Reports: Mattress Firm files for bankruptcy

A nationwide mattress company with South Dakota ties is filing for bankruptcy.

Mattress Firm, the nation's largest bed store, has filed for Chapter 11 bankruptcy protection.

CNN reports the company may close as many as 700 underperforming stores. The company currently has more than 3,300 locations in the United States, including four in Sioux Falls.

There is no word yet on which locations may close. Mattress Firm hopes to exit bankruptcy in about two months.

Mattress Firm was founded by three University of South Dakota graduates. Harry Roberts, Paul Stork and Steve Fendrick started the company in Texas in 1986.

USA Today reports the company has been facing financial pressure amid an increase of bed-in-a-box online retailers, too many physical stores and accounting issues at its parent company, Steinhoff International.