Market Basket responds after fish vendor cuts ties

TEWKSBURY, Mass. (MyFoxBoston.com) -- Though Monday marked a day of "real progress" in the Market Basket negotiations, according to Governor Deval Patrick, the company's latest turmoil unfolded after a fish vendor cut ties with the supermarket chain.

Boston Sword and Tuna, one of Market Basket's fresh seafood suppliers, confirmed that it had ended its business relationship with the company, after being seriously economically impacted when the company stopped accepting deliveries, and then payment issues arose. First, Malley says his company did not receive any payments, and then, most recently, they were overpaid more than $400,000.

In a long letter, Tim Malley, the company's CEO, detailed what has happened between his company and the chain since the protests began.

"We think the time has nearly run out for saving this great institution and all those who depend on it," the letter ended. "We felt it was time to come forward and share whatever fate awaits the Market Basket faithful. In our opinion, the only way forward is for the fired associates to come back."

Late Monday afternoon, the company responded to Malley's letter. That statement is below:

“When a distribution network set up over decades is shut down in one day it is naïve to assume any company would not suffer. The longtime employees that ran Market Basket's buying and distribution system walked out on their jobs, their customers and their vendors on July 18. That is precisely the reason Market Basket's stores have had only limited perishable items in stock since. We do understand the problems that the shutdown of the distribution system has caused Market Basket's vendors who are caught in the middle of this situation. We have been diligently working with vendors to limit the damage the walkout has caused.”

Cox Media Group