In 2006, Nash Finch Company announced the launch of a new strategic plan, Operation Fresh Start, designed to sharpen the Company's focus and provide a strong platform to support growth initiatives. Formulated to differentiate the Company, the new strategy focuses activities on specific retail formats, businesses and support services.

The strategic plan encompasses several important elements:

• Emphasis on a suite of retail formats designed to appeal to the needs of today's consumers;

• Businesses in key areas including perishables, health and wellness, center store, pharmacy, and military supply, driven by the needs of each format;

• Supply chain services focused on supporting company businesses with warehouse management, inbound and outbound transportation management, and customized solutions for each business;

• Company retail support services emphasizing best-in-class offerings in marketing, advertising, merchandising, store design and construction, store brands, market research, retail store support, retail pricing, and license agreement opportunities; and

• Store brand management dedicated to leveraging the strength of the Our Family brand as a regional brand through product development coupled with pricing and marketing support.

In 2008, each of the Company's business units achieved positive sales and EBITDA performance over the prior year. Annual sales of $4.7 billion and EBITDA of $143.7 million are new Company records.

The Company completed the acquisition of three GSC distribution centers from GSC Enterprises, Inc., a food distributor headquartered in Sulphur Springs, Texas on January 31, 2009. These distribution centers are located in Pensacola, Florida, Junction City, Kansas, and San Antonio, Texas, each of which services military commissaries and exchanges.