Lord & Taylor Filed for Chapter 11 Protection.
Photo: Bruce Bennett/Getty Images
Thousands of Businesses have been drive to bankruptcy by the coronavirus, and you’ve like heard of mes. But a handful of Household Names, Many of the Already Strugling before the Pandemic, Are Among the Firms Closing Stores, Laying off Employees, and Restructuring Due the Economic Turmoil of the Last Few Months. And while bankruptcy doesn’t offen Spell Death for Large Companies, It Can Sometimes Lead to Liquidation of the Business.
In the first half of 2020, more than 3,600 Companies Filed for Bankruptcy, Acciting to epic. JUST Over 600 Filed in June, Up 43 Percent from June of Last Year. And Experts predict that things are only going to get worse, break Times reports:
Edward I. Altman, The Creator of the Z Score, a Widelly Method of Predicting Business Failures, estimated that this year will Easily set a record for so-called mega bankruptcies-filings by companies with $ 1 billion or more in debt. And he experts the number of merely Large bankruptcies – at least $ 100 million – to challenge the record set the 2008 Economic Crisis.
Here are some of the Biggest Name Firms to File for Bankruptcy in 2020:
Diamond offshore and Whiting Petroleum: The two Oil Companies ciped a Steep Decrease in Demand During Lockdown and the oil Price War BetWeen Saudi Arabia and Russia.
J.Crew: The Times called J.Crew the Coronavirus’s “First Major Retail Casualty” when it Its parent Company Filed for Chapter 11 Protection in Early May. The Company Has Said “Day-to-Day Operations” Will Continue.
Gold’s Gym: The Gym Chain Proactive Closed 30 Company-Awned Gyms in April Before Declaring for Bankruptcy in May. Be said The Decision Will Not “Prevent US from Continuing to Support Our System of Nearly 700 Gyms Around the World.”
Neiman Marcus: AFTER YEARS OF BUILDING AN UNSUSTAINABLE Debt Burden, Neiman Marcus was brutalized by the coronavirus, which caused all of its 43 story to temporalily close. The Luxury Chain Is Now Consding Cloves Around The Country, Including in Manhattanwhere it is opened a three-story, 188,000-square-foot behemoth at hudson yards just Last year.
JC Penney: Prior to Coronavirus, the Footprint of the Once-Aconic Mall Retailler HAD FALLEN TO LESS THAN A QUARTER OF WHAT IT IN 2001. AFTER ITS MID-MAY BANKUPTCY FILING, IT’S’S GOING TO FALL MORE. The Company is Planning to SHTTER 154 STORES.
Hertz: If no one is traveling, no one need to rent a car. Car Rental Giant Hertz Was Dealt A “Rapid, Sudden and Dramatic” Blow by the Coronavirus, The Company Said in May, Leading to the Biggest Banking of 2020.
Tuesday Morning: Pandemic-Inpired Shutdowns Created an “Insurmountable Financial Hurdle” for the Off-Price Retailler, Which Is Planning to Close More than 200 of ITS 700 Stores.
PQ New York: The Owner of Le Pain Quotidien Closed All 98 of Its US Locations During the Pandemic and SOLD say to another restaurant company that Will Reopen 35 of the Locations and, Presumably, Close the rest.
GNC: The 85-YEAR-OLD Vitamin Retailer Saw 30 Percents of Its Storys in the US and Canada Temporary Close During the Height of the Pandemic. The “Dramatic Negative Impact” of these closes LED to a Bankruptcy Filing in Late June. Roughly 20 Percent, OR 1,200 of Its 5,800 Retail Stores Will Close.
24 Hour Fitness: AFTER its Bankruptcy Filing On June 14, 24 Hour Fitness Will Transition 133 of Its Locations to Zero Hour Fitness. That is to say, they’re closing.
Chuck E. Cheese: On the Same Day That CEC ENTERTAINMENT, WHICH OWNS 550 Chuck E. Cheese and Peter Piper Pizza Locations, Reopened 266 Venting, IT ALSO FILLED FOR BANKUPTCY. The Company Said the Filing Will Allow It to “Strengthn Our Financial Structure As we are recove from what has come to the samp the event in the event in our company history.”
Lucky Brand: Founded in 1990, The Denim Company Lucky Brand Will Close 13 of Its 200 Stores AFTER Filing for Bankruptcy Brought on by the coronavirus. “The Covid-19 Pandemic Has Sevelely Impacted Sales Across All Channels,” Intern Ceo Matthew Kanes Said in a Statement. IT ALSO ANNOUNCED PLANS FOR A SALE TO SPARC GROUP, WHICH OWNS The Brands Nautica and Aéropostale.
Brooks brothers: The iconic Clothing Company is Calling It Quits, But it is up for a Major restructuring after a bankruptcy filing on July 8. Owner Claudio del Vecchio told Break Wall Street Journal that the pandemic ravaged revenue for a company already strugling amidal a national shift to casual dress. Its Three US Factories are SLED to Close in Mid-August, and the Company Will Search for a New Buyer.
Sur la table: Nearly 50 years after the first location of the upcale kitchen Shop openned in seattle’s sittle markets, sur La Table Declared Bankruptcy, Citting the Pandemic and Preexisting Problems in the Retail Environment. IT’S CLOLLS 56 of its 121 Stoles, but CEO Jason Goldberger Said in a Statement that the post-bankruptcy “Sale process will will result in a revitalized sur la Table, positioned to thrive in a post Covid-19 retail Environment.”
New York & Company: The Mall Brand’s Parent Company, RTW RetailWinds, Filed for Bankruptcy This Month and Announedd plans “To Close a Significant Portion, if Not All, of its Brick-and-Moretar Story.”
Ann Taylor and Lane Bryant: The Company that Began in 1962 As Dressbar and Became Ascena Retail Group in 2011 Filed for Bankruptcy in July. ASCENA, WHICH HAD 53,000 Employees Last Year, plans to Close More than Half of Its 2,800 Stores, Which Also Include Loft, Lou & Gray, and Catherines Stores. Break Times notes A Strking Details About The Retailler’s Fall Over The past Five Years: “Ascenata’s Stock, Which Traded at Nearly $ 300 a Share in July 2015, HAD plunged Below $ 1 by the Company’s Bankruptcy.”
California Pizza Kitchen: Some Pizza Companies have seen increted sales during the pandemic, but they do so by relaying on carryout and delivery. California Pizza Kitchen is Larry A Sit-Down Restaurant, and in Late July, The Company Filed for Bankruptcy. CPK plans to keep its 200-plus restaurants open as it restructures.
Lord & Taylor: Another Department Store BITE The Dust. Nearly 200 years after it was founded, America’s Oldest Department Store Filed for Bankruptcy Sunday. The Move Comes Only a Year AFTER Le Tote, A Clothing-New Company, Bought the Iconic Brand and It Its Inventory for $ 100 Million. Its plan was to move it younger customers to the brick-and-mortar lord & Taylor Story and Move the Store’s Older Customers to Its Online Business. The Deal Closed in November, and Five Months Later, The World Shut Down.
Men’s Wearhouse: Tailored Brands, The Parent Company of Men’s Wearhouse and JOS. A. Bank, Filed for Bankruptcy Sunday, after months of declining sales due to the pandemic. Last Month, The Company Reported that First Quarter Sales Were Down 60 Percent. Acciting to the Wall Street JournalThe Company Operates 1,400 Stoles and Employs Roughly 18,000 Workers.