Bankrupt A&P Floats Bid To Mediate $1.3B In Claims
By Liz Hoffman
Law360, New York (September 13, 2011, 7:30 PM ET) -- Bankrupt supermarket operator Great Atlantic & Pacific Tea Co. lodged a plan on Sunday to pare down roughly $1.3 billion in outstanding personal injury claims through mediation, seeking to sidestep a major obstacle in the struggling chain's restructuring effort.
Some 2,600 claimants would get a crack at the grocer's liquidated assets only if mediation or arbitration fail, under a proposal filed in New York bankruptcy court.
A&P is “focused on resolving the claims as efficiently and expeditiously as possible to bring clarity to the unsecured claims...