Ex-Stop & Shop Division in Chap. 11
s. here said it does not expect Bradlees' Chapter 11 filing to have a significant impact on its own operations.
Stop & Shop is owed some $1.5 million by the Braintree, Mass.-based discount store chain and former Stop & Shop division. However, the supermarket operator said it believes that "a significant portion of this amount should be recovered through the bankruptcy proceeding."
Bradlees owes Stop & Shop for goods and services provided prior to its June 23 filing. The supermarket retailer is also one of Bradlees' major landlords and is party to an unspecified number of leases.
"In view of Bradlees' stated intention to continue to operate its stores, Stop & Shop does not believe its real estate exposure will be significant," the company said.
FTC Clears KKR, Bruno's Merger
BIRMINGHAM, Ala. -- Kohlberg Kravis Roberts & Co. said the Federal Trade Commission has cleared the way for the New York-based investment company to complete its merger of Bruno's here with a KKR entity.
The merger between the 252-store chain and Crimson Acquisition Corp. is expected to be completed next month. In connection with the pending merger, Bruno's said it has received a commitment from Chemical Bank to provide $650 million in senior secured credit facilities, pending the negotiation, execution and delivery of definitive documentation for the commitment. After the merger is completed, Bruno's will continue to operate as an independent company under its current name.
Edwards Finishes Banner Changes
WINDSOR LOCKS, Conn. -- Edwards Super Food Stores here has completed the conversion of eight southern New England stores purchased in April from A&P, Montvale, N.J., to its Edwards banner.
Edwards, a subsidiary of Ahold USA, Parsippany, N.J., held grand openings for the stores last month. The units -- located in Cranston, East Greenwich, Newport, Richmond and Wakefield, R.I.; Fairhaven and Seekonk, Mass.; and Clinton, Conn. -- all exceed 30,000 square feet and feature everyday low prices and various in-store services such as New York-style delis and pharmacies.
The new units are expected to strengthen the 78-store chain's position in the Northeast.
Pueblo May Operate Adjacent Units
POMPANO BEACH, Fla. -- As Pueblo International here upgrades its Virgin Island stores, it is contemplating keeping open two stores virtually across the street from each other on the island of St. Thomas. According to Jeffrey Freimark, executive vice president and chief financial officer, one is an existing Pueblo store and the other is one of two Grand Union stores Pueblo is acquiring from Red Apple Group, New York. Pueblo operates five Virgin Island stores -- three on St. Thomas and one on St. Croix. It has agreed to acquired two more stores from Red Apple -- one on each island. All fall in the 25,000 to 30,000-square-foot range. Pueblo is remodeling its existing stores in the islands to add service delicatessen-bakeries and to expand its dairy and grocery selections, Freimark said.
Food Lion Raises Funds for CMN
SALISBURY, N.C. -- Food Lion here has donated $790,000 to the Children's Miracle Network, a charitable organization that supports children's hospitals.
Food Lion sponsored a variety of fund-raising events, including the sale of a "Cooking Up Miracles" cookbook.
Tom Smith, chairman and chief executive officer of Food Lion, is chairman of the Network's board of governors.