The Container Store, buffeted by rough housing trade, seeks insolvency protection

recent YORK — The Container Store has filed for insolvency protection as the storage and organizational goods retailer with roots dating back to 1978 grapples with mounting losses and money flow shortages.

The Texas business has faced increasing competition from retailers like Target and Walmart at the same period that demand for its goods are under strain in a rough housing trade, where soaring prices and elevated mortgage rates have stunted sales.

The business said Sunday that it had filed for insolvency protection in Texas. The filing arrives two weeks after the buying and selling of business shares were suspended by the recent York stake swap. The Container Store throng Inc. failed to maintain an average trade 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 pool as it aimed to turn around sagging profits and sales, according to a regulatory filing.