Peapod`s last week in S.F.

Online grocer Peapod.com will cease its San Francisco operation and close its distribution center on March 11. The company says the move is to focus on strategic markets where it can procure groceries from its partner Ahold USA Supermarket Co. Peapod will focus on growing in markets east of the Mississippi River, a spokeswoman says. The San Francisco operation was Peapod`s second market, opening in 1993. About 100 employees will lose their jobs next week. "It was a tough decision to make," she says, adding that in addition to the employees, Peapod had a strong customer base in the bay area. In September, Peapod exited three Texas markets (Austin, Houston and Dallas) and Columbus, Ohio. Peapod competitor Webvan serves the Bay Area.