Another seemingly popular retailer has filed for bankruptcy: According to a release, the Container Store has filed for protection under Chapter 11 of the U.S. Bankruptcy Code, effective December 22.

The company is not closing down, says president and CEO Satish Malhotra in a statement.

“The Container Store is here to stay," Malhotra says. "Our strategy is sound, and we believe the steps we are taking today will allow us to continue to advance our business, deepen customer relationships, expand our reach, and strengthen our capabilities."

The Company has filed a motion with the Bankruptcy Court that will allow it to make timely payments to vendors, suppliers, and other trade creditors in full.

The stores and website will continue to operate as normal; all customer deposits and orders will be honored and delivered as normal.

At least 90 percent of the company’s loan lenders have pledged their support. A recapitalization will provide millions in new financing as well as debt service relief. This will strengthen their balance sheet and liquidity position, so they can meet commitments to partners and vendors.

Founded in 1978 and headquartered in Coppell, the Container Store offers organizing solutions and in-home services, with more than 10,000 products to complete any space, sold at more than 100 locations nationwide and a flagship online store.

When they first debuted, they were an utter revelation with all of their various plastic containers and tubs — a market that is now also filled by cheaper knockoffs sold at a much lower price at places like Target.

“We are particularly excited about the future of our custom space offerings, which continue to demonstrate strength," Malhotra says. "We intend to maintain our strong workforce and remain committed to delivering an exceptional experience for our customers while we execute this recapitalization and for many years to come.”

The Chapter 11 process does not include the Company’s Elfa business in Sweden, which continues to operate as usual.

There is starting to be a wave of bankruptcy filings of retailers that include Big Lots, which is holding going-out-of-business sales in anticipation of a company-wide closure; and Party City, which is closing its stores at the end of February.

The Container Store has created a dedicated website for stakeholders to get information about the Chapter 11 case at www.futureforcontainerstore.com.