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Howard's Appliance Files for Chapter 11 as Southern California Stores Shut

Lawyers cite tariffs and weaker consumer spending for the rapid collapse.

Overview

  • Howard's filed for Chapter 11 in Los Angeles on Dec. 10, listing up to $17.2 million in liabilities and estimating $1 million to $10 million in assets, with total property of $11.5 million.
  • All locations closed effective Dec. 6 with little warning, as roughly 100 employees were told via Zoom that operations would cease and the website and phones went dark.
  • The filing notes $273,500 in unpaid taxes to the California Department of Tax and Fee Administration.
  • Major unsecured creditors include GE Appliances Retail ($1.42 million), LG Appliances ($1.13 million), Electrolux Home Products ($894,400), Thermador ($274,700), Samsung ($239,600) and Viking Range ($118,300), along with advertising and services claims from FOX 11 ($562,500), the Los Angeles Angels ($150,000), Google ($117,000) and Top Staffing Solutions ($203,800).
  • Customers with recent purchases, including Black Friday orders, face uncertain deliveries and refunds as recovery details have not been clarified in public guidance.