Lord & Taylor seek bankruptcy protection, plan to close 38 stores

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Venerable U.S. retailer Lord & Taylor filed for Chapter 11 bankruptcy on Sunday, becoming the latest in a growing list of historic names to do so amid the ongoing coronavirus outbreak that has crippled the retail industry .The company estimated both assets and liabilities at a range of US $ 100 million to US $ 500 million, its filing in US bankruptcy court for the Eastern District of Virginia showed.

A historic department store chain founded in 1826, considered the oldest in the United States, Lord & Taylor had explored other options as well as going bankrupt.

Big names who have already filed for Chapter 11 include J. Crew Group, JC Penney and Neiman Marcus in May, while Lucky Brand became a victim of the pandemic in July.

Fashion rental startup Le Tote acquired Lord & Taylor last year from Saks Fifth Avenue owner Hudson’s Bay Company for $ 100 million.

Hudson’s Bay had retained ownership of part of Lord & Taylor’s real estate and had taken responsibility for its rent payments, amounting to tens of millions of dollars a year.

HBC did not immediately respond to a request from CBC News for comment on the impact, if any, of Lord & Taylor’s disappearance on its results.

Reuters reported in May that Lord & Taylor plan to liquidate inventory at its 38 department stores once restrictions to curb the spread of the coronavirus are lifted as it prepares for a bankruptcy process it does not believe in. not waiting to come out. One of the oldest department store operators in the world, it was founded by two English immigrants on the Lower East Side of New York.

During the American Civil War in the 1860s, he opened a special section offering mourning clothing for widows. Lord & Taylor opened its flagship store on Manhattan’s Fifth Avenue in 1914 and became known for its high-end fashion and vacation window displays.

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