Media Contact: Sept.

2, 2011 Schnucks to Sell Bulk of Mid-South Division to Kroger

Lori Willis Director of Communications 314-994-4602

MEMPHIS, Tenn. Leaders of St. Louis-based Schnuck Markets, Inc. today announced the sale of nine of 12 Mid-South grocery stores and eight fuel centers to the The Kroger Co. of Cincinnati, Ohio. The fuel centers will close on Friday, Sept. 9 at 8 p.m. and the stores will close at 6 p.m. on Saturday, Sept. 10. The three remaining Schnucks stores will close within 30 days of the sale, formally marking the companys exit from the Mid-South region. As per the agreement, all 1,193 Schnucks teammates will be given the opportunity to interview for positions with Kroger. Kroger is purchasing the Union, Perkins, Germantown, Collierville, Stonebridge, Shelby, Bartlett, Truse and Horn Lake Schnucks grocery stores and all area fuel centers. Schnucks will later close its Quince, Forest Hill and Southaven stores. Sell down of product in all stores and fuel centers will begin immediately. After nine years of serving Mid-South customers, Schnucks Chairman and CEO Scott Schnuck says, Despite the best efforts of our talented store teams and a strong customer following, we were unable to gain the strong foothold we had hoped for when we entered the market in 2002, he said. Schnucks competes very favorably in other markets, but in the Mid-South, fierce competition including a growing number of non-traditional grocers and a lingering high price perception was the one-two punch that brought us to todays announcement. This was a difficult decision, but as a company of 15,000 teammates, we have an obligation to look to the future. Unfortunately, that means making tough decisions in order to keep our company strong and to continue serving customers and providing careers down the road, said Schnuck. While it saddens me to announce our departure from the MidSouth, I can honestly say that I believe our presence here has had a positive affect on the market. Over the years, Schnucks invested heavily in our stores and in our teammates and stirred local competition to step up their games in terms of food expertise and service. Customers across the region will benefit from that work even after weve moved on. -more-

Schnucks Sells Mid-South Division to Kroger add one Vowing to make the transition go as smoothly as possible, Schnuck said, We thank our Mid-South teammates as well as customers and community leaders who immediately embraced Schnucks and over the years have allowed us into their lives and into their homes. Its been an extraordinary partnership for which we are grateful. In the 1980s, brothers Art and Jerry Seessel sold the stores to American Banaco, a French-owned leverage buyout firm. The family eventually bought back the stores and sold them to Brunos Supermarkets of Birmingham, Ala. in 1996, and then Brunos sold to Albertsons in 1998. Schnucks purchased the chain of stores in 2002 and soon after built three new stores while remodeling all others. Founded in St. Louis in 1939, Schnuck Markets, Inc. currently operates 105 stores (including five Logli stores) and 101 in-store pharmacies in Missouri, Illinois, Indiana, Wisconsin, Iowa, Tennessee and Mississippi. In 2010, Schnucks had revenues of $2.5 billion ranking as the nations 174th largest privately-owned company and 22nd largest privatelyowned grocer according to Forbes. ### (Store Chart Follows)

Schnucks Mid-South stores being purchased by Kroger Store Union Perkins Germantown Collierville Stonebridge Shelby Bartlett Truse Horn Lake Address 1761 Union Ave. 576 South Perkins Road 7735 Farmington Blvd. 275 New Byhalia Road 9025 Highway 64 1232 East Shelby Drive 2942 Kirby Whitten 799 Truse Parkway 3926 Goodman Road City Memphis Memphis Germantow n Collierville Lakeland Whitehaven Bartlett Memphis Horn Lake State Zip Tenn. 3810 4 Tenn. 3811 7 Tenn. 3813 8 Tenn. 3810 7 Tenn. 3800 2 Tenn. 3811 6 Tenn. 3813 4 Tenn. 3811 7 Miss. 3863 7 Size (Sq. Ft.) 26,000 27,000 63,000 63,000 63,000 58,000 68,000 55,000 63,000 Opened 1941 1974 2004 2004 2004 2002 1999 1999 2000

Schnucks Mid-South stores to close over 30-days Store Quince Southaven Forest Hill Address 6100 Quince Road 945 Goodman Road 3150 Village Shops City Memphis Southaven Germantow n State Zip Tenn. 3811 9 Miss. 3867 1 Tenn. 3813 8 Size (Sq. Ft.) 53,000 55,000 68,000 Opened 1963 1992 1993

Schnucks Mid-South fuel centers being purchased by Kroger Store Stonebridge Express Forest Hill Express Cordova Express Bartlett Express Truse Express Horn Lake Express Southaven Express Riverdale Express Address 9023 US Highway 64 9423 Poplar Avenue 1210 Germantown Parkway 6740 Stage Road 751 Truse Parkway 3950 Goodman Road 945A Goodman Road 5274 Riverdale Road City Lakeland Germantow n Cordova Bartlett Memphis Horn Lake Southaven Memphis State Tenn. Tenn. Tenn. Tenn. Tenn. Miss. Miss. Tenn. Zip 38002 38138 38016 38134 38117 38637 38671 38141 Opened 2007 2000 1999 1999 1999 2000 2000 2001