Contact: Lori O. Willis
Director of Communications
Schnucks Announces Plans to Close Its Riverdale Store in the Mid-South
ST. LOUIS - Craig D. Schnuck, chairman and chief executive officer of Schnuck Markets, Inc., today announced that the Schnucks store located at 5270 Riverdale Road in Memphis, Tenn. will close Saturday, March 15 at 6 p.m. The Schnucks Express convenience store and fuel center also on Riverdale Road will continue to operate.
Schnucks acquired the former Seessel's Supermarket in 2002, as part of an agreement with Albertson's, Inc. that included 9 other stores in Tennessee and two in Mississippi. The Riverdale store first opened in 2001. It is the newest of Schnucks Mid-South properties, and at approximately 68,000 square feet, it is also the largest.
Schnuck said, "When we bought the store last June, we had doubts about Riverdale's economic viability and assigned zero value to it." He added, "All of our experience told us that there was very little chance of making Riverdale profitable. After eight months, we concluded the area simply could not generate enough sales to sustain a grocery store of this size."
The closing of the Riverdale store will result in the reassignment of approximately 70 associates. The company intends to place associates in other stores where possible. Schnuck said, "We will do everything we can to make this transition a smooth one for both our customers and our associates."
While Schnucks believes the location is not conducive to a large grocery operation, the company is confident that there are other uses for the building and land that might better serve area residents. Consequently, representatives of Schnuck Markets, Inc. are seeking new tenants for the property. All interested parties should contact Karen Holman, vice president of asset management, at the Desco Group at
Schnuck says the closing of the Riverdale store will not thwart the company's plans to build three new stores in the Mid-South as announced last December. Although completion dates for Schnucks stores in Germantown, Collierville and northeast Memphis have not yet been finalized; the new stores are slated to open in 2004.
Including Riverdale, Schnuck Markets, Inc. currently operates 102 stores and 93 in-store pharmacies in Missouri, Illinois, Indiana, Wisconsin, Tennessee and Mississippi. This includes five stores that operate as Logli Supermarkets. The family owned company was founded in St. Louis in 1939.
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