Parent company C&K Market Inc. filed for Chapter 11 bankruptcy with plans to close or sell about 20 of its stores

Although the parent company of Prineville's Ray's Food Place has filed Chapter 11 bankruptcy, the move is not expected to impact the local store.

C&K Market Inc. announced that they filed in order to address legacy costs, sell or close underperforming stores and resolve debt issues.

"Entering Chapter 11 was a difficult decision for our family," said Doug Nidiffer, chairman of the board for C&K. "We seriously considered our options, and believe this approach is in the best interest of many of the communities we've served over the years. We will retain about two-thirds of our 60 stores, tighten our corporate structure, and shed legacy costs."

C&K owns five Ray's Food Place groceries throughout the Central Oregon area. As a result of bankruptcy, they will close one store in Bend and another in Redmond. Stores in Sisters and La Pine will remain open as will the grocery store in Prineville.

"Nothing is expected to change at the Prineville store," said Grant Lunde, C&K spokesperson.

According to a Frequently Asked Questions (FAQ) sheet, C&K based their store closures on a variety of factors.

"As competition increased from larger grocers and mega-stores, more people left their communities to shop in these stores," the FAQ sheet stated. "Sales declined in some of our stores, forcing us to realize we could no longer operate profitably in some markets."

The sale or closure of the approximately 20 stores is expected to result in a workforce reduction of about 500 people.

"We appreciate the dedication and hard work of all of our employees and are saddened that some cannot continue with us," said Gregory L. Sandeno, C&K president.

Sandeno went on to say that the move comes with the positive news that they will focus more of their energy into the remaining stores, and they intend to emerge from bankruptcy a stronger, leaner company.

"We'll really focus in on providing great products and great service to our customers," Lunde added. "We're just going to be the best company we can be and extend our appreciation to the customers and our employees."

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