A&P Futurestore

The Great Atlantic & Pacific Tea Company

Company type	Public
Industry	Grocery retail
Predecessor	Gilman & Company
Founded	1859 (1859)
Founder	George Gilman
Defunct	2015 (2015)
Fate	Ceased operations
Headquarters	Jersey City , United States
Area served	United States, Canada (historically)
Key people	George Gilman, George Huntington Hartford, John Hartford
Products	Groceries, food products, private-label brands

Overview

The Great Atlantic & Pacific Tea Company, commonly referred to as A&P, was a prominent American grocery store chain that operated between 1859 and 2015. From 1915 until 1975, A&P held the position as the largest grocery retailer within the United States, and up to 1965, it was the biggest retailer of any type nationwide.

Recognized as a quintessential American brand, The Wall Street Journal once described A&P as being "as recognizable as McDonald's or Google today," dubbing it "the Walmart of its era." During its peak in the 1940s, the company accounted for approximately 10% of all grocery expenditures across the U.S. Renowned for pioneering innovations in retail, A&P enhanced consumer nutrition by offering an extensive variety of food products at significantly reduced prices. Until 1982, the company also maintained a substantial role as a food manufacturer.

History and Growth

Established in 1859 under the name "Gilman & Company" by George Gilman, the business began as a modest chain of tea and coffee shops located in New York City. It soon expanded into a nationwide mail-order enterprise. By 1878, the company operated around 70 outlets, and this number approached 200 by the turn of the century. A&P experienced rapid expansion after introducing its economy store model in 1912, reaching approximately 1,600 locations by 1915. Following World War I, the chain diversified its offerings by including meat and fresh produce sections while simultaneously broadening its manufacturing capabilities.

By 1930, A&P had become the largest retailer worldwide, generating sales totaling $2.9 billion (equivalent to billions in today’s dollars) through an extensive network of about 15,000 stores. The company embraced the self-service supermarket format in 1936 and transitioned towards larger stores, operating roughly 4,000 such supermarkets by 1950 while gradually closing many smaller outlets. After enduring two bankruptcy filings, A&P ultimately ceased operations entirely in 2015.

1859–1878: The Gilman Period

The origins of A&P trace back to the 1850s when Gilman & Company was established by George Gilman (1826–1901) as a continuation of his father's leather tanning enterprise. By 1858, the business operated out of 98 Gold Street in Manhattan. After his father's passing in 1859, which left George financially secure, the company shifted focus that same year to trading tea and coffee from the original location. It is suggested that Gilman opted for a more reputable industry following his inheritance. In May 1861, Gilman delegated the tanning operations to his brother Winthrop and relocated the tea business to 129 Front Street. Initially functioning as wholesalers, by early 1863 the company transitioned into retail under the name Great American Tea Company. Rapid expansion followed with five new stores and a move of their office and warehouse to 51 Vesey Street.

Gilman excelled in marketing, growing the enterprise swiftly through aggressive advertising of competitive prices. The company's ability to operate as both wholesaler and retailer enabled it to maintain low price points. Additionally, Gilman developed a nationwide mail order segment. By 1866, the firm’s valuation exceeded $1 million (~$Template:Format price in Template:Inflation/year). Following the completion of the transcontinental railroad in 1869, Gilman launched a related entity called the Great Atlantic & Pacific Tea Company, promoting prepackaged tea under the brand Thea-Nector. Some accounts credit George Huntington Hartford as a co-founder. The mail-order division retained the Great American name. In 1871, A&P introduced a novel marketing tactic by offering premiums such as lithographs, china, and glassware with purchases of coffee or tea—items which have since become collectibles.

Development of the Grocery Store

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George Huntington Hartford, circa mid-1870s

George Huntington Hartford began his career at Gilman & Company possibly in the late 1850s as a clerk before advancing to bookkeeper and then cashier by 1866. By 1871, Hartford had gained authority within the company and played a key role in expanding A&P’s presence to Chicago shortly after the devastating Great Chicago Fire. The first store outside New York City opened mere days following that catastrophe. The company’s growth accelerated; by 1875, A&P operated stores across 16 cities. In 1878, Gilman withdrew from active management, leaving Hartford in control. At this point, A&P managed 70 well-appointed stores alongside its mail order business, generating combined annual revenues of $1 million.

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Advertisement for A&P from Norfolk, Virginia guidebook (1888), showcasing product variety

To increase income streams, Congress imposed higher tariffs on tea and coffee, which impacted profit margins negatively. Around 1880, A&P diversified its inventory by adding sugar sales. The company maintained aggressive expansion tactics and by 1884 had outlets extending westward to Kansas City and southward to Atlanta. Rural clientele were served through wagon delivery routes. During this era, two of Hartford’s sons—George (1864–1957) and John (1872–1951)—became part of the business. According to company lore, George persuaded his father to broaden their product range by introducing A&P-branded baking powder. Over time, other private-label items like condensed milk, spices, and butter were added. This strategic diversification laid groundwork for what became America’s first grocery chain. By 1900, sales reached $5 million (~$Template:Format price in Template:Inflation/year), supported by 198 stores plus mail order and wagon route operations. Nonetheless, competitors were expanding more rapidly within concentrated regions while A&P’s outlets were dispersed broadly—a disadvantage that soon became apparent.

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A&P advertisement published in New York City newspaper (1922)

Following George Gilman’s death in 1901 without a will, disputes arose among his heirs over ownership stakes. Senior Hartford intervened by asserting that an informal partnership agreement from 1878 granted him half ownership of A&P. Court evidence showed Hartford had received half the profits since that year and that leases were under his name. Recognizing that without Hartford's involvement the company would falter financially, Gilman heirs consented in 1902 to incorporate A&P with assets totaling $2.1 million (~$Template:Format price in Template:Inflation/year).

Under this settlement arrangement, Gilman heirs took $1.25 million in preferred shares bearing a 6% dividend while Hartford received $700,000 in common stock plus remaining preferred shares—securing voting control. Over subsequent years he repurchased preferred shares from Gilman heirs to consolidate ownership further. Expansion continued at a pace averaging one new store every three weeks. A nine-story headquarters and warehouse was constructed in Jersey City, New Jersey, later augmented with manufacturing facilities including a bakery.

