Bergen Brunswig Announces New Agreement With Spartan Stores Acquisitions; New Supply Agreements Confirm Success of Initial Contract
The expanded contract is expected to contribute $95 million in new business to the current agreement. "The conversion of their new acquisitions illustrates Spartan's satisfaction with our current service," said David Neu, president, BBDC Retail. "We have had a successful relationship with Spartan and this agreement will further enhance our partnership and also give Bergen a strong identity in the Toledo marketplace."
As part of the agreement, the newly acquired stores will also utilize Bergen's Generic Purchasing Program (GPP), the industry's most successful generic program, combining the power of over 9,000 pharmacies.
"Our decision to convert our new acquisition to Bergen was due to the many successful and valued programs and services they offer to our pharmacy department," said Glenn Sievert, Pharmacy Services Manager of Spartan Stores. "We have been extremely pleased with Bergen's outstanding performance with core competencies."
Based in Grand Rapids, Mich., Spartan Stores, Inc. owns and operates 127 supermarkets and drugstores in Michigan and Ohio under the Ashcraft's Markets, Family Fare Supermarkets, Food Town, Glen's Markets, Great Day Food Centers, Prevo's and The Pharm banners. As a wholesale distributor, the company serves 9,600 convenience stores and distributes more than 40,000 private-label and national brand products to more than 350 independent grocery stores in Michigan, Ohio and Indiana.
Bergen Brunswig Corporation, headquartered in Orange County, California, is a leading supplier of pharmaceuticals and specialty healthcare products, as well as information management solutions and consulting services. Bergen's customers include the nation's healthcare providers (hospitals, nursing homes and physicians), drug stores, manufacturers and patients. Through its subsidiaries, Bergen provides product distribution; logistics; pharmacy management programs; and Internet fulfillment strategies designed to reduce costs and improve patient outcomes across the entire healthcare spectrum.
Except for historical information, all other information set forth in this press release, such as earnings forecasts and earnings rate projections consists of "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These "forward-looking statements" are subject to risks, uncertainties and other factors which could cause actual results to differ materially from those projected or implied. Such statements may be identified by the use of forward-looking language such as "may," "will," "should," "expect," "anticipate," "estimate," "believe," "think," "continue" or the negatives or other variations thereof or other similar terminology. Such risks and uncertainties include the risks described in exhibit 99(a) to the Company's Annual Report on Form 10-K for the year ended September 30, 2000 and in other reports and exhibits filed with the Securities and Exchange Commission. These risks and uncertainties include, but are not limited to,the costs and difficulties related to the integration of acquired businesses, the loss or disruption of one or more key customer or supplier relationships, changes in the distribution outsourcing pattern for pharmaceutical products and/or services, the ability to obtain general financing or financing rates that would be compatible with the Company's business operations, and the costs and other effects of governmental regulation and legal and administrative proceedings. The Company assumes no obligation to update the information in the release.
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