NEW YORK (AP) — The Container Store has filed for bankruptcy protection as the storage and organizational goods retailer with roots dating back to the 1970s grapples with mounting losses and cash flow shortages.
The Texas company has faced increasing competition from retailers like Target and Walmart at the same time that demand for its goods is under strain in a rough housing market, where soaring prices and elevated mortgage rates have stunted sales.
Under Chapter 11 protection, The Container Store will continue to operate while it restructures.
The company said Sunday that it had filed for bankruptcy protection in Texas. The filing arrives two weeks after the trading of company shares was suspended by the New York Stock Exchange. The Container Store Group Inc. failed to maintain an average market capitalization of at least $15 million in accordance with NYSE rules.
Last month, The Container Store said that it was in advanced discussions with lenders to provide additional capital as it aimed to turn around sagging earnings and sales, according to a regulatory filing.
The company has struggled to raise cash, and last month an agreement with the owner of Bed Bath & Beyond, Overstock and Zulily that would have come with a $40 million cash infusion fell apart. The Container Store said in a regulatory filing that it did not believe that it could match the financing requirements of the partnership with Beyond Inc.
The Container Store was founded in 1978 by Garrett Boone, Kip Tindell and investor John Mullen, who opened the doors of The Container Store’s first location in Dallas, according to the company. Neither of the men, Boone with a master’s degree in history and Tindell who was an English major, expected a career in retail. Yet both were driven by the idea of creating a store devoted entirely to storage.
The chain had its skeptics when Boon and Tindell opened their first 1,600-square-foot location. Yet the chain expanded to more than 100 stores ranging from 12,000 to 20,000 square feet, according to the company.
In 1999, The Container Store purchased one of its vendors, Elfa International. In 2021, it acquired Chicago's Closet Works and launched its premium, wood-based line Preston shortly thereafter.
In its most recent quarter the company reported losses of $16 million, and comparable store sales, a good barometer of a retailer's health, dropped 12.5%.
FILE - Storage bins from the Container Store are shown on Dec.13, 2024 in New York. (AP Photo/Cathy Bussewitz, File)
KYIV, Ukraine (AP) — Ukraine denied Moscow's claims that a Ukrainian drone struck the Russian-controlled Zaporizhzhia nuclear plant, as Kyiv on Sunday launched fresh strikes overnight on Russian energy sites.
Ukraine’s General Staff said Ukrainian drones struck the Saratov oil refinery in southwestern Russia, causing a large-scale fire. It said the extent of the damage was being clarified, and claimed the refinery has been supplying Moscow’s war effort.
The refinery belongs to Russia’s state oil enterprise, Rosneft. Local Russian Gov. Roman Busargin, said Ukrainian drones had damaged civilian infrastructure, but did not immediately give details. Astra, an independent Russian news channel, said an oil refinery was on fire in the city of Saratov.
Ukraine has stepped up its attacks on Russia’s oil and gas facilities in recent months, arguing the energy sector both funds and directly fuels Moscow’s more than 4-year-old invasion.
“Tonight, our soldiers applied Ukraine’s long-range sanctions against an oil refinery in Saratov, Russia — approximately 700 kilometers (435 miles) from the front line. A significant achievement,” Ukrainian President Volodymyr Zelenskyy wrote on social media later on Sunday.
Drone debris also set fire to a fuel depot in Russia’s southwestern Rostov region, which borders Russian-occupied eastern Ukraine, Gov. Yuriy Slyusar reported on Telegram on Sunday. He said residents of nearby homes were evacuated.
Ukraine's General Staff on Sunday confirmed its forces were behind the strike on the facility in the town of Matveev Kurgan. Local authorities said a drone strike on the depot had caused a large-scale fire across a wide area.
According to its General Staff, Ukraine also struck the Lazarevo pumping station in Russia's Kirov region northeast of Moscow, more than 1,200 kilometers (745 miles) from Ukrainian-controlled land. The station helps ship Russian oil from Siberia to Belarus.
Regional Gov. Alexander Sokolov said drones had hit a facility in the Kirov region, without giving further details.
Kyiv denied a Russian claim that a Ukrainian drone struck the Zaporizhzhia nuclear plant, Europe’s largest.
Russia’s state nuclear energy company, Rosatom, said on Saturday that the drone exploded after tearing a hole in the wall of a turbine hall. Rosatom’s CEO Alexei Likhachev accused Ukraine of a “deliberate” attack.
“This afternoon, a Ukrainian kamikaze combat drone struck the turbine hall building of Power Unit No. 6, resulting in a detonation,” Likhachev said. He added there was no damage to main equipment.
Ukraine’s military said it did not target or strike the plant, and described the Russian claim as “yet another propaganda ploy.” A military statement said that it adheres to international humanitarian law and is aware of the "consequences of any actions targeting nuclear facilities.”
“Along the relevant section of the front line, there was no active fighting at the time of the incident, and no weapons were used,” it added.
Rafael Grossi, head of the International Atomic Energy Agency, voiced “serious concern” in a post on X following the incident.
The IAEA said in a statement Sunday that its inspectors “observed damage to the exterior of a turbine building” that was “consistent with the impact of the drone.” It gave no details of where the drone may have come from, but said radiation levels at the site remained normal.
“During a site walk down, the team saw damage to a metal access hatch located several levels up in the building, as well as a few pieces of debris and burned optical fiber remains on the ground," the agency said in a post on X. It added its inspectors had requested access to the inside of the turbine hall for further examination.
Russian forces captured the Zaporizhzhia plant in the early weeks of the war, and it remains close to the front lines in the southern Zaporizhzhia region, one of four Russia has formally annexed despite lacking full military control or international recognition for its actions.
The nuclear plant has repeatedly come under fire since Russia's full-scale invasion in February 2022, sparking fears of a nuclear accident. Moscow and Kyiv have blamed each other for targeting the plant.
Elsewhere, Ukraine’s air force said Sunday that it had shot down 212 of 299 drones launched by Russia overnight. It said 14 drones had reached their targets, while drone debris fell in five locations.
A truck driver died early on Sunday as drones hit a parking lot in Ukraine's northern Chernihiv region, according to local administration head Vyacheslav Chaus.
Russian drones struck the city of Dnipro and an oil refinery in Ukraine’s Rivne region, causing fires, authorities said. No one was injured in either location, Ukrainian officials later reported.
Follow the AP’s coverage of the war in Ukraine at https://apnews.com/hub/russia-ukraine
Servicemen of Ukraine's defense intelligence set up the Peklo (Hell) missile drone against Russian in an undisclosed location in Ukraine late Thursday, May 28, 2026. (AP Photo/Efrem Lukatsky)
Servicemen of Ukraine's defense intelligence set up drones against Russian in an undisclosed location in Ukraine late Thursday, May 28, 2026. (AP Photo/Efrem Lukatsky)
