A&P, which is based in Montvale, NJ, began as a spice and tea shop in New York City in 1859, emerged from bankruptcy reorganization last week as a private company.
The restructuring was approved by the US Bankruptcy Court for the Southern District of New York and included $490 million in debt and equity financing and an exit financing facility totaling $645 million.
As part of the restructuring, A&P assembled a new management team, negotiated a new logistics and supply agreement with its principal supplier, C&S Wholesale Grocers Inc., and negotiated new union contracts for its workforce, according to the announcement. A&P also closed and refurbished stores, the announcement said.
The company, which sought bankruptcy protection two years ago due to crushing competition from low-cost rivals (Feedstuffs, Dec. 20, 2010), now operates 320 stores in six states under the A&P, Best Cellars, Food Basics, Food Emporium, Pathmark, Superfresh and Waldbaum's banners.