APPLETON (NBC 26) — Festival Foods, the Wisconsin-based grocery chain, is being acquired by The 1939 Group, the parent company of Midwest grocery chain Schnucks, the companies announced Tuesday.
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The deal includes both Festival Foods and Hometown Grocers, which operates nine Festival locations. All 42 Festival stores in Wisconsin will continue operating under the Festival brand with no changes to store names, branding or operations.
"They'll be operating as sister companies so Festival will be operating as Festival. It'll be the same people that our customers will deal with day in, day out," Todd Schnuck said.
Schnuck, who serves as CEO of Schnuck's Markets, will oversee the acquisition. He emphasized that employees will retain their current hours, wages and benefits under the new ownership structure.
The acquisition will add Festival's Wisconsin locations to Schnucks' existing network of 115 stores across the Midwest. Festival Foods has operated in Wisconsin for 80 years.
"We're honored to be entrusted with that legacy, and to be able to continue what has been built for 80 years," Schnuck said.
Festival customers expressed mixed reactions to the news, with some welcoming potential changes while others hoped the stores would remain unchanged.
"Hopefully, they keep it the way it is," Josh Laux said.
"I'm kind of excited, a little change sometimes is good," Lori Elmer said.
Tim Bolitho, another Festival customer, praised the chain's competitive pricing and convenient locations.
"The prices are nice, I'll pass other stores to get to this store. Even if it means a little gas money, I know where everything is," Bolitho said.
Schnuck assured customers that Festival's community involvement, including sponsorships of local charities and events, will continue unchanged under the new ownership.
The acquisition is expected to be finalized in mid-October.
