Red Food
Encyclopedia
Red Food Stores, Inc. was a supermarket chain company headquartered in Chattanooga, Tennessee
. It operated stores mostly in northwest Georgia
, northeast Alabama
, and southeast Tennessee
. Around 55 stores were operated in the same three states. According to The Chattanoogan
, Red Food was a longtime icon in Chattanooga history.
, for their first time, Red Food sold turkeys for forty-five cents per pound to customers for Thanksgiving
. They also told customers to "invite a soldier and serve turkey this Thanksgiving." In 1979, Promodès
, a food distribution firm based in Caen
, France
, made a bid to buy Red Food Stores, Inc. for $23 million. By 1980, the acquisition was completed, for a total of $36 million. The Red Food purchase gave Promodès 23 supermarkets centered primarily in southern Tennessee, plus additional stores in Georgia and Alabama as well. In order to finance Promodès' expansion, which would invest more than Ffr 2 billion between 1979 and 1984, the company went public in 1979.
On April, 1989, Red Food Store's purchase of seven supermarkets in its hometown owned by Kroger Co.
was halted at virtually the 11th hour by the Federal Trade Commission
, which decided the merger would substantially hamper competition in the market. The FTC action came unexpectedly. A month later, the FTC issued a complaint, challenging Red Food Stores' $6.5 million acquisition of all seven Kroger Co. grocery stores in Chattanooga, Tennessee. The commission lodged the complaint after a Federal appeals court rejected its request for an injunction blocking the transaction.
In 1994, Red Food Stores, Inc. was bought by Ahold
for $129 million, while Red Food stores were changed into Ahold's BI-LO
stores in 1995. Advertisements showed a paper bag with the BI-LO logo (currently used today) standing in front of a paper bag with the last Red Food logo on it. BI-LO's slogan during that time was "BI-LO. The name fits."
Chattanooga, Tennessee
Chattanooga is the fourth-largest city in the US state of Tennessee , with a population of 169,887. It is the seat of Hamilton County...
. It operated stores mostly in northwest Georgia
Georgia (U.S. state)
Georgia is a state located in the southeastern United States. It was established in 1732, the last of the original Thirteen Colonies. The state is named after King George II of Great Britain. Georgia was the fourth state to ratify the United States Constitution, on January 2, 1788...
, northeast Alabama
Alabama
Alabama is a state located in the southeastern region of the United States. It is bordered by Tennessee to the north, Georgia to the east, Florida and the Gulf of Mexico to the south, and Mississippi to the west. Alabama ranks 30th in total land area and ranks second in the size of its inland...
, and southeast Tennessee
Tennessee
Tennessee is a U.S. state located in the Southeastern United States. It has a population of 6,346,105, making it the nation's 17th-largest state by population, and covers , making it the 36th-largest by total land area...
. Around 55 stores were operated in the same three states. According to The Chattanoogan
The Chattanoogan
The Chattanoogan and its website "Chattanoogan.com" is an online media outlet that concentrates on news from Chattanooga, Tennessee. It is published by John Wilson, previously a staff writer for the Chattanooga Free Press. The website was launched on September 1, 1999, and calls itself "one of the...
, Red Food was a longtime icon in Chattanooga history.
History
Red Food started in 1908 by Frank McDonald. During World War IIWorld War II
World War II, or the Second World War , was a global conflict lasting from 1939 to 1945, involving most of the world's nations—including all of the great powers—eventually forming two opposing military alliances: the Allies and the Axis...
, for their first time, Red Food sold turkeys for forty-five cents per pound to customers for Thanksgiving
Thanksgiving
Thanksgiving Day is a holiday celebrated primarily in the United States and Canada. Thanksgiving is celebrated each year on the second Monday of October in Canada and on the fourth Thursday of November in the United States. In Canada, Thanksgiving falls on the same day as Columbus Day in the...
. They also told customers to "invite a soldier and serve turkey this Thanksgiving." In 1979, Promodès
Promodes
Promodès is a former French group of retailers. It was owned up to 56% by the Halley family. Paul-Auguste Halley, which was a simple grocer in the Mancha in the 1950s, had the idea of importing the concept of supermarkets in France....
, a food distribution firm based in Caen
Caen
Caen is a commune in northwestern France. It is the prefecture of the Calvados department and the capital of the Basse-Normandie region. It is located inland from the English Channel....
, France
France
The French Republic , The French Republic , The French Republic , (commonly known as France , is a unitary semi-presidential republic in Western Europe with several overseas territories and islands located on other continents and in the Indian, Pacific, and Atlantic oceans. Metropolitan France...
, made a bid to buy Red Food Stores, Inc. for $23 million. By 1980, the acquisition was completed, for a total of $36 million. The Red Food purchase gave Promodès 23 supermarkets centered primarily in southern Tennessee, plus additional stores in Georgia and Alabama as well. In order to finance Promodès' expansion, which would invest more than Ffr 2 billion between 1979 and 1984, the company went public in 1979.
On April, 1989, Red Food Store's purchase of seven supermarkets in its hometown owned by Kroger Co.
Kroger
The Kroger Co. is an American supermarket chain founded by Bernard Kroger in 1883 in Cincinnati, Ohio. It reported US$ 76.7 billion in sales during fiscal year 2009. It is the country's largest grocery store chain and its second-largest grocery retailer by volume and second-place general retailer...
was halted at virtually the 11th hour by the Federal Trade Commission
Federal Trade Commission
The Federal Trade Commission is an independent agency of the United States government, established in 1914 by the Federal Trade Commission Act...
, which decided the merger would substantially hamper competition in the market. The FTC action came unexpectedly. A month later, the FTC issued a complaint, challenging Red Food Stores' $6.5 million acquisition of all seven Kroger Co. grocery stores in Chattanooga, Tennessee. The commission lodged the complaint after a Federal appeals court rejected its request for an injunction blocking the transaction.
In 1994, Red Food Stores, Inc. was bought by Ahold
Ahold
Ahold is a major international supermarket operator based in Amsterdam, Netherlands. Ahold is listed on Euronext Amsterdam and the Frankfurt Stock Exchange.-History:...
for $129 million, while Red Food stores were changed into Ahold's BI-LO
BI-LO (United States)
BI-LO is a supermarket chain headquartered in Mauldin, South Carolina. As of May 2010, BI-LO operates 207 supermarkets in South Carolina, North Carolina, Georgia, and Tennessee. The company employs approximately 17,000 people. Supermarket News ranked BI-LO No...
stores in 1995. Advertisements showed a paper bag with the BI-LO logo (currently used today) standing in front of a paper bag with the last Red Food logo on it. BI-LO's slogan during that time was "BI-LO. The name fits."