Iowa-based Dahl's Foods seeks bankruptcy protection, announces sale to Kansas cooperative

MarketsAssociated Press

Dahl's Foods Inc. has filed for bankruptcy and has announced its sale to a Kansas grocery organization.

The Des Moines-based company said in a news release Monday that it filed its petition for reorganization under Chapter 11 protection in Des Moines. It also said it's agreed to be acquired by Associated Wholesale Grocers Inc., of Kansas City, Kansas. Financial details were not disclosed.

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Associated Wholesale Grocers is a member-owned wholesale grocery cooperative serving more than 3,000 retail member stores.

Dahl's said in August that it would close a West Des Moines store and in May announced closing of stores in Ames and Ankeny.