Nov. 2, 2018 Staff Report
National Wholesale Liquidators, the closeout discount chain, has filed for Chapter 11 bankruptcy protection and could soon be shutting down its Flushing location.
The company, based in West Hempstead, filed for bankruptcy two weeks ago, and is already in the process of closing its Long Island City location.
Its 71-01 Kissena Blvd. store, however, could soon be next, along with the 9 other stores the company has in the northeast, citing liquidity issues.
“We’re working on trying to save the company,” said Phil DeGorter, National Wholesale Liquidators’ director of loss prevention and human resources. He said the company is looking to find a buyer that can rescue some of its stores.
The company has also filed a layoff notice with the state that said 60 employees will be left jobless if the Flushing warehouse closes. At the time of filing, National Wholesale Liquidators had 695 employees, with the majority unionized.
Whether the Flushing location shutters, however, will be determined in a couple of days, DeGorter said.
The family-owned company has been in business since 1984, according to its website, and has 11 locations through New Jersey, New York, Pennsylvania, and Massachusetts. The average size of their stores is 54,000 square feet.
The business says its bankruptcy filing comes after a host of “unanticipated factors” like construction woes that led to one of its most profitable locations shuttering and losing sales to online retailers, according to court filings.
These issues have affected the company’s ability to borrow money for purchasing inventory, which has led to a shrinking stock and declining sales.