New Orleans area supermarkets

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Ephrata1966
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New Orleans area supermarkets

Post by Ephrata1966 »

What are the major supermarket players in New Orleans today? Does Kroger operate there? What about Publix? Or Randalls? All I know of is Rouses. A&P (Super Fresh?) and Albertsons have left the area. H-E-B had one store in Louisiana that closed. Apparently H-E-B, a Texas company, would rather operate in Mexico than Louisiana!
dooneyt63
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Re: New Orleans area supermarkets

Post by dooneyt63 »

Winn Dixie is the only large chain operator really left in the metro. Rouses has a considerable presence as A&P was the only other dominant chain left when they took over. New Orleans has a number of strong independents, most notably Dorignac's. A&P had swallowed up the remains of the old Schwegmann's which had previously swallowed the National Tea/Canal Villere operations. Winn Dixie, though much smaller and more regional than it had become before its retrenchment, is still a sizable chain.
krogerclerk
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Re: New Orleans area supermarkets

Post by krogerclerk »

Winn-Dixie and Rouse's are the two leading traditional supermarket chains. Walmart Supercenters have the leading market share with Winn-Dixie and Rouse's 2nd and 3rd respectfully. Additionally many independent supermarkets are found in the New Orleans region, the largest being Breaux Mart. Albertson's LLC has a North Shore(of Lake Pontchartrain) presence, including a store that recently opened in Mandeville.

Rouse's acquired 18 of the 21 A&P Sav-a-Centers in 2008., keeping 16 and selling 2 to Breaux Mart. The deal included the Royal Street A&P which is the oldest continuous operating supermarket in the US and has one of the highest sales per square feet of any supermarket in the US, under A&P's former and Rouse's current ownership. The New Orleans division of A&P itself was a hodgepodge of other chains including A&P,Albertson's, National/Canal Villere, and Schwegmann's. Canadian corporation Loblaw in 1995 sold the last 2 divisions( St. Louis and New Orleans) of National to St. Louis based Schnuck's. Schnuck's then sold the New Orleans stores to Schwegmann's, an early operator of supercenters, and once the dominant New Orleans chain. In 1998 A&P acquired Schwegmann's. Albertson's retreated from New Orleans in 2005, but remained in Baton Rouge. A&P itself had a long running presence in New Orleans as did National. Rouse's is based out of Thibodoux, LA and is more "Cajun" in orientation than "Creole" but as a regional has adapted to New Orleans tastes. Rouse's, Breaux Mart, and most independents carry local brands, local spices, BBQ ribs, have crab, shrimp, and crawfish boils, carry King Cakes among other local items.

Winn-Dixie is typical of the chain, as are Walmart Supercenters. As such, Walmart has impacted Winn-Dixie the most and most observers believe Winn-Dixie will eventually leave the region.

Kroger once operated stores in Baton Rouge, LaFayette, and Biloxi-Gulfport, MS being the closest the chain came to New Orleans. Randall's presence outside of Houston is limited to Austin, TX. H-E-B's lone Louisiana store was in Lake Charles, and was a smaller older store than is typical of the chain. Brookshire and Brookshire Bros. are in North and Central Louisiana but have avoided Southern Louisiana. Albertson's has a fairly solid position in most of the major cities of North and Central Louisiana and Lake Charles. Kroger is found in Lake Charles, Shreveport and Alexandria.
Ephrata1966
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Re: New Orleans area supermarkets

Post by Ephrata1966 »

This Safeway commercial aired in Shreveport around 1984: http://www.youtube.com/watch?v=P6EVq6wdIbU

Apparently, they left the area at the same time as Houston. But I don't suppose the Louisiana Safeways became AppleTree. Perhaps they all closed up?

