Forever 21 Bankruptcy – Forever 21 Bankruptcy files for a second time in six years

Forever 21, a fast-paced dealer, has applied for bankruptcy protection for the second time in six years, as it will be reduced by the reduction in traffic center traffic and increased competition on online platforms. The company announced that it was in the liquidation in its US stores while visiting the controlled sales and marketing process of the court of its assets.

Despite the submission, Forever 21 has confirmed that its US stores and websites are still operational and international operations remain unchanged. The dealer’s assets are estimated to be $ 100- $ 500 million, while debts range from $ 1 billion to $ 5 billion, with more than $ 10,001 creditors.

Earlier reports stated that Forever 21 was considering closing at least 200 additional seats as part of a bankruptcy procedure, which is expected to begin in March.

According to a Bloomberg February report, which mention people know if a qualified buyer is not found in their remaining stores, the company was considering investigating the entire chain of about 350 stores.

The decision to close these stores was influenced by their financial losses for years, which led to royalties and rent to maintain operations. The company also designed the liquidation of its stores while « carried out a sales and marketing process maintained by the court for some or all its property ».

In the event of a successful sales, Forever 21 said that it could turn away from the full wind to facilitate the wind to ease the unmatched trade.