Retail Shutdown: 2 Iconic Brands File for Chapter 11 and Close All Stores
According to The Street, As retailers navigate challenging economic waters, clear signs often emerge when a company is headed for bankruptcy. Shelves become sparse, and inventory may take a turn for the unusual. Such was the case with Bed Bath & Beyond and JC Penney, which both displayed obvious financial distress before their respective bankruptcy filings. However, the situation with Badcock Furniture was different, as the company, which had been a fixture for over 120 years, filed for Chapter 11 bankruptcy in late July, catching many off guard.
Customer Outrage and Shock
The announcement of Badcock’s bankruptcy filing sparked surprise and anger among its loyal customer base. Many customers took to Facebook to express their frustrations, with one individual noting, “I signed my paperwork Tuesday, bankrupt Wednesday. Tell me someone didn’t know something!! Bankruptcy is a process.”
In Bonifay, Florida, the local Badcock store posted an emotional farewell on Facebook, revealing that employees were just as blindsided by the news. “We found out Tuesday afternoon, after 120 years, Badcock Home Furnishings and more will be closing ALL stores,” the post read. The heartfelt message reflected the shock felt by staff and customers alike: “We feel like a family member has died. We’ve shed many, many tears over the last few days and have prayed more than we ever have.”
The Conn’s Acquisition and Subsequent Decline
The roots of Badcock’s troubles can be traced back to its acquisition by Conn’s in 2022. The Bonifay post poignantly articulated the reality: “What we didn’t know was that Conn’s was already a sinking ship before acquiring Badcock.” The merger was seen as a lifeline, but instead, it turned out to be a heavy anchor dragging down Badcock along with Conn’s. Initially, some Conn’s stores were expected to remain open after the bankruptcy filing, but this plan has since changed, with the company’s website confirming, “Yes, all Conn’s stores are closing.”
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Both brands have been conducting liquidation sales, with deliveries still being made but financing options halted. On Badcock’s website, prices reflect full retail values, with discounts appearing only when items are added to the shopping cart.
The End of an Era
By the time the Chapter 11 bankruptcy was filed, Badcock had 380 locations across eight states, including Florida, Alabama, and Virginia. Conn’s operated over 170 stores in 15 states. In its filing in the U.S. Bankruptcy Court in Corpus Christi, Texas, Conn’s disclosed it employed approximately 3,800 full-time and 150 part-time employees. Together, the two brands managed a total of 553 retail stores and 22 distribution and service facilities.
As the liquidation sales progress, it remains uncertain what will happen to both Conn’s and Badcock once all stores close by the end of October. Any remaining assets will likely be sold at auction, raising the possibility that a buyer may revive one or both brands in some form.
A Legacy of Service
The impending closure of Badcock is particularly poignant given the company’s rich history. Founded in 1904 by Henry Stanhope Badcock, an immigrant from England, the W.S. Badcock Corporation opened its first store in Mulberry, Florida.
While the company’s operations are set to cease by Halloween, most locations will close even sooner as inventory is consolidated. The bankruptcy court has permitted Badcock to offer retention bonuses to employees who remain until the final day, emphasizing the emotional toll of this closure for both staff and the community. The legacy of Badcock Furniture, once a staple in American homes, is coming to an end, marking a significant loss in the retail landscape.
