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A&P chief executive leaves abruptly

By João-Pierre Ruth
10/20/2009
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The Great Atlantic & Pacific Tea Co., in Montvale, said Tuesday its president and chief executive Eric Claus will leave the company effective immediately. A&P’s executive chairman, Christian Haub, will serve as interim CEO as the company searches for a permanent successor.

Claus became A&P’s chief executive in 2005, promoted from president of A&P Canada. He led A&P through its $1.3 billion acquisition of rival Pathmark Inc., in Carteret in 2007.

While announcing Claus’s departure, the supermarket operator reported decreased sales for its fiscal second quarter ended Sept. 12. A&P reported a net loss of $80.3 million on $2.1 billion in revenue for the second quarter, compared with a net loss of $18.1 million on $2.2 billion in revenue for the year-ago period.

For the 28 weeks ended Sept. 12, A&P reported a net loss of $145.5 million on $4.9 billion in revenue. That compares with net loss of $16.8 million on $5.1 billion in revenue for the year-ago period.

Haub said in a statement the company’s Pathmark businesses “continue to struggle” with negative same-store sales as well as negative year-over-year income. He said the company would work to lower its expenses and change its retail pricing.

Haub previously served as chief executive for the company from 1998 through 2005 when Claus took the top position.

A&P has long sought to position itself as the top grocery chain in all of its markets, selling business units and shuttering older stores.

The company currently operates 432 stores across the country under such brand names as A&P, Pathmark, Waldbaum’s and Super Fresh.

E-mail João-Pierre Ruth at jpruth@njbiz.com

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