The Houston-based retailer filed Chapter 11 reorganization bankruptcy in DE on Friday and announced plans for the store closings in a news release. Mattress Firm says on its website that it has more than 3,000 stores across 49 states, and will keep operating as usual as it moves through a restructuring.
The company's two Garden City stores are almost across the street from each other, just south of the corner of State and Glenwood streets.
Mattress Firm will need the court's approval to reject the leases of the stores it hopes to close.
ME has seven Mattress Firm stores, according to its website. However, Mattress Firm does not have a shop there. About 200 stores are expected to close in the next few days, and decisions about additional store closings will be made soon after.
A Mattress Firm store, a brand owned by Steinhoff, is shown in Encinitas, California, U.S., January 25, 2018.
Rafa Benitez says Newcastle dinner with Mike Ashley was 'pleasant'
The Magpies travel to Old Trafford tomorrow to take on Manchester United in one of their biggest tests so far this season.
After acquiring other mattress companies in recent years, Mattress Firm opened too many locations too close together, CEO Steve Stagner said in a statement.
Founded in 1986, Mattress Firm bought competitor Sleepy's for $780 million in 2015.
The bankruptcy filing comes as parent company South African-based Steinhoff worldwide Holdings has seen declining revenues and sales, amid increased competition from online startups like Casper. "The Company intends that warranties, guarantees and other customer programs will be honored as usual", it said.
It announced that it had secured commitments for $250 million in debtor-in-possession financing to support operations.
Mattress Firm's restructuring comes as its parent company, Steinhoff International, fights for survival after revealing $9million of hidden debt past year.
Stores could help Casper stand out in a crowded mattress market. Mattress Firm denied the allegations.