Private Carrier McLane Expands Food Service Footprint
McLane Co., a private grocery and food service carrier, has reached a deal to manage supply chain services for Circle K convenience stores.
The agreement allows McLane, based in Temple, Texas, to service 2,143 stores in the Midwest and eastern United States over the next two years.
“It is an honor to be chosen to service such a significant amount of the Circle K business, and to expand our relationship with Circle K,” McLane President Tony Frankenberger said in a statement.
Parent company Couche-Tard also extended a multiyear agreement with McLane to continue to serve 1,356 former Pantry locations in the Southeast.
McLane and its subsidiaries operate 80 distribution centers across the United States and own more than 9,000 tractors, trailers, straight trucks and cargo vans.
Core-Mark Holding Co., which used to be the supplier, will maintain a relationship with Circle K, serving stores in other parts of the United States, according to the company. Circle K has more than 4,100 convenience stores in 44 states.
“We are disappointed that we did not retain all of the stores during this renewal process,” Core-Mark President and CEO Thomas Perkins said. “But, our long-standing partnership with this industry-leading retailer remains strong.”
McLane also inked a multiyear deal with fred’s Pharmacy to distribute items to the 650 stores it has in the Southeast, beginning in October.
“Partnering with McLane as an alternate distribution source allows us to improve our efficiencies and overall direct-to-store process including our ability to improve service, assortment, and freshness; and ultimately grow sales and profit,” fred's CEO Michael Bloom said.
McLane ranks No. 10 on the Transport Topics Top 100 list of the largest private carriers in North America, and Core-Mark is No. 48.