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MONTVALE, N.J. -- The Great A&P Tea Co., based here, has revealed plans to shut down its Edison, N.J. warehouse next month, apparently as part of its plan to aggressively pare its operations.
Local newspaper The Bergen Record reported that it obtained a copy of a letter that Robert Wodarczyk, A&P's s.v.p. for supply and logistics, sent to the state's Department of Labor on May 20, disclosing the company's plans to shutter the warehouse permanently in late July, eliminating 230 positions.
When questioned about the report by Progressive Grocer, A&P spokeswoman Patti Councill had no comment on the news of the planned closure.
There is speculation within the supermarket industry that A&P, which has been cutting costs in its struggle to stem the tide of seven quarterly losses in row, will now engage Keene, N.H.-based C&S Wholesale Grocers, Inc. to service its stores in the region. C&S currently acts in that capacity for Carteret, N.J.-based Pathmark and Quincy, Mass.-based Stop & Shop, which operates more than 50 stores throughout New Jersey.
Last month A&P announced during the report of its financial results for the fourth quarter of fiscal 2004 that it was drastically restructuring its business to focus on its core market, the Connecticut-to-Washington corridor.
Wodarczyk's letter to the New Jersey Labor Department was sent in accordance with the federal Worker Adjustment Retraining and Notification (WARN) Act, which obliges companies to give 60 days’ notice before laying off a large number of employees.