134-year-old home goods chain files for bankruptcy – more than 500 stores at risk

Home furnishings chain Conn’s has filed for bankruptcy, putting hundreds of stores at risk.

The Texas chain announced in recent days that it will close 73 stores in 13 states as it considers bankruptcy.

The company filed for Chapter 11 bankruptcy Tuesday, citing debts of more than $1 billion. However, the company also said it had assets, such as inventory and stores, that were worth that much as well.

This application allows the company to continue operating while closing its stores.

The closures represent 13 percent of its 553 total locations so far, and there are concerns the bankruptcy could lead to more — including under the Badcock Home Furniture & More banner, a brand it bought last year.

Conn’s, headquartered in The Woodlands, Texas, has been in business in one form or another for 134 years.

At first it was a plumbing and heating company, but in 1933 the store was taken over by Carroll Wayne Conn Sr., giving Conn’s its current name.

The store started out in 1937 selling refrigerators, but today it sells everything from household appliances to televisions, furniture and much more.

Conn’s has been struggling for years with the growing physical presence of stores.

That led to it buying WS Badcock, another homewares chain that was operating under the Badcock Home Furniture & More banner at the time, in December 2023, which led to huge growth in sales.

But that left the company with debt and high overhead costs, Bloomberg reported.

In a April DisclosureConn’s reported it ended 2023 with an annualized net loss of nearly $77 million.

Conn’s shares have been in free fall for more than three years, with a staggering 98 percent drop since June 2021.

DailyMail.com has reached out to Conn’s for comment on the closures and bankruptcy, but has not yet received a response.

Conn’s started selling refrigerators in 1937, but today the company sells everything from home appliances to TVs, furniture and more.

Conn’s appears to be struggling to cope with its growing brick-and-mortar presence, culminating in its acquisition of Badcock in December 2023, saddling the company with debt and high overhead costs, Bloomberg reported.

Conn’s latest troubles come amid a widespread “retail apocalypse,” with brick-and-mortar stores struggling with rising theft and ever-tightening profit margins.

In late April, US retailers announced they would close nearly 2,600 stores by 2024.

Walmart, the largest retailer in the US, has closed 11 stores so far this year.

Earlier in April, dollar store 99 Cents Only said it would close all 371 of its stores, while Best Buy closed 10. in March.

Money tree close 1,000, Macy’s 150 – a third of the total – and drugstore Ritual aid 77.

There has been a series of bankruptcies and store closures in recent months.

Express, a well-known mall-based retailer, filed for bankruptcy in April and said it would close 95 Express locations, in addition to all of its UpWest stores.

In early May, Rue21, the teen fashion chain that is a fixture in malls across America, also announced that it will close all of its 543 stores in the US.