Twenty-four Co-op Atlantic employees in P.E.I. have been given layoff notices after it was announced Thursday that the Charlottetown store on Queen Street is closing.

In total, 400 employees will lose their jobs as Co-op Atlantic closes its four remaining corporately owned grocery stores in Atlantic Canada.

Other stores in the region that will close include the Mapleton Road Co-op in Moncton, the River Road Co-op in Grand Bay-Westfield, N.B., and the Carol Wabush Co-op in Labrador City, NL.

Co-op sold most of its other retail assets to Sobeys in a deal that was finalized last Saturday.

"Co-op has made the decision to exit food and gas business. That business was just not sustainable," said Mike Randall, Co-Op Atlantic spokesman.

"Employees, I think, have known for some time with the decision to exit food and gas they may be impacted," said Randall.

"They've continued to work hard and continued to follow the Co-op principles and recognize this decision was made to ensure the long-term sustainability and viability of the independent member-owned stores across Atlantic Canada that collectively employ 2,200 people."

The Co-op Group also announced Thursday that it appeared before the Court of Queen's Bench of New Brunswick to obtain an order under the Companies' Creditors Arrangement Act (CCAA). Randall says this will provide Co-op with the "time and stability needed to review the remaining divisions, agricultural and bulk fuel divisions.

"This will provide Co-op with time and stability needed to review the remaining divisions, agricultural and bulk fuel divisions," said Randall.

"This protection was granted, giving us time to go forward with that restructuring, whether it's selling or restructuring those divisions."

Employees will receive some severance and vacation pay.

There will be a liquidation sale open first to members, then the public before the store closes permanently, says Randall.