81-year-old food icon, Hronis, files Chapter 11 bankruptcy

Many Americans have been trading down. That’s what some retail leaders, including Walmart and McDonald’s, have talked about.

“We drove positive transaction counts and unit volumes, and we’re gaining market share in grocery and general merchandise, including here in the U.S., where we saw strength across income cohorts and especially with higher income households,” former Walmart CEO Doug McMillon said during his company’s third-quarter earnings call.

McDonald’s CEO Chris Kempczinski noted during his company’s first-quarter earnings call that his chain has seen weakness with lower and middle-income consumers.

“Traffic growth from the high-income cohort remains solid, illustrating the divided U.S. economy, where low and middle-income consumers in particular are being weighed down by the cumulative impact of inflation and heightened anxiety about the economic outlook,” he said.

Americans are trading down in their shopping and dining choices, and that has contributed to a number of Chapter 11 bankruptcy filings, including a March 6 filing by Hronis, a large producer of fresh fruit and citrus marketed under a number of retail brands.

“When the economy goes down, so does the quality of our diets”

Fresh and healthy foods generally cost more than those that aren’t as good for you.

“Fruits and vegetables appear more expensive than less healthy foods when the price is measured by calories rather than by weight or by amount in an average serving. The price measure has a large effect on which foods are determined more expensive,” the USDA shared.

Fresh foods also spoil and don’t last as long as packaged foods.

During the Great Recession in 2008, Americans did actually eat less healthy food, according to Nutrition.org.

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“Adults overall ate more refined grains and solid fats, and children increased their intake of added sugar during the recession. The impacts of the downturn were especially pronounced in food-insecure households, where individuals significantly reduced their intake of protein and dark green vegetables while increasing total sugars,” the website shared.

Adam Drewnowskiand Nicole Darmon shared a deeper look at that problem in their Journal of Nutrition article Food choices and diet costs: an economic analysis.

“Added sugars and added fats are far more affordable than are the recommended ‘healthful’ diets based on lean meats, whole grains, and fresh vegetables and fruit. There is an inverse relationship between energy density of foods (kJ/g) and energy cost ($/MJ), such that energy-dense grains, fats, and sweets represent the lowest-cost dietary options to the consumer,” they wrote.

That’s a dangerous recipe for Hronis, which has been selling fresh fruit and citrus since 1945.

Fresh fruit tends to be more expensive than less healthy options.

Pixabay

Hronis files for Chapter 11 bankruptcy

“On Friday, we voluntarily filed for Chapter 11 protection in the U.S. Bankruptcy Court because it provides the best path forward for our business. This process preserves our company’s 80-year family legacy, maintains surety of supply for our customers during the 2026 season, and allows us to pursue strategic alternatives,” Hronis Vice President Peter Hronis told Blue Book.

The company has the support of its senior lender and plans to continue its operations.

California-based fruit grower Hronis, Inc. filed for Chapter 11 bankruptcy protection on March 6, 2026, in the U.S. Bankruptcy Court for the Eastern District of California, according to Bankruptcy Observer.The case is being overseen by Judge Rene Lastreto II and was filed under case number 26-10978, added Inforuptcy.Court filings estimate the company’s assets and liabilities each between $50 million and $100 million, according to documents on PacerMonitor.The bankruptcy filing includes Hronis, Inc. and multiple affiliated entities in a multi-debtor Chapter 11 case, according to Elevenflo.com.

Peter Hronis tried to paint the move as a positive.

“We are moving forward with the upcoming growing season, and customers can depend on the surety of supply from Hronis for the 2026 season. We will produce, pack, and ship grapes as planned,” he said.

The family members also tried to make it clear that the plan is to emerge from bankruptcy as a going concern.

“I know the word ‘bankruptcy’ can have negative connotations, but in reality, it is often a strategic step companies take to stabilize their businesses and position them for long-term success,” he added. 

Related: Beloved rum, bourbon, vodka brand files Chapter 7 bankruptcy

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