Jan 12, 2005 9:56 AM, from staff and wire reports

The parent company of American supermarket chains Bi-Lo and Bruno’s intends to transfer ownership of its warehouse facilities and management of its distribution to C&S Wholesale Grocers.

Bi-Lo Holdings, once owned by Dutch retailer Royal Ahold, described this action as part of a new plan to prepare its supermarket operations for long-term profitability.

Bi-Lo also will start integrating Bruno's information technology systems with Bi-Lo's systems. It plans to consolidate corporate support functions of both chains at Bi-Lo's Mauldin SC headquarters.

As part of the distribution agreement, C&S will acquire Bi-Lo's distribution facilities in Mauldin SC and Chattanooga TN, along with a third facility in Birmingham AL that mainly serves Bruno's stores.