Welcome to WSJ Pro Bankruptcy's Daily Briefing. It's Thursday, June 12. In today's briefing, At Home Group, a Texas-based home-goods retailer with more than 250 stores, is reportedly preparing to file for chapter 11 bankruptcy within days and plans to close around 20 locations amid rising debt and trade pressures, sources told The Wall Street Journal. And Marelli CEO David Slump said in a court filing that continuing supply-chain disruptions from the pandemic, compounded by global tariffs and macroeconomic headwinds, worsened the company's liquidity in March and left it unable to sustain its nearly $5 billion debt.

At Home Group is preparing to file for bankruptcy within days and plans to close a slice of its store locations to weather trade tensions and mounting debt, according to people familiar with the matter.

The Texas-based home-goods retailer could file for court protection as early as Sunday, the people said. At Home is planning to close roughly 20 stores initially as part of the bankruptcy case, the people said. The company operates more than 250 stores across 40 states. The timing of the chapter 11 filing could change as final details are ironed out, they said.

In addition to the planned store closings, At Home is negotiating with landlords for lease concessions and with creditors to restructure its $2 billion in debt, the people said. On May 15, the company missed an interest payment and entered a forbearance that expires on June 30, they said.

Marelli Chief Executive David Slump said in a court filing Wednesday that the company had already been struggling with long-term supply-chain issues stemming from the Covid-19 pandemic when its liquidity position began to worsen in March due to “macroeconomic headwinds associated with the imposition of tariffs in countries around the world.”

In his declaration, Slump said the pandemic restricted access to both raw materials and the labor market, and set off a series of events that led to Marelli being unable to sustain its nearly $5 billion of debt. Even after the pandemic subsided, the impeded supply chain for semiconductors had an acute effect on automotive production.

Gamestop shares fell after the company said it plans to offer $1.75 billion worth of convertible notes.

The stock slid 10% to $25.61 after the market closed on Wednesday, ending regular trade down 5%.

The video-game retailer said the notes will be unsecured obligations of Gamestop, won't bear regular interest and are due to mature in June 2032.

The offering is private. Gamestop plans to grant the initial purchasers an option to buy up to $250 million in additional notes within a 13-day period after the notes are issued.

Gamestop plans to use the proceeds for general corporate purposes, including making investments and potential acquisitions, it said.

Starting in early May, Gamestop has bought 4,710 bitcoin. Shares were down Wednesday after the company posted a decline in first-quarter sales.

—Katherine Hamilton

Inflation was tame in May, defying fears that the impact of President Trump’s tariffs would start to show a rise in prices. Consumer prices rose 0.1% in May over the previous month, less than economists anticipated. Year-over-year inflation was 2.4%, in line with expectations and near a four-year low recorded in April.

The immigration crackdown may already be starting to show up in the job market. Employment growth in industries that rely heavily on unauthorized workers has slowed. There has been a large decline in the foreign-born labor force since March. And recent immigrants appear more reluctant to take part in the Labor Department’s monthly survey of households.

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