Smart & Final 8-K Smart & Final Reports Continued Sales Growth

Exhibit 99

	Contact:	Randall Oliver(media)
		(323) 869-7607
		randall.oliver@smartandfinal.com
		Richard Phegley(investors)
		(323) 869-7779
		rick.phegley@smartandfinal.com

SMART & FINAL REPORTS CONTINUED SALES GROWTH

IN 2005 FIRST QUARTER

• First Quarter 2005 Sales Increase 1 Percent Compared to “Strike Impacted” Prior Year Quarter

• 2-Year Compounded Comparable Sales Growth Rate of 9 Percent

• First Quarter Income from Continuing Operations of $3.5 Million

• Company Opens Three New Stores During Quarter

LOS ANGELES, April 19, 2005 –Smart & Final Inc. (NYSE – SMF) today reported sales for its twelve-week first quarter ended March 27, 2005 of $427.6 million, an increase of $4.1 million, or 1.0 percent, over first quarter 2004 sales of $423.5 million.

The company’s 2004 first quarter sales included an estimated $40 million favorable impact from a labor action against the three largest southern California retail supermarket chains, which was resolved in the 2004 first quarter. On a two-year basis over the 2003 to 2005 period, first quarter comparable store sales have grown by a compounded annual rate of nearly 9 percent.

Income from continuing operations was $3.5 million for the first quarter 2005, compared to $6.6 million for the first quarter 2004, which included the favorable effect of the competitor labor action.

Etienne Snollaerts, president and chief executive officer, stated, “Our 2005 first quarter was both gratifying and challenging. We are pleased that despite extraordinarily severe weather in our key southern California market, we were able to show overall continued growth in comparable store sales. However, our operating margins and expense rates were unfavorably impacted, resulting in an overall decline in operating income.”

Snollaerts added, “Sales in our geographic regions outside of southern California continued steady growth and our first quarter comparable average transaction increased over 5 percent versus the first quarter a year ago to almost $42 per transaction. We view both of these factors as good indicators of our value retailing position.”

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Smart & Final Inc. First Quarter 2005

Gross margin from continuing operations decreased $4.8 million, or 6.6 percent, to $68.2 million for the first quarter of 2005 as compared to $73.0 million for the prior year first quarter. As a percentage of sales, gross margin decreased to 15.9 percent for first quarter 2005 compared to 17.2 percent for first quarter 2004. This decrease in margin rate was primarily due to increased distribution costs and slightly lower product margins.

Snollaerts added, “The heavy rains in the first quarter presented a challenge to maintaining sales momentum with many of our key customer groups. While our tactical response using promotional pricing had a modest impact on margins, we believe the promotions achieved our overall sales objectives. We are continually evaluating the mix of price promotion and advertising as tools to maintain sales growth, as we expand our store presence.”

As a percentage of sales, operating and administrative expenses increased to 14.1 percent for the 2005 first quarter from 13.7 percent for the 2004 first quarter. Operating and administrative expenses from continuing operations increased $2.1 million, or 3.6 percent, to $60.2 million for the first quarter of 2005 as compared to $58.1 million for the prior year first quarter. The increase in dollars and as a percentage of sales was largely attributable to increased store operating costs, overhead and legal costs.

Interest expense decreased to $2.2 million for the 2005 first quarter as compared to $3.7 million for the prior year quarter, as a result of lower debt outstanding and lower rate. At the end of the first quarter 2005, the outstanding balance on the revolving credit facility was $30.0 million compared with $60.0 million at the end of the first quarter 2004.

Cash flow from operating activities increased to a positive $10.4 million in the first quarter 2005, compared to a cash use of $1.8 million in the prior year quarter.

Three stores were opened during the 2005 first quarter, in Tacoma, Wash.; Kent, Wash.; and Van Nuys, Calif. The company operated 237 stores at the end of the first quarter 2005 compared with 230 stores at the end of the 2004 first quarter.

Founded in 1871 in downtown Los Angeles, Smart & Final Inc. currently operates 237 non-membership warehouse stores for food and foodservice supplies in California, Oregon, Washington, Arizona, Nevada, Idaho and northern Mexico. For more information, visit the company’s website atwww.smartandfinal.com.

