The national chain is the largest specialty mattress retailer in the country.
A press release issued by Mattress Firm on Friday morning says stores will continue to operate as usual, but there are plans to close up to 700 stores. Up to 200 stores could close in the next few days.
Steve Stagner, executive chairman, president and CEO of Mattress Firm, said:
"The process we have initiated today will allow us to strengthen our balance sheet and accelerate the optimization of our store portfolio. Leading up to the holiday shopping season, we will exit up to 700 stores in certain markets where we have too many locations in close proximity to each other."
The company further stated that Mattress Firm should complete the restructuring process within the next 45 to 60 days.