American Stores Co. said it has completed the sale of Buttrey Food and Drug, to an investment group led by the management of Buttrey and Freeman Spogli & Co., a Los Angeles-based merchant banking firm.

American said it will receive $184 million from the sale, $180 million in cash and $4 million in capital lease assumptions. American will retain existing debt obligations related to the Buttrey Division of $36 million for mortgages and trade payables.The Buttrey Food and Drug Division is headquartered in Great Falls, Mont., and operates 44 food and combination food/drug stores in six states with annual sales of approximately $475 million. It is a division of Skaggs Alpha Beta Inc.