July 24, 2024


Imagination at work

New York & Co. Owner Files for Bankruptcy Protection

RTW Retailwinds, the mum or dad company of New York & Co., has submitted for Chapter eleven individual bankruptcy safety. The company reported it programs to forever shut most, if not all, of its merchants and has started liquidation profits.

It is also thinking of offering its e-commerce functions and relevant mental assets.

“The mixed outcomes of a difficult retail surroundings coupled with the effects of the coronavirus pandemic have brought about major monetary distress on our small business, and we hope it to carry on to do so in the future,” RTW Retailwinds chief government officer Sheamus Toal reported in a assertion.

“As a result, we consider that a restructuring of our liabilities and a likely sale of the small business or parts of the small business is the finest path forward to unlock price,” Toal reported.

In accordance to the company website, RTW Retailwinds operates 378 retail and outlet merchants in 32 states. It reported about ninety two% of its brick-and-mortar places are back open.

In early June, in an eight-K filing, the company reported there was “substantial doubt” about its means to carry on and a individual bankruptcy filing was probable. It also reported a personal loan settlement with Wells Fargo might go into default.

In April, in a regulatory filing, it disclosed that chief promoting officer Traci Inglis had resigned from the company alongside with 4 board associates. Inglis had been predicted to turn into CEO.

On Monday, it reported it predicted to repay the stability of about $twelve.seven million to Wells Fargo by August 31.

Neiman Marcus, Sur la Table, J.C. Penney, Brooks Brothers, and Lucky Brand have also sought individual bankruptcy safety amid the COVID-19 world wide pandemic.

RTW claimed web profits of $827 million for the 2019 fiscal year.

The company’s stock was delisted final 7 days.

Michael Brochstein/SOPA Pictures/LightRocket through Getty Pictures

COVID-19, New York & Co., retail, RTW Retailwinds