Forever 21 has filed Chapter 11. The fashion for teen shoppers retailer’s sales were down 20-25%.
The company has already announced closings of nearly 180 stores by the end of this year, including the store here in Madison.
Forever 21 is another in the list of retailers who have filed bankruptcy this year. Budget retailers Payless ShoeSource, Gymboree, and Charlotte Russe have led the way.
*Update: As of February 2020, Forever 21 has been given permission to sell itself to it’s biggest landlords for $81 Million in cash. The buyers would assume a large portion of Forever 21’s debt and will still leave many of the vendors unpaid.
This article was previously found in our October 2019 Newsletter- https://ks-lawfirm.com/newsletters/