WAYNE, N.J. -- Grand Union Co. here said it filed an amended plan of reorganization and disclosure statement last week with the U.S. Bankruptcy Court in Delaware.
t had closed two stores in Binghamton, N.Y., with a third in Kingston due to close next week. Chain officials said the stores were closed in the normal course of re-evaluating its locations.
The company filed a prenegotiated plan of financial reorganization under Chapter 11 on Jan. 25. It had been scheduled to file the amended plan and disclosure statement on March 10. However, ongoing discussions with its creditors -- reportedly over the indemnification of the company's top executives after they resign following the reorganization -- held up the filing.
No competing reorganization plans can be filed for 120 days after the original filing. However, the bankruptcy court has the authority to consolidate the company's plans with any other plans that are submitted following the end of that exclusivity period, according to observers.