Tops Friendly Markets LLC has filed for reorganizational bankruptcy, known as Chapter 11. It’s a move to eliminate debt and position the company for success moving forward.
The company employs over 14,000 workers, and according to reports, most stores that are good performers in New York and Pennsylvania will remain open.
That said, the company has a debt problem that cannot be ignored, according to experts. The supermarket chain had a $723 million debt load as of last April, and recent filing suggest that the company may owe as much as $184 million additionally.
Altogether, the company operates 169 stores. Multiple locations in the region could be impacted by bankruptcy if the financial condition of the company isn’t improved in the near-future.
However, officials with Tops remain certain that the supermarkets will continue to operate moving forward.