Kroger 2007 Annual Report Download - page 33

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RETAIL FUEL OPERATIONS
Kroger believes that gasoline is a natural addition to our “one-stop”
shopping strategy because it offers our customers tremendous
convenience and value. Fuel centers also allow Kroger to build on our
decades of experience in selling gasoline at our convenience stores.
Despite low margins, fuel centers can deliver a high return on investment
because of their extraordinary inventory turns and positive effect on overall
store sales.
The typical supermarket fuel center consists of three to seven multi-product
dispensers covered by a well-lit canopy, and an 8’ x 12’ kiosk from which
cigarettes, soft drinks, snacks, candy, and miscellaneous automotive-
related products are sold.
At year-end 2007, Kroger’s retail fuel operations included 696 supermarket
fuel centers in 30 states and 705 convenience stores that sell fuel. (We
operate 782 convenience stores in total. See the “Convenience Stores”
section on Page 21 of this Fact Book.)
The Kroger Co. Page 33