Ahold adds to food service division - Food Retailing - Brief Article

Eurofood, Sept 26, 2002

Royal Ahold, the Netherlands-based food retail and food service giant, has expanded its food service interests in the US, following the announcement of a deal with Lady Baltimore Foods.

Ahold's wholly-owned foodservice subsidiary in the US, US Foodservice, announced it has reached agreement to acquire certain assets and assume certain liabilities of Lady Baltimore Foods, a prominent regional broadline foodservice distributor based in Kansas City, Kansas.

The assets involved in the deal include Lady Baltimore's net working capital and its goodwill.

Royal Ahold said its US Foodservice unit will extend offers of employment to a number of Lady Baltimore's employees, including the majority of its sales force.

Q3 COMPLETION

The Dutch concern said it expects the transaction to be completed in the third quarter of 2002.

The US firm sells and distributes over 14 000 food items and kitchen supplies to a broad base of institutional customers that includes restaurants, schools and the healthcare.

Royal Ahold acquired the US Foodservice division back in April 2000.