By now you may have heard that Sysco has announced its intention to buy US Foods. This is one of the largest buyouts ever in our industry, and will distinguish us even further as a strong independent that focuses on the customer. Because this merger will result in a company with almost 25% market share, it must be approved by federal regulatory agencies.
You will hear much talk coming from both companies about how this is a good thing for the customer and that new efficiencies will lower costs, and they will in turn, pass the savings to their customers. This is their spin; but this buyout is really about serving stockholders. Visit this link for more details.
Typically a buyout results in:
· Closure of distribution centers
· Consolidation of product lines
· Attempts to dictate product choice to the customer
· Less competition ultimately leads to lower service and higher prices by the new company
It is our position that we, and our customers, will benefit from this. Our company will stand out even more as the customer centric player in the marketplace. This is a perfect time to contrast our culture and values with our competition. We have a unique culture, that stands in stark contrast to the Wall Street driven ones. Our Vision: To be One with our Partners in Mutual Success, means we succeed when our partners, team members and customers alike, are successful. Our culture, Mission – Vision – Passions, make us part of a select group of unique businesses, whose purpose isn’t tied to short-term thinking.
Peter W. Mouskondis C.E.O/President, Nicholas and Company Foodservice Distributor