The RoomPlace, a well-known furniture store chain, has announced it will close several of its stores in Illinois, Indiana, and Wisconsin. This decision comes after the company declared Chapter 11 bankruptcy on Friday, as reported by Furniture Today.
Founded in Chicago in 1912, The RoomPlace has been a familiar name in furniture retail for over a century. The news release explained that the company's recent move to close stores is part of a larger plan to adjust its expenses to fit expected sales and the current economic conditions.
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RoomPlace Bankruptcy Leads to Multiple Store Closures
Bruce Berman, addressing the situation, stated that what was once considered a negative move is now a strategic approach to realign and strengthen a business. He emphasized the importance of difficult decisions to ensure the company's longevity.
In line with these changes, The RoomPlace is set to close eight of its stores across Illinois, Indiana, and Wisconsin. This decision will affect a total of 83 employees, who will face layoffs in February 2024.
As for the current operations, The RoomPlace's stores in Indianapolis, Kenosha, and Peoria remain open and continue to accept orders. Customers making purchases before the transition to Planned Furniture Promotions (PMP) for closing sales can be assured of receiving their orders.
However, there is no confirmed date yet for when PMP will start the closing sales, leaving some uncertainty in the company's immediate future.
As of this Sunday afternoon, The RoomPlace stores in Kenosha, Peoria, and the Indianapolis area are still open for business and are accepting new orders. This update comes ahead of a planned takeover by Planned Furniture Promotions, the firm hired to manage the closing sales for the company.
A spokesperson confirmed that any purchases made before this transition will be honored and customers will receive their orders as promised. However, the exact date for the commencement of the store closing sales has not been announced yet.
The closures will affect several locations across three states. The store at 2200 W. War Memorial Dr. in Peoria is included in Illinois. In Indiana, the closures impact stores at 14640 Greyhound Plaza in Carmel, 5651 E. 86th St., 7609 Shelby St., 8401 Michigan Rd., and 8301 E. Washington St. in Indianapolis, as well as the outlet at 2575 E. Main St. Suite 198 in Plainfield. In Wisconsin, the 7014B Green Bay Rd. store in Kenosha is also part of the closures.
The RoomPlace Announces Closure of Indiana Stores Amid Economic Challenges
As of now, the exact timeline for when Planned Furniture Promotions (PMP) will start the store-closing sales at The RoomPlace's central Indiana locations remains unclear.
The CEO of The RoomPlace, Bruce Berman, expressed the difficulty of the decision in a recent statement. "As a company deeply rooted in family values and community involvement, shutting down stores is not an easy choice. This step affects our employees, customers, and the neighborhoods we serve," Berman said.
He highlighted that retail sales nationwide have been declining, significantly impacting their industry. "We are taking these hard steps now to ensure our business can continue to thrive for another century," he added.
In a reassuring move, The RoomPlace officials confirmed that their stores in the Chicagoland area would continue to operate as usual. Berman emphasized their commitment to the region: "Our focus in Chicagoland remains strong. We are dedicated to offering our customers the best selection of stylish products at competitive prices."
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