East Rockaway Pathmark sold at 11th-hour auction

By MaRY Malloy mmalloy@liherald.com As rumors swirl around East Rockaway about the recently announced bankruptcy of the Great Atlantic & Pacific Tea Company — A&P’s second bankruptcy in five years — residents who shop at the local Pathmark Superfresh market are pondering its fate, while its employees ponder the future of their jobs. Although some Pathmark stores, which are owned by A&P, have been purchased by other entities, the East Rockaway store had no takers when it was put up for bid on Oct. 2. “After careful consideration of all alternatives, we have concluded that a sale process implemented through Chapter 11 is the best way for A&P to preserve as many jobs as possible, and maximize value for all stakeholders,” said Paul Hertz, president and CEO of A&P. “… [And] while the decision to close some stores is always difficult, these actions will enable the company to refocus its efforts to ensure the vast majority of A&P stores continue operating under new owners as a result of the court-supervised process.” The Pathmark Superfresh store, at 492 E. Atlantic Ave., is one of 296 stores that A&P operates under the brands names A&P, Best Cellars, Food Basics, the Food Emporium, Waldbaum’s and Pathmark Superfresh. Although A&P has decided that it will close 25 unprofitable stores in the near term, it has not announced whether the East Rockaway location is one of them. The company issued warning notices to all of its employees, but, sources say, that was done out of caution, and does not mean they will all be fired. “We don’t really know,” said a cashier at Pathmark who asked the Herald not to use her name. “We could get lucky, we could keep our jobs … someone could buy us up at the last minute … it’s the not knowing that’s hard. Do I look for another job? I have kids, and this is my full-time job. I’ve been here for five years, and really like working with everyone here.” An open letter that was made available to residents, and signed by “East Rockaway Pathmark employees,” read, “We, the people who work at this store in all departments, have worked here for many years and have taken care of all your grocery needs, and we know most of you by face or name. Three-and-a-half years ago, the A&P Company needed economic relief from us, their employees, who gave them more than $600 million in help by [agreeing to reduce] our pay, our fringe benefits, our pensions, and freezing our wages for five years. A&P told us that it would secure our futures in the company. As you know, A&P has filed for bankruptcy once again. Now they want to sell the stores to companies who do not want to hire us. In that case, we will lose everything that we have worked for over the years.” The writer requested that residents sign a petition to help save the store. According to a statement by Bruce W. Both, president of the employees’ union, the United Food and Commercial Workers Local 1500, the uncertainty for all area Pathmarks in the past few years has put a tremendous strain on workers and their families. “Please know that we are working each day, exhausting all our resources to prevent stores from closing and to save as many jobs as possible,” Both wrote on the union’s website. He also noted that representatives of Local 1500, other local chapters, UFCW International and their various attorneys have met with representatives of A&P to discuss the bankruptcy. “We discussed issues such as the sales process, to find out the company’s plans and motives to sell the remainder of its stores,” Both wrote. “We also deliberated with the company on their proposed modifications to our already modified contracts. A&P is again proposing adjustments to our contracts that stand to eliminate or alter many of our contractual protections and benefits previously negotiated. These terms will most likely diminish the value of A&P’s assets and threaten thousands of jobs … [W]e are fighting to prevent A&P from using the bankruptcy court (again) as a weapon to put more money in their pockets.” UFCW International President Marc Perrone has voiced his support for the workers. “We are united, and are continuing to meet with potential buyers to discuss their acquisition of stores,” he said, “and continue to meet with and urge our union employers to place bids on the unsold stores.” “The store is fine where it is,” said Sadie Jacobs, who was shopping at the East Rockaway Pathmark at 7 a.m. on a recent Monday morning. “I get my senior discount today, and I can walk here. Where else will I go for my groceries? I don’t like to depend on my family, and without Pathmark here, it’s a car ride away to another supermarket.” Many local shoppers said that if the market closes, they will go to Stop & Shop, about a quarter-mile down Atlantic Avenue (and technically in Oceanside), or to the Key Food a mile north, on Sunrise Highway in Rockville Centre. The Pathmark was expected to go to auction again this Thursday or Friday. Sources at A&P said they did not know what would happen next if there were no bidders, or if the bids were too low. Comments about this story? mmalloy@liherald.com or visit Shoppers and employees are still in the dark about the fate of their jobs on Atlantic Avenue.