Food Fair was a grocery store chain that was at one point in the top 5 supermarket chains in the United States and the 16th largest retail chain in the nation before entering bankruptcy protection in 1978.
Operating approximately 500 locations up and down the east coast, Food Fair, which originated in Harrisburg, Pennsylvania, increasingly emphasized low prices and a no-frills format of supermarkets. One of its most consequential acquisitions was a small Philadelphia chain called Best Markets, whose house brand of products was called "Pantry Pride". Starting in the mid-60s, Food Fair stores began being rebranded as Pantry Pride stores to further emphasize value.
But many of its acquisitions were not well-informed. In 1961, it acquired J.M. Fields, a discount department store which was expanded to almost 80 locations under Food Fair to accompany Food Fair stores in shopping centers. The Fields division ended up being a huge liability that lost tens of millions of dollars annually. In 1976, Food Fair acquired Hills Supermarkets of New York and Penn Fruit supermarkets of Philadelphia - the former of which was in dire financial straits and the latter had been bankrupt for a year prior to the purchase. It also bought a food wholesaler in New Jersey, and these transactions were accused of benefitting Food Fair's controlling family at the detriment of the business.
As a result of its 1978 bankruptcy, Food Fair closed its entire northern division as well as J.M. Fields, and attempted to start from scratch as a business mostly in Florida. Food Fair, now called Pantry Pride Stores, was acquired by Ronald Perelman who got a controlling interest using junk bonds. He sold or liquidated the stores in 1986 and used the losses to offset his other business profits for tax purposes, thus ending the chain.
