Linens 'n Things Inc., the housewares retailer controlled by buyout firm Apollo Management LP, hired restructuring firm Conway Del Genio Gries & Co. to weigh options including bankruptcy, people with knowledge of the agreement said.
The chain is seeking to negotiate with creditors including General Electric Co., said the people, who declined to be named because the discussions are private. The Wall Street Journal reported today that Linens 'n Things may file for Chapter 11 bankruptcy protection by Tuesday.
Linens 'n Things' sales fell last year as consumers contending with rising unemployment and a slumping housing market reined in spending. The chain's bonds have plummeted on speculation it may file for bankruptcy.