US food distributor and retailer Nash Finch has announced that it will exit its Buy n Save and Avanza retail formats, closing its five Buy n Save outlets, and three Avanza outlets located in Chicago and Pueblo, Colorado.
The company also intends to seek purchasers for its three Denver area Avanza stores. It will also close ten conventional outlets, primarily operating under the EconoFoods banner.
The 21 stores involved represent approximately 15% of Nash Finch’s annualised retail sales, and approximately 3% of its total annualised sales. The company expects that the store closures will be completed by the end of its second fiscal quarter.
Nash Finch said it had determined that prospects for improvement at these locations and formats within an acceptable time frame were not sufficient to justify continued investment.
“Exiting these underperforming assets is consistent with the company’s commitment to continue to lower operating costs, improve its balance sheet, and focus investment and attention on core areas of its business that offer a better return to shareholders,” the company said.