Business & Tech

Hundreds Rally For Arthur T., Market Basket

A family feud is expected to come to a head today as factions seek control of the popular grocery chain.

With additional reporting by John Castelluccio

Hundreds of supporters of embattled Market Basket CEO Arthur T. Demoulas gathered at Wyndham Hotel in Andover Thursday.

The Board of Directors of that company were meeting to vote on whether or not to oust Arthur T. and replace him with his cousin, Arthur S. Demoulas.

Employees say they fear new corporate leadership will usher in higher prices, create debt and cut jobs, profit-sharing and benefits for employees.

The battle boils down to which heirs of the Market Basket chain will gain or keep control over one of the region’s most successful grocery chains.

The board of directors could vote to oust Arthur T. Demoulas, a son of one of the founders, who has been in control of the company since 2008. That effort is led by Arthur S. Demoulas, the cousin of the CEO, who is also a son of one of the founders.

Arthur S. gained control of the board earlier this year and board members in favor of ousting Arthur T. criticize him for spending recklessly and ignoring the board.

Employees at Market Baskets across the region have been asking customers to sign a petition in favor of the current CEO.

Danvers employee Stefanie Faria has been active in the petition drive.

Faria, who lives in Peabody, started working at Market Basket when she was 14. Now 11 years later and an assistant head cashier, she says it's her career and really "a second home."

"When I'm not at home, I'm here working," she told Patch outside the Danvers store earlier this week. "We're all a family here."

"The current CEO is doing a great job," she said. "He's done everything he can for us."

Faria added that Arthur T. Demoulas regularly visits the stores, is on a first name basis with all full-time employees, chats with customers and even attends employees' family funerals.

She said employees -- there are 650 employees at the Danvers store -- are worried Arthur S. will raise prices for customers, add debt to the company and cut back on health benefits, jobs and profit-sharing. She said he's already indicated he would do that if he gains control.

An online "Save Market Basket" petition has also received more than 41,000 signatures and there's also a separate Facebook page dedicated to keep Arthur T. as CEO.

However, analysts such as this one quoted in the Lowell Sun say while the chain is well-run, it has missed opportunities to expand and would benefit from a change in leadership.


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