Countless shops have shuttered because the COVID pandemic started, and now one more beloved chain is on the chopping block. On Feb. 18, Solstice Marketing Concepts LLC, the company behind sun shades retailer Solstice, introduced its filing for Chapter 11 bankruptcy protection. The company, which presently operates 66 brick-and-mortar shops and an e-commerce business, noticed its income fall by greater than 50 % from 2019 to 2020, and the chain’s future remains to be in limbo.
While the company has not but introduced which, if any, of its shops will shut because of the chain’s chapter submitting, Solstice CEO Mikey Rosenberg admitted that adjustments are underway. “We are optimistic about reorganization as we continue to see increasing business in our stores as COVID restrictions are lifted and in the new fashions that our vendors are providing, ” Rosenberg said in a statement. “We are now dedicating ourselves to the necessary changes to our business and the restructure of our obligations for the benefit of our employees, critical suppliers and other stakeholders.”
Solstice isn’t the one chain that’s just lately been hit laborious by the financial influence of the pandemic, nonetheless. Read on to search out out which different manufacturers are struggling because of the monetary fallout from COVID. And for extra shops faltering amid the pandemic, This Legendary Brand Is Closing Its Last Remaining Stores.
Lingerie model Victoria’s Secret is shuttering between 30 and 50 of its brick-and-mortar locations, in accordance with USA Today. The announcement was made on Feb. 24 by Victoria’s Secret’s mum or dad company, Ohio-based L Brands. While there has not but been an announcement concerning which of the company’s shops will shut, L Brands already shut down 250 Victoria’s Secret shops in 2020 and is reportedly seeking to spin off Victoria’s Secret into its personal separate company. And for extra beloved shops closing up store, This Popular Beauty Brand Is Shutting Down for Good.
On Feb. 23, division retailer Belk filed for Chapter 11 bankruptcy protection in Houston, Texas, The Charlotte Observer stories. The retailer, which has been working constantly for 133 years, introduced that, regardless of its chapter, there have been no plans to put off workers or shut shops.
The following day, Belk emerged from bankruptcy with a brand new restructuring settlement, shedding $450 million in debt. In an announcement, the company stated: “The infusion of cash and reduction in debt provides Belk with increased liquidity to focus on its key initiatives for growth, including further enhancements to its omnichannel capabilities and the expansion of merchandise offerings into new, relevant product categories,” together with house, wellness, and out of doors items. And for the most recent retailer closure information delivered straight to your inbox, join for our each day e-newsletter.
Fry’s Electronics, a well-liked chain with 36 shops within the U.S., abruptly introduced in late February that it might be closing down all of its locations for good. The chain, which first opened in California in 1985, broke the information through its web site on Feb. 24, and shuttered all different features of its on-line business that very same day.
“Fry’s Electronics, Inc. has made the difficult decision to shut down its operations and close its business permanently as a result of changes in the retail industry and the challenges posed by the COVID-19 pandemic,” the company said in a statement. And for another beloved brand whose stores are also gone for good, check out This Iconic Store Is Closing All Its U.S. Locations.
Ralph Lauren, beloved for its preppy style, introduced throughout a February investor call that it might be shuttering as much as 10 of its shops and decreasing its company footprint by as a lot as 30 %. The model hopes to “pivot resources to our key strategic priorities,” together with specializing in its e-commerce business, Ralph Lauren CFO and COO Jane Nielsen defined. And for a really totally different sort of company that is additionally in bother, try This Popular Pizza Chain Just Filed for Bankruptcy.