ZAANDAM, The Netherlands, Dec. 5, 2002 (PRIMEZONE) -- Ahold's (NYSE:AHO) wholly-owned foodservice subsidiary in the United States, U.S. Foodservice, today announced that a definitive agreement has been signed and the transaction has closed, to acquire Allen Foods, Inc. ("Allen") of St. Louis, Missouri. Allen is a broadline foodservice distributor that services the St. Louis, Kansas City and southern Illinois market. In its most recent fiscal year Allen produced food service net sales of approximately USD 245 million. The acquisition does not include Halben Food Manufacturing Co., Inc., which was retained by the Allen shareholders.
Commenting on the transaction Jim Miller, Chief Executive Officer of U.S. Foodservice stated: "This acquisition fits into Ahold's strategy of strengthening the core business. Allen is one of the most respected names in the food service industry. Together, Allen and U.S. Foodservice will be able to better service our customers in this large and important market. Stanley Allen's strong management style and principles will be an excellent addition to our business. We welcome Allen's customers and employees to the U.S. Foodservice family."
Stanley Allen, President of Allen, who will continue as President of the St. Louis division of U.S. Foodservice, stated: "We are excited by the opportunity to join our family business with the U.S. Foodservice family. We will enhance U.S. Foodservice's local expertise and presence and use the strengths of both companies to better serve our customers throughout Missouri and southern Illinois." Richard Allen will also remain with the company as Executive Vice President of the St. Louis division of U.S. Foodservice.
Allen Foods, Inc. provides broadline distribution of approximately 11,000 items to 5,400 customers throughout the Central Plains Region of St. Louis and Kansas City, Missouri, and southern Illinois. Founded in 1901, Allen was the largest independent broadline foodservice distributor serving the Central Plains Region. The Los Angeles investment-banking firm of Greif & Co. represented Allen in this transaction.
U.S. Foodservice, headquartered in Columbia, Maryland, was acquired by Ahold in April 2000. The company now serves more than 300,000 institutional customers with some 43,000 food products and related items.
Ahold is a food retailer and foodservice operator serving 40 million customers in 27 countries every week, with 2001 sales of Euro 66.6 billion. Under their own brand names, Ahold companies operate approximately 9,000 stores in the U.S., Europe, Latin America and Asia. In addition to the United States, Ahold also operates foodservices activities in three European countries.