And this store in Austin looks suspiciously like a Randalls, oddly enough: http://www.louisianaboy.com/id2.html
wnetmacman
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Re: New Orleans area supermarkets

Post by wnetmacman »

krogerclerk wrote:Kroger once operated stores in Baton Rouge, LaFayette, and Biloxi-Gulfport, MS being the closest the chain came to New Orleans. Randall's presence outside of Houston is limited to Austin, TX. H-E-B's lone Louisiana store was in Lake Charles, and was a smaller older store than is typical of the chain. Brookshire and Brookshire Bros. are in North and Central Louisiana but have avoided Southern Louisiana. Albertson's has a fairly solid position in most of the major cities of North and Central Louisiana and Lake Charles. Kroger is found in Lake Charles, Shreveport and Alexandria.
Brookshire's and Brookshire Brothers keep a fairly separate geographic profile. BGC has namesake stores along the I-20 corridor, and Natchitoches and Mansfield. They have Super 1 Foods stores in Shreveport/Bossier, Monroe/West Monroe, Alexandria/Pineville, Ruston, and 6 stores in Lafayette, Eunice, Abbeville, Opelousas and New Iberia. Brookshire Brothers are in Many, Leesville, DeRidder, Sulphur and DeQuincy, all along the western border. The lone HEB in Louisiana has been closed for several years, but was originally a Delchamps store, just after Delchamps left the western parts of their territory. It was an HEB Pantry store.

As for New Orleans, large chains such as Safeway, Kroger and the like avoided the town for a simple reason: outside companies (pre Walmart) didn't fare well in the city. Corner stores owned by locals have always fared better there. A&P and Winn Dixie were the lone exceptions. A&P was very profitable there, but the geographic separation from the rest of their operation hindered the operation. Winn Dixie has done well because they're the last major chain standing. Walmart wins strictly on price, but not on local fare. Dorignac's, Breaux's Mart, and most recently, Rouse's, do well there because they sell what the locals want. Kroger left Baton Rouge and Lafayette in the early 80's, just after building a handful of greenhouse stores.

The Safeway stores in Louisiana were mainly in Monroe and Shreveport. The Shreveport stores were in the Dallas division. Everything east of Shreveport was in the Little Rock division (including a store in Minden 20 miles east). Those stores became Harvest Foods after Little Rock shut down, but none of the Louisiana stores were ever a part of Apple Tree. Most were purchased by Brookshire. Several still operate as Brookshire's.

Albertsons never did well in New Orleans. They built a few stores, but purchased several from Delchamps. Theese store actually performed worse as Albertsons than as Delchamps. The closest store to New Orleans is in Mandeville. Albertsons sold several stores to A&P when they left; all of these are now Rouse's. There was an article that Albertsons LLC was going to purchase an old Winn-Dixie in Denham Springs to reopen, but work has not started yet.
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wnetmacman
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Re: New Orleans area supermarkets

Post by wnetmacman »

krogerclerk wrote:In 1998 A&P acquired Schwegmann's.
Not quite. After purchasing what was left of the New Orleans National/Canal Villere/Real Superstore chain, Schwegmann was saddled with heavy debt. They filed for bankruptcy. A&P took the stores they wanted, specifically the larger, profitable stores, and closed everything outside New Orleans. At the time of the closure, Schwegmann had several stores outside the greater NO area, but none were kept open, including a very well preserved Real Superstore on Greenwell Springs Road in Baton Rouge. The store has been closed for over 14 years, but still looks like it could open tomorrow. Only a small handful of stores remained open after the sale to A&P. National had over 2 dozen stores from Lafayette to Slidell before the closures.
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Ephrata1966
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Re: New Orleans area supermarkets

Post by Ephrata1966 »

wnetmacman wrote:
Albertsons sold several stores to A&P when they left; all of these are now Rouse's. There was an article that Albertsons LLC was going to purchase an old Winn-Dixie in Denham Springs to reopen, but work has not started yet.
Get out! How long did they last as A&P? Did these stores assume the Sav-a-Center banner? Albertsons only lasted from 1995-early 2002 in Houston as well. A&P/Super Fresh was also closing stores during that time, many of which had a short run. Albertsons Houston built some really classy stores around 2000. Most are now Kroger. These did remind me of a few A&Ps, like the ones in Atlanta that are now Kroger too. There was a Super Fresh a lot like this in Valley Forge, PA which oddly enough is now a Pathmark Sav-a-Center. This store replaced a Centennial A&P building, and has outlived the nearby Genuardi's which opened in 1981, closed August 21.

