news-record.com

CONOVER (MCT) — The parent company of retailer Boyles Distinctive Furniture has filed for bankruptcy protection.

Hendricks Furniture Group and sister company Classic Moving and Storage filed for Chapter 11 reorganization on Wednesday.

Hendricks Furniture executives said they expect business will continue as usual during the restructuring. Boyles operates five locations in the Carolinas, including one at 5700 Riverdale Drive in Jamestown.

The company said arrangements have been made for up to $2.5 million of debtor-in-possession financing secured from BB&T and other lenders as well as "support from leading furniture manufacturers that assisted in developing a plan to supply goods to the company on normal credit and trade terms after the filing."

In the petition filed in U.S. Bankruptcy Court for the Western District of North Carolina, Conover-based Hendricks Furniture listed assets of more than $50 million and liabilities between $10 million and $50 million.

The company has been restructuring itself since late 2008.

"Although we made progress adapting to recent economic challenges, and had begun implementing a plan to restructure outside of Chapter 11, we had to file to do what was right for the creditors, employees and customers associated with our operations," said company founder Larry G. Hendricks.

"While this filing changes the exact process of our restructuring, it doesn't change the goal we set almost a year ago: to refocus our company, and in particular our well-respected Boyles brand, on providing exciting products, services and values to loyal customers across the United States."