PRESQUE ISLE, Maine The two gas stations in Presque Isle, Maine, are under new ownership after Maine Potato Growers Inc. completed its sale, as well as the sale of its Shell-branded gasoline distribution business, with buyer Dead River Co., according to officials.
Dead River acquired the Shell stations and convenience stores last Tuesday, reported the Bangor Daily News. As part of the deal, the company also picked up the branded gasoline distribution business that services about 10 independent Shell gasoline retailers in the region, including those [image-nocss] in Fort Kent, Allagash and Washburn.
Joe Lallande, MPG president and CEO, said that although the company has long operated local stations, officials decided now was the time to sell. The issue is we live in an ever-changing environment, and the competition environment changes, Lallande told the newspaper. We, like any other company, continue to evaluate what businesses we're invested in, evaluate our portfolio and make decisions about where we want to be invested going forward and how best we address our core businesses.
On the receiving end, Alan Landeen, regional manager of Dead River Co., said that the deal made sense for both organizations, allowing MPG to focus on its core businesses and enhancing the c-store operations Dead River oversees.
We've added one more location that's a viable operation to our list of convenience stores, Landeen told the paper. Dead River operates 17 other c-stores throughout Maine. A week ago Monday night, MPG closed one of the two locations for inventory and Dead River chose not to reopen it, Landeen added.
The other station opened under the Dead River name last Tuesday, said the report.
Landeen said that though the company now owns the closed property and inventory, officials are not sure yet what they will do with it. They are considering using the facility for a Dunkin' Donuts bakery. If not, Landeen said, we possibly will sell the property.
The sale price for the two stations was undisclosed. Landeen said that about 16 of the approximate 20 employees working at the acquired sites have elected to work for Dead River.
While the deal means MPG is moving away from branded gasoline distribution, Lallande was quick to discount rumors that the company is getting completely out of the fuel business. MPG still will maintain its petroleum division in order to focus on its primary customer base and will continue to supply local growers with on-farm distribution of unbranded gasoline. It also will continue operating its fuel oil distribution and bulk lubricant businesses servicing retail and wholesale accounts in northern Maine, Lallande said.
He explained that the company is still keeping a hand in the c-store business; he said it did not sell the Shell gas station it operates in Houlton, Maine, saying that it is contiguous with other operations we do down there. It was something that wasn't easily carved out.
MPG is a diversified agricultural supply and marketing cooperative serving the needs of northern Maine potato growers and the Maine blueberry industry. Supply division activities consist primarily of sales of agricultural supplies and services, the report said.
Dead River Co. is one of the largest suppliers of petroleum products in the Northeast with combined sales of heating oil, motor fuels and propane equaling 168 million gallons.
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