A&P Files for Bankruptcy In US
Published on Dec 14 2010 8:57 AM in Retail
US grocery store operator A&P, which is part-owned by the German Tengelmann Group, has filed for bankruptcy, and will need to close a quarter or more of its stores if it wants to survive, according to analysts. The New Jersey based retailer operates stores under the Waldbaum’s, Food Emporium and Pathmark banners.
A&P, which prides itself on its low-cost offering, has been hit with increased competition in that area from the likes of Costco and Walmart in recent years. “We have taken this difficult but necessary step to enable A&P to fully implement our comprehensive financial and operational restructuring,” A&P CEO Sam Martin said “We could not complete our turnaround without availing ourselves of a Chapter 11 [bankruptcy filing].”
Tengelmann own around 40 per cent of A&P, and have held a stake in the company since 1979. (14 Dec)
© 2010 - ESM: European Supermarket Magazine