A&P did buy some stores from Food Fair/Pantry Pride, oddly enough. This was part of their brief "Plus" discount program in the Philadelphia area.
krogerclerk
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Re: New Orleans area supermarkets

Post by krogerclerk »

Safeway in Shreveport was part of the Dallas division, and I believe Monroe was part of the Little Rock division. The Dallas division stores were sold piecemeal and never became AppleTree Markets. The Monroe, LA Safeways closed several years before the Little Rock and Dallas divisions did, never becoming Harvest Markets(Little Rock).

Randall's in Austin began as Tom Thumb, Safeway changed the Austin stores from Tom Thumb to Randall's after acquiring Randall's(and Tom Thumb).
Ephrata1966
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Re: New Orleans area supermarkets

Post by Ephrata1966 »

krogerclerk wrote:
Randall's in Austin began as Tom Thumb, Safeway changed the Austin stores from Tom Thumb to Randall's after acquiring Randall's(and Tom Thumb).
What would the reason for that be? I have never been to a Tom Thumb. How different is that chain from Randall's? But I know Randall's bought them in 1992, and gave them a new logo. Then Safeway bought Randall's in 1999.
wnetmacman
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Re: New Orleans area supermarkets

Post by wnetmacman »

krogerclerk wrote:Safeway in Shreveport was part of the Dallas division, and I believe Monroe was part of the Little Rock division. The Dallas division stores were sold piecemeal and never became AppleTree Markets. The Monroe, LA Safeways closed several years before the Little Rock and Dallas divisions did, never becoming Harvest Markets(Little Rock).
Actually, several of the Safeway stores around Monroe DID become Harvest Foods. Most notably, West Monroe, Ruston and Minden were all Harvest Foods. The West Monroe and Minden stores are now Brookshire's, while the Ruston store sat empty for several years before being taken over by the County Market who moved across the street.

Harvest Foods had a really interesting history, surviving longer than Apple Tree, but ultimately being taken over by their distributor, Affiliated Foods Southwest, who liquidated last year. When AFS bought Harvest Foods, they sold quite a few of the stores to Brookshire, and sold almost all of what was left to independant operators.
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Re: New Orleans area supermarkets

Post by pseudo3d »

Reading old Supermarket News articles shows that Weingarten was in Arkansas and Louisiana, and those were bought and quickly changed over to Safeway in January 1984. The southern Louisiana stores were part of the Houston division, but were all closed by the end of 1985, so they never became AppleTree. The northern Louisiana stores were part of the Little Rock division, and they did become Harvest Foods. (The Dallas division became neither, they all were sold off by the end of the 1980s).

It's also worth noting that Kroger sold off its Baton Rouge area stores to A&P. There's even a few Greenhouse Kroger buildings hanging around that still obviously look like Greenhouse Kroger stores...some even still operating as supermarkets!

Additionally, Schwegmann would sell to A&P in '99, not '98 (plans were for a slow conversion for some stores, but in the end, Schwegmann closed and the A&P-sold stores would close for remodeling). Schwegmann had been weakened with forced divestments from buying National, as well as other store closures (I found an article that had the Real Superstore closed in 1997).

Hope that clears up any misconceptions.
wnetmacman
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Re: New Orleans area supermarkets

Post by wnetmacman »

