A fruit supplier for several grocery stores, including Walmart, Kroger, Wegmans, and Whole Foods, has filed for Chapter 11 bankruptcy.
Prima Wawona, headquartered in Cutler, Calif., ships fruit like plums, apricots, and peaches, primarily to grocers. In a statement, the company said delivery and supply should not be impacted by the filing.
Prima Wawona CEO John Boken said that the company is coming off its most successful growing season where “our team grew, packed, and delivered more fruit across more acres than ever before.”
However, with inflation creating higher operating costs and weather-related impacts on the crop, Boken said Prima Wawona was forced into bankruptcy.
The supplier said it hopes the court-supervised process will open the door for a third-party buyer to serve as an alternative to lenders. Prima Wawona is moving forward with a transaction that will convert existing lender debt into equity to make it more attractive for a buyer.
