Following the commencement of an involuntary proceeding against the company by certain creditors in Illinois, Central Grocers, Inc., a retail food cooperative and distributor founded in 1917, and 11 of its affiliates, has filed for chapter 11 bankruptcy protection in the United States Bankruptcy Court for the District of Delaware (Lead Case No. 17-10993 BLS). The petition lists between $100 million and $500 million in both assets and liabilities. According to the First Day Declaration, the Debtors intend to sell their assets as a going concern pursuant to section 363 of the Bankruptcy Code. Pursuant to the Company’s press release, “Central Grocers is also seeking to sell its distribution center in Joliet as it winds down its wholesale distribution operations.” The Debtors are entering chapter 11 without a Stalking Horse Bidder. The Debtors are seeking joint administration of these cases. Prime Clerk is the proposed claims agent. The Honorable Brendan L. Shannon will be presiding over these cases.
Contact Norman L. Pernick and Nicholas J. Brannick for more information.