In the midst of a protracted and highly publicized internal conflict, Market Basket finds itself at a critical crossroads that has captured the attention of its employees, customers, and local officials alike. The saga, unfolding in Methuen, Massachusetts, has escalated over recent months, with the suspension of CEO Arthur T. Demoulas—known affectionately as Artie T.—and subsequent firings of longtime executives sparking fears of a destabilized future for the beloved grocery chain.
On July 24, 2025, Methuen Mayor D.J. Beauregard stepped into the fray with an open letter addressed to Market Basket’s Board of Directors. The mayor’s message was unequivocal: support the reinstatement of Artie T. and bring an end to the boardroom turmoil that threatens the company’s stability. Beauregard’s plea was not just about corporate governance; it was a call rooted deeply in concern for the community. “My city’s residents rely on those stores to feed their families,” he wrote, underscoring the critical role Market Basket plays in Methuen’s daily life. “Many rely on those jobs to pay their bills. And what they see right now is a company drifting dangerously off course.”
This letter followed a significant upheaval within the company. In late May 2025, the board suspended Demoulas and a team of executives amid allegations that they were orchestrating a work stoppage—a charge they vehemently deny. The tension boiled over on July 22 when two stalwarts of Market Basket, Tom Gordon, the grocery director with 50 years of service, and Joe Schmidt, the director of operations, were abruptly fired for insubordination. Both men later held a press conference in Reading, Massachusetts, where they described their dismissals as part of a “scripted dismantling” aimed at ousting Artie T., a move they say is driven by his three sisters who hold a 60% majority stake in the company.
In response to the mayor’s letter, Board Chairman Jay Hachigian wrote back on July 25, offering reassurances but notably sidestepping any commitment to reinstate the suspended CEO. “Let us assure you that there will be no changes in our Market Basket stores in Methuen or elsewhere,” Hachigian stated. “Market Basket will continue to provide the same great groceries at the lowest prices and live up to its culture and motto, ‘More For Your Dollar.’”
Adding to the dialogue, Market Basket’s new director of grocery operations, Kevin Feole, a lifelong Methuen resident who started his career as a bagger 50 years ago, penned a separate letter to Mayor Beauregard. Feole emphasized the company’s ongoing commitment to its customers and employees, noting that the two Methuen stores serve approximately 45,000 customers and employ over 500 associates. “Since late May 2025, sales in both of our Methuen stores have measurably increased, while customer count is also up,” Feole wrote. His message was clear: despite the leadership upheaval, the stores remain dedicated to their community and mission.
The board’s actions have not been without controversy. Beyond the suspensions of Artie T. and his children, Telemachus and Madeline, several other longtime employees, including district supervisor Paul Quigley, who has 44 years with the company, have also been suspended. The board has enlisted the law firm Quinn Emanuel to investigate the allegations that Demoulas conspired to organize a work stoppage. According to Harvey Wolkoff, founding partner of Quinn Emanuel’s Boston office, the investigation is “nearly complete,” but its findings will remain confidential until a scheduled mediation session on September 3, 2025, between the board and Demoulas. Wolkoff expressed hope for a “constructive resolution” but cautioned that any further action will depend on the mediation’s outcome and the board’s fiduciary responsibilities.
The ongoing strife echoes a dramatic chapter from 2014, when Artie T. was fired amid a family dispute and subsequently supported by a massive groundswell of customers and employees. That conflict ended when Artie T.’s faction bought out the interests of cousin Arthur S. Demoulas, stabilizing the company. Today, Market Basket is a major regional player, operating 90 stores across New England, employing roughly 35,000 people, and generating nearly $8 billion in annual revenue.
Artie T.’s spokesperson, Justine Griffin, lauded Mayor Beauregard’s intervention, stating, “It’s a sad state of affairs when he has to explain it to our own Board of Directors, who clearly don’t understand it, or perhaps worse – understand it but don’t value it as the mayor does.” This sentiment highlights the deep divisions within Market Basket’s leadership and the uncertainty shadowing its future.
Meanwhile, the fired executives Schmidt and Gordon have publicly criticized the board’s majority owners—the Demoulas sisters—accusing them of orchestrating a “pre-planned coup.” This allegation adds another layer of complexity to a family feud that has long influenced the supermarket’s governance.
Mayor Beauregard’s call to action is grounded in the reality that Market Basket is more than just a grocery chain; it is a vital lifeline for many Methuen residents facing inflation and food insecurity. The mayor’s appeal to the board to “do the right thing” and resolve the dispute before “the damage becomes irreversible” resonates beyond corporate walls, touching on community welfare and economic stability.
As the September mediation approaches, all eyes remain fixed on Market Basket’s board and Arthur T. Demoulas. The outcome could determine not only the fate of a storied company but also the livelihood of thousands of employees and the everyday lives of countless customers. For now, the grocery giant stands at a precarious junction, balancing tradition and turmoil, with the hope that reason and reconciliation will ultimately prevail.
