Food Lion stores to carry Tops name

The rebrand will roll out next month, according to Tos Chirathivat, CRC chief executive. CRC plans to spend 300 million baht (US$7.2 million) to renovate the outlets to Tops standards. The acquisition will give Tops, Thailand's largest supermarket chain, 70 outlets nationwide, up from the current 48. Tops is well ahead of its nearest rival Foodland, with nine outlets, followed by Villa, Jusco and Home Fresh Mart with eight outlets each. The buy-out is in line with CRC's policy to strengthen its fast growing food-related business in the modern trade market, estimated to be worth 300 billion baht a year. Also, converting the former Food Lion locations to Tops supermarkets, all of them stand-alone outlets, could help the company compensate for lost sales caused by the Government's call for later opening and earlier closing hours for supermarkets and department stores. The call is expected to go into effect on September 6 as part of an energy-saving measure. Hypermarts are expected to be hit the hardest by the new ruling. Supermarkets will also be hit as shorter hours will affect housewives, a key customer segment, which usually shops between 8am and 9am. Standalone stores, due to their smaller area will be able to operate longer than the others. The move will affect 30 existing Tops outlets housed in shopping centres. Delhaize Group, the Belgian food retailer that owns Food Lion, announced last month its decision to liquidate its local operation, saying the competitive market made it impossible to justify the extensive investment it had made in the country.