The company filed a Chapter 7 bankruptcy petition in the U.S. Bankruptcy court for the Western District of Virginia, saying the negative economic effects of the recalls have been "extremely devastating" to its financial condition.

The company listed assets in the range of $1 million to $10 million and liabilities in the same range, according to court documents.

Under U.S. bankruptcy laws, Chapter 7 bankruptcy allows for a plan of liquidation.

A salmonella outbreak that has sickened 600 people and been linked to nine deaths, has been traced to a plant in Blakely, Georgia operated by Peanut Corp of America.

More than 1,800 products have been recalled due to the outbreak.

The case is In re: Peanut Corp of America, U.S. Bankruptcy Court, Western District of Virginia, No. 09-60452

(Reporting by Emily Chasan; Editing by Andre Grenon)