A&P has sold 167 of 296 stores; all remaining supermarkets to go dark by Thanksgiving

To quote the Food Trade News, "The wind down of the once iconic Great Atlantic & Pacific Tea Company goes on and the results continue to be underwhelming."

The publications November issue reports that 167 of the 296 stores have been sold, with another 20 awaiting sales approval from the bankruptcy court. All the stores are slated to shut their doors by November 25.

The 167 stores have sold for a total of $615.7 million, and the 20 additional stores to be sold will bring in another $81 million, pending approval.  A&P has also sold inventories and pharmacy records (about $100 million between the two), and has received a $1.75 million offer from Key Foods to acquire the Food Emporium name.

Once all the stores are closed and A&P is no longer under bankruptcy protection, landlords stuck with vacant stores and no rental income will be free to market their properties (with some exceptions, as per the ongoing bankruptcy process).

So far, 71 stores have been sold to Acme, most of which have already re-opened. Stop & Shop and Key Food Stores acquired 25 and 24 units, respectively. Wakefern (13) and Best Yet (10) also bought multiple stores.

Reference: Food Trade News

A&P may put itself up for sale

According to multiple reports, A&P, formally known as the Great Atlantic and Pacific Tea Company, has hired Credit Suisse to help review strategic alternatives that may include selling the company. A&P brands include Pathmark, which recently announced the closing of three stores in New Jersey, as well as Superfresh, Waldbaum's, The Food Emporium and Food Basics.

Bloomberg News reports that A&P may also raise new capital from investors, consider new business partners or refinance the company.

A&P, which emerged from bankruptcy last year, has more than 300 locations. The Wall Street Journal said yesterday that the company's asking price could be as high as $1 billion.

A&P close to a sale of its Food Emporium chain

According to a story in Crain's New York Business, the sale of A&P's 16-store Food Emporium chain in Manhattan is imminent. As of late last month, the investment banking firm Duff & Phelps was soliciting final bids from buyers, including Kings Food Markets, a 24-store chain that operates in New Jersey, Long Island and Connecticut, that wants several of the Food Emporium stores.

Gristedes, which operates approximately 30 stores in Manhattan and surrounding areas, submitted a bid for the entire chain, but it appears A&P is leaning towards a sale to multiple buyers.

The Crain's story also reports that the union representing some of Food Emporium's 1,100 employees is suing A&P to stop a sale to buyers who would not honor its current labor contracts, although such a buyer would only have to honor the contracts if A&P made it a condition of the sale.

A&P, officially known as the Great Atlantic & Pacific Tea Company, also owns Pathmark, Super Fresh, Waldbaum's and Food Basics grocery stores.

A&P to sell Food Emporium's Manhattan stores

The Great Atlantic and Pacific Tea Company (A&P), the parent company of Pathmark and Super Fresh, announced earlier this week it is selling Food Emporium's 16 Manhattan locations. The stores, its leases and the brand name are for sale.

Earlier this year A&P emerged from bankruptcy as a private company, and also with 75 fewer stores than it had pre-bankruptcy. In addition to Pathmark and Super Fresh, the company owns Waldbaum's and Food Basics. Analysts believe the proceeds from the sale of Food Emporium will be invested into the other A&P brands.

A&P emerges from bankruptcy as private company

In a statement today, A&P said it emerged from bankruptcy as a private company, having completed a court-approved financial restructuring. It had filed for bankruptcy in December 2010. The company said that JPMorgan Chase and Credit Suisse arranged for $645 million in exit financing.

A&P also said that it assembled a new management team, refurbished stores and concentrated them near core markets, negotiated a new agreement with its main supplier and made necessary changes to its collective bargaining contracts with unions.

A&P (The Great Atlantic & Pacific Tea Company) operates under the names A&P, Super Fresh, Pathmark and Food Emporium.

NJ union workers approve plan to help save A&P

Members of 13 New Jersey chapters of the United Food and Commercial Workers International Union voted earlier this week to approve a deal designed to help get their employer, A&P (Super Fresh, Pathmark), out of bankruptcy. The plan, which was approved 7,200 - 1,827, will lower wages by about three percent and decrease vacation time but keep the employee health plan free from any co-pays.

The Great Atlantic & Pacific Tea Company has more than 13,000 employees in New Jersey. It filed for bankruptcy protection last December, and passage of the deal by the unions sets the stage for the company to emerge from bankruptcy (pending court approval) thanks to a $490 million buyout bid by The Yucaipa Companies, a California-based investment firm.