Southeastern Grocers to file for bankruptcy
Southeastern Grocers (SEG) has entered into a restructuring support agreement (RSA) with a group of creditors and its private equity sponsor. The agreement establishes the terms of comprehensive financial restructuring in a bid to return the company to financial health. To efficiently carry out the restructuring, the grocer will voluntarily file a pre-packaged plan of reorganization under Chapter 11 of the U. S. Bankruptcy Code by the end of March.
SEG will continue to operate throughout the process, according to the Jacksonville, Fla.-based grocer, which earlier reports indicated would file for Chapter 11 bankruptcy. However, under the terms of the proposed restructuring, 94 stores are slated to close, leaving the company with 582 supermarkets. The affected locations are Bi-Lo, Fresco y Mas, Harveys, and Winn-Dixie stores throughout SEG’s seven-store footprint of Alabama, Florida, Georgia, Louisiana, Mississippi, North Carolina and South Carolina.
For more, read the report from our sister publication Progressive Grocer.