Home > Richboro, Upper Moreland, Willow Grove > Owner of Local Grocery Stores Files for Bankruptcy

Owner of Local Grocery Stores Files for Bankruptcy

December 15, 2010 Leave a comment Go to comments

The Upper Moreland PathMark located in the Huntingdon Valley MarketPlace Shopping Center. (Tom Sofield)

Great Atlantic & Pacific Tea Company, better known as A&P, one of America’s largest and most iconic grocery chains filed for Chapter 11 bankruptcy earlier this week.

A&P operates nearly 400 stores including, SuperFresh, FoodBasics, PathMark and at its peak operated over 15,000 stores nation-wide.

The former grocery giant listed assets of $2.5 billion and liabilities of $3.2 billion as of September of this year.

A&P blamed falling sales and a high labor cost as reasons why they filed for bankruptcy.

The company employees 41,000 across all its stores in the Mid-Atlantic region of the nation, 40,000 of those employees belong to a union. A&P says they employ nearly 5,500 employees in the Philadelphia region.

In 2007 A&P bought PathMark for slightly less than $500 million, months later the economy collapsed and grocery profits fell.

A&P has shut down some of its grocery stores in recent months.

The company has not released any information about if local stores will be closing or if it will be laying employees off.

A&P operates a SuperFresh in Richboro, PathMark in Upper Moreland and a FoodBasics discount grocery store in Northeast Philadelphia long the Lower Southampton border.

Tom Sofield (tsofield@buxmontnews.com)
Online Editor

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