Deal Will Allow Psc To Operate
Bankrupt PSC Food Service Inc. has struck a deal with a national food distributor to jointly operate the West Plains business.
The deal would allow PSC to sell its $900,000 in nonproduce inventory to pay off debts, and continue to process and distribute salads and other produce to area restaurants and stores.
PSC filed for Chapter 11 bankruptcy protection in November.
PSC attorney Barry Davidson said Friday that the company next week will file a motion in U.S. Bankruptcy Court to approve the deal, which is set to close March 12.
Davidson declined to name the national company, but it is widely believed to be Chicago-based Alliant Food Service Inc., the nation’s second-largest food distributor.
“This will allow PSC to continue forward as a produce supplier while eliminating its operating losses,” Davidson said.
The national company would control dry and frozen goods distribution at PSC’s warehouse, 4122 S. Grove Road. PSC’s 75 current employees should be retained, Davidson said. , DataTimes