Greek supermarket chain Marinopoulos on Saturday agreed with rival chain Sklavenitis and banks on a restructuring plan to avoid bankruptcy.
Marinopoulos has about 800 stores nationwide – the biggest chain in number of stores, not revenue – and employs close to 12,000 people. In the past few months the company’s financial woes brought it close to bankruptcy. Its estimated outstanding debts are about 700 million euros to about 2,000 suppliers.
The chain won a temporary protection from creditors until September 21 in order to restructure its operations.
Marinopoulos has struck a deal with rival supermarket chain Sklavenitis to receive the necessary funds to return to smooth operation of its stores, secure employee wages salaries for its workers and cover basic operating expenses until restructuring is completed, Sklavenitis said in a statement.
The restructuring plan needs the creditors’ approval before it is cleared by a Greek court, according to Sklavenitis.
Meanwhile, Marinopoulos issued a statement saying, inter alia, that “The gradual transition of Marinopoulos, under the Sklavenitis management, will benefit consumers and society, we believe. On the part of the Marinopoulos administration, executives and the entire company, we will continue to work with the same dedication and the same spirit of cooperation towards the completion of the agreement.”
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