By 1908 George Hartford Sr. allocated management duties between his sons: George Jr. oversaw finance while John managed sales and operations—a partnership that lasted over four decades. John aggressively promoted the A&P brand and significantly expanded product offerings. To accommodate new merchandise lines, A&P replaced traditional in-store premiums with Plaid Stamps—a customer loyalty program inspired by popular incentives like S&H Green Stamps. By 1912 the corporation operated approximately 400 stores with an average gross margin of 22%, yielding around a 2% net profit margin. Additionally, A&P peddlers managed about 5,000 rural delivery routes using distinctive red-and-black wagons.

Expansion of economy stores

The issue of Food prices became politically significant during the 1912 election, following a 35% rise over a decade. To address this, certain chains trialed a no-frills store model. After extensive discussion, the Hartford family consented to John's suggestion to pilot an economy store operating on a 12% gross margin. With an initial capitalization of just $3,000, including inventory, this prototype functioned with only a manager and minimal fixtures. Within eight weeks, weekly revenues climbed to $800, yielding a 30% annual return on investment. A&P rapidly scaled this concept; by 1915, the chain managed 1,600 such outlets.

The rapid expansion caused conflicts with suppliers. Cream of Wheat, the leading breakfast cereal producer, insisted all retailers adhere to its fixed retail price. A&P procured the cereal wholesale at 11 cents per box—3 cents less than usual—and set a modest 1-cent markup for its economy stores. In response, Cream of Wheat ceased supplying A&P, prompting a lawsuit. U.S. District Court Judge Charles Hough ruled against A&P, affirming that manufacturers could dictate retail pricing. Consequently, A&P and other major chains increased production of private-label brands.

Following the death of Hartford Sr. in 1917, ownership transferred to a trust managed by his sons George, Edward, and John, who exercised full control.

Introduction of combination stores featuring grocery, meat, produce, and dairy

Post-World War I, A&P experienced rapid growth; by 1925 it operated 13,961 locations. These newer combination stores incorporated sections for meats, fresh produce, dairy products alongside traditional grocery items. Sales reached $400 million with profits totaling $10 million. Nevertheless, the Hartford brothers worried that gross margins had risen to 22% to offset increased expenses and felt the chain was drifting from its low-cost principles. Early in 1926, they consulted division managers and initiated measures to reduce prices and enhance cost efficiency. That year saw sales surge by 32%, and A&P relocated its headquarters to the newly constructed Graybar Building near Grand Central Terminal.

In 1927, A&P launched a Canadian division, which by 1929 operated approximately 200 stores across Ontario and Quebec. By 1930, the corporation's total of 16,000 stores generated $2.9 billion in sales (~$Template:Format price in Template:Inflation/year), accounting for roughly a quarter of grocery market share in its operating regions and around 10% nationwide. No retailer had ever achieved such scale. A&P was twice as large as its nearest competitor Sears and quadruple that of grocer Kroger. Unlike many rivals, A&P was well-positioned to endure the Great Depression. The Hartfords built their enterprise debt-free; their low-price strategy drove even greater sales volumes. Between 1929 and 1932, A&P posted record after-tax profits totaling $110 million, with each Hartford heir receiving dividends and equity payouts exceeding $5 million annually.

However, A&P's dominance sparked opposition threatening its survival. Thousands of small mom-and-pop grocers could not compete on price with A&P. Although these smaller operators lacked significant political influence individually, their numerous wholesale suppliers wielded considerable power. Anti-chain store sentiment grew throughout the 1920s and intensified during the Depression era. In 1935, Texas Congressman Wright Patman proposed legislation imposing a federal tax on chain stores—a measure that would likely have ended A&P's operations had it passed.

While Patman's tax bill stalled in Congress, he successfully sponsored the Robinson–Patman Act in 1936, prohibiting differential pricing among similar customers; this legislation was enacted. Patman then reintroduced his initial chain store tax proposal. In response, A&P engaged a lobbyist and ceased opposing unionization efforts by the politically influential American Federation of Labor (AFL). Additionally, George and John Hartford published an open letter warning that such legislation would lead to higher food prices. Public opinion shifted against the bill, which was ultimately defeated.

Transition to Supermarkets

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An A&P supermarket located in Snowdon, Quebec, circa 1941

File:Photography by Victor Albert Grigas (1919-2017) PERS-SCENIC 00058 (49853017882).jpg

An A&P grocery outlet from the 1940s

The inaugural supermarket in California was established in 1930. On the East Coast, former A&P employee Michael J. Cullen launched his initial King Kullen supermarket in Jamaica, Queens. Shortly thereafter, in 1932, Big Bear began operations in Elizabeth, New Jersey, rapidly matching the sales volume of a hundred A&P locations. By 1933, A&P experienced a 19% decline in sales, falling to $820 million due to mounting competition. After extensive deliberation, the Hartford brothers resolved to inaugurate 100 supermarkets, beginning with a store in Braddock, Pennsylvania. These new outlets achieved significant success; by 1938, the company managed 1,100 supermarkets. The expansion continued with a gradual reduction of smaller stores except within densely populated urban centers. By 1950, A&P operated approximately 4,000 supermarkets alongside 500 smaller shops. The company's revenue reached $3.2 billion, yielding an after-tax profit of $32 million.

President Franklin D. Roosevelt's anti-trust chief, Thurman Arnold, took notice of A&P's dominance following pressure from Representative Wright Patman to investigate the company. In 1942, A&P and its top executives—including the Hartford brothers—were criminally indicted for trade restraint in the Dallas federal court. However, prosecutors withdrew the charges in 1944 after the presiding judge deemed the evidence insufficient.

On the same day as the Dallas case dismissal, similar accusations were filed in Danville, Illinois against the identical defendants under Federal Judge Walter Lindley. The government argued that A&P’s vertical integration—spanning manufacturing, warehousing, and retailing—provided an unfair pricing advantage. Furthermore, prosecutors criticized A&P for refusing to purchase from food retailers who sold exclusively through brokers or declined to offer advertising allowances. The judiciary warned that without intervention, A&P risked establishing a monopoly. A&P contended their grocery market share was only about 15%, significantly less than dominant firms in other sectors. Ultimately, Judge Lindley sided with the government and imposed fines of $10,000 on each defendant.

