USA Discounters requests authorization to conduct store-closing sales

By Mark Reccek

Bethlehem, Pa., Sept. 25 – USA Discounters Ltd. requested court approval to conduct store-closing sales involving seven Fletcher’s Jewelers stores, according to a motion filed Friday with the U.S. Bankruptcy Court for the District of Delaware.

According to the motion, “if USA Discounters is not allowed to commence the sales, its estate would suffer significant detriment from the resulting delay, added post-petition expenses, depreciation in the value of the merchandise and further time and efforts that would be required to reformulate a different liquidation strategy. The realization of fair value of the merchandise and owned FF&E [furniture, fixtures and equipment] as promptly as possible will inure to the benefit of all parties in interest.”

The motion also said the company concluded the best path to maximizing value available to creditors would be to begin liquidating the remaining stores.

USA Discounters, a Norfolk, Va.-based retailer, filed for bankruptcy on Aug. 25. The Chapter 11 case number is 15-11755.

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