"In legal filings, the retailer blamed several factors for its financial downfall, including rising costs, elevated interest rates, and President Donald Trump's tariffs. It also cited "one of the most severe housing market declines in recent history." As Business Insider reported earlier this month, the housing turnover rate - or the pace at which homes change hands - has dropped to its lowest levels in decades amid rising rates, according to an analysis by Redfin."
"The furniture retailer reported sales of $803 million in 2025, down from $1.1 billion in 2023, according to the court filings. The company reported net operating losses of $18 million in fiscals 2023 and 2024 - and $70 million in fiscal 2024, court filings said. The retailer said in court documents that it plans to continue to liquidate inventory and close underperforming stores - a process it began in September - while pursuing a sale of its remaining businesses and assets."
American Signature Inc., the Ohio-based parent of Value City Furniture and American Signature Furniture, filed for Chapter 11 bankruptcy protection. The company operates more than 120 stores across 17 states and employs about 3,000 people. The retailer plans to close 33 stores, roughly one-quarter of its locations, and continue liquidating inventory while pursuing a sale of remaining businesses and assets. Court filings cited rising costs, elevated interest rates, President Donald Trump’s tariffs, and a severe housing market decline as reasons for the downturn. Reported sales fell from $1.1 billion in 2023 to $803 million in 2025, with significant operating losses.
Read at Business Insider
Unable to calculate read time
Collection
[
|
...
]