If you’ve driven down Jefferson Avenue lately, you might have noticed something feels a little off. That massive sign for Value City Newport News—the one that’s been a staple of the local shopping scene for years—is currently the center of a lot of chatter.
It’s closing. Honestly, it’s a bit of a shocker for those of us who grew up seeing those red and blue letters every time we headed toward the Patrick Henry Mall area. But here is the reality: American Signature Inc., the parent company behind the brand, filed for Chapter 11 bankruptcy in late 2025. Now, in early 2026, the liquidation sales are in full swing at 12149 Jefferson Ave.
It isn't just a Newport News thing, either. We are seeing a total wind-down of operations across the country.
Why the doors are locking for good
People keep asking, "Why now?" Business experts, including Rudy Morando, the co-chief restructuring officer at American Signature, pointed to a "perfect storm" of bad timing. Inflation basically ate everyone’s furniture budget. Then you’ve got high interest rates making it harder for people to buy new homes, and if people aren't buying homes, they aren't buying 5-piece sectional sets.
Foot traffic at the Newport News location had been thinning out for a while. Competition from online giants and more "modern" feeling showrooms like the Ashley Outlet just down the street didn't help.
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The liquidation chaos at 12149 Jefferson Ave
Right now, the store is basically a bargain hunter's fever dream. They started with 25% to 50% off everything.
You’ve got to be careful, though. All sales are final. If you buy a sofa and get it home only to realize it smells like the warehouse or has a wobbly leg, you’re kinda stuck with it. There are no returns. There are no "let me think about it and bring it back tomorrow" options.
I’ve seen reports of people finding some wild stuff during these liquidations. One customer in the region recently claimed they found cigarette lighters tucked into the wiring of a power recliner they bought. Another person mentioned their new dining set arrived with a colony of ants. It’s a gamble.
What about your existing orders?
This is where things get messy. If you ordered a bedroom suite three months ago and were waiting for delivery, you’re probably stressed.
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Based on the bankruptcy filings, the company is trying to fulfill what it can, but many customers are reporting months of delays and "radio silence" from corporate. If you have an outstanding order, you need to head to the store physically. Phone lines are notoriously unreliable during a bankruptcy wind-down.
Financing and the fine print
If you used Acima or Sezzle to buy your furniture at Value City Newport News, don't think the debt disappears just because the store does.
- Acima Leasing: They actually own the furniture until you make that final payment. If the store closes, your contract with Acima is still valid.
- Klarna and Sezzle: These are third-party lenders. They already paid Value City for your couch; now you owe them.
- Store Credit: If you have a gift card, use it immediately. Like, today. Once the doors lock for the last time, that plastic card is basically a very colorful bookmark.
Better alternatives in the Peninsula area
If you missed out on the liquidation or just don't want the risk of a "no-return" policy, you aren't out of luck. Newport News still has a solid cluster of furniture shops.
The Ashley Outlet at 11969-A Jefferson Ave is literally right there. They tend to have a bit more of a contemporary vibe anyway. Then there’s Regency Furniture nearby if you’re looking for that massive, heavy-set traditional look that Value City used to be known for.
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How to handle the final days
If you are determined to grab a deal at the Newport News location before the lights go out, bring a truck. Or a friend with a truck.
Third-party delivery services like Dolly are still operating in the area, but relying on the store's own delivery crew right now is risky. Many of the staff are already looking for new jobs—rightfully so—and the logistics are crumbling.
Next Steps for Shoppers:
Check your receipts for any "Pure Promise" protection plans you bought. Since these are often third-party warranties, they might still be honored, but you'll need to contact the warranty provider directly, not the store. If you are shopping the closing sale, bring a flashlight and inspect the undersides of the furniture for frame cracks or pests before you pay. Once that money leaves your hand, the deal is done.