Furniture Factory Warehouse Owes Furniture To 4,500 Customers Throughout State, El Paso

Furniture Factory Warehouse, which filed for Chapter 11 bankruptcy protection May 28, said in court documents that it owes furniture to more than 4,500 customers who have placed $700,000 in deposits, according to a report on FurnitureToday.com

The 12-store retailer also reported owing about $1.3 million in unsecured trade payables. Furniture Factory Warehouse reported owing about $1.3 million in unsecured trade payables and has stores in El Paso, San Antonio, Killeen, McAllen, Corpus Christi, Harlingen, and Brownsville.

FFW OPCO, the owner of the Furniture Factory Warehouse stores, told the bankruptcy court in Dallas that it had lost money each year since it purchased the retailer from the Giles Group in 2007. It also said it has had difficulty obtaining credit, and that sales have dropped since the economic downturn started in 2008.

FFW also said that shortly after it bought the business in 2007 its computer servers malfunctioned, resulting in the loss of customer orders and deposits, inventory information, and financial and business records, according to the FurnitureToday.com report.

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