US food distributor and retailer Supervalu has said it is to acquire the Midwest operations that C&S Wholesale Grocers recently purchased from bankrupt food wholesaler and distributor Fleming.

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Supervalu added that Vermont-based C&S is to acquire Supervalu’s New England operations.

Minneapolis-based Supervalu said it expects the transaction to be neutral to its revenue on completion in mid-September. It expects to see a benefit to its 2005 earnings of between 7 cents and 10 cents per share. Supervalu said that the deal was aimed at boosting its efficiency and generating growth, reported Reuters.

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