Parent Company of Lane Bryant, Ann Taylor, & Justice Files for Bankruptcy
The coronavirus continues to negatively impact the retail industry.
Ascena Retail Group, the New Jersey-based parent company, of Ann Taylor, LOFT, Lane Bryant, Justice has filed for Chapter 11 bankruptcy which will result in store closures across the nation. The company says this move should reduce their debt by almost $1 billion.
While 95% of their stores have already reopened part of their restructuring is to close several stores, mostly Justice - the tween clothing store for girls. Ascena also owns the woman's clothing brand, Lou & Grey (none are in Michigan).
...the Company will optimize its brand portfolio and strategically reduce its footprint with the closing of a significant number of Justice stores and a select number of Ann Taylor, LOFT, Lane Bryant and Lou & Grey stores.
All of their locations in Canada, Puerto Rico, and Mexico will close permanently which equates to about 2,800. In addition, they will shutter all of their plus-size stores, Catherines (also none in Michigan).
The company hasn't announced how many stores or where they'll be closing them yet, but will after they reach agreements with landlords and lenders. FOX Business says that between March and May, Ascena saw a decrease in sales of 45% compared to the year before.