GRAND RAPIDS, MI, August 7, 2003 –– Gordon Food Service (GFS) announced today that it has reached definitive agreements regarding the previously announced purchase of Smart & Final’s Florida operations. The transaction is expected to close in September. Under the terms of the agreement, GFS will purchase Smart & Final’s Florida foodservice direct delivery business, Henry Lee, and nine Smart & Final stores. Following a transition period, GFS will convert the acquired stores to the GFS Marketplace store format.

GFS president Dan Gordon said, “This agreement provides GFS with a strategic entry into one of the strongest foodservice markets in the United States. I am pleased with the progress of this transaction and excited about the leadership that the Henry Lee team will provide. We’re looking forward to introducing our store format, products and broad array of services to new and existing customers. We strongly believe that our combined history and experience in the foodservice distribution business will be an advantage for customers in this market.”

Founded in 1871 in downtown Los Angeles, Smart & Final Inc. operated 228 non-membership warehouse stores for food and foodservice supplies in California, Oregon, Washington, Arizona, Nevada, Idaho and northern Mexico at the end of 2003 second quarter. The company also operates a foodservice distribution business in northern California. For more information, visit the company’s website at www.smartandfinal.com.

Gordon Food Service is a 106-year-old family-owned and managed, broadline foodservice distributor based in Grand Rapids, Michigan. The company’s distribution network services more than 30,000 customers with more than 14,000 products. The company also operates 95 Marketplace retail stores in the Midwest. For more information, visit the company’s website at www.gfs.com.