Belle Foods Files For Bankruptcy

BIRMINGHAM, Alabama – Belle Foods, the operator of former Bruno’s and Food World stores in the Birmingham area, filed for Chapter 11 bankruptcy protection, citing difficulties paying creditors with the revenues from its 57 stores in Alabama, Georgia, Florida, and Mississippi.

In June 2012, Birmingham-based Belle Foods purchased the stores from Southern Family Markets, a company that took control of a number of Bruno’s and Food World stores after the bankruptcy of what was a Birmingham grocery titan for much of the last century.

According to documents filed in the U.S. Bankruptcy Court for the Northern District of Alabama, Belle Foods owes Southern Family Markets $28 million — $4 million for a loan and $24 million in a revolving line of credit. Belle Foods also owes C&S Wholesale Grocers $6 million — $5.1 in account payable and $900,000 on a pension withdrawal liability note. Belle Foods also has around $8 million in other accounts payable due.

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