In 1949, the U.S. Court of Appeals upheld this ruling; A&P chose not to pursue further appeals. Subsequently, in September of that year, the anti-trust division petitioned the court to mandate a spinoff of A&P’s manufacturing division and to divide its retail operations into seven separate entities. Public support flooded the Justice Department through thousands of letters backing A&P; meanwhile, the Hartford brothers participated in extensive interviews with Time magazine and appeared on its November 13, 1950 cover. Time highlighted that next to General Motors, A&P sold more products than any other retailer globally. John Hartford was quoted stating, "I don't know any grocer who wants to stay small ... I don't see how any businessman can limit his growth and stay healthy." The legal proceedings extended into the more business-friendly era of the Eisenhower administration. By late 1953, authorities agreed to drop breakup demands provided that A&P ceased its produce brokerage operations supplying competitors.

Throughout these legal battles, A&P underscored its significant contributions to public welfare—a legacy attributed to George Hartford Sr. and his sons. The innovations introduced and refined by the Hartfords and their rivals enabled consumers to access healthier food options at lower prices. By 1950, average American food consumption had increased by 10% compared to 1930 levels, with poorer families particularly benefiting from improved food quality. Economist John Kenneth Galbraith supported this view in his 1952 book American Capitalism, citing A&P as an example of market countervailing power. He referenced a 1937 internal study by A&P examining the possibility of producing corn flakes; merely threatening entry into this market compelled existing corn flake manufacturers to reduce prices by 10%.

1951–1974: Era Following Hartford's Leadership

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Between 1955 and 1970, A&P’s newly opened stores were generally smaller than those of its rivals. This particular location in Pluckemin, New Jersey retained its original format (aside from adopting A&P's "sunrise" logo) until its closure in 2013.

In 1951, John Hartford passed away in the Chrysler Building after attending a meeting of the automaker's board. George Hartford continued to serve as chairman and treasurer of A&P, appointing Ralph Burger—longtime company secretary—as president. Burger began his career at A&P in 1910 as a clerk in Glens Falls, New York, but lacked the strategic marketing acumen that John Hartford possessed. Despite this, under Burger's leadership, A&P maintained record sales and operated with expenses amounting to only 12.6% of sales, compared to an industry average of 15%.

Burger also held the presidency of the John A. Hartford Foundation, established by John and George Hartford in 1929, which ensured his influence over A&P following George's death in 1957. Upon dissolution of George's trust, A&P shares began trading publicly on the New York Stock Exchange under the ticker GAP, initially priced at $59 per share. For the first time, six independent directors joined the board. By late 1961, A&P’s stock reached a peak of $70 (~$Template:Format price in Template:Inflation/year).

Several critical issues emerged during the 1950s that ultimately contributed to A&P’s prolonged decline from leading grocery retailer to bankruptcy and liquidation over the next three decades:

• Capital investment was severely limited. Although publicly traded, control remained largely with Burger, who simultaneously led both the company and the Hartford Foundation. The majority of profits were paid out as dividends to meet trust beneficiaries’ income requirements. The company also resisted taking on debt financing; consequently, depreciation funds were its sole capital source. While competitors invested heavily in larger, modern supermarkets, A&P lagged behind in upgrading its retail infrastructure. By 1970, its stores were noticeably smaller and older compared to rival chains.
• Overreliance on private-label merchandise hampered competitiveness. In 1951, the Supreme Court ruled that manufacturers could not enforce minimum resale prices without retailer consent. This decision triggered a surge in discount retailing, further propelled by television advertising that increased consumer demand for national brands. Contrary to this trend, A&P allocated significant portions of its limited capital toward expanding manufacturing capabilities, including a $25 million investment to build what was then the world's largest food processing facility in Horseheads (town), New York. Because many stores were small, private-label items dominated shelves while national brands were often unavailable to customers.
• Labor expenses exceeded those of most competitors. As growth stagnated, a growing proportion of employees earned higher wages due to seniority—a situation less problematic for rapidly expanding rivals with younger workforces. To compensate for these rising labor costs, A&P attempted to reduce staffing levels per store, resulting in longer checkout lines and poorly stocked shelves.

In an effort to boost declining sales volume, Ralph Burger reintroduced trading stamps under the brand Plaid Stamps. However, by late 1962 initial improvements had vanished, prompting six outside directors to threaten resignation unless Burger stepped down. Burger resigned in May 1963 when stock prices had fallen into the $30 range (~$Template:Format price in Template:Inflation/year). Subsequent presidents failed to halt the company’s decline. In 1971, William J. Kane—who began at A&P as a full-time store clerk in 1934—was appointed CEO. Kane believed revitalization required concentrating on fundamental store operations such as cleanliness, product availability, customer service, and employee courtesy.

When progress stalled under this approach, Kane launched a price-cutting strategy by converting stores into warehouse-style outlets known as W.E.O.—Warehouse Economy Outlet (or Where Economy Originates). Unfortunately, most locations were too small to support this format effectively; losses escalated rapidly. By early 1973, stock prices had plummeted to $17 per share when Charles Bluhdorn of Gulf+Western proposed a tender offer at $20 per share. Kane declined this bid despite some shareholders viewing it favorably given ongoing difficulties. During this period, A&P withdrew from California in 1971 and from Washington by 1974, consolidating its westernmost operations in Missouri. In addition, the company relocated its headquarters from the Graybar Building to Montvale, New Jersey in 1974.

1975–2001: Leadership under Scott and Wood

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During the Scott/Wood period, A&P initiated the development of contemporary store formats. This particular location was in Belleville, Ontario. Notice the "sunrise" emblem introduced in 1975.

