The national retailer which sells a variety of home decor, including furniture, bedding and toys, voluntarily filed petitions for protection under Chapter 11 of the U.S. Bankruptcy Code in the U.S. Bankruptcy Court for the Northern District of Texas, Fort Worth Division.
According to the U.S. Courts, a case filed under Chapter 11 of the U.S. Bankruptcy Code is often referred to as "reorganization" bankruptcy. Typically, the debtor continues to hold the powers and duties of a trustee and may continue operating its business. A reorganization plan is proposed, and creditors whose rights are affected may vote on the plan. The plan can be confirmed by the court if it receives the required votes and satisfies certain legal requirements.
Andrew Berger, Tuesday Morning's chief executive officer and director, said the company determined the best path to reorganizing and transforming the company begins with a Chapter 11 filing.
"We look forward to taking steps that enable us to emerge as a stronger retailer that draws on a legacy of offering a unique off-price value proposition to our loyal customer base," Berger said in a news release. "We appreciate all the support of our employees, customers, creditors and other partners as we seek to sustain commercial operations with minimal disruptions."
There are several other locations in the San Antonio area that are also subject to close.
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