Fairway Market slams bankruptcy rumors, calls report 'untrue and disappointing'

Emily Rella
Updated ·2 min read

The rumor mill was churning this morning but one local grocery chain is fighting back against false reports and claims of bankruptcy.

On Wednesday morning, the New York Post reported that beloved New York grocery store chain, Fairway Market, would be fling for Chapter 7 bankruptcy protection.

The report claimed that "the grocery chain does not currently have a plan to continue to exist" and that the company is set to "close all 14 of its stores, including its flagship store at Broadway and West 74th Street" with plans to be announced "as soon as Wednesday."

However, Fairway Market is hitting back against the claims calling them "categorically untrue" in a new statement obtained by CNBC:

“Despite reports, Fairway Market has no intention to file for chapter 7 or liquidate all of its stores. Such statements are categorically untrue and disappointing. Fairway has been engaged in a strategic process and expects to soon announce a value maximizing transaction that will provide for the ongoing operations of stores. Our lenders remain extremely supportive of our efforts. All 14 stores remain open for business, offering a complete range of high quality, specialty food products, and we look forward to seeing our customers and employees.”

The New York City staple is known for affordable groceries and its selection of hot foods, making it an ever-popular option among food markets in the city.

The company also Tweeted about the false report on its main account:

"Despite reports, Fairway Market has no intention to file for chapter 7 or liquidate all of its stores", the message read.

"All 14 stores remain open for business, offering a complete range of high quality, specialty food products, and we look forward to seeing our customers and employees."

The Post still maintains its claims about the filing, adding that "Village Super Market, the publicly held owner of ShopRite, has expressed interest in acquiring a handful of Fairway stores and keeping the name."