Bankrupt retailers that are closing their stores are in line to pocket millions of dollars in prepaid gift cards that might never be redeemed. The Covid-19 pandemic has triggered a spate of retail-sector bankruptcies in recent weeks, including those of department-store chain J.C. Penney Co., luxury retailer Neiman Marcus Group Inc. apparel seller J.Crew Group Inc. and discount home-goods retailer Tuesday Morning Corp. As...

Discount home-goods retailer Tuesday Morning Corp. is preparing to file for bankruptcy within days after the shutdown of its stores due the coronavirus pandemic, according to people familiar with the matter. The Dallas-based company, which has roughly 700 stores across the U.S., is planning to seek chapter 11 protection in Texas as early as this weekend after a debt default and the temporary store closures in late March, these people said. The off-price retailer is preparing to try to sell...

A glut of pent-up inventory is waiting to be dumped on consumers this summer as retail stores reopen in the U.S., and shoppers for everything from shoes to sofas should be able to find major bargains. Still-solvent retailers will go head-to-head with bankrupt rivals: Big reopening blowouts will be vying with going-out-of-business sales to get shoppers in the door, experts say. “There...

Bankrupt Pier 1 Imports Inc. said it hopes to reopen a “critical mass” of its stores by June 1, the latest company getting ready for the possibility of welcoming back shoppers as more states relax stay-at-home restrictions. The home-goods retailer, pressed by a bankruptcy judge on Tuesday to be more specific, said it would resume its brick-and-mortar operations if enough states allow the company to reopen at least half of its roughly 540 stores. The company said it would also depend on...

A Canadian judge has given the green light to an accounting firm to sell and liquidate part of the business empire founded by fashion mogul Peter Nygard. Nine Nygard designer and retail companies in March filed for bankruptcy protection in Canada and in the U.S. in the wake of sex-trafficking allegations against Mr. Nygard. Canada’s Richter...