Mi Pueblo Food Center Files for Bankruptcy

Written by Jennifer Squires

Mi Pueblo Food Center filed for federal Chapter 11 bankruptcy protection Monday morning. 

The San Jose-based grocery store chain operates a location in Mountain View at 40 S. Rengstorff Ave.

Mi Pueblo announced the bankruptcy filing in a prepared statement that framed the development as a positive for the company. It said the employee and customer experience will not change, and employees will continue to get paid.

"Filing for bankruptcy gives our company a unique opportunity to reorganize ourselves in a manner that will make us stronger and more competitive," Mi Pueblo CEO Juvenal Chávez said in the company's statement. "I want to assure our loyal customers and team members that Mi Pueblo will continue being open for business doing what we do best—serving you and your family."

The 21-store grocery chain reported that it's current on all its obligations and has not defaulted on any payments, but reached an impasse with its only secured creditor.

The company's next step is to submit a reorganization plan will be submitted to the Federal bankruptcy court for consideration and approval.

Mi Pueblo Food Center has awarded college scholarships to local students. Just this past July 17, the Rengstorff location held a job fair.