Leslie's closed 76 stores in Chapter 11 restructuring

Leslie's, a Phoenix-based seller of pool chemicals, maintenance equipment and pool products, closed about 76 underperforming or unprofitable stores on 29 September, according to an SEC filing, and filed for Chapter 11 protection on 30 September in the U.S. Bankruptcy Court for the Southern District of Texas. The petition listed $722.2 million in total assets against about $1.2 billion in liabilities and debt.

Leslie's said more than 80% of existing lenders support a restructuring agreement that would eliminate about $685 million of funded debt, or roughly 90% of its outstanding funded debt. The plan includes $90 million of interim financing and $60 million from the sale of company equity, about $150 million in new capital. Leslie's expects to emerge from Chapter 11 in early 2027 with a smaller footprint and stronger financial position.

"Leslie's is here to stay," chief executive Jason McDonell said in a statement announcing the restructuring.

Where the closures fall

AOL reported that California accounts for 26 of the 76 closures, just over a third, that it will be hit harder than any other state, and that California, Florida and Texas account for the largest share of planned closures nationwide. The company said 13 are in Southern California, eight in the Bay Area and five in the Central Valley and Central Coast.

• Southern California: Cerritos, Chatsworth, Diamond Bar, Encinitas, Granada Hills, La Crescenta, Lake Forest, Montebello, Palm Desert, Ramona, San Diego, Santa Barbara and Tustin.
• Bay Area: Concord, Fremont, Mountain View, Novato, Pittsburg, San Jose, San Ramon and Walnut Creek.
• Central Valley and Central Coast: Fresno, Los Banos, Paso Robles, Selma and Tulare.

Court filings list the 26 California stores. Leslie's says it is not shutting down entirely. Remaining stores and online operations will continue serving customers during the bankruptcy process, and gift cards and loyalty program benefits will continue to be honored.

Why the chain is closing stores

Leslie's reported $790 million in sales for the nine months ending 4 July 2026, down 7.3% from nearly $853 million a year earlier. Its net loss widened 18.2% to $87.7 million from $74.2 million. In July, the company withdrew its full-year guidance, citing "macroeconomic softness and the uncertainty around the company's ability to continue to drive consumer behavior," the Orange County Register reported.

The Los Angeles Times reported that revenue slipped from 2023 to 2025, that the chain posted losses in the last two years, and that it closed 80 underperforming stores and a distribution center in late 2025 and early 2026.

What remains

Leslie's said in a release it operates an integrated ecosystem of more than 850 physical locations, the Los Angeles Times reported. The Orange County Register and Patch reported the company operates more than 900 retail locations across 38 states.

The Los Angeles Times reported that Phil Leslie Jr. founded the chain in North Hollywood in 1963, that it completed an initial public offering in 2020, and that it had expanded to 1,000 locations across 37 states by 2023.