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Smart & Final Inc. First Quarter 2005

A telephone conference call with Smart & Final’s senior management will be held on Wednesday April 20, 2005 at 8:00 a.m. Pacific Daylight Time. The conference call is available in a listen-only mode throughwww.CCBN.com. Replays of the conference call will also be available.

Forward-Looking and Cautionary Statements

This Smart & Final press release contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934 and other expressions of management’s belief or opinion which reflect its current understanding or belief with respect to such matters. Such statements are subject to certain risks and uncertainties, including known and unknown factors as included in the company’s periodic filings with the Securities and Exchange Commission that could cause actual results to differ materially and adversely from those projected. All of these forward-looking statements are based on estimates and assumptions made by management of the company, which although believed to be reasonable, are inherently uncertain and difficult to predict; therefore, undue reliance should not be placed upon such statements. Comparability of current and future operating trends and results may be impacted by important factors, most notably the effect of the labor action against the three largest southern California retail supermarket chains, which commenced in October 2003 and was settled in February 2004. There can be no assurance that the company will not incur new or additional unforeseen costs in connection with the ongoing conduct of its business. Accordingly, any forward-looking statements included herein do not purport to be predictions of future events or circumstances and may not be realized. Except as specifically set forth herein, the company undertakes no obligation to update any such forward-looking or other statement.

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SMART & FINAL INC.

CONSOLIDATED BALANCE SHEETS

(dollars in thousands, except share amounts)

	March 27, 2005			January 2, 2005
	(Unaudited)
ASSETS
Current assets:
Cash and cash equivalents	$	28,499		$	28,672
Accounts receivable, less allowance for doubtful accounts of $290 in 2005 and $254 in 2004		13,419			16,717
Inventories		142,661			142,360
Prepaid expenses and other current assets		15,087			16,428
Deferred tax assets		11,646			11,646
Assets of discontinued operations		2,130			2,129
Total current assets		213,442			217,952
Property, plant and equipment:
Land		71,525			66,275
Buildings and improvements		62,583			62,583
Leasehold improvements		125,313			125,206
Fixtures and equipment		198,176			194,554
		457,597			448,618
Less – Accumulated depreciation and amortization		203,659			197,443
Net property, plant and equipment		253,938			251,175
Assets under capital leases, net of accumulated amortization of $7,467 in 2005 and $7,669 in 2004		1,939			2,085
Goodwill		34,775			34,775
Deferred tax assets		18,271			18,237
Equity investment in joint venture		6,318			6,258
Cash held in real estate trust		117			116
Other assets		58,912			56,833
Total assets	$	587,712		$	587,431
LIABILITIES AND STOCKHOLDERS’ EQUITY
Current liabilities:
Current maturities of long-term debt and capital leases	$	54,605		$	1,353
Notes payable to affiliate		33,139			—
Accounts payable		89,001			83,103
Accrued salaries and wages		11,602			20,166
Other accrued liabilities		40,979			47,863
Liabilities of discontinued operations		2,007			2,476
Total current liabilities		231,333			154,961
Long-term liabilities:
Obligations under capital leases		2,455			2,638
Bank debt		30,000			25,000
Notes payable		—			53,396
Notes payable to affiliate		—			33,133
Other long-term liabilities		30,778			30,324
Postretirement and postemployment benefits		37,381			35,566
Total long-term liabilities		100,614			180,057
Commitments and contingencies
Stockholders’ equity:
Preferred stock, $1 par value (authorized 10,000,000 shares; no shares issued)		—			—
Common stock, $0.01 par value (authorized 100,000,000 shares; 31,106,666 shares issued and outstanding in 2005 and 30,752,118 in 2004)		311			308
Additional paid-in capital		222,163			219,768
Retained earnings		49,352			46,157
Accumulated other comprehensive loss		(12,286	)		(12,361	)
Notes receivable for common stock		(65	)		(75	)
Treasury stock, at cost, 261,725 shares in 2005 and 86,475 shares in 2004		(3,710	)		(1,384	)
Total stockholders’ equity		255,765			252,413
Total liabilities and stockholders’ equity	$	587,712		$	587,431

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SMART & FINAL INC.

