Bankrupt Christmas Tree Shops announce last day of business

August 2024 · 3 minute read

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Beloved bargain retailer Christmas Tree Shops announced that its last day in business will be Aug. 12 — three months after the company filed for Chapter 11 bankruptcy.

According to Christmas Tree Shops’ website, the store will be discounting its already-low-cost merchandise and home decor by up to 80% in a going out of business sale.

Coupons and gift cards won’t be accepted during this promotion.

When the sale ends on Aug. 12, the New England-based chain will also be shuddering its remaining 72 stores for good.

Christmas Tree Shops filed for Chapter 11 in May, though it expected to emerge from insolvency by the end of August by closing down 10 low-performing stores across seven states and taking on a $45 million loan.

However, Christmas Tree Shops defaulted on loan payments during its bankruptcy.

Then, when it failed to find a life-saving buyer, the case was converted to Chapter 7 liquidation, and Christmas Tree Shops was forced to begin dissolving the company.

The restructuring efforts came just months after Christmas Tree Shops rebranded to CTS in June of 2022, when leadership was fed up with customers thinking the retailer only sold Christmas trees.

At the time of the name change, owner Pam Salkovitz said in a statement that the chain planned to open an additional 15 stores with the new CTS name by the end of 2023.

“We are excited to grow our locations and bring our unique shopping experience to more customers,” Salkovitz said at the time.

Unfortunately, things didn’t go as planned, and Christmas Tree Shops ended up following in the footsteps of its former owner, Bed Bath & Beyond, which acquired the Middleborough, Mass.-based store in 2003 and sold it in November 2020.

When The Post reached out to CTS for comment, it was informed that the company’s customer service department shuddered on July 7.

In September 1970, Christmas Tree Shops was founded by husband-and-wife duo Charles and Doreen Bilezikian, who opened its first location in Cape Cod, Mass., and primarily sold penny candy.

It quickly became a big-box retailer, famed for its discounted seasonal home decor that extended far beyond Christmas trees and trinkets.

At the time of its Chapter 11 filing, Christmas Tree Shops operated 82 brick-and-mortar stores across 20 states — including 14 in New York and 10 in New Jersey — primarily along the East Coast.

In May, it also reportedly had up to $100 million in liabilities, as much as $50 million in assets and 49 creditors — the top six of which were owed over $1 million each.

Court documents showed Christmas Tree Shops’ financial struggles, listing $544 million in revenue in 2022, but negative $45 million in earnings before interest, taxes, depreciation and amortization.

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