Southeastern Grocery To File Bankruptcy, Close 94 Stores

Southeastern Grocers, the parent company of Winn-Dixie grocery stores, said it’s restructuring to save $500 million, but will be forced to file bankruptcy and close 94 stores.

The Jacksonville, Florida company said in a statement Thursday that they are voluntarily choosing to “implement a court-supervised, prepackaged restructuring agreement” that will ultimately see them filing for Chapter 11 bankruptcy protection by the end of March. In order to reduce its debt by nearly a half-billion dollars, they have made the “difficult but necessary decision” to close 94 underperforming stores, including the Winn-Dixie chain.

Dozens of stores will be closed in South Carolina, Alabama, Georgia and North Carolina, along with a few stores in Mississippi and Louisiana. Florida will be the hardest hit, with 35 stores closing across the state. Southeastern Grocers also owns the Bi-Lo, Fresco y Mas, and Harveys Supermarket chains, which won’t be hit as hard as the Winn-Dixie brand.

To read the rest of the story, please go to: Newsweek