Forever 21 Files for Bankruptcy & Will Close Over 300 Stores
There’s another retailer filing for bankruptcy in the news!
Forever 21, the teenage fast-fashion chain, has filed for bankruptcy. The company said in a press release that it’s planning to restructure its global business closing between 300 and 350 stores. As many as 178 of the store closures will occur in the U.S.
The company also plans to close “most” of its international locations in Asia and Europe. Forever 21, which currently has 549 US stores and 251 abroad, will continue to operate in Mexico and Latin America.
In a letter to customers, Forever 21 asserted that it’s not going out of business, but is hoping that filing for bankruptcy will put them on track for a more successful future. The letter went on to state,
As part of our filing, we have requested approval to close a number of stores across the U.S. The decisions as to which domestic stores will be closing are ongoing, pending the outcome of continued conversations with landlords. We do however expect a significant number of these stores will remain open and operate as usual, and we do not expect to exit any major markets in the U.S.
Forever 21 has reassured its customers that they will not see any changes in remaining stores. Gift cards will continue to be accepted, and all policies, including returns and exchanges, will remain the same.
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Nooooo! Another one bites the dust. I’m still mourning Charming Charlie.
Same here. That was the only store you could go into if you were looking for a specific color of jewelry and find something easily. It was my go to for family pictures or special occasions. there’s no other store to replace it.
They are also closing all stores in Canada.
No matter what people say I think online shopping is making a HUGE impact on physical stores. :'(
I like touching, looking, feeling fabrics and trying on a multitude of sizes. It’s getting scary, who will be next?
Im the same way Deb, I always inspect and try on stuff before I buy. So i very rarely get clothes online.
Good, because this kind of disposable “fast fashion” is TERRIBLE for the environment.
My gosh. The number of jobs extinguished by this, never mind the movement of online shopping (which is NOT good for the environment, either – packaging, emissions, etc), has quite an impact. There’s nothing good about watching physical stores collapse like this.
They’re also being sued by Ariana Grande for using a look a like.
And I think NPR was talking about Gen Z /millennials changing the clothing landscape. Not wanting cheap and fast/ of the moment but quality pieces that are timeless.
Also discussed clothing consciousness in regards to sweat shop mechandise
Lo, thanks for sharing. Everything stated makes a lot of sense.
I understand what you are saying, but my daughter bought a nice heavy shirt/jacket from Forever 21 and it has lasted a number of years. She found it on clearance and has been and continues to be her favorite.
Nothing lasts forever….
here’s a list that just came out today of the next wave of store going to bite the dust or in peril of being gone. very sad indeed. 🙁
pier 1 is in peril along neimen Marcus (my favorites). along with some others.
this list has about 15 more store in peril
https://www.retaildive.com/news/these-28-retailers-could-go-bankrupt-in-the-next-year/563997/
It doesn’t help that folks making minimum wage are asking for a rate increase to $15 an hour and retail apparently just can’t swing that and sustain it long term.
Never even heard of it