A&P Closing Down Paterson, N.J. Office

MONTVALE, N.J. -- Almost 500 employees will be transferred before the end of the month to A&P's corporate headquarters here, when the grocer shuts down its regional HQ in a converted warehouse in Paterson, N.J.

According to a published report, the Paterson office, which A&P opened nine years ago, handled operations from New England to Pennsylvania, but since the chain has sold most of its New England business, in addition to its Canadian and Midwestern arms, it doesnít need the additional space any more.

The relocation will bring the number of employees working at Montvale HQ to around 800. No major employee terminations are planned. In 1997 the grocer spent $5 million to renovate the 120,000-square-foot Paterson structure.

The Paterson location was originally used for regional operations from the late 60s to 1982, when A&P consolidated operations in Montvale, the location of its corporate since the company moved from New York in 1974. The retailer then moved some of its employees to the site in 1997 after the lease expired on one of its two HQ buildings in Montvale.

The closing is part of $75 million in cost reductions A&P began in December 2004. Additional savings came from the elimination of over 100 middle-management positions at the two headquarters.
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