Court documents show that the 32-year-old Mattress Firm owes millions of dollars in debt to mattress manufacturers including $65.7 million to Simmons Bedding Company and $25.5 million to Serta.
The chain said it plans to remain in business, but it filed for Chapter 11 bankruptcy protection to get out of about 700 unfavorable leases.
The retailer has 3,500 stores across the USA, reflecting a time when the economics of mattress retailers was such that more was better.
The company's two Garden City stores are almost across the street from each other, just south of the corner of State and Glenwood streets. It announced earlier this year that it would close 200 locations.
Steve Stagner, CEO of Mattress Firm, said, "The process we have initiated today will allow us to strengthen our balance sheet and accelerate the optimization of our store portfolio".
It reported $2.5 billion revenue in 2015, making it the largest independent mattress retailer in the country.
"Mattress Firm is some sort of giant money laundering scheme".
The company said it intends to close about 200 stores, "in the next few days".More news: Real Madrid goalless again in shock loss to Alaves
Online reviews have replaced going to a store to lie down on a mattress.
Mattress Firm operates 20 locations in Northeast Florida, according to its website.
Two stores are less than a mile apart on Town Center Parkway.
The Houston-based retailer was acquired by South African retailer Steinhoff International Holdings for $3.8 billion in 2016.
The mattress retailer has secured approximately $250 million in debtor-in-possession financing to support its operations under bankruptcy.
The troubled bed retailer of scandal-plagued Steinhoff International Holdings NV has 22 stores in MI and 3,400 total.
Mattress Firm's restructuring comes as its parent company, Steinhoff International, fights for survival after revealing $9million of hidden debt past year. Mattress Firm has blamed some of its expense problems on inflated rents.