Regional US supermarket group Penn Traffic has filed for Chapter 11 bankruptcy protection, with plans to sell off stores and other assets.

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The company operates supermarkets under the P&C, Quality and BiLo banners in upstate New York, Pennsylvania, Vermont and New Hampshire.


The company listed assets to the value of US$150.4m and debts totalling $136.9m.


In a statement, the company said that it expects to present a reorganisation plan to the court today (19 November). It also plans to ask a bankruptcy judge to approve a cash collateral arrangement to provide sufficient liquidity to maintain its operations.

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