New York & Co. Owner Files for Bankruptcy Protection
RTW Retailwinds, the parent firm of New York & Co., has filed for Chapter 11 bankruptcy protection. The firm reported it designs to permanently close most, if not all, of its suppliers and has started liquidation sales.
It is also thinking of offering its e-commerce operations and relevant mental property.
“The merged consequences of a demanding retail ecosystem coupled with the influence of the Coronavirus pandemic have brought on significant money distress on our business enterprise, and we hope it to proceed to do so in the long run,” RTW Retailwinds main government officer Sheamus Toal reported in a assertion.
“As a final result, we consider that a restructuring of our liabilities and a prospective sale of the business enterprise or parts of the business enterprise is the very best route ahead to unlock worth,” Toal reported.
According to the firm site, RTW Retailwinds operates 378 retail and outlet suppliers in 32 states. It reported about ninety two% of its brick-and-mortar spots are back again open.
In early June, in an 8-K filing, the firm reported there was “substantial doubt” about its potential to proceed and a bankruptcy filing was possible. It also reported a mortgage agreement with Wells Fargo may possibly go into default.
In April, in a regulatory filing, it disclosed that main advertising and marketing officer Traci Inglis experienced resigned from the firm together with 4 board customers. Inglis experienced been predicted to turn into CEO.
On Monday, it reported it predicted to repay the stability of about $twelve.7 million to Wells Fargo by August 31.
Neiman Marcus, Sur la Desk, J.C. Penney, Brooks Brothers, and Lucky Model have also sought bankruptcy protection amid the COVID-19 world wide pandemic.
RTW claimed net sales of $827 million for the 2019 fiscal yr.
The company’s inventory was delisted final week.
Michael Brochstein/SOPA Visuals/LightRocket through Getty Visuals