In February 1975, A&P evaluated a strategy proposed by Booz Allen Hamilton to shutter 36% of its 3,468 outlets. Kane agreed to step down and was succeeded by Jonathan Scott, then 44 years old and formerly president of Albertsons. Over the following three years under Scott’s leadership, A&P closed approximately 1,500 stores, bringing the total count down to 1,978. Scott recruited numerous executives from outside the company and decentralized decision-making to regional managers. Within his initial three years, A&P constructed 300 supermarkets ranging from 23,000 square feet (2,100 m²) to 32,000 square feet (3,000 m²), including its inaugural combination grocery and drugstores branded as A&P Family Mart, featuring approximately 40,000 square feet (3,700 m²) of retail space. The first Family Mart debuted in Greenville, South Carolina in 1977 as The Family Mart.

The Family Mart outlets typically ranged between 40,000–55,000 square feet (3,700–5,100 m²) and were among the earliest A&P locations to integrate full-service grocery offerings with pharmacy departments. Scott continued Kane’s initiatives aimed at enhancing fundamental store operations such as cleanliness and customer service by implementing extensive employee training programs. Weekly sales per store rose from $37,000 in 1974 to over $70,000 by 1976. Despite store closures, total sales grew from $6.4 billion to $7.2 billion during this period. Additionally, manufacturing operations underwent restructuring. Although initial performance appeared positive, by 1978 profitability began declining due to economic challenges linked to high inflation.

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The "sunrise" logo for A&P developed by Lippincott & Margulies, used from 1976 through 2005

With stock prices falling to $7 per share, the John A. Hartford Foundation concluded that waiting for a turnaround was no longer viable. At this point, Erivan Haub, owner of the German-based Tengelmann Group, expressed interest in acquiring a stake. Born in 1930, Haub had studied retail management in the United States after World War II and expanded his family’s grocery enterprise into a chain of around 2,000 stores generating annual sales equivalent to $2 billion. Although he maintained residence in Germany, his children were born in the U.S.

Haub agreed to purchase 42% of A&P shares at $7.375 each and quietly increased his holdings until controlling 50.3% by February 1981. Jonathan Scott did not renew his contract; Haub appointed James Wood as chairman. Wood, an Englishman of similar age to Haub, had formerly managed the American supermarket chain Grand Union. Many executives hired during Scott’s tenure departed and were replaced by Wood’s associates from Grand Union.

Tengelmann had achieved success in Germany with its Plus stores—smaller-format outlets featuring low-cost private-label products alongside a limited selection of meats and produce. Taking advantage of A&P’s manufacturing facilities and numerous small stores, A&P launched several Plus divisions in the U.S.; however, these formats failed to attract American consumers who preferred competitors offering low prices on national brands.

Recognizing the need for further downsizing to restore profitability, James Wood announced in October 1981 plans to reduce store count below 1,000 and close the Chicago division. The strategy also involved shutting down most manufacturing operations except for four coffee warehouses. To fund this initiative, A&P intended to terminate its non-union pension plan using its $200 million surplus. Obligations were covered via annuities costing about $130 million due to favorable interest rates at that time. Non-union employees were covered under a defined contribution 401(k) plan.

William Walsh, a recently retired executive then, filed a class-action lawsuit that resulted in an increased annuity value settlement. Despite this adjustment, A&P still realized over $200 million and avoided taxes due to carryforward losses from prior closures. The Philadelphia division faced closure unless unions agreed to concessions; when unions declined, A&P proceeded with shutdowns. Although unions proposed purchasing these stores, they lacked sufficient capital; instead, they accepted a profit-sharing model if A&P created a new subsidiary operating under a different name. This led to the launch of "Super Fresh", which became profitable. The company recognized that its brand name no longer held the value it once did.

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A&P Fresh store located in Midland Park, New Jersey: Converted into an ACME following A&P’s liquidation in 2015.

Beginning in 1982, A&P acquired multiple chains which continued operating under their original names rather than being rebranded as A&P. Although profitability returned during the 1980s, by 2002 the company experienced record losses attributed largely to intensified competition from retailers like Walmart. This led to additional store closures including divestiture of its extensive Canadian operations and spinning off Eight O'Clock Coffee, its last remaining manufacturing unit.

In 1982 when Stop & Shop exited New Jersey for nearly two decades, A&P purchased most of those stores as replacements for outdated locations. The following year marked acquisition of Wisconsin-based Kohl's Food Stores (previously part of Kohl's department stores) from BATUS, facilitating reentry into Wisconsin and Illinois markets. In 1984, A&P acquired Pantry Pride's division based in Richmond, Virginia. The subsequent year saw reinforcement of its profitable Canadian presence through store closures in Quebec and purchase of Ontario's Dominion Stores. In the U.S., construction began on larger supermarkets approximately 40,000 square feet (4,000 m²) known as A&P Future Stores.

In 1986, acquisitions included Waldbaum's, serving southern New York and southern New England regions, along with upscale New York City-based chain The Food Emporium. By 1989, Michigan-based Farmer Jack was added to A&P’s portfolio; attempts were also made to expand into Europe with an unsuccessful bid for United Kingdom’s third-largest grocery chain Gateway Corporation (then part of Somerfield). However, stores opened in the Netherlands operated until early 2000s before closure. By decade end, A&P reported a profit margin of 1.3%, exceeding the industry average of 1.04%, on revenues totaling $11 billion.

Entering the early 1990s brought renewed challenges driven by economic pressures and emerging competitors such as Walmart. In 1992 sales declined sharply to $1.1 billion accompanied by a net loss of $189 million. In response, A&P enhanced its private-label offerings and revamped remaining U.S. units; most locations smaller than 40,000 square feet (4,000 m²) were either expanded or replaced with larger stores measuring between 50,000 square feet (5,000 m²) and 80,000 square feet (7,000 m²) featuring pharmacies, expanded bakeries, and broader general merchandise selections.

A&P withdrew from much of the Southern United States market—exiting Alabama, Florida, Georgia, Kentucky, the Carolinas, Tennessee, and Virginia—with most former stores sold to Kroger. Consequently, operations concentrated across four regions: Northeast U.S., Midwest (Michigan and Wisconsin), New Orleans area, and Ontario Canada. To bolster presence in New Orleans division, six Schwegmann supermarkets were acquired; however overall store count had diminished to approximately 600 locations.

