Haggen plans to close 7 Las Vegas stores by end of year

Grocery operator Haggen, which entered the Las Vegas market in late spring promising fresh and organic produce, plans to close seven local stores by the end of the this year.

Beyond the seven local stores, Haggen plans to close 12 in Oregon, 10 in Arizona, 83 in California and 15 in Washington, the grocer's home state.

The company said it would realign its business around 37 core stores and a stand-alone pharmacy in the Pacific Northwest, as part of its bankruptcy protection process.

The company, based in Bellingham, Wash., filed for bankruptcy protection earlier this month, blaming its takeover of 146 stores from rival supermarket chain Albertsons, and had said it planned to reorganize around its profitable locations.

Pending U.S. bankruptcy court approval, Haggen will close stores at:

— 2910 Bicentennial Parkway.

— 190 N. Boulder Highway.

— 575 College Drive.

— 7530 W. Lake Mead Blvd.

— 820 S. Rampart Blvd.

— 1940 Village Center Circle.

— 1031 Nevada Highway in Boulder City.

In a statement on Thursday, Haggen said the core stores include 16 historical stores and 21 stores that were part of the Albertsons acquisition. The company did not disclose the specific locations of the 37 stores.

"The 21 newly acquired stores have proven successful under the Haggen banner and the company anticipates they will continue to see increased customer counts and sales growth," the company said in an emailed statement.

The latest move comes after Albertson's and Safeway announced intentions to merge in March 2014.

In January, the Federal Trade Commission announced that Albertsons and Safeway had agreed to sell 146 stores in Arizona, California, Nevada, Oregon and Washington to Haggen as part of a $300 million deal to win U.S. antitrust approval for the merger.

But on Sept. 1, Haggen filed a lawsuit over the deal. The company's lawsuit alleged Albertsons "launched its plan to gain market power" by hamstringing Haggen's ability to operate the stores successfully after taking ownership.

"In order to convince Haggen to purchase 146 stores, Albertsons made false representations to both Haggen and the FTC about Albertsons' commitment to a seamless transformation of the stores into viable competitors under the Haggen banner," the Haggen lawsuit alleged.

Weeks later, Haggen filed for Chapter 11 bankruptcy protection. In its filing, the company said creditors committed up to $215 million to keep the company running while it sells stores.

— Reuters contributed to this report.