Black River Produce sold to Chicago company

Black River Produce, a key player in Vermont’s local foods movement and one of the brightest economic lights in southern Vermont, is being sold to an out-of-state buyer.

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Published October 15, 2016 in the Rutland Herald Black River Produce sold to Chicago company By SUSAN SMALLHEER NORTH SPRINGFIELD — Black River Produce, a key player in Vermont’s local foods movement and one of the brightest economic lights in southern Vermont, is being sold to an out-of-state buyer. The company, which distributes Vermont-grown food from 600 family farms to all over New England, as well as bringing quality produce and seafood back to many Vermont stores and restaurants, will be sold to a much larger competitor, Reinhart Foodservice of Chicago. Black River Produce has been a leader in the local Vermont foods movement, and this week its specials included “Heirloom Apple of the Week” from Scott Farm of Dummerston, as well as different oysters from all over the country. Black River Produce co-founder Mark Curran said Friday that the company would remain in North Springfield, where 200 people are employed. Curran also said that the name would also continue. He said the sale also included Black River Meats, a venture started by the company about four years ago, which provides Vermont-grown meats to its customers, thanks to a state-of-the-art slaughterhouse. Reinhart announced Friday afternoon it had entered into an agreement with Earth Brothers Ltd. to purchase “substantially all of the assets” of the Black River Produce distribution business. Black River Produce, which is known for its distinctive giant red strawberry on its delivery trucks, serves more than 2,000 accounts in Vermont, New Hampshire, Massachusetts, Connecticut, Maine, Rhode Island and New York. Curran said he and co-founder Steve Birge would stay with the company. “Hopefully, we’ll no longer be working 60 hours a week,” Curran said, adding that he and Birge were both in their mid-60s and had decided to start cutting back. “We decided we had to come up with an exit strategy.” Black River Produce was started in 1978 in Ludlow by the two friends, who would drive to the Boston markets and bring back fresh produce to Vermont restaurants and stores. The company is one of the standouts in the Vermont economy: Sales have grown 25 percent in the past five years, Curran said. The company has been recognized by Vermont Business Magazine for its strong growth, he said. The company reported $75.3 million in revenue for 2015. “Credit to Mark Curran and Steve Birge for their business acumen, coupled with a unique sense of social mission,” said Bob Flint, executive director of Springfield Regional Development Corp. “That’s how they built Black River Produce, that’s why they’ve been successful and I believe they wanted to ensure that legacy continues with an owner who will maintain that and provide the resources to take it to the next level,” Flint said. Curran said he and Birge had been approached by other food companies for years about a possible sale, but that the two friends were worried about selling their company to someone who didn’t share their emphasis on “local and sustainable.” Reinhart has a distribution center in Essex which it opened in 2014. “Black River Produce is a great company with strong management focused on delivering the highest quality local products and service to its customers,” Jeff King, president and chief operating officer of Reinhart, said in a statement. “The Black River culture, product strategy as well as the proximity of its territory to key Reinhart markets, makes this acquisition a strong fit for both companies,” he said. Reinhart was founded in 1972, and bills itself as “one of the most progressive and efficient broadline foodservice distributors in the United States.” It provides “fresh produce, proteins, ingredients, supplies and equipment” to its customers from 29 distribution centers across the United States. It serves independent and chain restaraurants, schools and health care facilities. “This is an exciting announcement for both companies, as it will combine Reinhart Foodservice’s national scale with Black River Produce’s locally-sourced fresh food offerings – ultimately improving the experience of customers across the nation,” the company said in its announcement. The sale is expected to be completed in the near future. Reinhart will host a gathering of both companies at Black River Produce’ headquarters in North Springfield next Wednesday. “I’m here full-time for at least the next two to four years,” said Curran. “We like what we’re doing.” http://www.rutlandherald.com/article/20161015/NEWS02/161019740