GRAND RAPIDS, Mich. — Spartan Stores, Inc., (Nasdaq:SPTN) today, announced that it has reached an agreement with the Teamsters Local 337 representing bargaining unit employees regarding the transition of the Companys Plymouth, Michigan dry grocery operations to its Grand Rapids, Michigan facility.
As previously announced, operations at the 415,000 sq. ft. facility are expected to transition to Grand Rapids, Michigan by the end of the Companys fiscal 2010 fourth quarter. The Company expects to offer employment opportunities for Plymouth Teamsters employees at its Grand Rapids distribution center.
The Plymouth transition furthers the Company’s supply chain optimization initiative, which is expected to improve operational efficiency by increasing inventory turns, warehouse thru-put, and capacity utilization while reducing inventory investment requirements.
We are pleased to have reached this agreement with our Plymouth facility bargaining unit employees and to offer job opportunities at our Grand Rapids distribution center, stated Dennis Eidson, Spartans President and Chief Executive Officer. This agreement continues our longstanding and cooperative relationship with our collective bargaining unit employees. We are anticipating a seamless transition of operations to our Grand Rapids facility and, in addition to the operational efficiency gains, believe that our distribution customers will benefit from the consolidation initiative. We are constantly striving to bolster our leading position as a low cost, highly efficient and effective grocery distributor. When complete, this network optimization plan will further strengthen our position as the leading grocery distributor in Michigan.
Source: Spartan Stores Inc.
