2008, the agreement will allow Penn Traffic to benefit from purchasing cost efficiencies while expanding access to new and alternative products.

Keene NH–based C&S Wholesale Grocers, which serves 5,000-plus stores from more than 70 locations in 12 states, will provide sourcing, purchasing, and inbound logistics services for all of Penn Traffic’s retail stores and wholesale customers.

Penn Traffic will continue to operate all of its warehouse and transportation functions, including internal management of out-bound product delivery to retail stores and wholesale customers, as well as merchandising and inspection teams.

With 98 supermarkets in Pennsylvania, upstate New York, Vermont, and New Hampshire, Penn Traffic operates under the BiLo, P&C, and Quality trade names. The firm also has a wholesale food distribution business serving about 121 independent operators.

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