Overview
- The Mexican-owned chain, which closed every branch Friday, told staff the sites are closed until further notice and said it would pay only part of wages.
- The company said it is under a preventive court process that restricts what it can pay to workers, suppliers, and the tax office.
- A planned sale of the entire business fell through, and three offers to buy single stores are now before the court-appointed trustee who oversees the case.
- Filings and industry reports cite roughly US$10 million tied to labor cases, about US$5 million owed to social security, and around US$4 million to suppliers, plus more than 20 million pesos in bounced checks.
- Suppliers demanded cash or halted deliveries after the bad checks, emptying shelves, while a low-price generics model struggled as drug sales fell, prompting at least 10 site closures and about 90 layoffs in recent months.