Eagle Food Centers receives financing approval
May 21, 2003 12:00 PM, from staff and wire reportsEagle Food Centers Inc, which owns and operates 60 supermarkets in Illinois and Iowa, has received final court approval of its $40 million debtor-in-possession (DIP) financing facility. This facility calls for Congress Financial Corp, which has provided Eagle’s revolving credit facility since 1995, to provide $40 million in post-petition financing.
“The DIP financing facility will maintain an uninterrupted flow of merchandise to our stores and help support ongoing vendor relationships,” said Robert J Kelly, chief executive officer and president.
Eagle filed its voluntary Chapter 11 petition April 7, 2003, in the United States Bankruptcy Court for the Northern District of Illinois. It continues to focus on maintaining its operations while exploring sale alternatives.
The company operates 59 Eagle Country Markets and one Bogo’s Food and Deals. It employs about 3,550 people at its stores and its headquarters and central distribution facility in Milan IL.