![['<p>Co-op Atlantic announced Thursday it will be closing four of its corporately-owned stores, including the Food Market on Queen Street in Charlottetown.</p>']](https://saltwire.imgix.net/co-op-2865849.jpg?cs=srgb&fit=crop&h=568&w=847&dpr=1&auto=compress%2Cenhance%2Cformat)
Co-op Atlantic’s food, gas and retail businesses will be changing hands after member-owners voted in favour of selling them to Sobeys.
What that means for the corporate stores that are being sold, their employees and their customers is still unclear.
In P.E.I., the sale will impact the corporate stores on Walker Drive and on Queen Street in Charlottetown, as well as one in North Rustico. Those stores employ about 80 people.
All of the independent stores around the province will stay as co-operatives and they have been in contact with Sobeys about entering into wholesale agreements.
Along with the grocery stores in P.E.I., Sobeys will take over the Co-op gas bar in Charlottetown.
Gasoline sales is a market the grocery chain tried to enter before in P.E.I., but in 2006 the Island Regulatory and Appeals Commission denied two Sobeys applications to open gas stations. Those stations would have been built in Stratford and Summerside.
Mike Randall, a Co-op Atlantic spokesman said Sobeys won’t need IRAC approval to take over the Co-op gas station.
“You’re not changing anything other than who supplies.”
Randal said the deal could still take several months to complete because it needs approval from the competition bureau.
“The details obviously aren’t going to be released because the deal hasn’t been finalized,” he said.
Members voted on the deal Tuesday night with a majority deciding to proceed with the sale to Sobeys.
Randall said what the deal means for the corporate stores will be determined once the deal closes.
Until then all of the stores will be operating as best they can, he said.
“It’s business as usual.”
The sale to Sobeys was a decision the Co-op board of directors and the members made after an extensive review of the food, gas and retail business to ensure the independent stores stay open.
“Increased competition over the last number of years has left Co-op Atlantic in a sort of depleted financial state and because of that this was the best option to ensure the future for the member owner stores and folks who own Co-op Atlantic.”
Co-op Atlantic’s food, gas and retail businesses will be changing hands after member-owners voted in favour of selling them to Sobeys.
What that means for the corporate stores that are being sold, their employees and their customers is still unclear.
In P.E.I., the sale will impact the corporate stores on Walker Drive and on Queen Street in Charlottetown, as well as one in North Rustico. Those stores employ about 80 people.
All of the independent stores around the province will stay as co-operatives and they have been in contact with Sobeys about entering into wholesale agreements.
Along with the grocery stores in P.E.I., Sobeys will take over the Co-op gas bar in Charlottetown.
Gasoline sales is a market the grocery chain tried to enter before in P.E.I., but in 2006 the Island Regulatory and Appeals Commission denied two Sobeys applications to open gas stations. Those stations would have been built in Stratford and Summerside.
Mike Randall, a Co-op Atlantic spokesman said Sobeys won’t need IRAC approval to take over the Co-op gas station.
“You’re not changing anything other than who supplies.”
Randal said the deal could still take several months to complete because it needs approval from the competition bureau.
“The details obviously aren’t going to be released because the deal hasn’t been finalized,” he said.
Members voted on the deal Tuesday night with a majority deciding to proceed with the sale to Sobeys.
Randall said what the deal means for the corporate stores will be determined once the deal closes.
Until then all of the stores will be operating as best they can, he said.
“It’s business as usual.”
The sale to Sobeys was a decision the Co-op board of directors and the members made after an extensive review of the food, gas and retail business to ensure the independent stores stay open.
“Increased competition over the last number of years has left Co-op Atlantic in a sort of depleted financial state and because of that this was the best option to ensure the future for the member owner stores and folks who own Co-op Atlantic.”
