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MONTVALE, N.J. -- The Great Atlantic & Pacific Tea Co. here has terminated its longtime contract with Di Giorgio Corp. as its food distributor in an effort to save money, according to a report in yesterday's Star-Ledger newspaper.
Carteret, N.J.-based Di Giorgio, which distributes White Rose private label, will end its relationship with A&P within 30 days, according to a regulatory filing. The A&P business accounted for about 25 percent of Di Giorgio's revenues.
Union officials and industry observers told the newspaper that A&P was trying to save money. Brattleboro, Vt.-based C&S Wholesale Grocers, which also supplies competitors Pathmark, Stop & Shop, and other chains, will take over A&P's distribution.