The CEO of Southeastern Grocers has recently announced that the company is going to make a fabulous comeback. In March, the company filed for bankruptcy and has now made a comeback after the debt got reduced to more than half. The company, who also happens to own Winn-Dixie, spent about two and a half months in bankruptcy. They also had to close some stores that were not performing well. The bankruptcy attorney of Southeastern Grocers recommended them to file for the Chapter 11 bankruptcy and they did so in the Delaware Courtroom.
Southeastern Grocers are based in Jacksonville. They used to be a giant grocery chain company and they also own several other brands like Harveys Supermarkets, Bi-Lo, Fresco y Mas and Winn Dixie. They had to close up to 100 stores for reducing the huge amount of loan by almost $600 million.
The CEO of Southeastern Grocers, Anthony Hucker had a recent interview with Times. Mr. Hucker stated that the company had been through a lot and the emerging back of company after bankruptcy marks a highly significant chapter in their story. He also said that in order to correct their business and come back on track, restructuring the enormous amount of debt was a really important part for them.
In order to restructure their debt and reduce the huge loan, they had to shut down almost four stores in Hillsborough County, Tampa Bay. They also closed two major stores in Pasco and Pinellas. The Southeastern Grocers had to shift the banner of two Winn-Dixie stores in Tampa Bay. They changed the stores to Fresco y Más. It is the Hispanic banner of the company which was previously used only in the greater Miami area.
However, the company still has the potential of a big breakthrough soon. As the CEO Mr. Hucker seems motivated, the stats of the company are also of a good omen. There are still more than 575 stores of the company across seven states. The foreclosure attorney has managed to adjust a whopping 522 million dollars of debt exchanged against the equity, as told by the Southeastern Grocers.
The restructuring plan of the grocery store conglomerate was approved by the court on May 14. The court took about 15 days for the official approval and thus, hold the confirmation.
Now, for the reorganization part, SEG will update 100 locations out of which 28 are already completed which include Valrico, Temple Terrace and Riverview locations of Winn-Dixie.
For a change and boost, the company will be using more attractive color schemes and bolder signs along with grab-and-go meals. The CEO was of the view that the stores will be taking a personalized approach towards the requirements of individual shoppers. Mr. Hucker was quite motivated that the company will emerge with a solid financial base with quite some growth potential. He wants to be reliable for the customers and associates and believes that the company is right on track.
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