Murfreesboro-based Old Time Pottery LLC said it filed for bankruptcy protection as the chain seeks to restructure its finances due to the COVID-19 pandemic.
The Chapter 11 filing was made June 28 with the U.S. Bankruptcy Court Middle District of Tennessee, court records show. In addition to Old Time Pottery, debtors listed in the filing are Gene L. Humphreys, Paul G. Jennings and Glenn Benton Rose.
Old Time Pottery said in a statement it will close four stores in Fayetteville, N.C.; North Charleston, S.C.; Orlando, Fla.; and Rockford, Ill. The company said it has the support of the owner and lender, which agreed to provide financing during the process. The Murfreesboro store was not named in the announcement.
Chief Bankruptcy Judge Marian F Harrison will hear the case.
Old Time Pottery said in a statement that when COVID-19 hit in March, the retail company had been doing well but experienced a “precipitous decline in sales that lasted for six weeks” because of mandates to close stores.
“The severity of this sales decline and store closures caused Old Time Pottery to incur significant short-term debts to keep operations running as the business disruption occurred during two of Old Time Pottery’s most significant sales months,” the statement said.
The company said it restructured during the 2008 recession and expects to emerge from Chapter 11 stronger.
“Old Time Pottery does not expect any further reductions in staffing at its remaining stores, Distribution Center or Store Support Center,” the company said.
Prior to the announced closures, the chain operated 43 stores in 11 states. Closure dates were not given.
A spokesman for the company declined to answer questions.