Dirt Cheap Files Bankruptcy; Plans to Close Stores

Channel Control Merchants, the parent company of Dirt Cheap and Bargain Hunt, whose corporate office is located in Hattiesburg, Mississippi where the company first began, has filed for Chapter 11 Bankruptcy in Delaware on October 10th.

Dirt Cheap Files for Chapter 11Photo byDirt Cheap

The company, collectively filed under HDC Holdings II, LLC, which includes Dirt Cheap, Bargain Hunt, and Dirt Cheap Building Supplies according to court documents, plans to close all stores in order to clear up their debt.

With locations throughout Louisiana, Mississippi, Alabama, Arkansas, Florida, Texas, Georgia, and Tennessee, the company has built it's repuation on bargain hunters' dreams by offering salvage, leading private label, and name-brand merchandise for 40 - 90% off regular retail prices.

Dirt Cheap Madison, ALPhoto byDirt Cheap

Dirt Cheap is considered a secondary market retailer, which means that they purchase items from traditional retailers who have had a hard time selling those items through normal channels of distribution. This may due to purchasing errors, competition, or lowered economies.

With a final court hearing date of November 7th, it is presumed that by the end of the year all stores will be closed. The company's official Facebook is already advertising some "Store Closing Sales".