Shoppers Value Foods heading to bankruptcy court with plans to close Jones Creek store

    Shoppers Value Foods will go before bankruptcy court on Tuesday with a plan to shutter its Jones Creek grocery store.

    If the plan is approved, the store—located in the Woodlawn Park Shopping Center, at the corner of Jones Creek and Tiger Bend roads—will likely close for retail customers at the end of January, with a liquidation sale beginning immediately thereafter. The company’s 23 employees will be placed at the chain’s other stores.

    Store management has attributed the planned closure to underperformance, stemming from road construction and competition from other supermarkets—which, as reported by Business Report, is becoming an increasingly crowded field in Baton Rouge. 

    But the news also comes just months after Shoppers Value filed for bankruptcy restructuring in late 2019—a move the company blamed on the debt it collected in 2018 after purchasing seven Winn-Dixie stores in the New Orleans area and Mississippi, all but one of which have since closed. In December 2018, the company also closed two of its locations in Harvey and Walker on Christmas Eve.

    As part of its bankruptcy filing, a 30-day budget submitted by the company shows the Jones Creek store reported just $390,000 in sales, paling in comparison to its stores along Government Street ($832,000), Old Hammond Highway ($703,000) and Baker ($727,000).

    The Jones Creek store has been in operation since August 2015, when it replaced Ralph’s Supermarket under the Piggly Wiggly flag. The Shoppers Value brand then grew aggressively, taking over six shuttered Winn-Dixie stores, including three Baton Rouge area stores damaged in the 2016 flood.

    Unlike the typical markup structure at most grocery stores, Shoppers Value sells all of its products at cost and then applies a 10% charge at the register. Counting the Jones Creek store, Shoppers Value currently has 12 locations throughout Louisiana and more than 600 employees statewide.

    At this point, there are no plans to close other Shoppers Value locations.

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