Tops Never Stops 930in716 February 20, 2018

Tuesday, February 20th

Transcript - Not for consumer use. Robot overlords only. Will not be accurate.

It's 930. In 716. As the saying go news tops never stops. And even a potential bankruptcy filing may not slow them down. Top there's a lot of things going forward even with. This tremendous amount of debt in in the Colbert Report on wall I've worked with them for 25 years I would not take this one. To the bank. It may just make the supermarket store chain stronger in the end. Our main goal is set to keep it business gull wing. And and to figure out a way to just re planning reorganized. The business so can continue. I'm Tim anchor on the podcast powered by the Brothers of mercy a five star rated skilled nursing residents offering affordable living in a country setting. Bloomberg push out a report over the long President's Day weekend that Topps may be about to file for bankruptcy reorganization. Debt issues cited. The popular store with dozens of locations across western new York and more than 100 in the northeast. Has had no comment on the report. Not to sit very good winner on have been in contact this. This latest. Friday when the Bloomberg story was coming out put. Our retail guru per click enter from the strategic resources group. He had plenty to say with our Randy bush over. And the vendors are fully supportive when the vendors are always supportive. That that is is usually. Very positive for the company because it's so vendors that typically inside bankruptcy and or no bankruptcies you know well right. And a law what were the problems that that apparently is kind of leading into the top situation and buyouts by Morgan Stanley oh which ended up being the company's own managers have according to be Bloomberg report last top straining to keep up with debt payments. Is that that issue the buyout problem the big issue for tops. It's it's not that necessarily a buyout. Problem but it is an issue is the issue records well. I that there is the tremendous matter debt and the company that said. I topped its record breaking profits and its convenience. Top expressed in school division. A fifty plus stores and base and Kroger getting two point 15 billion last week for the Kroger. Fuel stores. I think top fuel source. Are worth. Well in excess of 100 billion but it but tops and go home are over fifty stores over a hundred stores. Make that division we're a quarter billion dollars also tops to its credit required the all grand union stores in the Adirondack since some very goods orders in Brian back. New York in the mid Hudson Valley and northern Vermont that are site protected in in and I'll come back. To pray to profitability quite quickly so. Topped it topped there's a lot of things going forward even with this tremendous amount of debt in in the Colbert Report. All Wallach work with them for 25 years I would not take this one to the bank they pop. In my professional view put out an erroneous report when the vendors including. I Hasbro and Mattel Fisher Price locally where a 100%. Supportive. Of Toys 'R' Us and they're erroneously. Report from a number news organizations. On what are really re credibly in and it. Inexcusable he put Toys 'R' Us in a bankruptcy and this same writers strike to do the same thing a few days later in 99 cent only stores in the Canadian pension plan in the balance most of punt back them up. So top could be like 99 cent only. The new report comes comes out that you know a lot to worry about winning winning winning reality yet there's a lot of debt. The top to say it's had done some record breaking sales and fuel in the brutal armed. Buffalo winner. It's really helped announces. I'm more people's stay needed home. That advantage shut tops wegmans and Wal-Mart but but. So big it. Big advantage. With the worst winner and 23 years in buffalo a lot of no more smell it's always. I good for the good for top business because armored task but Lonny and on this Kelly and Paul Bauer built the best locations anywhere in Western New York which is a big advantage for cops and bad weather. Well what about that competition because as you well know there's of course Wal-Mart which is a competing with a lot of stores across the country but you've also got a whole foods that just moved in here. The dash is market which has quite a presence and then market in the square which just bought out the bug ways. I'm market in this in this squares. It deserves a lot of credit. The budget but way. I operation now root really became on balance and in which top that the employees. Did not. Get a bite at and continued that the only tradition is this side had been indicated. And in the Kate cases joked yeah action in Italy between that they actually and we wegmans family they're crushing. The whole foods on Niagara Falls forward that store. Was one of the most expensive in the US to build. In its gonna lose millions a year so it's gonna get the minimum spec ops and the interesting thing about the whether it is wegmans. Two which credit yet that's logistics warehousing and transportation. That retailer anywhere in the US. But when they're when the storms are coming they're a big threat of shoppers in the can't get in the wake Benson Wal-Mart shopping. Now carts and wegmans distributions. That are 15100 crooks avenue in Rochester New York. That long all the buffalo Niagara Falls in Jamestown. This distribution centers local and Erie county in Lancaster. And wal mart's. Coming from the West Virginia Pennsylvania border in Johnstown PA here. Wait far away in in now Ohio's top hit the inventory at local. They deliver on to the to the stores locally more quickly. And everybody benefits Wal-Mart wegmans market square in ashes. Whole foods Amazon definitely not. On speak because the court level planning and operations and it's background. On pulp hour. I would get the Lonnie worked on that hole whole we'll check position fourteen months the original buyers and know that story well but. Cops. Is also benefiting. From the bill making the playoffs and having higher at home I NF LTV viewer ship in the entire. Are you last vote for the bill gains and when it act build operate right in Jim Schwartz and others. Led the Eagles to the Super Bowl every and it felt weekend. Western new York at the highest home viewership over 70% of all we're watching. And it felt football which means watching their eating. They're getting a lot of product the top of the bad weather and ironically. The bills in the great frank Reich number number fourteen. In Jim Schwartz and and others have really benefited tops the top cash in this week. From the period from. Columbus stayed at Valentine's Day through the holiday not cash