Deli Processor Freirich Foods Files for Chapter 11 Protection
Deli meat processor Freirich Foods has filed for Chapter 11 bankruptcy protection, according to news reports. The Salisbury, N.C.-based processor of corned beef, roast beef and other meat products, later said that the filing was the result of a large, one-time financial loss ($7 million) due to “the mishandling of 1.2 million pounds [of] our product by a third-party cold-storage facility,” according to the news outlet.
Freirich, which was founded in 1921, was still seeking to recover the loss, according to CEO Paul Bardinas, but needed to file to protect the business, employees and business partners during those proceedings.
In a letter to business partners obtained by the news outlet, the company said it employs 100 people and was, until very recently, solvent and profitable. It also reassured that the company expects to make it through the bankruptcy process and continue to operate.
About the Author
Andy Hanacek
Senior Editor
Andy Hanacek has covered meat, poultry, bakery and snack foods as a B2B editor for nearly 20 years, and has toured hundreds of processing plants and food companies, sharing stories of innovation and technological advancement throughout the food supply chain. In 2018, he won a Folio:Eddie Award for his unique "From the Editor's Desk" video blogs, and he has brought home additional awards from Folio and ASBPE over the years. In addition, Hanacek led the Meat Industry Hall of Fame for several years and was vice president of communications for We R Food Safety, a food safety software and consulting company.