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 abfjournal.com: