The U.S. Bankruptcy Court in the Eastern District of Virginia (Richmond) granted approval for RoomStore Inc. to hire Hilco Group to conduct its going-out-of-business (GOB) sales at 18 locations, a BusinessWeek article said.

Seven of the company’s stores will be self-liquidated, the article added.

RoomStore is a 63-store furniture retailer. It filed for Chapter 11 protection in mid-December and announced plans to close 25 underperforming locations. Along with its filing, Wells Fargo Bank agreed to provide a $14 million DIP financing to support the company while in reorganization.

To read the BusinessWeek article in its entirety, click here.

Previously on

RoomStore Seeks Permission to Shutter 25 Underperforming Stores, Thursday, December 22, 2011