At Home, the North Texas-based furniture company, has filed for bankruptcy as it weathers the challenges of tariffs.

The company on Monday filed for Chapter 11 in a Delaware court as it seeks to continue serving customers during the process, according to a statement. At Home made an agreement with lenders for terms to eliminate “substantially all” of the company’s nearly $2 billion in funded debt and provide a capital infusion of $200 million to support the company through its restructuring process and beyond.

At Home has navigated a complex retail environment that has led to other chains filing for bankruptcy, shuttering sites and changing ownership amid changing customer tastes and shifting policy changes. Retailers are under pressure as rising trade costs from key countries such as China scramble supply chains and squeeze providers’ abilities to maintain pricing.

“We are operating against the backdrop of an increasingly dynamic and rapidly evolving trade environment as we navigate the impact of tariffs,” CEO Brad Weston said in the statement. “The steps we are taking today to fully de-lever our balance sheet will improve our ability to compete in the marketplace in the face of continued volatility and increase the resilience of our business for the long term.”

At Home works with over 600 product partners, and in fiscal year 2025, it sourced about 90% of its products from overseas. The timing of the tariffs came at a bad time for the chain.

“Newly imposed tariffs and the uncertainty of ongoing U.S. trade negotiations intensified the financial pressure on the company, accelerating the need for a comprehensive solution,” it said in the filing.

Weston said the agreement with lenders represents a “critical” advancement of our work to best position At Home for the future. In the past several months, the company took deliberate steps to strengthen “the foundation” of the business, including sharpening focus, elevating our customer value proposition and driving operational discipline. It had “made significant progress advancing our initiatives to date,” Weston said.

With the deal, At Home expects a transition of ownership to the lenders supporting the “Restructuring Support Agreement” and providing new capital, including funds affiliated with Redwood Capital Management LLC, Farallon Capital Management L.L.C. and Anchorage Capital Advisors L.P.

At Home operates 260 stores in 40 states. It provides a wide range of products — from accent chairs and bed frames to serving bowls and mirrors.

As part of the plan, the company will close 26 sites, according to a bankruptcy document. No stores are in Texas are closing. Closing stores include sites in California and New York.

The Cypress Waters company has more than 10,000 creditors, according to a posting of its bankruptcy filing. Its estimated assets are between $1 billion and $10 billion — as are its estimated liabilities.

At Home’s history stretches back to another era of retailing when it got started in 1979 as Garden Ridge Pottery—later shortened to Garden Ridge—with the opening of a pottery, housewares and craft store in Schertz, which is located near San Antonio. It would go through different chapters, including a move to Houston and a public offering. By 2004, Garden Ridge had filed for chapter 11.

At Home was still operating as Garden Ridge when it moved headquarters from Houston to Plano in 2014 and started to evolve into the At Home superstore concept. It would then move its headquarters to Cypress Waters in recent years.