Add Boscov’s to the list of retailers that have filed for Chapter 11. The Reading, PA-based department store chain filed for bankruptcy protection on Monday.
Boscov’s says it will close 10 of its 49 stores– five in Pennsylvania, three stores in Maryland, one in New Jersey and one in Virginia.
But it will otherwise continue to operate while it reorganizes.
The retailer has secured $250 million in debtor-in-possession financing from Bank of America. This will allow Boscov’s to pay for shipments of merchandise for the back-to-school and holiday shopping seasons. (Some of its suppliers had stopped shipping merchandise to the company.)
Boscov’s news follows the announcement last week that West Coast department store Mervyns had Chapter 11; low price fashion retailer Steve & Barry’s had filed for bankruptcy protection last month.