As service stations continue to vie for business, motorists arenot the only people feeling the pinch of high gas prices.

Gas distributors and store owners are also hit hard by risingfuel prices.

“It’s hurting us badly,” said Doyle Powell, who owns an oilcompany in Brookhaven that supplies gasoline to about 20 storesacross several counties.

Powell said that competition and a 40 percent rise in priceshave forced him to cut the difference between the price he buysgasoline and the price at which he sells to businesses.

“It’s hurt our profit. We’re operating at 2 percent profit now.Last year when gas was cheap, we could operate at 7 to 8percent.”

Other areas have separate ranging gas prices. Gas prices inBrookhaven continue to range from 1.89 to 1.97, while in McCombprices range from $1.83 to $1.89 — nearly a dime’s difference.

Powell, whose service area includes McComb, said the differencein consumer price is not a reflection of his own sale prices to thecompanies. He distributes gas at a fixed price to each of hiscustomers.

After that, “they can do what they want to with it,” hesaid.

What accounts for the difference in prices?

“Competition. We just price with what our competitiors price,”said Ron Craddock, whose company owns service stations inBrookhaven and McComb.

Large grocery chains also deal a blow to smaller businesses.

Pat Brumfied, who owns stations in McComb, said that largegrocery chains that also sell gas will set their prices to belowmarket value to attract business.

“They use gas as a loss leader to attract grocery sales,” saidBrumfield, who added that the grocery sales make up for the loss ingas sales.

Powell’s company also sells other products, but he said profitfrom product sales is far from being able to make up for the hurtfrom the cut of gas prices. Powell said he has already made manycuts in his business, including man hours, and he is looking atmaking even more

“It’s a hard blow. You don’t get over a hard one. We’ll be luckyto survive this one,” said Powell.