Performance Food Group currently has about $50 million in sales with Compass Group's facilities in the Northeast. When fully implemented, the company anticipates that the contract will generate more than $200 million in additional annual sales. In connection with the rollout of this new business, the company expects that start-up costs will offset any incremental profit contribution for the balance of 2004.
"We are very pleased with this opportunity to expand our relationship with Compass Group, one of the world's largest foodservice companies. We plan to begin servicing a number of the new locations in August, with the remaining locations being added during the fall of 2004. We are proud that the dedication of our PFG associates and their commitment to outstanding customer service has significantly helped us to expand this relationship with Compass," observed Steven Spinner, ceo of the division.