Furniture Retailer American Signature Files for Bankruptcy, Cites Tariffs

Core Viewpoint - American Signature, the parent company of American Signature Furniture and Value City, has filed for Chapter 11 bankruptcy protection due to unfavorable economic conditions and a slower housing market impacting sales [1][2]. Company Overview - American Signature has been a family-owned furniture destination for nearly 75 years, known for providing style, quality, and value to communities [2]. - The company is owned by Jay L. Schottenstein's SB360 Capital Partners, which also owns several other retail brands including American Eagle and Aerie [3]. Bankruptcy Filing Details - The company plans to pursue a sale at auction within 45 days to maximize value for stakeholders and anticipates entering into a stalking horse asset purchase agreement with ASI Purchaser LLC [4]. - American Signature has secured approximately $50 million in debtor-in-possession financing from Second Avenue Capital Partners LLC to support operations during the Chapter 11 process [5]. - The company has filed motions to continue employee wages and benefits, maintain customer programs, and satisfy post-petition obligations to vendors and partners, pending court approval [5].