pseudo3d wrote:Reading old Supermarket News articles shows that Weingarten was in Arkansas and Louisiana, and those were bought and quickly changed over to Safeway in January 1984. The southern Louisiana stores were part of the Houston division, but were all closed by the end of 1985, so they never became AppleTree. The northern Louisiana stores were part of the Little Rock division, and they did become Harvest Foods. (The Dallas division became neither, they all were sold off by the end of the 1980s).
None of the Louisiana Weingarten stores ever changed to Safeway. They stayed Weingarten until they closed. They only operated their namesake stores along I-20 and points north in Louisiana (Shreveport and Bossier City under the Dallas division, and Minden, Ruston (2 stores), West Monroe, Monroe and Bastrop under Little Rock.)
pseudo3d wrote:It's also worth noting that Kroger sold off its Baton Rouge area stores to A&P. There's even a few Greenhouse Kroger buildings hanging around that still obviously look like Greenhouse Kroger stores...some even still operating as supermarkets!
A&P only got two stores from Kroger; a store on Florida Blvd. that is now empty and a store on Greenwell Springs road that was the last A&P store in BR, but is still open as an independent store. Both stores still look like greenhouse stores. Additionally, a store in Lafayette was sold to Delchamps, but that store closed in 1998, just after a Brookshire-owned Super 1 Foods opened across the street.
pseudo3d wrote:Additionally, Schwegmann would sell to A&P in '99, not '98 (plans were for a slow conversion for some stores, but in the end, Schwegmann closed and the A&P-sold stores would close for remodeling). Schwegmann had been weakened with forced divestments from buying National, as well as other store closures (I found an article that had the Real Superstore closed in 1997).
The Schwegmann family sold the company in 1995 to KKR. Within a year, the company folded. Some of the stores operated under their original name when A&P bought them in 1997, until A&P could get them remodeled, hence the Real Superstore closing date of 1997. None of the Superstores outside of New Orleans were purchased by A&P, which included stores in Lafayette and Baton Rouge. The Lafayette store sat empty for almost 10 years before it was razed for a movie theater. The BR store still sits empty.
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pseudo3d
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Re: New Orleans area supermarkets

Post by pseudo3d »

Schwegmann didn't sell to KKR in 1995, though they did buy the New Orleans division of National Foods from Schnucks, which was the beginning of the end. The 28 store chain had to have 8 stores divested ("Schwegmann, Schnuck deal OK'd." Supermarket News 12 June 1995), later reduced to 7 ("National sues Schnuck, Schwegmann; claims breach of acquisition contract." Supermarket News 25 Mar. 1996). By early 1996, Schwegmann was phasing out the National brand names and had intended to ultimately rebrand the stores as well ("Schwegmann brand enters ex-National Tea Co. stores." Supermarket News 22 Jan. 1996). However, by late 1996, Schwegmann was looking to sell itself, saddled by the $150 million acquisition fee and debt. The deal with KKR would have them operate the stores and Schwegmann lease the locations back to the new owners. This was when the Schwegmann name entered serious doubt and the people of New Orleans understood that the store was about to disappear forever. (New York Times article here)

When the deal closed, John F. Schwegmann retired, and two stores were divested: another National and Abbeville's "That Stanley". 22 of the stores kept were large Schwegmann stores, two were larger The Real Superstore stores (one in Baton Rouge which opened in the mid-1980s), and two Canal Villere stores (35k square foot stores from the National family). The distribution center was leased to SuperValu. ("Schwegmann is acquired by Kohlberg; CEO retires." Supermarket News 24 Feb. 1997)

Kohlberg appeared to be turning around the chain ("Reversal of fortune: sales and earnings are both on the rise at Schwegmann less than one year after its acquisition by Kohlberg & Co." Supermarket News 1 Dec. 1997) and was talking about expanding (buying some sites from the floundering Delchamps and mentioning a lone MS store of theirs), but by late 1997, the two Baton Rouge stores (Real Superstore and the Schwegmann, both of which opened in the mid-1980s) were on the chopping block. (link)

That left Schwegmann with 24 stores, all in the New Orleans area. Here's where it gets a bit confusing--there's another news article that says that Schwegmann closed their Hammond, La store in mid-1998, but the store counter remained at 24. This suggests that perhaps Schwegmann DID buy at least one Delchamps, because by March 1999, Schwegmann had 24 stores. "Of the 18 stores Schwegmann will retain, 10 are in urban areas and eight in suburban markets, the spokesman said. Those stores range in size from 22,000 square feet to 250,000 square feet; the stores being sold average 100,000 square feet, he added." The 22k square foot store seemed to be even smaller than the ones that KKR originally acquired (unless one of the Canal Villere stores was that small--or maybe there was a discrepancy somehow). So in March 1999, Schwegmann would sell six of the 24 to A&P, which would convert them to A&P Sav-a-Center by year-end (keeping the Schwegmann name during the process). ("A&P PLANS TO BUY SIX SCHWEGMANN UNITS." Supermarket News 15 Mar. 1999). In April 1999, Schwegmann decided to file bankruptcy and sell everything, with the A&P-sold stores closing outright for remodeling. And so endeth the story of Schwegmann ("SCHWEGMANN IN CHAPTER 11; PLANS TO SELL ALL 24 UNITS." Supermarket News 5 Apr. 1999)

