HHGregg Working to Avoid Bankruptcy

March 6, 2017, Written By Natalie Rutledge
HHGregg Working to Avoid Bankruptcy

Over the last few weeks, rumors have spread about HHGregg filing Chapter 11 bankruptcy in order to get out of debt. The appliance retailer has issued an official press release discussing this topic.

HHGregg says they are working hard to avoid bankruptcy, and instead they plan to close down 88 store locations and three distribution centers. This will lay off approximately 1,500 employees. The stores’ inventory and physical buildings will be sold over the next few weeks, and the company expects to finish the transition by mid-April.

A majority of the affected locations are in Florida, Pennsylvania, Maryland and Virginia. The soon-to-close distribution facilities are located in Miami, Florida; Brandywine, Maryland; and Philadelphia, Pennsylvania.

“We are strategically exiting markets and stores that are not financially profitable for us,” said CEO Robert J. Riesbeck.

The company will still operate in 132 locations, in addition to its efforts online.

This is the second round of layoffs for HHGregg this year. Last month, the company let go of 100 employees. Just a few days prior to this layoff announcement, the New York Stock Exchange delisted HHGregg because they no longer met the minimal listing requirement.

The information contained within this article was accurate as of March 6, 2017. For up-to-date
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About Natalie Rutledge

Natalie Rutledge majored in Communications at Mississippi State University. She was in sales for a number of businesses and spent nine years working as a communications advisor to various entities. Natalie can be contacted directly at natalie@lowcards.com
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