MIAMI VALLEY — A discount furniture retail chain is shutting down after its parent company filed for Chapter 11 bankruptcy protection.
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American Freight is closing all locations, five of which are in the Miami Valley:
- Kettering: 2000 E Dorothy Lane
- Moraine: 2800 N Springboro Pike
- Huber Heights: 8284 Troy Pike
- Piqua: 987 E Ash Street Site 125
- Hamilton: 4782 Muhlhauser Rd
These closures are an effort to restructure the company and reduce debt challenges, according to a statement from its parent company, Franchise Group.
The company recently filed Chapter 11 proceedings in the U.S. Bankruptcy Court for the District of Delaware.
Company leaders decided to shut down American Freight as it has “struggled due to sustained inflation and macroeconomic challenges facing the large durable goods sector,” according to the statement.
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Other brands like Pet Supplies Plus, The Vitamin Shoppe, and Buddy’s Home Furnishings are owned by the Franchise Group, but not affected by the closures.
“Today’s announcement to de-lever our balance sheet is a pivotal step forward in enabling our market leading businesses Pet Supplies Plus, The Vitamin Shoppe, and Buddy’s Home Furnishings to realize their full potential,” FRG’s President and Chief Executive Officer Andrew Laurence said. “Each of these businesses has a demonstrated value proposition and provides great products and services to customers, which they will continue to do seamlessly during this process. Strengthening FRG’s balance sheet will allow us to enhance our support for these businesses as they advance their growth trajectories.”
The statement indicates that American Freight’s closing sales will begin on Nov. 5.
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