Log In | Register
CHANDLER — Bashas' food stores said it plans to ask permission from a judge to close 14 underperforming stores as part of its Chapter 11 bankruptcy filing.
The chain announced July 12 it had filed for Chapter 11 protection in U.S. Bankruptcy Court citing the economy, pressure from a union and the national credit crisis.
Bashas' President and Chief Operating Officer Mike Proulx said in a release the company needs to close some underperforming stores along with stores in newer areas that didn't grow or develop.
Bashas' wants to close 10 stores in metro Phoenix and one store each in Winslow, Tucson, Marana and Willcox by Oct. 10.
Arizona's largest privately held grocer closed 10 locations in July, shedding 1,000 jobs.
The company has retained $45 million in financing to fund ongoing operations. Bashas' plans to continue operating all of its brands, including Food City, which caters to Hispanic shoppers, and high-end grocer AJ's Fine Foods.
The company said it is working to place as many employees as possible affected by the closings at other locations.
Founded by two brothers more than 77 years ago, Bashas' operates more than 130 stores in Arizona, California and New Mexico.
On The Net:
http://www.BashasRestructuring.com.
