Christmas Tree Shops expects to liquidate all stores | USNews

Christmas Tree Shops, best known for its unique home goods at discounted prices, anticipates liquidating all its stores after filing for Chapter 11 bankruptcy protection in May. Christmas Tree Shops’ began as a holiday boutique in the 1950s opening their first store in Cape Cod, expanding since into numerous states throughout the US.

Bed Bath & Beyond, which has also filed for bankruptcy this year, acquired the Christmas Tree Shops chain in 2003. Seventeen years later, in 2020, the chain was purchased by Handil Holdings in another attempt to revitalize the chain.

Recently, the chain attempted to rebrand itself as “CTS” to underline that its products are more than just seasonal goods. However, in a July court filing, Christmas Tree Shops confirmed that it defaulted on a $45 million bankruptcy loan and will liquidate more than 70 locations across the United States. Counsel for the retailer has stated the debtors don’t have the time or money to go forward with the original plan of exiting bankruptcy. Out-of-business sales are foreseeable as the retailer goes through the liquidation process. 

After filing for Chapter 11 bankruptcy in May, the Massachusetts-based company hoped to emerge a stronger, more stable business by the end of the summer, shedding about 10 underperforming stores from its 80-plus brick-and-mortar footprint. Amid declining sales over the last two months, though, the chain defaulted on a $45 million loan used to keep remaining shops afloat and expects to liquidate those locations if a buyer can’t be found by July 16, The Wall Street Journal reported. 

Sources: Christmas Tree Shops expects to liquidate all stores Christmas Tree Shops expects to liquidate all of its stores