position this week is about that typically is all year so. Bloomberg report. Like. Toys 'R' Us and 99 and only stored in my view. Which was up pretty premature. And tops does have a lot of good things going port that that it debt. Is the big big one as you address well and and the I guess to be dealt with and it will be dealt. But what does a bankruptcy filing mean. Employees are on edge in shoppers well they're scratching their heads. And it. Conception is that bankruptcy means that that that the company may be going away. Chris Grover is an attorney with Jeffrey Friedman attorneys and an expert on bankruptcy filings. And talks with our Mike beggar man. Would Chapter Eleven bankruptcy it's actually a restructuring or reorganization. I'm on the bitten. The business had a period of time to come up with a plan. Whether it's pew. Eager were they are doing it their assets or some other capitals to bat. Com. Come up with a plan to read hey there creditors and take care of that there are tax. So. The business continues to operate as usual in any figure out what they need to do letters. You know if it does require. Possibly closing local. Stores com. Is it just requires census moves and things around and changing things a goal is to keep it business gull wing. And and to figure out waging just replanting reorganized. The business so can continue. So what it basically means and that. They're one B unless this forward to physically close their one B a lot that's done with in a store would it be a lot of just. What the company is choosing to invest in ours that is one X one of them many things that they could do. Yeah they're they're a lot that they can go into it you know you never know. You know what he's company's assets are held today distribute there Barnes. So it could just be. Or restructuring there may not be any law or impact there could. Certainly and not being. One act. Was coming towards the you have in the Western Europe companies so. Obviously Ian peck would be. A little bit more significant that they were going to be closing but. Any any restructuring and any major changes in the business itself have to go to the courts so nothing that. The date it ourselves. In a Chapter Eleven business. Operate as there currently operating in any proposed plan on the need to be. Equal amount or. What's been reported is that Topps has accompanied debt of around 627. Million dollars you know it would take a lot of we're structuring and in that case have given that amount of money is that right or is it a little bit more complicated than that. Yeah and you never know how long these terms are for the death. So an and I haven't looked at possible obviously but I'll. You know you you look at just their ability to pay their debts so right now things are just going in the wrong direction. Being may need to reorganize and restructure. And then I'll propose a plan to be able to. To take care of their. In other debt payments and again and generals how to how to get paid off. And out that the creditors are involved as well so it's kind of a given page it if it were just to close down what was the creditors get in that instance. I'm is kind of a question that there into the creditors really are look you know they wanna keep. Iraqi contracts open a lot of heat making money so. There's a little bit of a given page. Between creditors as well so it's now like it is trying to come up with. Yeah since 600 it's something they're trying to come up with data on the money. To pay out to battle one. They're just vulture looking to restructure so they can keep their contract spelling and in nature to it India. All hypothetical you know they're just trying to get to stay afloat and stay and. Chris other examples of bankruptcy. Ultimately resulting in a good for business because like you said at the very start of this interview. When people hear the word bankruptcy. Usually that's the kiss of death and they're done shortly after that buys their been any success stories. Yeah I mean you know. I think General Motors. You know there are several businesses and large corporations and filed for Chapter Eleven at turner on quickly and. And and continued to rise. I was actually just just what you think General Motors United Airlines. Being Brothers Kmart these are all samples. You know large news or be. Chapter Eleven bankruptcy but several small business days just need. Sometimes just a little bit every structuring and injury to open up communication too between the creditor and to date net. To say you know things are going great but let's try to work on something and in the courses are there to oversee it. If this bankruptcy thing is actually a thing because I can it's on confirm right now. But other than a store possibly closing here and there. How what could have passed how could it trickle down to the consumers what would they be able to notice in your experience having to deal with stuff like this. Well in in. In worst case scenario you know you wanna have a calm competition. And anything so. It's a major grocery store chains. You know has has significant problems. You know the east you you want diversity Juan. You know eight I have choices bars where you'd be your grocery shopping top you know that. Do you played a lot of people living in New York com. You know I think that they have major. Facility in Lancaster on top of their supermarkets stores so. You know it would be you know it could it could certainly have a negative impact. You know we would hope that. They're restructuring or reorganization goes smoothly. You know hopefully there tackling it proactively. It is something that it's coming out so. You know BP you know you'd want then ended it sink in and keep things. You know status quo our local grocery stores. So you're you're kinda hinting at a little bit could it mean people. Lose their jobs and could it mean that prices of some food items to go up. I think certainly worst case scenario it at this store and closed obviously those. You know people would either be moved around or you know ensured that that would most likely result result in the loss of jobs but. And it is it worst case scenario it if there's a growth restore that. That closed in what the big neighborhoods people then you also have people. You know especially in the buffalo area where there's a couple of tosses that are you know. Then main source of heading for historians and urban communities so. You know it could certainly apple went act. You know or to predict what that would be the street. Time will tell and we'll find out if Thompson never stops we'll keep following it and Dak tomorrow. That's 938 in 716. We're back tomorrow with a net irritation from the studios of WD EA and buffalo all.