American Mattress Files for Liquidation

0:00You're listening to Durham News today, powered by the Daily News Now. The furniture retail world keeps taking hits, with more chains filing for bankruptcy amid slumping sales. The latest blow came for American mattress, a 38-year-old family-owned chain, with 45 stores across Illinois, Indiana, Michigan, and Florida. On March 16, a Delaware bankruptcy judge converted its Chapter 11 case to Chapter 7 liquidation. Earlier this month, creditors and the U.S. trustee pushed for the switch, citing no real progress toward reorganization. The company had racked up $1.26 million in operating losses since November, skipped rent payments, and failed to file a business, planned or financial projections. American mattress fought back in early March, claiming a buyer was lined up to take over assets and cover costs. They warned that liquidation would leave unsecure creditors empty-handed, paying only the main lender. But the judge sided with the motions after a hearing. This mess mirrors wider industry woes, including a housing slowdown, inflation-driven costs,

1:04and tariff squeezing profits. Sales dropped 0.82% in 2025, with January 2026, down 0.31% from December. Experts note furniture buys are often put off when confidence dips or homes sit unsold. Though lower interest rates might spark a housing rebound. Soon, for now, jobs and stores are vanishing fast in this shaky sector. The Daily News Now is grateful to our sponsor for today's episode. When you want calm, do not reach for your phone. Stay back and listen, S-O-L-I-SOLYPILLOW.com.