GT ATLANTC TEA!1 : The Great Atlantic & Pacific Tea Company, Inc. to Close 25 Stores as Part of Turnaround Strategy
08/13/2010| 11:40am US/Eastern
The Great Atlantic & Pacific Tea Company, Inc. (A&P)(NYSE: GAP)
today announced that it will close 25 stores in five states as the
Company begins the implementation and execution phase of its
comprehensive turnaround. The affected stores include locations in close
proximity to other Company stores, those facing real estate and cost
issues, and underperforming non-core stores. The store closures are
expected to be completed in the Company's fiscal third quarter.
A&P President and Chief Executive Officer Sam Martin said, ?As part of
our turnaround, we have initiated a detailed review of our store
footprint and have decided to close these 25 locations. While this was a
very difficult decision that will unfortunately impact some of our
customers, partners, communities and employees, these actions are
absolutely necessary to strengthen A&P's operating foundation and
improve our performance going forward. We will help our affected
colleagues pursue other positions across the Company should open
positions be available.?
As part of the store closure process, the Company will encourage loyal
customers to shop at its other stores within or in close proximity to
Mr. Martin continued, ?We are moving forward aggressively to advance our
turnaround and position A&P for a strong future. Even as we reduce our
store base and drive efficiencies across our Company, A&P continues to
remodel stores and take other important steps to enhance our customers'
experience across our store formats. To this end, we are set to re-open
two newly remodeled stores in the coming month.?
The Company's operational and revenue-driven turnaround initiative,
which was announced late last month, is designed to generate sustained
profitability and cash flow, drive sales growth, restore competitive
margins to the business and strengthen the foundation of the Company for
the long term.
Founded in 1859, A&P is one of the nation's first supermarket chains.
The Company currently operates 429 stores in 8 states and the District
of Columbia under the following trade names: A&P, Waldbaum's, Pathmark,
Pathmark Sav-a-Center, Best Cellars, The Food Emporium, Super Foodmart,
Super Fresh and Food Basics.
The Great Atlantic & Pacific Tea Company, Inc.
Vice President, Treasury Services
La Bruno, 201-571-4453
Senior Director, Public Relations
© Business Wire 2010