Fresh & Easy Announces Liquidation of the Company
EL SEGUNDO, CA – Fresh & Easy is closing up shop across 97 stores in California, Nevada, and Arizona, initiating the process for an “organized wind-down.”
“Over the last two years, we have been working hard to build a new Fresh & Easy. While we made progress on stemming our losses and moving the business closer to break even, unfortunately we have been unable to obtain financing and the liquidity necessary to continue to fund the business going forward,” Brendan Wonnacott, company spokesperson, told AndNowUKnow in a statement.
The announcement comes on the heels of previous reports that suggested that Fresh & Easy could be preparing to file its second Chapter 11 bankruptcy in two years. Though the statement does not provide any further information regarding bankruptcy, Wonnacott did confirm that Fresh & Easy will continue to work to sell all or part of the business.
According to the Los Angeles Times, state-mandated “WARN Act” layoff notices have gone out to approximately 3,000 employees.
Two years ago, Fresh & Easy filed for bankruptcy as a result of “poorly located stores and intense competition” in its Southern California home market. Billionaire investor Ron Burkle, Yucaipa Cos., acquired the company’s assets shortly after.
Stay tuned to AndNowUKnow as we continue to follow this story.
