SYRACUSE, N.Y. — Penn Traffic Co., which operates and supplies supermarkets in New York, Pennsylvania, Vermont and New Hampshire, sustained an operating loss of $5,257,000 in the second quarter ended Aug. 1, compared with a loss of $1,357,000 in the same period a year ago. Net sales in the second quarter totaled $208,792,000, down 9% from $228,303,000 in the second quarter of fiscal 2009.

For the first six months of fiscal 2010, Penn Traffic sustained a loss of $12,133,000, which compared with a loss of $10,284,000 in the first half of fiscal 2009. Net sales were $408,868,000, down 7% from $440,410,000.

"As we work to emerge stronger from a very challenging environment that’s clearly impacting our top line, we’re redoubling our efforts to consistently deliver good value to our shoppers while improving our cost structure and operating efficiency," said Gregory J. Young, president and chief executive officer. "We have continued to carefully invest in capital projects designed to boost sales or improve our operations, such as the conversion of our Manlius, N.Y., store into a P&C Fresh concept store, which is slated for completion in November."

In January 2008, Penn Traffic Co. closed its Penny Curtiss commercial bakery operation as part of its strategy for improving the company’s long-term financial performance and further focusing its resources on enhancing the in-store experience for its customers.