Supermarket Chain A and P Poised to File Bankruptcy, Report Says

The Great Atlantic and Pacific Tea Company, better known as A&P, is on the verge of filing for bankruptcy, a move that will likely spell the end as we know it of one of the nation’s largest supermarket chains.

The New York Post reports that the Chapter 11 bankruptcy filing is expected any day now, and it could impact the many stores the company has in the Hudson Valley. In addition to A&P, the chain also owns Pathmark, The Food Emporium and Waldbaums.

In Westchester and Putnam counties, A&P and Pathmark have numerous locations, including the following: Bedford, Brewster, Goldens Bridge, Mount Kisco, Port Chester, Yorktown Heights, Thornwood, Harrison, Millwood, Mahopac, Scarsdale, New Rochelle, Hastings-on-Hudson, Croton-on-Hudson, Mamaroneck, Greenburgh, Bronxville, Yonkers, Briarcliff Manor, Shrub Oak, Mohegan Lake and Peekskill.

A&P, which was founded in New York 156 years ago, has fallen on hard times in recent years, particularly after it acquired Pathmark in 2007. Competition from the likes of Walmart and a plethora of other stores attracted shoppers away from A&P, in part because those competitors could undercut it on price.

Some of its competitors, such as Stop & Shop and Kroger’s, reportedly are interested in snapping up shuttered A&P and Pathmark locations if the company files bankruptcy.

In a statement, a spokesperson for A&P told the trade publication Supermarket News that it was premature to discuss a bankruptcy filing because the company was still reviewing all of its options:

“The strategic review includes, but is not limited to, raising new capital from investors, considering new business partner relationships and exploring the sale of certain assets of the company. Because of its improved capital structure, the company is well positioned to consider these opportunities. The company has not set a timetable for the completion of the process, and will communicate further when the Board of Directors reaches a decision regarding a specific action or otherwise concludes its review of strategic alternatives.”

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