Neiman Marcus Group, owner of the 43-store chain of the same name as well as two Bergdorf Goodman locations and Last Call discount shops, has filed for chapter 11 bankruptcy protection as expected, in the process securing $675 million in loans from creditors. The filing also calls for a long-term plan to eliminate $4 billion of debt.
Chapter 11 Bankruptcy
Chinos Holdings, parent of preppy clothing retailer J. Crew and women’s apparel and accessories seller Madewell, filed Chapter 11 as part of a restructuring plan that calls for converting $1.65 billion of its debt to equity and securing $400 million in loans. This is the first major retailer to file for bankruptcy during the coronavirus crisis.
Similar to XPO Logistics’ decision to postpone its exploration of divesting assets due to current market uncertainty caused by coronavirus, a bankruptcy court judge has granted a 45-day stay on the Chapter 11 filing of sporting goods retailer Modell’s due to the ongoing crisis and its impact on closing sales.
At Modell’s Sporting Goods it’s game day, every day. So says the Facebook page banner video, but Chapter 11 bankruptcy day is looming for the nation’s oldest family-owned and operated sporting goods retailer. CEO Mitch Modell confirmed the retailer stopped searching for a rescue investor, and a bankruptcy filing is imminent.
Pier 1 Imports said it plans to close up to 450 stores, nearly half of its 942 locations, reduce headcount and shutter some distribution centers along with other expense reductions as the company is reportedly weighing bankruptcy. The company reported a 11.4% drop in same-store sales and a 13.3% drop in net sales in Q3.
Children everywhere can rejoice, as Toys R Us plans to make a comeback with stores in time for the holiday season. A year after shuttering operations in the U.S., Toys R Us will return with half a dozen stores and an ecommerce site. Here is a look at the plans the the recently-defunct-and-now-back toy company has for the holidays.