Chapter 11 will slash $2 billion in debt and inject $200 million in fresh cash, but 26 locations will vanish by September.
Plano‑based At Home, once branded Garden Ridge Pottery, confirmed the filing Monday after missing a May 15 interest payment. The popular décor warehouse still runs more than 200 stores, yet executives say shrinking the least‑profitable sites is critical to survive steep tariffs, stubborn inflation, and softer demand.
Why At Home says Chapter 11 protection is its best path forward
Company filings show revenue pressure from tariffs shaved margins throughout 2024, while financing costs ballooned. By converting roughly $2 billion in obligations into equity controlled by lenders holding 95 percent of the debt, management hopes to stabilize cash flow and keep vendors paid. Chief executive Brad Weston calls the plan “a reset, not a retreat.”
Every shuttered big‑box typically employs 40 to 60 associates, meaning several hundred jobs are on the line. Landlords of suburban power centers may also face vacancies just as financing tightens. Will shoppers migrate online, or will competitors such as HomeGoods swoop in? Analysts warn the ripple effect could amplify if liquidation sales drag into autumn.
Key countdown dates and consumer tips before your neighborhood store switches off the lights
Court documents set July 25 as the deadline for creditors to file claims and early August for a confirmation hearing. Store‑closing sales are expected to launch in mid‑July, starting around 10 percent off and deepening weekly.
Got a gift card? Use it before final checkout, because outstanding merchandise credits expire when the doors lock. Wondering if your favorite warehouse made the cut? Check the quick tally below.
| State | Stores closing |
|---|---|
| California | 8 |
| New Jersey | 3 |
| New York | 2 |
| Washington | 2 |
| Virginia | 2 |
| Illinois | 2 |
| Massachusetts | 2 |
| Florida | 1 |
| Minnesota | 1 |
| Pennsylvania | 1 |
| Montana | 1 |
| Wisconsin | 1 |
Therefore, expect “Store Closing” banners to pop up within weeks. Savvy decorators can score steep discounts, but employees and suppliers will watch the court docket instead. The next hearing, tentatively August 5, should reveal whether the turnaround sticks.