Christian W.E. Haub—the youngest son of Erivan Haub—was appointed co-CEO in 1994 and ascended to CEO upon Wood’s retirement in 1997; Wood stepped down as chairman in 2001 with Haub assuming that role as well.

2001–2015: The concluding phase as a supermarket chain

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In 2005, A&P updated its sunrise emblem by eliminating the colored stripes and reducing the oval's dimensions. A variant of this logo continued to appear on Best Cellars liquor outlets until their shutdown.

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Following its transition to a private entity in 2012, A&P introduced a round logo design. The preceding two logos remained in use until the supermarket closures.

Throughout the United States, Walmart established a commanding presence within the grocery sector, compelling many rivals to scale back operations. Nevertheless, Walmart had yet to become a significant grocery contender within A&P's primary Northeast market. After reporting its largest financial loss in 2003, A&P shuttered Kohl's Food Stores along with all remaining locations in Vermont and New Hampshire, trimming its store count to just over 500. That same year, A&P divested its final manufacturing business, the Eight O'Clock Coffee division, selling it to Gryphon Investors for $107 million. (Gryphon subsequently sold Eight O'Clock Coffee to Tata Global Beverages in 2006 for $220 million).

In 2005, A&P disposed of its Canadian operations comprising 237 stores—including A&P, Dominion, Ultra Food and Drug, and Canadian Food Basics units—to Montreal-based Metro Inc. for Can$1.7 billion in cash plus Metro shares. By 2009, the A&P brand had vanished from these outlets. In 2007, A&P exited the New Orleans market, consolidating its presence solely within the Northeast. That same year saw A&P acquire long-standing regional competitor Pathmark for $1.4 billion (~$Template:Format price in Template:Inflation/year). This acquisition reinstated A&P as the largest supermarket operator around New York City. Concurrently, Tengelmann reduced its ownership stake to 38.5%, while private equity firm Yucaipa, a major Pathmark shareholder, obtained 27.5% of A&P's shares. In 2012, following bankruptcy proceedings, A&P reemerged as a private company, with Tengelmann divesting its holdings and the company briefly achieving modest profits during 2013 and 2014.

This resurgence enabled A&P to reclaim its status as the largest grocer in New York City and second-largest in Philadelphia. However, the Federal Trade Commission determined that this consolidation resulted in monopolistic conditions in certain areas of Long Island and Staten Island. To comply with FTC mandates, A&P was compelled to divest select Waldbaum's and Pathmark locations.

Celebrating its 150th anniversary in 2009, A&P was ranked No. 21 among North America's top 75 grocery retailers by Supermarket News, based on estimated sales of US$9.6 billion for fiscal year 2008 (~$Template:Format price in Template:Inflation/year). At that time, Tengelmann held roughly 38.5% ownership, Yucaipa controlled 27.5%, with remaining shares distributed among individual investors and groups. Christian Haub served as chairman, while Eric Claus departed his role as president and CEO, succeeded by Sam Martin.

Initial Chapter 11 Bankruptcy Filing (2010)

Trends in Store Count Over Time

Year	Number of Stores
1863	5
1878	70
1900	400
1915	1,600
1930	15,709
1950	4,500
1970	4,000
1980	2,000
1990	1,000
2000	600
2010	395
2015	296

All outlets ceased operations by November 25, 2015. |} The Great Recession led many grocery chains to struggle as shoppers increasingly turned to discount retailers. A&P was particularly impacted due to its elevated debt burden following the acquisition of Pathmark. In June 2010, the company halted rent payments amounting to $150 million (~$Template:Format price in Template:Inflation/year) for the shuttered Farmer Jack locations. By August, A&P declared plans to shutter an additional 25 stores across Connecticut, Maryland, New Jersey, New York, and Pennsylvania. This included 13 Pathmark outlets, six A&P stores, two Waldbaum's locations, and four Super Fresh supermarkets. The following month, the company revealed it would sell seven Connecticut stores to Big Y.

Speculation about bankruptcy emerged on December 10, 2010; the company's stock price plunged from above $3 per share to under $1 before trading was suspended. Two days later, A&P officially filed for Chapter 11 protection. Court filings submitted in White Plains, New York indicated that A&P reported assets exceeding $2.5 billion and liabilities totaling $3.2 billion.

Following the bankruptcy filing, A&P continued operations under the new ticker GAPTQ while formulating a restructuring strategy. In November of the following year, the company announced securing $490 million (~$Template:Format price in Template:Inflation/year) in combined debt and equity funding from investors including Yucaipa, Mount Kellett Capital Management, and funds managed by Goldman Sachs Asset Management. This financing facilitated A&P’s successful emergence from Chapter 11 as a privately held company in early 2012. At this juncture, Christian Haub departed from the company and Tengelmann wrote off its remaining equity stake.

Second Chapter 11 Bankruptcy and Closure of Supermarkets

A&P managed a brief return to modest profitability by reducing expenses in its remaining outlets, despite a continued decline in customer purchases. In 2013, the company was once again placed on the market but failed to attract a suitable purchaser. Sam Martin resigned in January 2014, and by March, Paul Hertz assumed the roles of CEO and President as the company achieved a break-even point. On January 15, 2015, Supermarket News reported that A&P was still seeking a buyer.

Speculation arose about various interested parties, including Cerberus Capital Management, which retained ownership of Albertsons assets. Nevertheless, no acceptable bids materialized. In May, reports indicated that A&P faced escalating financial difficulties after disclosing a significant loss for the prior year (April), losing additional market share to more efficiently operated competitors. With declining customer traffic, the company contemplated filing for bankruptcy a second time within five years.

There were also rumors suggesting A&P might divest all stores located more than 40 miles from its headquarters, potentially reducing its footprint to approximately 100 stores. Other speculation included the possibility of selling off the entire chain. Additional conjecture involved filing for Chapter 7 bankruptcy with a complete liquidation and piecemeal sale of assets or alternatively pursuing Chapter 11 bankruptcy while selling stores individually. Despite these considerations, the company remained on the market as a whole entity but did not receive offers for individual locations. Various other options were evaluated, including disposing of additional assets.