On Kroger:
An article headline said that A&P bought Baton Rouge Kroger locations, but there's no article. I'm not sure how many they actually ended up getting--there's definitely a former Greenhouse at Airline and Jefferson Highway (southeast, closer to the Tiger Bend side) that's now an indoor go-kart track, but it's probable that it operated as an A&P at least part of the time. The Greenwell Springs store did remain as the last Sav-a-Center store (there was also a Super Fresh in BR now an indoor bowling alley, don't know when that closed either). I also found an article that A&P's first Futurestore was a former Kroger as well ("A&P Futurestores in La., NJ use black, white decor." Supermarket News 3 Dec. 1984), and not just that, but it was also in Baton Rouge--not New Orleans!
BATONROUGE, La. -- Predominantly black-and-white decor and a full spectrum of service departments are features at A&P's new Futurestores, the second of which opened last week in Allendale, N.J.

Pictured on this page is the first store, which opened here last month.

A&P says it plans to open three more Futurestores (SN, Oct. 1, Page 1).

The store here is a former Kroger unit of 34,917 sq. ft., with a selling area of 25,295 sq. ft.
Another article mentions that Kroger had six stores in Baton Rouge ("Kroger and Wetterau in Mich. wholesaling." Supermarket News 28 May 1984), so we've identified at least three now.

On Safeway, Safeway purchased 46 Weingartens and all reopened them all under their own names within a few days. This is consistent with the Houston Weingarten stores becoming Safeway except for one store near the Galleria that remained open until 1986 as an independent supermarket. ("Safeway confirms buying 46 Weingartens." Supermarket News 16 Jan. 1984)

Here's the news article, with a few paragraphs cut for relevancy/copyright concerns:
Safeway confirms buying 46 Weingartens

Supermarket News

Safeway Confirms Buying 46 Weingartens

Safeway Stores has agreed to purchase 46 of Grnad Union Co.'s Weingarten stores and the company's frozen food warehouse here. This confirms a Dec. 19 story in Supermarket News. The deal leaves only 13 of 70 Weingarten units and its 27-acre distribution center unsold. Any stores still on the market were to have been closed by 4 p.m. yesterday. Grand Union also is attempting to sell six stores closed earlier.

Safeway was to have closed the stores Saturday and reopened them yesterday and today under its name. Thirty of the markets are here, seven in southearn Louisiana and nine in eastern Texas. Five Weingarten units here have gone to Rice Food Markets and two to Fiesta Mart, while Gerland's Food Fair has bought four, accoridng to executives at those chains. The others have been bought by independents or are being negotiated for by wholesalers for their customers.

[talks about the increased market share they'll have in Houston]

Safeway's purchase of the seven southern Lousiana Weingartens marks the chain's entry into that market, said Philip Horton, Safeway corproate senior vice president, real estate and engineering. The chain operates units in northern Louisiana.

When Grand Union confirmed its intention of selling the Weingarten chain two weeks ago, a spokesman said the move was being made "to allow us to concentrate our resources in stronger marketing areas.'

Weingarten has steadily lost market share in this area since it was acquired by Grand Union in 1979.

Terms of none of the agreements for the Weingartens were disclosed. However, Stanford Alexander, president of Weingarten Realty here, which owns all the Weingarten properties except the distribution center, noted, "We worked with Grand Union Co. to maximize leasehold and fixture prices. We really achieved what they (Grand Union) wanted in each case.'

Lee Roys Greater, senior vice president of 25-store Market Basket, Nederland, Tex., was negotiating for two Weingartens in east Texas. He noted that inventory was going for its value, minus a percentage for depreciation.

Despite healthy prices for its units, Grand Union is expected to suffer heavy labor-related costs, including at least $8.75 million in pension-fund withdrawal liabilities (SN, Jan. 2, Page 2).

Grand Union employs 3,500 in its Weingarten division. Of these, 500 work from the company's divisional headqurters and 300 from the firm's warehouses.

Safeway, Rice and Gerland's all have said they plant ot keep most Weingarten employes in the units the firms acquired. Each chain has a 30-45-day grace period to decide who to keep on.

