Tuesday Morning says it’s closing 230 stores

Becomes fifth big retailer to file for Chapter 11 bankruptcy since the coronavirus was declared a pandemic in mid-March.

Discount goods retailer Tuesday Morning has filed for Chapter 11 bankruptcy, the fifth major retailer to do so since the pandemic.

As part of the bankruptcy reorganization, the Dallas-based chain said Wednesday it plans to close approximately 230 of its 687 stores over the summer to focus on high-performing locations and will do this with a phased approach.

Tuesday Morning joins J.C. Penney, luxury department store chain Neiman Marcus, J.Crew and Stage Stores in filing for Chapter 11 since the virus was declared a pandemic in mid-March that forced many stores that sell non-essential goods to close and resulted in evaporating sales. Pier 1 Imports, which filed for Chapter 11 in February, is now liquidating its business.

Like the other retailers that filed for Chapter 11, Tuesday Morning was already weakened before the pandemic. The chain’s business has been hurt by a lack of exciting merchandise and stiffer competition from off-price peers like TJX Cos., which operates T.J. Maxx and Home Goods, as well as Macy’s discount concept Back Stage.

“While consumers do not expect off-price discount retailers to have a perfectly curated selection of merchandise, they do demand that the range is reasonably coherent and contains interesting finds,” said Neil Saunders, managing director of Global Data Retail. “Unfortunately, Tuesday Morning often fails to deliver this. Many stores are not so much an Aladdin’s cave of exciting treasures as a jumbled flea market of whatever buyers could seemingly get their hands on.”