Food 4 Less Targets 4 Markets for Conversion : Retailing: 2 Viva and 2 Alpha Beta stores will become discount warehouse-type operations. Most of the 400 employees affected will keep their jobs, the company says.

Aiming to expand its discount food-retailing operations, La Habra-based Food 4 Less said Friday that it has closed two Viva supermarkets and two Alpha Beta markets and will convert them to Food 4 Less warehouse stores--a move that will affect 400 employees.

Targeted for conversion are Viva stores in Pasadena and Lynwood and Alpha Beta stores in Canoga Park and the Orange County community of Stanton.

The Stanton store was closed three weeks ago and will reopen under the Food 4 Less banner on Jan. 28. The other three stores were shut Sunday and will reopen in March.

Of the 400 employees affected by the conversion, at least 250 will be transferred to other stores, said George Golleher, president of Food 4 Less Supermarkets Inc. As a result, some employees with less seniority at other stores could lose their jobs to make way for more senior workers from the affected stores. Golleher said the company hopes to retain all of those bumped from their jobs but will not guarantee employment.

The conversions by Food 4 Less are the latest sign of a growing interest in discount market operations.

The discount food retail sector--which includes chains such as Smart & Final, Price Club and Pace--has been expanding in California, and Food 4 Less believes that consumers want even more locations.

The company--the second-largest food retailer in the Los Angeles area--also operates the Boys markets. Food 4 Less already has 16 warehouse stores in Southern California and operates or franchises 134 discount market outlets in more than 20 states.

“We’re making the change because the (four) stores were under-performing assets,” Golleher said. “After the conversion, they’ll be high-performing assets. Typically, a warehouse store does three times the business of a conventional store.”

Warehouse stores, generally larger and stocked with more goods than conventional supermarkets, have lower overall operating costs, Golleher said. He said some discount food chains offer lower prices, but have less variety and sell many goods only in bulk. Food 4 Less warehouse stores offer low prices and the variety and size offerings found in conventional markets, Golleher said.

Golleher also said the company plans to replace an Alpha Beta market in the Inland Empire with a larger version, but he did not name the location. About 30 employees will be affected.

Those with sufficient seniority will be transferred to other stores during the construction--possibly bumping others from jobs until new positions are available.

The new store is scheduled to reopen in July.

Food 4 Less was among the businesses most affected by the riots in Los Angeles last spring. In all, 44 stores were closed because of damage.

All but four of the stores have reopened, and the company plans to rebuild on three of the four remaining sites.