Dahl's files Chapter 11, will sell to AWG

Dahl’s Foods filed for Chapter 11 bankruptcy protection and has agreed to be acquired by its supplier and largest creditor, Associated Wholesale Grocers.

Employee-owned Dahl’s operates 10 stores in Iowa. It reported $136.8 million in sales for the fiscal year ended June 28.

Kansas City, Kan.-based AWG has entered into an agreement to buy Dahl’s operating assets, making an undisclosed “stalking horse

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