A&P Grocery Chain Files Bankruptcy Again

The Great Atlantic & Pacific Tea Company Inc., which controls the A&P supermarket chain, filed for Chapter 11 bankruptcy overnight Monday and threatened to liquidate without approval for a sale of some of its stores. The filing marked the second Chapter 11 bankruptcy for the 156-year-old A&P chain in the past five years, giving the company the dubious distinction of experiencing what restructuring advisers colloquially call Chapter 22. The company has lined up tentative deals with three grocery chains that would acquire 120 of its stores employing 12,500 employees for nearly $600 million. A&P said it's discussing potential sales of additional stores with other suitors.