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The off-price banker hopes to break in business while application the defalcation action to restructure its operations.

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Off-price banker Tuesday Morning filed for Chapter 11 defalcation aegis on Wednesday with affairs to abutting added than a third of its stores.

Tuesday Morning had been disturbing back the coronavirus communicable began and went into a chargeless abatement back it was affected to briefly abutting its locations due to the crisis.

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The aggregation joins a growing account of retailers that accept confused into Chapter 11 defalcation during the pandemic, including J.C. Penney, Neiman Marcus and J. Crew. In anniversary case, the companies were already in asperous appearance afore the communicable began due to boundless debt and crumbling bottom traffic.

Tuesday Morning – which sells a advanced array of commodity including home decor, ablution and anatomy goods, crafts, aliment and toys – hopes to break in business while application the defalcation action to restructure its operations.

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The aggregation affairs to assuredly abutting about 230 of its 687 aliment this summer. Of those, it has already articular 132 that will be shuttered.

In the Jacksonville area, Tuesday Morning operates four stores. Additional aliment are amid in Fernandina Beach and St. Augustine.

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“These aliment were articular as underperforming or are anchored in areas area too abounding locations are in abutting proximity,” the aggregation said in a statement.

It will analyze the abutting hundred or so to abutting afterwards commutual an accomplishment to renegotiate leases.

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Although about 80% of its aliment accept reopened, Tuesday Morning said the “immense appulse of COVID-19” created “an insurmountable banking hurdle” as it approved to reinvent itself after cloister aegis from its creditors.

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“Prior to the pandemic, we were accepting drive in our merchant organization, growing our bell-ringer abject and convalescent brands, array and amount for our customers, while advance in our technology and accumulated administration team,” CEO Steve Becker said in a statement. “However, the complete arrest of abundance operations for two months put the Aggregation in a banking position that can be finer addressed alone through a about-face in Chapter 11.”

One auspicious assurance for the aggregation is that sales at reopened aliment accept added by about 10%, compared with the aforementioned aeon a year earlier, back they resumed operations.

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