News Summary
At Home, a furniture company based in Texas, has filed for Chapter 11 bankruptcy in Delaware. Despite this setback, the company assures customers that local stores will remain open. The restructuring plan aims to alleviate nearly $2 billion in debt while injecting $200 million for operations. However, At Home will close 26 stores mainly outside Texas, as it navigates a difficult trading environment impacted by tariffs. With a legacy of resilience, At Home hopes to stabilize its operations and continue serving its customer base.
Texas – At Home, a prominent Texas-based furniture retailer, has officially filed for Chapter 11 bankruptcy protection in a Delaware court as of June 19, 2025. The company is taking this measure to restructure and aims to continue serving its customers during the bankruptcy process. At Home has entered a Restructuring Support Agreement with its lenders, which will allow it to eliminate nearly $2 billion in funded debt while securing a capital infusion of $200 million to bolster its operations.
As part of its restructuring plan, At Home will close 26 of its 260 stores located across 40 states. Significantly, none of the store closures will occur in Texas. The stores that are set to close include locations in high-cost states such as California and New York, where the financial strain has been more pronounced. The company currently employs over 7,000 people and regularly sees over 70 million visitors to its physical stores each year. Its online presence also garners approximately 53 million visitors annually.
At Home’s bankruptcy filing lists more than 10,000 creditors, and its estimated assets and liabilities range between $1 billion and $10 billion on both sides. The company has faced increasing financial pressure due to newly imposed tariffs and ongoing U.S. trade negotiations, both of which have significantly impacted its business. About 90% of At Home’s products are sourced from overseas, which relies heavily on trade relations and tariff structures. The company collaborates with over 600 product partners globally, underlining its extensive supply chain.
Founded in 1979 as Garden Ridge Pottery in Schertz, Texas, At Home has a rich history in the home goods sector. The company previously went through Chapter 11 bankruptcy in 2004 under its former name, Garden Ridge. In 2021, the company transitioned control to private equity firm Hellman & Friedman, which aimed to steer At Home back towards profitability amidst challenges in the retail sector.
As of the fiscal year ending in January 2025, At Home reported that over 90% of its sales were generated from in-store transactions, reflecting a strong reliance on physical retail despite the growing trend towards online shopping. The current restructuring efforts indicate a strategic focus on operational discipline and enhancing customer value, critical components in today’s highly competitive market environment.
Through this Chapter 11 process, At Home aims to emerge as a stronger, more financially stable company better able to navigate the complexities of the trade landscape and serve its customers effectively.
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