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Gridley Herald - Gridley, CA
  • Yreka Shop Smart slated for closure or sale

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  • C&K Markets has filed for Chapter 11 bankruptcy, and Yreka’s Shop Smart is slated to close or be sold as part of the company’s efforts to restructure its model.
     According to a press release issued Tuesday, C&K filed a voluntary petition for Chapter 11 bankruptcy in Eugene as it develops a reorganization plan.
    “Entering Chapter 11 was a difficult decision for our family,” C&K board chairman Doug Nidiffer said in the release. “We seriously considered our options and believe this approach is in the best interest of many of the communities we’ve served over the years. We will reatin about two-thirds of our 60 stores, tighten our corporate structure, and shed legacy costs.”
    According to the release, C&K will continue to operate in the ordinary course of business as it reorganizes and moves through the bankruptcy process.
    “The decision to sell or close about a third of our stores was extremely difficult,” C&K president Gregory Sandeno said in the release. “We appreciate the dedication and hard work of all of our employees and are saddened that some cannot all continue with us. We anticipate we will eliminate approximately 20 percent of our positions, as a result of selling or closing stores and restructuring on the corporate side.”
    According to documents provided by C&K, the Yreka Shop Smart will be closed or sold, following in the footsteps of C&K’s Ray’s Market, which closed in July.
    The documents reveal that the Ray’s Food Place stores in Fort Jones, Etna, Weed and Mount Shasta will be included with the 44 out of 60 stores that will remain open.
    “The positive news is that we will put our energies into the remaining stores with our family-friendly service, and intend to emerge from bankruptcy as a stronger, leaner company,” Sandeno said in the release.
    C&K media contact Grant Lunde said Wednesday morning that the decision as to which stores will remain open was part of a larger evaluation regarding the store’s role in the company and the overall performance. “Each store is an important part of the company,” he said, adding that it is always a difficult decision to close any store.
    Lunde said that while no specific date has been set for closures and the sale of stores, the company expects the process to be concluded by the end of this year.
    In response to an inquiry, Lunde noted that interviews of store employees are not allowed under company policy.

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