Furniture and appliance retailer American Freight is closing all stores nationwide as part of Chapter 11 bankruptcy proceedings by its parent company, Franchise Group Inc.
The company is closing all 328 of its stores and launching store closure sales across the country as its parent company undergoes restructuring, winding down its operations.
On Friday, American Freight said it was offering “significant discounts” of up to 30% on the brand’s entire line of inventory. Products included in the sale include living room sets, bedroom furniture, dining tables and a selection of scratch and dent and new-in-box appliances.
The closing sales are being managed by Hilco Consumer-Retail.
“Our goal is to provide customers with excellent value during this full line closing sale,” said Ian Fredericks, CEO of Hilco Consumer-Retail. “Everything is on sale and must be sold.”
The company also said that new inventory is arriving and is expected to move rapidly.
Earlier this month, Franchise Group Inc. — which also owns brands like Pet Supplies Plus, The Vitamin Shoppe and Buddy’s Home Furnishings — began bankruptcy proceedings in the U.S. Bankruptcy Court for the District of Delaware.
The proceedings depend on the restructuring agreement agreed with holders, which aims to strengthen the franchise group’s capital structure and better position its other leading brands “for continued sustainable growth”.
Moving forward, Pet Supplies Plus, The Vitamin Shoppe and Buddy’s Home Furnishings will continue to serve customers as usual, both in-store and online.
According to CRE Daily, already this year, the number of store closings in the US exceeds the number of openings, something not seen in 2023 or 2022.
This comes after it announced plans to close more than 4,000 stores in 2023, twice as many as last year, according to analysis by Daily on Retail, an investor-oriented consumer research platform cited by the National Retail Federation. .
(TagstoTranslate)US News(T)Bankruptcy(T)Finance(T)Retail
