WHITE PLAINS, N.Y. — The judge in A&P’s Chapter 11 bankruptcy case in a hearing here Tuesday approved a $750 million exit financing plan for the retailer.
The approval paves the way for A&P to operate as a privately held company after exiting Chapter 11 as soon as next month. The financing package consists of a $400 million revolving loan and a $350 million term loan from J.P. Morgan Chase and Credit Suisse.
In related news, several parties filed objections to A&P’s plan of reorganization by Tuesday’s deadline, including Grocery Haulers Inc., the former trucking contractor to Pathmark stores whose contract was previously rejected by A&P as part of the Chapter 11 process. Grocery Haulers argued that its employees be included in a pension plan that was previously merged with a Pathmark pension plan. Several landlords and suppliers also filed limited objections.
