BUFFALO, N.Y. (WIVB) - News 4 brought you this story first on WIVB.com, Rosa's is expected to file for Chapter 11 bankruptcy. What does it mean to stores, customers and employees?
News 4 was hoping to have more definitive answers Wednesday night, but we're still waiting to hear back from the company's president. News 4 has been told the stores will try to remain open. Everything else is up in the air.
News 4 tried talking to somebody from Rosa's Corporate Headquarters on camera. But when we showed up in their parking lot in Cheektowaga, someone pulled the blinds down and locked the door. Wednesday afternoon, we learned that Rosa's will be filing for Chapter 11 Bankruptcy.
Michelle Diminuco said, "I'm really surprised. I've been shopping there for years I've gotten quite a bit of stuff there and I didn't know they were gonna do that."
Sources say employees, however, were not surprised. In the past two months, News 4 was told the company has laid off 15 to 20 workers. Wednesday's news confirmed what many employees expected. The company is in financial trouble.
Joe Amoia said, "I feel bad for the employees and what they have to go through, but besides that there's plenty of places to buy furniture."
Rosa's has a long history in western New York. It's one of five locations, but sales have declined in recent years. By filing for Chapter 11 bankruptcy, the company will reorganize its business structure. It wants to remain open in the process. But that will depend on how much money it's losing.
Hannah Cox said, "I've always heard good things about them. I know they give back to the community a lot."
"I think it's just lack of of jobs in the area. I think that has a lot to do with it," said Diminuco.
In similar cases like this one, companies generally try to honor sales and warranties for as long as they can. In our 24-hour newsroom we're working to bring you the latest.
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