New Delaware Chapter 11 Filing – Mattress Firm, Inc.
Mattress Firm, Inc., along with forty (40) affiliates and subsidiaries, has filed a petition for relief under chapter 11 of the Bankruptcy Code in the Bankruptcy Court for the District of Delaware (Lead Case No. 18-12241). Mattress Firm’s petition estimates its assets and liabilities to both be between $1–$10 billion. First Day Pleadings are still being filed. According to a press release, the Debtors enter chapter 11 having negotiated a prepackaged plan of reorganization with their major stakeholders, pursuant to which the Debtors will close up to 700 stores nationwide. A business plan posted publicly on the claims agent’s website provides additional details regarding the Debtors’ reorganization plan. Epiq Bankruptcy Solutions is the proposed claims and noticing agent. The cases have been assigned to the Honorable Christopher S. Sontchi.
As the law continues to evolve on these matters, please note that this article is current as of date and time of publication and may not reflect subsequent developments. The content and interpretation of the issues addressed herein is subject to change. Cole Schotz P.C. disclaims any and all liability with respect to actions taken or not taken based on any or all of the contents of this publication to the fullest extent permitted by law. This is for general informational purposes and does not constitute legal advice or create an attorney-client relationship. Do not act or refrain from acting upon the information contained in this publication without obtaining legal, financial and tax advice. For further information, please do not hesitate to reach out to your firm contact or to any of the attorneys listed in this publication.