Exhibit 10.1

PRESS RELEASE

FOR IMMEDIATE RELEASE           EAGLE FOOD CENTERS

                                P.O. Box 6700, Rock Island, Illinois 61204-6700
                                Executive Offices & Distribution Center
                                Route 67 & Knoxville Road, Milan, Illinois 61264
                                Telephone:  309-787-7700/Fax: 309-787-7895

                         FROM:      S. Patric Plumley

                         TITLE:     Sr. Vice President-Chief Financial Officer

                         DATE:      December 5, 2002

            EAGLE ENTERS INTO LIMITED WAIVER AGREEMENT WITH CONGRESS
                        FINANCIAL CORPORATION (CENTRAL)

         MILAN, ILLINOIS, December 5, 2002--Eagle Food Centers, Inc., (Nasdaq:
EGLE) today announced that it has entered into an agreement with Congress
Financial Corporation (Central) ("Congress") relating to an adjusted net worth
covenant in the Second Amended and Restated Loan and Security Agreement dated as
of August 24, 2001 ("Revolver"). The Revolver has a financial covenant requiring
the Company to maintain a minimum adjusted net worth, as defined by the
Revolver, of $3.0 million. To prevent a potential default under the covenant,
the Company has signed a Limited Waiver ("Waiver") in which Congress has agreed
to waive such default until February 1, 2003. In consideration of the Waiver,
Eagle has agreed, among other things, to maintain excess loan availability of
not less than $5.0 million during the term of the Waiver and to provide Congress
with certain financial projections for the fiscal year ending January 31, 2004
by January 15, 2003. In addition, Eagle has agreed to pay a Waiver fee and a
higher rate of interest on Revolver loans.

         We are pleased with the signing of the Waiver which permits Eagle to
continue to borrow under the Revolver," said Robert Kelly, Chairman and CEO. "To
provide greater flexibility during the remaining term of the Revolver, ending
August 24, 2004, the Company is in discussions with Congress to amend the
adjusted net worth covenant in the Revolver."

         Eagle Food Centers, Inc. is a leading regional supermarket chain
headquartered in Milan, Illinois, operating 63 stores in northern and central
Illinois and eastern Iowa under the trade names of Eagle Country Market, Foodco
and BOGO'S Food and Deals.

                                       ###

         This press release includes statements that constitute
"forward-looking" statements. These statements are made pursuant to the Safe
Harbor provisions of the Private Securities Litigation Reform Act of 1995.
Forward-looking statements inherently involve risks and uncertainties that could
cause actual results to differ materially from the forward-looking statements.
Factors that could cause or contribute to such differences include, but are not
limited to, continued acceptance of the Company's products in the marketplace,
the effect of economic conditions, the impact of competitive stores and pricing,
availability and costs of inventory, employee costs and availability, the rate
of technology change, the cost and uncertain outcomes of pending and unforeseen
litigation, the availability and cost of capital including the continued
availability of capital under the Revolver, supply constraints or difficulties,
the effect of the Company's accounting policies, the effect of regulatory and
legal developments and other risks detailed in the Company's Securities and
Exchange Commission filings or in materials incorporated therein by reference.
By making these forward-looking statements, the Company undertakes no obligation
to update these statements for revisions or changes after the date of this press
release.