Smith’s Lines Up New Financing

The owner of Smith’s Home Furnishings has loaned his company $350,000 and found a new financier to keep the troubled company afloat.

The retail chain has sought reorganization under federal bankruptcy laws and remains open under a plan approved by U.S. Bankruptcy Court.

Nations Credit, which is owed $2.4 million by Smith’s, had sought an emergency hearing to close all of Smith’s stores in Oregon and Idaho.

However, Nations withdrew its motion in court after Smith’s announced owner Glen Grodem’s loan Thursday and the participation of Norwest Financial Washington, a financier which will buy credit card accounts.

The furniture, appliance and electronics company owes more than 5,000 creditors $71 million and has closed all its Washington stores.