COPPELL, Texas – November 20, 2014 – After 113 years, Alco Stores (NASDAQ: ALCS), a discount retailer focused on serving consumers in smaller communities with limited access to other regional or national retail chains, is closing its doors forever.
The U.S. Bankruptcy Court in Dallas approved an order today authorizing a joint venture including SB Capital Group LLC, to conduct “Going Out Of Business” sales in each of Alco’s 198 locations in 23 states. More than $260 million of inventory, fixtures and equipment will be liquidated during the sale, which begins Friday, November 21.
Alco began as a single variety store in 1901. Over the years, the company’s expansion was fueled by a strategy of bringing stores to smaller communities throughout the Midwest, Southeast and Southwest, offering a wide selection of products at heavily discounted prices. Distinguishing itself by emphasizing friendly, personal service, Alco offered small-town consumers variety and low prices in a local shopping experience within their own community. Many of Alco’s customers in the small communities they serve were disproportionately impacted by the slow economy, and those economic factors contributed to the decision to liquidate Alco’s assets.
On October 12, 2014, Alco filed for Chapter 11 protection in federal bankruptcy court, Northern District of Texas, case no. 14-34941.
The Going-Out-of-Business Sale will offer discounts off Alco’s already everyday, low prices, with storewide savings off the lowest, ticketed price. Current markdowns and clearance items will also have additional discounts. The sale will continue until all merchandise has been sold.
“This event will offer consumers in Alco’s small-town markets a once-in-a-lifetime opportunity to get extraordinary discounts on food and snack items, apparel and footwear for the family, housewares, health and beauty aids, hardware, electronics, seasonal items, toys, sporting goods, and so much more,” said Scott Bernstein, Chief Operating Officer of SB Capital Group. “This Going-Out-of-Business Sale is timed as such that Alco’s many loyal customers will realize significant savings as they do their holiday shopping.”
Alco stores, which average 25,000 square feet in size, are located in Arizona, Arkansas, Colorado, Florida, Georgia, Idaho, Illinois, Indiana, Iowa, Kansas, Minnesota, Missouri, Montana, Nebraska, New Mexico, North Dakota, Ohio, Oklahoma, South Dakota, Texas, Utah, Wisconsin, and Wyoming. All stores will maintain their normal business hours during this liquidation sale. Cash and major credit cards will be accepted.
In addition to the merchandise liquidation, the fixtures and equipment from all 198 stores, and assets from the company’s 352,000-square-foot distribution center in Abilene, Kansas will also be sold.