EXHIBIT 99.1
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[LOGO - THE PENN TRAFFIC COMPANY]




 FOR IMMEDIATE RELEASE                    CONTACT:  Marc Jampole
                                                    Jampole Communications, Inc.
                                                    412-471-2463


           PENN TRAFFIC ANNOUNCES EMPLOYMENT TERMINATIONS AND INTERIM
                   FINDINGS OF ONGOING INTERNAL INVESTIGATION


         SYRACUSE, NEW YORK - FEBRUARY 3, 2006 - The Penn Traffic Company
announced today that the Board of Directors has terminated the employment of Les
Knox, Senior Vice President, Chief Marketing Officer, and Linda Jones, Vice
President, Non-Perishable Merchandising, following the presentation by the Audit
Committee of an interim report in connection with its internal investigation
into the Company's promotional allowance practices and policies. To date, the
internal investigation has found certain improper practices relating to the
recognition of promotional allowances in periods prior to the Company's
emergence from Chapter 11 under the Bankruptcy Code in April 2005.

         The Audit Committee's internal investigation, which was suspended as
previously announced, has recommenced and is ongoing. Penn Traffic continues to
cooperate with the previously disclosed investigations by the U.S. Securities
and Exchange Commission and the U.S. Attorney's Office.

         Penn Traffic continues to have full access to its working capital
facility. At January 28, 2006, Penn Traffic had undrawn availability of
approximately $53 million and a 30 day average undrawn availability of
approximately $55 million under this revolving credit facility.


FORWARD LOOKING STATEMENTS


         This press release contains forward-looking statements, as defined in
the Private Securities Litigation Reform Act of 1995, as amended, reflecting
management's current analysis and expectations, based on what management
believes to be reasonable assumptions. These forward-looking statements include
statements relating to our anticipated financial performance and business
prospects. Statements preceded by, followed by or that include words such as
"believe," "anticipate," "estimate," "expect," "could," and other similar
expressions are to be considered such forward-looking statements.
Forward-looking statements may involve known and unknown risks, uncertainties
and other factors, which may cause the actual results to differ materially from
those projected, stated or implied, depending on such factors as: the ability of
the



Company to improve its operating performance and effectuate its business plans;
the ability of the Company to operate pursuant to the terms of its credit
facilities and to comply with the terms of its lending agreements or to amend or
modify the terms of such agreements as may be needed from time to time; its
ability to generate cash; its ability to attract and maintain adequate capital;
its ability to refinance; increases in prevailing interest rates; the ability of
the Company to obtain trade credit, and shipments and terms with vendors and
service providers for current orders; the Company's ability to maintain
contracts that are critical to its operations; potential adverse developments
with respect to the Company's liquidity or results of operations; general
economic and business conditions; competition, including increased capital
investment and promotional activity by the Company's competitors; availability,
location and terms of sites for store development; the successful implementation
of the Company's capital expenditure program; labor relations; labor and
employee benefit costs including increases in health care and pension costs and
the level of contributions to the Company sponsored pension plans; the result of
the pursuit of strategic alternatives; economic and competitive uncertainties;
changes in strategies; changes in generally accepted accounting principles;
adverse changes in economic and political climates around the world, including
terrorist activities and international hostilities; and the outcome of pending
or yet-to-be-instituted legal proceedings and governmental investigations,
including the previously announced SEC and U.S. Attorney's Office
investigations. The Company cautions that the foregoing list of important
factors is not exhaustive. Accordingly, there can be no assurance that the
Company will meet future results, performance or achievements expressed or
implied by such forward-looking statements. This paragraph is included to
provide safe harbor for forward-looking statements, which are not generally
required to be publicly revised as circumstances change, and which the Company
does not intend to update.

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         The Penn Traffic Company operates 110 supermarkets in Pennsylvania,
upstate New York, Vermont and New Hampshire under the BiLo, P&C and Quality
trade names. Penn Traffic also operates a wholesale food distribution business
serving 79 licensed franchises and 40 independent operators and Penny Curtiss, a
Syracuse-based commercial bakery.



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