Raley's Faces New Rivals

SACRAMENTO, Calif. Raley's, already in a state of transition under new management, is about to face a raft of new food-retail competition that is preparing to open in its home market here. Among Raley's recent moves was the decision to convert an existing store in Elk Grove, Calif., a suburb south of the city, to Food Source, its warehouse-store banner. The conversion marks the first time the company

SACRAMENTO, Calif. — Raley's, already in a state of transition under new management, is about to face a raft of new food-retail competition that is preparing to open in its home market here.

Among Raley's recent moves was the decision to convert an existing store in Elk Grove, Calif., a suburb south of the city, to Food Source, its warehouse-store banner.

The conversion marks the first time the company has re-bannered one of its Raley's stores, local observers said, “an

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