A labor source noted the issue is complicated by the fact that workers laid off by the chains within the past year may be entitled to seniority over the Weingarden employes.

The fate of headquarters personnel is unknown A Grand Union spokesman declined to comment on how many people would be laid off. Horton noted Safeway has no plans to take on any management people.

Safeway's acquisition includes seven of Weingarten's upscale Food Markets, a Grand Union spokesman said. Trade sources here estiamted the Weingarten stores' sales had run $120,000-300,000 a week.

Safeway is planning to open eight or nine stores in this area in 1984, Horton said. The acquired units will be remerchandised and remodeled over the next two or three years as part of an overall Safeway remodeling program here.

"This will include new interior decor where needed and upgrading of cases,' Horton said. Many of the Weingartens already have service departments, he said. Remodeling "will be decided on a store-by-store basis.'

[paragraphs that talk about Rice and Fiesta acquiring stores and their plans]

Weingarten Realty's Alexander noted that of the 13 unclaimed stores, nine have been spoken for and parties have expressed interest in the others. All are outside this Houston area. One is a six-weeks-old Food Market in Bryan-College Station, Tex., Alexander said.

Full Text: COPYRIGHT 1984 Penton Media, Inc., Penton Business Media, Inc. and their subsidiaries.
http://www.penton.com/
Another article talks about the rest of the Grand Union divestments of Weingarten and sister stores, with only one store not spoken for "a new store in Bryan College Station, Tex., as well as the distribution center, is still on the market", which I have OTHER articles that it DID close after a short run of just a few months, though did reopen as an independent by the end of the year. ("G.U. store auction gets buyer interest." Supermarket News 23 Jan. 1984)

However, the Safeway Louisiana stores were sold by the end of 1985. ("Safeway sells 8 stores in La." Supermarket News 28 Oct. 1985)
A Safeway spokesman last week confirmed reports that the chain is selling the eight southern Louisiana stores that were part of its purchase of Weingarten units from Grand Union several years ago.

The stores, part of Safeway's Houston division, are in Lafayette, Lake Charles, Sulphur and De Ridder. They are older, small stores that don't fit into the company's plans, the spokesman said.

Safeway will continue to operate the 11 stores in northern Louisiana it had before the Weingarten acquisition.
And of course, Safeway's ultimate plan to remodel the Weingarten stores they had never happened because by 1988, the whole Houston chain spun off to AppleTree. AppleTree never had any money to remodel, was saddled by enormous debt, went bankrupt, and was pretty much wiped out by the end of 1993 mostly due to a price war.

Those 11 stores remained, and another article mentioning the Little Rock division had 10 stores in that division in Louisiana, but when the Dallas division was sold, that did include three Safeway stores.

[wow, that was a long post, and I almost lost the whole thing!]
pseudo3d
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Re: New Orleans area supermarkets

Post by pseudo3d »

Ephrata1966 wrote:
krogerclerk wrote:
Randall's in Austin began as Tom Thumb, Safeway changed the Austin stores from Tom Thumb to Randall's after acquiring Randall's(and Tom Thumb).
What would the reason for that be? I have never been to a Tom Thumb. How different is that chain from Randall's? But I know Randall's bought them in 1992, and gave them a new logo. Then Safeway bought Randall's in 1999.
Randalls converted the Tom Thumb stores in Austin around 1994, right around the time they also bought the AppleTree stores there and introduced beer and wine to the whole chain. The Tom Thumb name remains though.
wnetmacman
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Re: New Orleans area supermarkets

Post by wnetmacman »

pseudo3d wrote:Those 11 stores remained, and another article mentioning the Little Rock division had 10 stores in that division in Louisiana, but when the Dallas division was sold, that did include three Safeway stores.

[wow, that was a long post, and I almost lost the whole thing!]
There were 10 Little Rock-based stores. Minden, Ruston (2 stores), West Monroe, Bastrop, Monroe and a couple of others.

Shreveport (2 stores) and Bossier City (1 store) were part of the Dallas division.

The stores in Lafayette and along I-10 were owned by Safeway, but were never branded as such.
Scott Greer
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