(April 8): 99 Cents Only Stores LLC has filed for bankruptcy after announcing plans in April to wind down its business operations.

The California-based discount retailer listed assets of US$1 billion (RM4.76 billion) to US$10 billion and liabilities of a similar range in a Chapter 11 protection filed in Delaware.

99 Cents Only has secured US$60.8 million in senior secured super priority debtor-in-possession financing to facilitate the wind-down process and pursue a value-maximizing sale of its real estate and other assets, according to a statement.

99 Cents Only has battled losses for years and completed multiple sale-leaseback deals to bolster its cash reserves. More recently, inflation has continued to stress its core customer base, credit grader Moody’s Investors Service said in a November downgrade.

Bloomberg earlier reported that 99 Cents was exploring a debt restructuring.