The Leslie's Pool Supplies store on Oak Grove Road in Walnut Creek has closed.
The Phoenix-based pool and spa retailer shut the Walnut Creek location at 2246 Oak Grove Road and a Concord store at 5100 Clayton Road on Tuesday, Sept. 29. The company filed for Chapter 11 bankruptcy protection the next day. The closures were part of a wave of 76 stores the company shuttered nationwide, as reported by the Bay Area Telegraph.
Leslie's described the closed locations as underperforming in a filing with the Securities and Exchange Commission and said it expects to vacate them within two weeks.
California took the biggest hit. Twenty-six of the 76 closures are in the state, including eight in the Bay Area: Walnut Creek, Concord, Fremont, Mountain View, Novato, Pittsburg, San Jose and San Ramon, according to court filings cited by the Ventura County Star.
How the bankruptcy unfolded
Leslie's company approved a plan to streamline operations on Sunday, Sept. 27. Two days later, the 76 stores went dark. On Wednesday, Sept. 30, the company and its subsidiaries filed voluntary Chapter 11 petitions in the U.S. Bankruptcy Court for the Southern District of Texas.
The 63-year-old retailer carried $1.21 billion in liabilities against $722.2 million in assets at the time of filing, The Street reported. Sales had been sliding: fiscal third-quarter revenue fell 8.4% to $458.5 million.
CFO Jeff White blamed the downturn on a post-pandemic contraction in the pool industry. He wrote in a court filing that high interest rates, inflation and weakening consumer purchasing power had cut into demand for pool products and services, as reported by the New Haven Register.
Restructuring plan
Leslie's has a deal in place with its lenders. The company's restructuring agreement aims to eliminate roughly $685 million, or 90%, of its outstanding funded debt. The plan includes $90 million in new financing to keep the company running during bankruptcy and $60 million in equity financing.
CEO Jason McDonell said in the company's Sept. 30 press release that the restructuring would strengthen Leslie's balance sheet and give it more financial flexibility. The company expects to emerge from Chapter 11 in early 2027.
What Walnut Creek pool owners need to know
Two nearby Leslie's stores remain open: Lafayette at 3389 Mt. Diablo Blvd. and Pleasant Hill at 25 Vivian Drive. Online shopping through the company's website and app also continues.
Leslie's said on its customer information page that gift cards remain valid, returns and exchanges follow existing policies, and Pool Perks rewards are intact. Free in-store water testing, equipment repair and field service continue at open locations.
The company's restructuring timeline calls for the bankruptcy plan to take effect within 110 days of the Sept. 30 filing date, putting the target around mid-January 2027.
