Ann Taylor’s Parent Company Expected to File for Bankruptcy
More Store Closings…😞
According to a recent Bloomberg article, the Ascena Retail Group which operates Ann Taylor & Ann Taylor Factory, LOFT & LOFT Outlet, Lou & Grey, Lane Bryant/Cacique, Catherines, and Justice is discussing a potential bankruptcy filing with lenders as its business has taken a huge financial loss due to the Covid-19 pandemic.
Ascena Retail Group’s 2,350 stores are still shut down as a result of the pandemic and with such a huge reduction in income, the company could file for bankruptcy as soon as July.
A Chapter 11 filing would allow the company to keep some of its brands like Ann Taylor and Loft while it seeks to sell others like Lane Bryant and Catherines.
This isn’t the first time this company has been hit hard with financial woes. In late 2019, Ascena shutdown all 650 Dressbarn stores due to poor sales performance.
The tween girls brand, Justice, has had the worst sales for the company with a 15% decrease in their second-quarter financial report. The company is likely to focus on cutting losses with Justice completely, just as they did with Dressbarn last year.
Huge discounts are being offered online!
As a result of these impending store shutdowns, several Ascena brands are now offering huge discounts for online shoppers:
- Ann Taylor – offering an extra 50 – 70% off sale items
- LOFT – offering flash sales of at least 50% off
- Lane Bryant – offering up a Buy One, Get One 75% Off sale
- Catherines – offering 40-70% off select apparel and accessories
- Justice – offering summer apparel 30-50% off
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This makes me sad! I feel like there’s more to come too.
Dang I really like loft quality, started buying from them last year. Ann Taylor is also great. Can’t speak on the other one since I haven’t tried them. Bankruptcy will hopefully help them restructure.
Oh man, the Loft is my favorite store where I purchase pretty much all of my clothes. I am thinking that I should go on an online shopping spree to show my support. 😁😁
This is so sad. I have been buying my tween daughter clothes from Justice; as she is in between girls and juniors sizes. Also, I am plus size, and get my bras from Lane Bryant and jeans from Catherines. I will be so bummed to see them go. I hope they all continue the online!
I don’t think it would be hard for them to save their brand. It would just take retraining of their employees and making the prices more comparable to other retail stores. The last time I went into any of these shops (recently in the last 2 weeks went into 2 of them.)The employees were rude and unhelpful. Not to mention the sticker shock for clothes that arent even that high of quality.
I agree…I thought it was just me.
why do you generalize? I’m sorry you had bad experience but any shopping the last 8 weeks and working retail (target, walmart anywhere!) has been a nightmare for employees too. We get yelled at for everything customers are mad about (masks, prices, air quality etc). But just because two stores were negative doesn’t equate to ALL. Honestly, some people speak like the world revolves around them. It sucks bad experience but it’s not ENTIRE brand. Good grief!
I’ve never shopped at Ann Taylor or the Loft…but I’d hate to lose LB and Catherine’s. I need them to be available for others to shop at too so what I don’t buy directly from them I can get second hand.
Oh me too. I buy LB and Catherines clothes off of ebay frequently. It is too expensive in-store. I try to only do My daughter’s Justice clothes when on sale or I have a coupon.
Oh no! My duaghter is just now getting into Justice and loves a lot of it. I wonder what will happen.
daughter*
My daughter wears slims and the only place within an hour drive of us that carries them in store is Justice. Our only other option I’m aware of is ordering online from The Children’s Place, which means I then have to drive an hour to return in store whatever doesn’t fit. Ughh!
I am so sad to hear this. There are 2 malls near me. The newest one built in 1990’s is being mostly demolished, except to an anchor store…Boscov’s. The other one the Berkshire Mall is really starting to look bad. Many of the little stores have filed for bankruptcy (VS, etc, etc.) There were 3 anchor stores……..now there is one left. Bon-Ton and Sears are gone. It has become very depressing to go there. Bath and body works is one of the only smaller stores remaining that seems viable into the future. Even, our strip malls are missing stores…………one or two are almost completely empty…….The one with the Pier One in it………..will have only a MOE’s there……….I feel like the foot traffic has evaporated into thin air. When I talk to the managers, they say the shoppers have changed too………..they say there is an unbelievable amount to shoplifters……..I am just very sad about this. : (
I love the loft! As a person who works in education I love the business casual styles they offer. You can get great deals when you hit sales. I can’t rave enough about there work slacks but out there hands down excellent quantity!!!!
My daughter loves Justice. The Children’s Place in our mall was right next door, and it already closed. Our mall won’t have much left for girls if Justice closes too. 🙁
Are you in Ohio? Lol
My mall has a Justice and the children’s place was a few doors down and closed earlier this year. Sears closed. JCP is holding on i think because they just put a Sephora in it a year or 2 ago.
I think if justice had offered some free shipping they might have done better. I really don’t think they’re quality clothing (thin) and have really only bought accessories there
I’m in southern IL. Our Macy’s just closed, and JCP is closing too. We won’t have any anchor stores left.
I agree about Justice. I hate paying shipping, and I’m unimpressed by their clothes. My tween daughter loves it though. 🤷♀️
Agree with you both, and they’re ridiculously overpriced for what you get.
I don’t know why everyone thinks it doesn’t cost the company to offer free shipping. So they either charge the people using shipping or they raise the prices for everyone across the board to pay for it. It’s not free for them. Why should they take a loss?
Aw, I’m disappointed to hear about Justice closing! They have a fantastic range of sizes, including slim and plus, and denim shorts/pants with elastic waist bands. I usually wait for a sale/coupon/free shipping (which may make me part of the problem) but I end up paying less than I would at Target and their clothes usually have extra details that Target’s basic graphic tees don’t. My almost-11yo is so in-between in both fit and style preferences (and what we’re willing to let her wear) right now that we need stores like Justice.
Loft is my favorite store! You can buy cute, age appropriate clothing for a good price on final sale! I hope the one nearest to me doesn’t close!