CFS Continental, Inc. was a wholesale food distributor started in 1915 by Jacob Cohn (1894–1968) in Chicago as the Continental Coffee Company. It is now part of

Sysco Sysco is an American multinational corporation that sells, markets, and distributes food products to restaurants, healthcare and educational facilities, sports stadiums, and other venues that serve food. It also sells foodservice supplies and ...

History

The wholesale food distributor started in 1915 by Jacob Cohn (b. 1894, d. 1968) in Chicago as the Continental Coffee Company. Cohn began by selling coffee by horse and wagon to small restaurants in Chicago. By 1967, the Continental Coffee was led by brothers Alvin Cohn (b. 1921, d. 1994) and Robert Cohn. The brothers began purchasing regional wholesale grocery companies to supplement Continental Coffee's national coffee business. In 1970, Continental Coffee Company went public. In 1973, Continental Coffee Company changed its name to CFS Continental, Inc. to reflect the growing importance of foodservice to their traditional coffee business. In 1985, CFS Continental, Inc. with $1.6 billion in annual sales was purchased by the soybean and corn processor A.E. Staley for $360 million. The owners, in the Chicago area, had to give over 50% of their profit to taxes and debt. After the acquisition, A.E. Staley changed its name to Staley Continental. In 1988 British food processor

Tate & Lyle Tate & Lyle Public Limited Company is a British-headquartered, global supplier of food and beverage products to food and industrial markets. It was originally a sugar refining business, but from the 1970s, it began to diversify, eventually dive ...

purchased A.E. Staley Company for $1.42 billion. The owners in this second purchase came from southern Illinois. To help finance the A.E. Staley acquisition, Tate & Lyle pre-sold CFS Continental to the foodservice giant

for $360 million. Not forgetting the owners had to give over 50% of their profit to taxes and debt. Sysco generated sales of $3.7 billion (1987) and CFS Continental generated sales of $2.4 billion (1987). CFS Continental operations purchased by Sysco included all brands, distribution facilities and equipment; wholesale grocery sales force; NCD Detergents; the Gregg's Food Products/ Re-Mi Group, which manufactured more than 350 food items such as salad dressings and puddings; Continental Coffee; the Interstate Foods Group (shortening); and Fresh Start Bakeries, which produced hamburger buns and English muffins for

McDonald's McDonald's Corporation, doing business as McDonald's, is an American Multinational corporation, multinational fast food chain store, chain. As of 2024, it is the second largest by number of locations in the world, behind only the Chinese ch ...

Corp. CFS Continental distribution and sales force were particular strong on the west coast,

Minnesota Minnesota ( ) is a U.S. state, state in the Upper Midwestern region of the United States. It is bordered by the Canadian provinces of Manitoba and Ontario to the north and east and by the U.S. states of Wisconsin to the east, Iowa to the so ...

Chicago Chicago is the List of municipalities in Illinois, most populous city in the U.S. state of Illinois and in the Midwestern United States. With a population of 2,746,388, as of the 2020 United States census, 2020 census, it is the List of Unite ...

and in the

Washington, D.C. Washington, D.C., formally the District of Columbia and commonly known as Washington or D.C., is the capital city and federal district of the United States. The city is on the Potomac River, across from Virginia, and shares land borders with ...

where Sysco did not have a strong presences. Sysco was primarily interested in CFS Continental's wholesale grocery business and therefore, prior to the purchase of ''CFS Continental'' from Tate & Lyle, Sysco had pre-sold the non-core manufacturing businesses. Quaker Oats purchased Continental Coffee (undisclosed price). Fresh Start Foods, a management buy out team financed by

Berkshire Partners Berkshire Partners LLC is an American private equity firm based in Boston. It has invested in over 100 middle market companies since 1986 through nine investment funds with aggregate capital commitments of more than $16 billion. Berkshire has de ...

bought the two manufacturing divisions that supplied McDonald's Corp.: Interstate Foods Group (shortening) and Fresh Start Bakeries to (price not disclosed). The shortening manufacturing facilities were located in Chicago and Los Angeles. The Fresh Start bakeries were located California,

Kansas Kansas ( ) is a landlocked U.S. state, state in the Midwestern United States, Midwestern region of the United States. It borders Nebraska to the north; Missouri to the east; Oklahoma to the south; and Colorado to the west. Kansas is named a ...

Hawaii Hawaii ( ; ) is an island U.S. state, state of the United States, in the Pacific Ocean about southwest of the U.S. mainland. One of the two Non-contiguous United States, non-contiguous U.S. states (along with Alaska), it is the only sta ...

, West Germany and Brazil. Borden Inc. bought Gregg's Food Products/Re-Mi Group. NCD Detergents, INC. was sold to Ecolab. Sysco raised an estimated $250 million in the divestiture of the ''CFS Continental'' manufacturing divisions.

References

{{Reflist Catering and food service companies of the United States Food and drink companies established in 1915 Defunct companies based in Chicago Business services companies established in 1915 1915 establishments in Illinois Food and drink companies disestablished in 1988 1988 disestablishments in Illinois