New York & Co. Owner Files for Bankruptcy Protection
RTW Retailwinds, the father or mother business of New York & Co., has filed for Chapter 11 personal bankruptcy defense. The business explained it programs to permanently near most, if not all, of its merchants and has begun liquidation sales.
It is also looking at offering its e-commerce functions and related intellectual property.
“The combined outcomes of a complicated retail setting coupled with the influence of the coronavirus pandemic have induced substantial money distress on our business enterprise, and we expect it to go on to do so in the long term,” RTW Retailwinds main govt officer Sheamus Toal explained in a statement.
“As a outcome, we believe that that a restructuring of our liabilities and a likely sale of the business enterprise or portions of the business enterprise is the very best path ahead to unlock benefit,” Toal explained.
In accordance to the business web page, RTW Retailwinds operates 378 retail and outlet merchants in 32 states. It explained about 92{bcdc0d62f3e776dc94790ed5d1b431758068d4852e7f370e2bcf45b6c3b9404d} of its brick-and-mortar places are back open.
In early June, in an eight-K filing, the business explained there was “substantial doubt” about its skill to go on and a personal bankruptcy filing was probable. It also explained a financial loan agreement with Wells Fargo could go into default.
In April, in a regulatory filing, it disclosed that main marketing and advertising officer Traci Inglis experienced resigned from the business together with 4 board members. Inglis experienced been envisioned to grow to be CEO.
On Monday, it explained it envisioned to repay the harmony of about $12.7 million to Wells Fargo by August 31.
Neiman Marcus, Sur la Table, J.C. Penney, Brooks Brothers, and Fortunate Brand have also sought personal bankruptcy defense amid the COVID-19 world wide pandemic.
RTW described web sales of $827 million for the 2019 fiscal yr.
The company’s inventory was delisted last 7 days.
Michael Brochstein/SOPA Photographs/LightRocket through Getty Photographs