On July 19, 2015, A&P officially filed for Chapter 11 bankruptcy protection and promptly shuttered 25 underperforming outlets. The following day, it was announced that Albertsons (owner of Philadelphia-based Acme Markets) had acquired 76 stores, which included Super Fresh and Pathmark locations along with one Food Emporium store. Stop & Shop purchased 25 stores primarily consisting of Pathmark units in New York City and Nassau and Suffolk counties. The Key Food cooperative acquired 23 stores—mostly situated in New York City—including all remaining Food Basics and Food Emporium locations.

Morton Williams purchased two Food Emporium outlets in Manhattan, while Wakefern Food Corporation—the cooperative behind ShopRite and PriceRite—acquired 12 stores, including nine Pathmark units. Local grocery operators also obtained several stores through sales or auction processes. By November 25 (Thanksgiving Eve), all supermarkets under A&P’s banner had been closed. The final segment of A&P operations, Best Cellars at A&P, underwent an auction during summer 2016; eleven stores were sold (none continuing as operating businesses), while six leases were rejected.

Store design

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The A&P in New Orleans' French Quarter (1930–2007)

According to the A&P Historical Society, the earliest stores were described as "luxurious emporiums" adorned with vermilion paint and featuring a prominent gas-lit T-shaped sign. Inside, customers would find crystal chandeliers, tin ceilings, and walls decorated with gilt-edged Chinese panels. Service was provided by a clerk stationed behind an extended counter, as self-service formats did not become widespread until the 1930s. The cashier’s area was uniquely designed in the form of a pagoda. When A&P introduced premiums, large shelving units were installed on the wall opposite the counter to showcase these promotional items.

With John Hartford taking charge of marketing in the early 1900s, A&P began distributing S&H Green Stamps to maximize space for its growing grocery selections. In 1912, Hartford initiated economy stores that did away with decorative elements. These typically measured around 600 square feet (56 m²) and featured simple shelving alongside a small icebox. To maintain flexibility, A&P preferred short-term leases enabling swift closure of underperforming locations.

During the early 1920s, A&P launched combination grocery, meat, and produce outlets which transitioned into supermarkets by the 1930s. On average, one supermarket replaced six older combination stores. Due to its policy of short lease terms, store designs varied considerably even into the 1950s. Compared to competitors, A&P stores remained relatively small throughout much of the mid-20th century; as late as 1971, half of its outlets were under 8,000 square feet (740 m²) in size.

Under Scott’s leadership, store design underwent modernization with centralized oversight from company headquarters. Four prototype store sizes were developed: 23,000 square feet (2,100 m²), 28,000 square feet (2,600 m²), 30,000 square feet (2,800 m²), and 32,000 square feet (3,000 m²). The Family Mart concept combined grocery and drugstore offerings within approximately 40,000 square feet (3,700 m²) of retail space.Template:Fix/category

Futurestore

During Wood’s tenure, A&P introduced the "Futurestore" concept featuring black-and-white interior design. The Family Mart chain served as a testing ground for this new format.

Futurestore was one of two major initiatives launched by A&P in the 1980s (the other being Sav-A-Center, which is also no longer operating). The inaugural Futurestore opened in the New Orleans region in 1984, where two acquired Kroger locations were converted to this format. The first transformation of an existing A&P store into a Futurestore occurred in New Jersey in 1985.

The Futurestore model expanded to A&P outlets across the southeastern United States and its traditional Mid-Atlantic markets (operating under the Super Fresh banner in Philadelphia), but by the late 1980s all Futurestores had either been rebranded or shuttered.

Like its counterpart Sav-A-Center, Futurestore was distinguished by its visual identity and features. Interiors employed a black-and-white color scheme compared to Sav-A-Center’s green-and-white décor. Many Futurestores incorporated glass atrium storefronts and utilized signage with pictograms, reminiscent of European supermarket styles.

Futurestores generally provided advanced gourmet departments and electronic services catering to affluent neighborhoods. Their amenities emphasized specialty and gourmet products more than typical A&P or Sav-A-Center locations. Additionally, these stores featured more contemporary fixtures and equipment than standard A&Ps of that era.

Since Futurestore was never implemented on a broad scale, A&P gradually eliminated the brand—closing some stores while converting others back to A&P or Sav-A-Center formats. Many shoppers perceived Futurestore as lacking the flair of other upscale grocers that offered not only gourmet items but also prepared meals and delivery services. However, unlike Sav-A-Centers, A&P did not immediately alter Futurestore interiors when rebranding them as A&P Food Markets during the 1990s.

Pharmacies

During the mid-1990s, A&P expanded its operations by incorporating pharmacies, focusing on developing stores ranging from 45,000 to 65,000 square feet in size.

International endeavors

In the early 1980s, plans were considered for A&P to establish a store in Saudi Arabia. According to A&P Preservation's report from March 2018, A&P did open a location in Riyadh. Petra Czech, representing Tengelmann, noted that the brand name was licensed to local Saudi operators. It is believed that this store was eventually rebranded under the Saudi version of Safeway.

Store brands

File:Farmer682.jpg

In 1989, A&P acquired the 79-store Farmer Jack chain and maintained that brand until the division's closure in 2007.

File:Pathmark Supermarket.jpg

A&P purchased the 141-store Pathmark chain in 2007 and continued operating most locations under that name until 2015.

