Winn-Dixie may close stores as parent company prepares for bankruptcy
Decision could come as early as next month
Jacksonville-based grocery store chain Winn-Dixie could soon close some of its stores for good.
Bloomberg News reported Friday that the chain’s owner, Bi-Lo, is preparing for bankruptcy and the filing could come as early as next month.
Bi-Lo LLC is a subsidiary of Southeastern Grocer. In addition to Winn-Dixie and Bi-Lo, Southeastern Grocer also operates under the Fresco y Mas and Harvey’s names.
According to the Bloomberg report, Bi-Lo is planning on shutting down 200 stores, but Southern Grocers may try to find a way to restructure its debt outside of court.
Supermarket News reported that Southeastern Grocers’ financial issues are not new. Last year, Moody’s Investors Service downgraded the company’s debt to indicate a high degree of risk. In November, Moody's said the retailer needed to revamp its capital structure in the face of significant debt due to mature this year and next.
Copyright 2018 by WJXT News4Jax - All rights reserved.