Get news updates from WGBH
Thu August 28, 2014
Market Basket Board Reaches Settlement With Arthur T. Demoulas
The Market Basket shareholders and board of directors signed a deal late Wednesday to sell the grocery chain to Arthur T. Demoulas for more than $1.5 billion.
After nearly six weeks of negotiations among feuding family shareholders, the company will reinstate the previous, longtime CEO, Arthur T. Demoulas, to run the 71 stores in Massachusetts and New Hampshire.
It’s welcome news for the more than 25,000 workers who encouraged customers to boycott when Arthur T. Demoulas was fired. They were unhappy with the new management, and asked customers to shop elsewhere. Customers complied, and the stores were nearly empty for over a month.
Arthur T. Demoulas and his sisters bought 50.5 percent of Demoulas Supermarkets Inc., the formal name of Market Basket, controlled by his cousin Arthur S. Demoulas and other members on that side of the family. Arthur T. has offered to pay them more than $1.5 billion.
The business standstill attracted the attention of the governors of Massachusetts and New Hampshire, who stepped in to mediate last week.
It’s not clear when the stores will be back up and running, or the shelves restocked, but employees say they are ready to work.