ALABAMA (WHNT) — A well-known bargain and discount store filed for Chapter 11 bankruptcy earlier this week in an effort to address its “exceedingly burdensome debt.”
Tuesday Morning announced the closure of 267 locations across the country, leaving just 220 brick-and-mortar stores open for business.
10 stores in Alabama are slated to close:
- Birmingham – 1610 Montclair Road
- Birmingham – 5223 U.S. Highway 280
- Decatur – 2019 Sixth Avenue Southeast
- Dothan – 3114 Ross Clark Circle
- Gulf Shores – 1720 Gulf Shores Parkway
- Hoover – 1705 Montgomery Highway South
- Huntsville – 6275 University Drive NW
- Huntsville – 7900 Bailey Cove Road SE
- Mobile – 3051 Dauphin Street
- Northport – 1695 McFarland Blvd.
In a statement, the retailer said the decision will “enable the company to reduce its outstanding liabilities, obtain significant and necessary capital, and ultimately transform into a nimbler retailer that serves heritage markets in a profitable manner.”
Tuesday Morning filed for bankruptcy in 2020, when the retailer held 687 locations across the United States. COVID-19 played a partial role in that filing, as the company closed the doors of all of its stores, which stayed closed for around three months.
The company will now begin a restructuring process, with plans to focus on optimizing its store footprint, focusing on “core” and “heritage” markets, while closing locations with less traffic.
A recent 10-K filing shows the company employed around 1,600 full-time and 4,700 part-time employees.
A $51.5 million debtor-in-possession commitment from Invictus Global Management will support normal operations for stores that won’t be closing throughout the bankruptcy process.
On the bright side, the locations that are planned for closure are already featuring sales to help reduce inventory.
To see the entire list of locations that will be closing, click here.