For the majority of its existence, A&P used its own name for retail outlets. However, during the leadership of Scott and Wood, the company diversified by creating new chains or retaining the original names of acquired businesses. Below are some of the retail banners operated by A&P under different names:

• Family Mart: Launched in 1977, this chain featured large grocery stores combined with pharmacies, inspired by similar models developed by Skaggs-Albertson's where Chairman Scott had previously worked. Initially thriving, Family Mart expanded to 28 locations across Alabama, Florida, Georgia, and the Carolinas within a decade. The 18 Florida stores were sold in 1987, and all remaining Family Mart stores closed by 1999.
• Plus: Tengelmann ran numerous small-format low-cost stores named Plus in Germany. After acquiring a controlling interest in A&P, Tengelmann converted some smaller A&P outlets into Plus stores.
• Super Fresh: During the 1981–82 restructuring that led to closing A&P's Philadelphia division (covering Delaware, Maryland, and southern New Jersey), union groups proposed purchasing many of these stores. A&P agreed and negotiated a new labor contract including profit-sharing. The stores reopened under the Super Fresh brand and proved profitable. By 1986, Super Fresh expanded into Washington D.C. and Virginia, incorporating Richmond-area Pantry Pride locations acquired in 1981. Super Fresh remained operational until A&P's liquidation; later, Key Food acquired the brand and relaunched it primarily around Newark, New Jersey rather than its original Philadelphia base.
• Food Basics (US & CA): In response to significant losses during the early 2000s recession affecting middle-class suburbs in New Jersey such as Paterson, North Bergen, and Glassboro, A&P transformed these unprofitable outlets into no-frills supermarkets branded Food Basics. These stores focused on essential grocery items at reduced prices and carried both America's Choice and Food Basics private labels alongside standard national brands. By 2010, Food Basics operated over a dozen locations in economically challenged New Jersey cities and several former Super Fresh sites in central Philadelphia. Service departments were limited to delis; other fresh products like meat and baked goods were sourced externally to cut labor expenses by more than half by replacing higher-paid butchers and bakers with stock clerks and cashiers.
• Kohl's Food Stores: After shutting down its large Chicago division in 1982, A&P acquired Wisconsin-based Kohl's Food Stores in 1983. Kohl's began operations in 1946 and expanded into department stores during the 1960s. British American Tobacco purchased Kohl's in 1972 but divested its grocery chain to A&P about ten years later. Kohl's Food Stores were closed by A&P in 2003.
• Dominion (Canada): In 1985, A&P purchased Dominion’s Canadian chain consisting of 92 supermarkets along with two warehouses and an office complex. Dominion was divested in 2005.
• Ultra Food & Drug / Miracle Mart / The Barn Markets (Canada): These Canadian supermarket chains were acquired by A&P and operated similarly until their eventual discontinuation in the early 2000s.
• The Food Emporium: Also acquired in 1985, this New York City-based chain originally began as Daitch Crystal Dairies in 1919 before becoming Shopwell Supermarkets. After peaking at 103 locations in 1962, it downsized during the late ’70s and early ’80s and rebranded as The Food Emporium targeting affluent neighborhoods. The brand remained active through A&P’s liquidation; Key Food acquired The Food Emporium name along with four stores and continues to operate them.
• Waldbaum's: Purchased in 1986, this New York City-founded chain opened its first supermarket in 1951 before expanding into Nassau and Suffolk counties as well as Connecticut and Massachusetts. In the early 2000s, A&P managed approximately 80 Waldbaum’s mostly located outside Manhattan on Long Island. Many remained open when liquidation commenced.
• Farmer Jack: Based in Detroit with a history dating back to 1924 (originally named Borman’s until renamed Farmer Jack in the late ’60s), this chain comprised 79 stores when acquired by A&P in 1989 for $76 million following a financially damaging strike in 1987. Within five years after acquisition, all Detroit-area A&P stores were rebranded as Farmer Jack along with some locations in Virginia and South Carolina. By 2007, all Farmer Jack outlets were either sold or shuttered.
• Sav-A-Center: Initially launched as a group of about twenty supermarkets around greater New Orleans, this division operated throughout Louisiana with two Mississippi locations included. It also encompassed three traditional A&P stores such as a small "corner grocery" established since 1931 in New Orleans’ French Quarter. By August 2005, Sav-A-Center primarily served Baton Rouge, New Orleans metro areas, and Mississippi Gulf Coast regions but suffered extensive damage from Hurricane Katrina. Twenty-one stores reopened shortly after recovery efforts; two more followed after renovations; five were permanently closed due to severe destruction of premises and surroundings. In April 2007 Sav-A-Center withdrew from Baton Rouge; by May that year A&P announced plans to exit New Orleans entirely seeking buyers for its remaining twenty Sav-A-Center stores to concentrate on Northeast operations where most stores resided. In September 2007 local chain Rouses purchased sixteen Sav-A-Center locations including Mississippi outlets plus the French Quarter store; one was sold to competitor Breaux Mart while others closed.
• Pathmark: This significant New York metropolitan competitor was acquired by A&P in 2007. Established originally as Supermarkets General within Wakefern co-op ShopRite in 1956 before separating from ShopRite in 1968 and converting its eighty-one stores to Pathmark branding. By the late ’70s Pathmark began constructing larger supermarkets featuring pharmacies. To fend off a hostile takeover bid in 1987 management executed a $2.7 billion leveraged buyout resulting in substantial debt obligations. After filing for bankruptcy protection in 2000 and reorganizing with Yucaipa Holding acquiring a forty percent stake for $150 million, Pathmark operated one hundred forty-one stores valued at $634 million at acquisition time by A&P. Many Pathmark outlets remained open during A&P’s liquidation phase; subsequently the brand was sold to Foodtown. In April 2019 an independently owned Pathmark store reopened under Allegiance Retail Services management located in Brooklyn’s East Flatbush neighborhood.

Private brands

File:A & P (Great Atlantic & Pacific Tea Co.), 246 Third Avenue, Manhattan (NYPL b13668355-1219150).jpg

A&P, 246 Third Avenue, Manhattan, 1936. Notice the prominent advertisements for A&P's private label products.

When A&P was established, branded food items were nonexistent, and retailers typically sold food in bulk quantities. In 1870, the company became one of the pioneers in marketing a branded pre-packaged product by launching the "Thea-Necter" tea brand. The "A&P" name first appeared on baking powder packaging in 1885. Additionally, during the 1880s, the coffee brand "Eight-O'Clock" was introduced. Upon relocating its headquarters to Jersey City, New Jersey in 1907, A&P incorporated bakery and coffee-roasting operations into its facilities.

