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Fairway going bankrupt
Posted: April 17th, 2016, 7:27 pm
by pseudo3d
In all honesty, I don't see why a small NYC-centric chain of a little more than half a dozen stores thought it would be a good idea to go public. I wonder if they'll survive or sell off their stores. I could see Ahold or even ACME going for the stores. Apparently, they had plans to go national as some sort of Whole Foods/Trader Joe's alternative.
http://supermarketnews.com/retail-finan ... nth-report
Re: Fairway going bankrupt
Posted: April 25th, 2016, 7:13 am
by Knight
Quick, unhealthy growth does not bode well for small chains. Haggen and Fairway could be examples of that concept. Competition in New York, both in the city and in the state, is tight.
Re: Fairway going bankrupt
Posted: May 14th, 2016, 7:09 pm
by pseudo3d
Well, apparently they went private again and the lenders became the owners of Fairway. Another article talks up some "monumental" turnaround, but I can't see them turning around the company without some dramatic changes, like closing stores or cutting expenses.
http://supermarketnews.com/latest-news/ ... chapter-11
Re: Fairway going bankrupt
Posted: May 14th, 2016, 11:51 pm
by storewanderer
I think Fairway did good volume, just poor expense controls...
The fact nobody but the lenders came forward to take over speaks volumes as to the situation with these stores.
Re: Fairway going bankrupt
Posted: May 15th, 2016, 7:51 pm
by pseudo3d
storewanderer wrote:I think Fairway did good volume, just poor expense controls...
The fact nobody but the lenders came forward to take over speaks volumes as to the situation with these stores.
Apparently, from what I've read, the management is staying, and that's what's killing Fairway. Fairway has really worked into a corner, I think...they basically have a format that's difficult to convert to other grocers (Ahold, ACME, ShopRite) without a full remodel yet are still competing with everyone else in their category.