April 2, 2003 |
Fleming Cos., the biggest U.S. grocery distributor, sought Chapter 11 bankruptcy protection after Kmart Corp., its biggest customer, ended a supply contract and regulators investigated its accounting. Fleming, unable to replace $4.5 billion in lost revenue from Kmart, said it could not promise vendors that it would be able to continue to ship goods after running short of cash. The Kmart contract accounted for about 20% of Fleming's revenue. The company canceled the accord in January.
March 5, 2003 |
Fleming Cos., the No. 1 U.S. grocery distributor, ousted Chairman and Chief Executive Mark Hansen a week after the company said it was the target of a Securities and Exchange Commission investigation. The board decided that a management change was necessary, a spokesman said. Directors Peter Willmott and Archie Dykes will run the company until a new CEO is hired, Fleming said. Shares of Lewisville, Texas-based Fleming fell 12 cents, or 5.7%, to $2 on the NYSE.
February 26, 2003 |
Fleming Cos., the largest U.S. grocery distributor, said Tuesday that it would cut 1,800 jobs and take a pretax charge of $290 million to terminate its contract to supply Kmart Corp. Fleming also said the Securities and Exchange Commission has formalized an investigation into the company's accounting. The news sent the Lewisville, Texas-based firm's shares down $1.12 to a record low of $1.85 on the New York Stock Exchange.
November 15, 2002 |
Grocery wholesale giant Fleming Cos. said it is the subject of what it calls an informal Securities and Exchange Commission inquiry. The Lewisville, Texas-based grocery distributor said the SEC was looking into Fleming's accounting and sales reporting. The Wednesday disclosure came hours after Fleming announced it was selling 26 Food4Less stores in California and two still under construction to Save Mart Supermarkets for $165 million. Fleming shares fell 89 cents to $5.11 on the NYSE.
November 9, 2002 |
Fleming Cos., the largest U.S. grocery distributor, is nearing an agreement to sell 28 of its California supermarkets to Save Mart Supermarkets for about $150 million in cash and long-term liabilities, according to sources familiar with the matter. Modesto-based Save Mart also agreed to make Fleming the primary supplier to the stores. Fleming is selling 110 Food 4 Less and Rainbow Foods supermarkets so it can invest more in its distribution business and reduce its $2.4 billion in debt.
January 25, 2002 |
Grocery supplier Fleming Cos. and some other vendors to Kmart Corp. said Thursday that they have resumed shipments, allowing the discount retailer to restock shelves as it begins rebuilding after seeking Bankruptcy Court protection earlier in the week. Fleming, Kmart's sole grocery supplier, said it has received assurances that it will be paid today the $76 million it is owed by Kmart. Other companies that began shipping again included soft drink maker PepsiCo Inc.