Wednesday, November 18, 2009

P&C Parent Company Files for Bankruptcy



Posted by Chris O'Sullivan

The parent company of many student's favorite local supermarket has filed for bankruptcy. Syracuse based Penn Traffic Co., parent company to P&C, recently filed for bankruptcy for the third time in ten years. This seems to be the last straw for Penn Traffic, as they will now sell all of there asset consisting primarily of 79 stores located in the region.

Stores will continue operations under court protection while a potential buyer is sought out. “We intend to continue to work closely with our vendor partners to provide the fresh products and good value that our customers have come to expect from our stores,” said Gregory J. Young, Penn Traffic’s president and chief executive officer. Company employees will continue to be paid wages as well as benefits.

This is a sad day for CNY business, as it appears the company be sold to a buyer outside of the region. Penn Traffic has filed chapter 11 and plans to sell all or most of its assets. Many believe a buyer agreement has already been finalized due to the fact that a Jan.10th sale date has already been announced.

Penn Traffic flourished in the 90's, acquiring other grocery chains and maxing out at over 200 total stores. This number has diminished significantly over the past decade amidst three bankruptcy filings. Business in the CNY region has most certainly been affected by supermarket powerhouse Wegman's, which often receives rave reviews from consumers in the area. Locals have noticed higher prices at P&C in recent months, and it appears their troubles have finally caight up with them.

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