Whether you are struggling with your own debts or are an entrepreneur who also has business expenses piling up, you might be considering bankruptcy. You have options based on your situation, and a bankruptcy lawyer could offer assistance when finding out what works best for you. One prominent company who filed for bankruptcy is grocery store chain A&P, and here is some information about their story.
Facts And Figures
A&P employed around 28,500 individuals, which included an estimated 93% of union workers. Unions agreed to $600 million in cuts to secure union jobs for the future in 2010, but the company filed Chapter 11 bankruptcy again in 2015 with the intention of going out of business and cited $1.6 billion in assets and $2.3 billion in debts.
Aftermath
25 stores closed soon after the second filing while deals with other chains and liquidation continues for the 156-year-old company. A&P's decisions are being supervised by bankruptcy court while they attempt to return leases and find buyers for 55 remaining supermarkets.
Your Options
The largest unsecured creditor for A&P is listed as C&S Wholesale Grocers Inc. with claims of $39.4 million. While you likely do not owe this much, it may feel like you do when facing creditor harassment and seemingly never-ending bills. Chapter 7 bankruptcy might be available for you and could result in discharging unsecured debt, but Chapter 11 or 13 bankruptcy might be better when seeking bankruptcy for a small business. Contact us so that we can assist you when considering or going forward with bankruptcy filings.
Sources: USA Today, North Jersey Media Group
