Christmas Tree Shops (CTS) is slated to soon hold liquidation sales at its remaining stores, according to a recent court filing.
The Massachusetts-based home-goods retailer on June 29 filed a notice in the U.S. Bankruptcy Court for the District of Delaware that it had experienced a "termination event" in connection to the order authorizing it to get post-petition financing and other things. The Wall Street Journal reported a default on its $45 million bankruptcy loan had prompted the loan to get terminated.
In the filing, CTS also gave notice that it was "going to conduct going out of business sales" at its remaining stores. The earliest the kick-off of those would take place was Thursday, moves that will reportedly happen unless the company quickly gets a buyer.
In May, it had previously identified 10 stores that it would close due to underperformance as part of its Chapter 11 bankruptcy proceedings. Those stores were located in Massachusetts, New York, Pennsylvania, Virginia, Michigan, Georgia and Florida.
CHRISTMAS TREE SHOPS FILES FOR BANKRUPTCY, WILL CLOSE SOME STORES
It announced those planned closures May 5, the same day the home-goods retailer revealed it had gone through with submitting a Chapter 11 petition.
At the time, the company had said the target date for exiting bankruptcy was "before the end of August."
In the Chapter 11 filing specifically for Christmas Tree Shops, LLC, the company estimated the $50 million to $100 million range for its assets. Estimated liabilities were reported as $100 million to $500 million, according to the document.
BED BATH & BEYOND SHUTTERED STORES: THESE COMPANIES ARE MOVING IN
Handil Holdings has privately owned CTS for a few years. Before that, it belonged to Bed Bath & Beyond.
Prior to May’s proposed closures, CTS reported having 82 stores in business.
The stores it last week said would hold upcoming liquidation sales included:
