Please don't tell me that they're next.
Posted on 02/22/2005 11:34:54 PM PST by WKB
JACKSONVILLE, Fla. (AP) -- Supermarket giant Winn-Dixie Stores Inc. said Tuesday it has filed for bankruptcy reorganization, less than two weeks after reporting decreased revenues and increased losses from a year ago.
Winn-Dixie and 23 of its U.S. subsidiaries filed for Chapter 11 reorganization late Monday in U.S. Bankruptcy Court for the Southern District of New York, a company news release said.
The Jacksonville-based company also announced Tuesday that it has secured an $800 million credit facility from Wachovia Bank N.A. to help pay for its reorganization, the release said. The credit facility, subject to court approval, replaces the company's previous $600 million credit line.
The company plans to use the rerganization to improve its operations and financial performance, but also to reduce its expenses and decide how to use its assets to make its stores more productive, the release said.
"This includes achieving significant cost reductions, improving the merchandising and customer service in all locations and generating a sense of excitement in the stores," said Peter Lynch, president and chief executive officer.
The company said 920 Winn-Dixie stores in eight southeastern states and the Bahamas are open.
But Winn-Dixie said it will seek court approval to terminate the leases of two warehouses and about 150 stores that were closed previously, for an annual cash savings of approximately $60 million. It also plans to sell all of its remaining manufacturing operations to reduce expenses, the release said.
For the first six months of this fiscal year, Winn-Dixie reported sales of $5.41 billion on a net loss of $552.8 million or $3.93 per share, compared with sales of $5.65 billion on a net loss of $78.3 million or 56 cents per share, for the same period in 2004. Winn-Dixie Stores Inc. ranks 162 on the Fortune 500 list.
Isn't this a new movie out about a dog?
How can they? Their movie is doing great... (/sarcasm)
Resistance is futal. You will be assimilated.
Mississippi = willie ping
Hope this doesn't affect our local store. Before we had a good meat market, the Winn Dixie was always the best place to go to get good steaks.
They just opened a brand new store in Clinton Ms not
a half mile from Walmart.
All hail the mighty Walmart.
This must be a personal posting record today.
Oh, it's already a new day.
Starting early, huh?
(smile)
I was lead to believe this one is bush's fault.
Fixable
You forgot the bended knee part...
I've not shopped at a Winn Dixie.
Never had the inkling.
Please don't tell me that they're next.
I was told that Food Lion did them in.
Not in Mississippi must be the other states
How come nobody ever blamed Home Depot for killing off all the lumber yards and hardware stores ? Message to union members, be careful what you wish for.
Message to union members, be careful what you wish for.
WM closed a store in Canada that was talking about a union
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