Ascena Retail Group Inc. – the owner of Ann Taylor, Lane Bryant and the Loft announced it has been extremely affected by the COVID-19 pandemic and will be shutting down 1,200 out of 3,000 stores, reports Bloomberg.
The company filed for chapter 11 bankruptcy in an attempt to eliminate $700 million of its $1.1 billion debt load. According to the report, Ascena has seen less profit and traffic in their brick and mortar shops while their online stores have seen a rise in sales.
The coronavirus pandemic forced many retail stores to close their doors resulting in loss of jobs and financial gain. Although stores have reopened as of early May, reports suggest traction has not gotten back to where it was before stores closed in March at the beginning of the virus.
“The company’s earnings and cash flow have been “significantly reduced” despite efforts to preserve liquidity, Carrie Teffner, Ascena’s interim executive chair, said in the update.”
Lane Bryant is a beloved retailer for plus size women, who’ve long shopped their for their extended size and trendy clothing. Despite news many of Ascena’s physical businesses will close, Lane Bryant is doing its best to encourage shoppers to go back to their stores.
“We can’t wait to see you! Most of our stores are open—check our store locator to see if yours is one of them!” they wrote on Instagram.
Ascena Retail Group Inc. isn’t the only company to claim financial strife, Brooks Brothers recently made headlines for also filing bankruptcy. Neiman Marcus and potentially Forever 21 also filed for bankruptcy.
Oh No! Sources Say Neiman Marcus Will File For Bankruptcy This Week
Black Twitter Has Thoughts About Forever 21 Potentially Filing For Bankruptcy
Company That Owns Lane Bryant Files For Bankruptcy, Closing 1,200 Stores was originally published on hellobeautiful.com
Meet Ronald Isley's Wife, Kandy Johnson Isley, Who is Thirty-Five Years Younger Than Him
***Warning Ladies: We Now Know How Big Shaq's Junk Is*** [VIDEO]
Active Shooter At Nashville Elementary School; Gunned Down
HBCU U-KNOW: Morgan State’s Valerie Thomas is the Mother of 3D [LISTEN]
REPORT: Sean Lampkin, Best Known as Nipsey on “Martin,” Dies at 54
Win Tickets to The Soul II Soul Tour
Distracted driving law in Ohio goes into effect next week
NY Grand Jury Votes To Indict Donald Trump In Stormy Daniels Hush Money Probe: Report