Stop-N-Go Foods Inc.
| Company type | Public |
|---|---|
| Industry | Convenience stores |
| Founded | 1959 |
| Founder | F. J. Dyke, Jr. |
| Headquarters | Houston , United States |
Area served | Texas, California, Georgia |
Key people | Ghulam Bombaywala (5% owner in 1992) |
| Products | Convenience store retailing |
Number of employees | 6,300 (1991) |
| Parent | Diamond Shamrock (from 1995) |
National Convenience Stores Incorporated (traded on the NYSE as NCS) is a retailer specializing in convenience stores, with its corporate headquarters located in Houston, Texas. Its main operating subsidiary, Stop-N-Go Foods Inc., was responsible for managing the convenience store outlets.
History
In 1959, F. J. Dyke, Jr., who previously held an executive position at UtoteM, acquired five Stop N Go stores in San Antonio and rebranded them as UtoteM of San Antonio. By 1961, Dyke and his associates had taken ownership of all UtoteM stores throughout California. The company underwent a name change to National Drive-In Grocery Corporation in 1962 and shifted its headquarters to Houston by 1965. The business prospered until the economic challenges faced by Texas during the 1980s.
Around 1987, National Convenience Stores expanded by purchasing 272 Houston-based 7-Eleven locations from Southland Corporation, paying approximately $250,000 per store. The following year, it further increased its footprint by acquiring 79 additional 7-Eleven outlets in San Antonio. This acquisition supplemented its existing portfolio of 125 stores there, establishing National Convenience as the dominant convenience store operator in that region.
By the year 1991, the company managed a network of 986 Stop-N-Go stores spanning Texas, California, and Georgia, employing around 6,300 individuals. It held the position of the largest convenience chain within Houston and San Antonio; however, it reported a net loss of $10.5 million for that fiscal year and an additional $3 million loss in the subsequent quarter. These financial difficulties culminated in a Chapter 11 bankruptcy filing.
In 1992, Ghulam Bombaywala, a restaurateur based in Houston, purchased a 5% ownership stake amounting to one million shares in National Convenience Stores.
By 1995, the company operated 660 Stop N Go locations across Texas, including 396 within Houston alone, and maintained a workforce of approximately 250 employees at its headquarters. That year marked the acquisition of Stop N Go by Diamond Shamrock for $260 million, with plans to establish the merged entity's base in San Antonio. This combined operation later became integrated into Valero Energy Corporation's retail division under the CornerStore brand—eventually spun off as CST Brands before being acquired by Alimentation Couche-Tard in 2017. Through this transaction and Circle K’s prior acquisition of UtoteM in 1984, the retail assets originating from former UtoteM franchises were effectively consolidated under a single corporate structure.
During the 1990s, National Convenience Stores faced legal challenges concerning undisclosed life insurance policies taken out on employees without their knowledge; by 2002, settlements totaling $1.14 million had been paid to families of workers who died while on duty.