Sales Slump Sends Bruno's Supermarkets Into Ch. 11

Law360, New York (February 5, 2009, 12:00 AM EST) -- Citing a slow economy and stiff competition from other grocery companies, privately held chain Bruno's Supermarkets LLC has sought refuge in bankruptcy court.

In the company's second Chapter 11 filing since the 1990s, the Birimingham, Ala.-based retailer filed a petition for Chapter 11 bankruptcy protection Thursday in the U.S. Bankruptcy Court for the Northern District of Alabama, estimating both assets and liabilities of $100 million to $500 million.

Bruno's has asked to borrow $6.7 million in debtor-in-possession financing from Bi-Lo LLC in order to continue operating...
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