Officials from American Home confirmed today that it will close all six of its home furnishing stores in Arizona and two of its five New Mexico stores.

The Nov. 4 announcement came a day after the Albuquerque-based furniture retailer revealed it had filed Chapter 11 bankruptcy.

“We filed our motions late yesterday, so today we’re releasing to the press that we are going to close down our Arizona operations and liquidate the stores,“ said Ted Leveque, chief operating officer.

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The Albuquerque-based company initially announced there would be no store closures or layoffs.

“In the current business climate with the housing crisis and the credit crisis that has had a great impact on our business, particularly in Arizona,” Leveque said.

The furniture company employs 650 people, 200 of which in Arizona.

In August, American Home announced it would be closing the warehouse located Interstate 10 and Prince Road. While the warehouse has remained open, it joins the two other Tucson locations, as well as stores in Sahaurita and Mesa that are the latest casualties of the current economic climate.

“We will be operating the stores this week,” Leveque said, adding that it remains to be seen when they will actually close their doors.

The company was founded in 1936 and operated six stores in the state and five in New Mexico.

The three Albuquerque stores are to be consolidated, while locations in Santa Fe and Farmington, N.M. will remain open.