Del Monte Foods, a name that has been a fixture in American pantries for nearly 140 years, is facing a new chapter, one that involves bankruptcy court and a search for a new owner. The company, famous for its green-labeled canned fruits and vegetables, filed for Chapter 11 bankruptcy protection this week and announced it is actively seeking a buyer to take over its storied business.
Del Monte Foods, based in Walnut Creek, California, has been a staple in the canned goods aisle for generations. The company’s products, from peaches and green beans to College Inn broths and Joyba bubble teas, have long been part of the American food landscape. But changing consumer tastes and economic headwinds have caught up with the company, leading to this dramatic turn.
The company’s president and CEO, Greg Longstreet, described the move as a “strategic step forward” after a thorough review of all available options. He said that a court-supervised sale process is the most effective way to accelerate Del Monte’s turnaround and create a stronger, enduring business.
Del Monte’s troubles are not unique in the food industry. The company has struggled with a combination of shifting consumer preferences, increased competition from store brands, and the rising cost of materials. Many shoppers are now looking for fresher, less processed options, and grocery inflation has pushed more people toward cheaper alternatives.
The company has also faced operational challenges. In the past year, Del Monte closed a facility and two warehouses in Washington state, resulting in layoffs and signaling deeper issues within its supply chain.
According to court documents, Del Monte Foods estimates its assets and liabilities each fall between $1 billion and $10 billion. The company has between 10,000 and 25,000 creditors, a sign of just how far-reaching its operations and obligations are.
To keep the business running during the bankruptcy process, Del Monte has secured $912.5 million in financing from existing lenders. This funding is intended to support ongoing operations and help the company get through the sale process without major disruptions to customers or employees.
Del Monte Foods says it will continue to operate as usual while the sale process unfolds. The company’s non-U.S. subsidiaries are not included in the Chapter 11 proceedings and will keep running as normal.
The company’s parent, Del Monte Pacific, which is listed in Singapore (D03.SI) and the Philippines, is also not part of the bankruptcy filing. This means the impact is largely contained to the U.S. business, at least for now.
Del Monte’s bankruptcy is a reminder of how even the most established brands are not immune to changing times. The canned food giant’s struggle reflects broader trends in the food industry, where legacy brands must adapt or risk being left behind. As the company looks for a buyer, the future of its iconic products, and the jobs tied to them, hangs in the balance.