CONSOLIDATED STATEMENTS OF OPERATIONS

(dollars in thousands, except per share amounts)

	Twelve Weeks Ended
	March 27, 2005			March 21, 2004
	(Unaudited)
Sales	$	427,625		$	423,473
Cost of sales, buying and occupancy		359,450			350,498
Gross margin		68,175			72,975
Operating and administrative expenses		60,217			58,110
Income from operations		7,958			14,865
Interest expense, net		2,209			3,689
Income from continuing operations before income taxes		5,749			11,176
Income tax provision		(2,238	)		(4,474	)
Equity loss of joint venture		(10	)		(106	)
Income from continuing operations		3,501			6,596
Discontinued operations, net of tax		(306	)		(399	)
Net income	$	3,195		$	6,197
Earnings (loss) per common share
Earnings per common share from continuing operations	$	0.11		$	0.22
Loss per common share from discontinued operations		(0.01	)		(0.01	)
Earnings per common share	$	0.10		$	0.21
Weighted average common shares		30,640,607			29,870,909
Earnings (loss) per common share, assuming dilution
Earnings per common share, assuming dilution, from continuing operations	$	0.11		$	0.21
Loss per common share, assuming dilution, from discontinued operations		(0.01	)		(0.01	)
Earnings per common share, assuming dilution	$	0.10		$	0.20
Weighted average common shares and common share equivalents		32,273,240			31,259,320

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SMART & FINAL INC.

CONSOLIDATED STATEMENTS OF OPERATIONS

AS A PERCENTAGE OF SALES

	Twelve Weeks Ended
	March 27, 2005		March 21, 2004
	(Unaudited)
Sales	100.0	%	100.0	%
Cost of sales, buying and occupancy	84.1		82.8
Gross margin	15.9		17.2
Operating and administrative expenses	14.1		13.7
Income from operations	1.9		3.5
Interest expense, net	0.5		0.9
Income from continuing operations before income taxes	1.3		2.6
Income tax provision	(0.5	)	(1.1	)
Equity loss of joint venture	—		—
Income from continuing operations	0.8		1.6
Discontinued operations, net of tax	(0.1	)	(0.1	)
Net income	0.7	%	1.5	%

* Totals may not aggregate due to rounding

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SMART & FINAL INC.

CONSOLIDATED STATEMENTS OF CASH FLOWS

(dollars in thousands)

	Twelve Weeks Ended
	March 27, 2005			March 21, 2004
	(Unaudited)
Cash Flows from Operating Activities:
Income from continuing operations	$	3,501		$	6,596
Adjustments to reconcile income from continuing operations to net cash provided by continuing activities:
Gain on disposal of property, plant and equipment		(30	)		(169	)
Depreciation		4,171			4,263
Amortization		2,872			2,930
Amortization of deferred financing costs		66			799
Deferred tax (benefit) provision		(33	)		147
Equity loss of joint venture		10			106
Decrease (increase) in:
Accounts receivable		3,298			3,078
Inventories		(300	)		(3,877	)
Prepaid expenses and other assets		513			4,702
Increase (decrease) in:
Accounts payable		5,898			(6,209	)
Accrued salaries and wages		(8,866	)		(5,194	)
Other accrued liabilities		44			(6,464	)
Net cash provided by continuing activities		11,144			708
Net cash used in discontinued activities		(775	)		(2,495	)
Net cash provided by (used in) operating activities		10,369			(1,787	)
Cash Flows from Investing Activities:
Acquisition of property, plant and equipment		(12,943	)		(2,164	)
Proceeds from disposal of property, plant and equipment		17			2,661
Investment in capitalized software		(2,402	)		(1,249	)
Change in cash held in real estate trust		(1	)		(35	)
Other		(90	)		3,248
Net cash (used in) provided by investing activities		(15,419	)		2,461
Cash Flows from Financing Activities:
Payments on bank line of credit		(5,000	)		(5,000	)
Borrowings on bank line of credit		10,000			5,000
Payments on notes payable		(320	)		(444	)
Proceeds from issuance of common stock, net of costs		197			718
Net cash provided by financing activities		4,877			274
(Decrease) increase in cash and cash equivalents		(173	)		948
Cash and cash equivalents at beginning of the period		28,672			36,592
Cash and cash equivalents at end of the period	$	28,499		$	37,540

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