Southeastern Grocers (SEG), the parent company of several southern grocery store chains including Winn-Dixie, has filed for Chapter 11 bankruptcy protection and will close 94 locations across its four nameplates in seven states.
Company officials said the decision to enter bankruptcy protection follows a “thorough review” of options aimed at reducing the company’s debt.
“This is an important step in Southeastern Grocers’ transformation to put our company in the best position to succeed in the extremely competitive retail market in which we do business,” said Anthony Hucker, president and CEO of Southeastern Grocers.
SEG officials said the company has secured exit financing in the form of a six-year term loan of $525 million along with an asset-based revolving credit facility.
The company is shuttering 45 Winn-Dixie stores, 26 Harveys locations, 22 Bi-LO stores and 1 Fresco location. A full list of store closure is available at segrocers.com/restructing.
According to the company, current plans call for SEG to emerge from bankruptcy within the next 90 days with 582 stores in operation.