Case filing & court posture: Harvest Sherwood Food Distributors, Inc. and 12 affiliates filed for Chapter 11 protection on May 5, 2025, in the U.S. Bankruptcy Court for the Northern District of Texas, Case No. 25-80109. Dkt. 1 Chief Judge Stacey G.C. Jernigan presides. The company, formerly the largest independent wholesale food distributor in the U.S. with $4 billion in annual revenue, commenced an orderly wind-down after losing its largest customer (Sprouts Farmers Market).
Liquidity & financing path: The debtors obtained a $105 million DIP facility from prepetition ABL lenders led by JPMorgan Chase Bank, N.A., consisting of $25.9 million in new money and a $79.1 million roll-up of prepetition ABL debt. Dkt. 12 Interim DIP order granted May 12, 2025 Dkt. 108, with final approval on June 27, 2025. Dkt. 339
Restructuring outcome: The case is pursuing an orderly wind-down focused on monetizing litigation assets, including substantial antitrust claims valued at over $1.1 billion in potential damages and a breach-of-contract claim against Sprouts Farmers Market. Antitrust settlements totaling $44.6 million have been achieved to date (JBS $13.3 million; Pilgrim's Pride $31.3 million).
Current status: The case remains active with ongoing litigation. A key adversary proceeding against Sprouts Farmers Market (Adv. Pro. No. 25-08002) involves cross-claims exceeding $100 million combined, with trial scheduled for June 15, 2026. Plan exclusivity has been extended multiple times, with current deadlines of March 1, 2026 (filing) and May 1, 2026 (solicitation).