A&P's growth into a leading national food manufacturer was significantly influenced by the 1915 court ruling in the Cream of Wheat case, which affirmed a manufacturer's authority to set retail prices. To maintain competitive pricing, the company emphasized its private label merchandise. By 1962, A&P managed 67 manufacturing plants before merging many into the expansive Horseheads facility, spanning 1.5 million square feet and recognized as the world's largest single-roof food production plant. In his 1952 work American Capitalism, economist John Kenneth Galbraith highlighted A&P's manufacturing approach as a prime example of countervailing power, offering an effective alternative to government price regulations.

As late as 1977, private label products accounted for a quarter of A&P's total sales, with over 40% of these items produced internally by A&P. That year alone, sales from A&P's manufacturing division reached $750 million across 23 plants—an output that would have ranked it approximately 350th among Fortune 500 companies.

Before establishing a unified Manufacturing Group in 1975, A&P's production was divided among four separate sectors:

• Bakery (brands such as Grandmother's, Marvel, and Jane Parker): Jersey City housed A&P’s sole bakery until 1923. The bakery division rapidly expanded to become the largest in the United States with 37 plants. By 1977, this number had decreased to seven; the division was ultimately shuttered during restructuring efforts in 1981–82. Although a Canadian baker continued producing Jane Parker cakes for some time, it filed for bankruptcy in 2014. In 2016, Alex and Chris Ronacher acquired the rights to this brand.
• Coffee (including Eight O'Clock, Bokar, Red Circle): In 1919, A&P consolidated its coffee operations under the "American Coffee Company," establishing roasting and grinding facilities. By 1977, the company operated three coffee roasting plants and one dedicated to canned coffee. This division survived the early-1980s restructuring and remained under A&P ownership until being sold in 2003.
• Dairy: Originating in 1922 with the acquisition of White House Milk Company in West Bend, Wisconsin—specializing in evaporated milk production—this division addressed grocers’ limited access to fresh milk due to refrigeration constraints at the time. By 1977, it encompassed three dairies, a cheese factory, and a dry milk plant.
• Grocery (brands such as Quaker Maid, Ann Page, Our Own Tea): Beginning with a vegetable cannery opened in 1907 and expanding after World War I by acquiring Alaskan canneries amidst plummeting salmon prices, this division grew to produce an extensive variety of canned goods, frozen foods, nuts, tea bags, pasta, peanut butter, detergents, insecticides, gelatin products, paper goods, and confections. The company also operated a printing facility for labels and packaging as well as promotional materials for stores. By 1977, operations included the Horseheads plant along with six smaller manufacturing sites.

In the mid-1990s, A&P launched a streamlined store brand named America's Choice that persisted until the chain ceased operations in 2015. In Canada, this brand was marketed as "Master Choice," which was also applied to gourmet products within U.S. stores.

Between 2008 and 2009, A&P introduced additional private labels including Green Way—a line focused on environmentally friendly products—Food Emporium Trading Company for gourmet selections, and Food Basics as an economical alternative option.

Woman's Day

The publication now known as Woman's Day originated in 1931, created by A&P as a complimentary leaflet featuring menus. By 1937, it evolved into a magazine sold exclusively within A&P stores for five cents. Its circulation expanded to 3 million by 1944 and reached 4 million in 1958, the year it was acquired by Fawcett Publications.

In arts, entertainment, and media

• The film Breaking Away opens with Dennis Quaid singing about wanting to be buried in an A&P parking lot.
• In season 4, episode 3 of Boardwalk Empire, characters Gillian Darmody (portrayed by Gretchen Mol) and Roy Phillips dine with A&P executives.
• Tim Burton's film Big Eyes features Margaret Keane entering an A&P store and discovering her artwork being sold there.
• The supermarket is referenced in the song "Garbage Dump" by Charles Manson.
• Within the Starz series Gaslit, a character tells Martha Mitchell (played by Julia Roberts) that they are going to the A&P.
• The 1981 track "Christmas Wrapping" by The Waitresses includes the line "A&P has provided me with the world's smallest turkey."
• From 1924 through 1936, A&P sponsored the musical radio program The A&P Gypsies.
• A&P was also a long-standing sponsor of Kate Smith's radio show; Smith served as an A&P spokesperson and attended numerous store openings nationwide.
• In the 1951 Popeye cartoon "Vacation With Play," two squirrels recite a slowed-down radio commercial for Jane Parker's Donuts, A&P’s brand for baked goods like doughnuts and cookies.
• John Updike’s 1961 short story "A&P" is set in one of the stores.
• In 2013, A&P collaborated with the Lifetime Network to produce the food-reality television show Supermarket Superstar.
• The 1988 film Scrooged includes a line where Bill Murray’s character advises looking up A&P under either 'A' or 'P', referencing their role in providing turkeys for a shelter.
• In Born on the Fourth of July (1989), Ron Kovic is shown working at an A&P store managed by his father; he also invites his high school crush to prom while inside the supermarket.
• The book Good to Great (2001) analyzed A&P alongside its competitor Kroger.
• In 2007, brothers Mark and Matt D'Avella filmed their rap music video "Produce Paradise" at an A&P location; this led to a lawsuit that was ultimately settled out of court.
• An episode of Mad Men from 2009 titled "The Arrangements" features a scene where Betty Draper is informed by a police officer that her father died while waiting in line at an A&P.
• In the 2004 episode "Wannabe" of Without a Trace, Emily Levine remarks about Brandee's mother not working at an A&P checkout counter.
• The 2022 film adaptation of Don DeLillo's novel White Noise prominently features A&P as the preferred grocery store for its characters, notably during the closing credits.
• In season five of Psych, episode "Not Even Close... Encounters", Lassiter’s "crap list" includes "Check out Girl @ the A&P," although no A&P stores existed in California when the episode aired, suggesting an old grudge.

See also

• List of supermarket chains in the United States
• Retail apocalypse
• List of retailers affected by the retail apocalypse

External links

• Official website at the Wayback Machine (archived 2012-09-26)
• Time magazine cover featuring John and George Hartford
• Photograph of a 1970s A&P store in Towson, Maryland
• A&P section on Groceteria, including a brief history of Futurestore along with a photo collection of former A&Ps and several Futurestores Archived May 9, 2008, at the Wayback Machine