US retailer J.Crew files for bankruptcy — statement | Inquirer Business
Close  

US retailer J.Crew files for bankruptcy — statement

/ 05:45 PM May 05, 2020
J. Crew

The J.Crew logo is seen at the window of a closed J.Crew store near Rockefeller Plaza on May 4, 2020 in New York City. Image: AFP/Angela Weiss

United States clothing retailer J.Crew filed to begin bankruptcy protection proceedings Monday, after reaching an agreement with major creditors on a $1.65 billion (P83.4 billion) debt restructuring plan, the company said in a statement.

The brand, whose clothes have been worn by former first lady Michelle Obama, said online sales operations, which account for more than half its revenues, will continue as normal.

ADVERTISEMENT

It said it plans to reopen its stores once shutdowns due to the coronavirus pandemic are lifted.

It said it had reached an agreement with the bulk of its creditors to convert $1.65 billion (P83.4 billion) into equity, and had secured commitments of $400 million (P22.2 billion) in new money from existing lenders to finance its operations.

FEATURED STORIES

Besides J.Crew, the filing includes the group’s Madewell brand of casual women’s clothes.

“Throughout this process, we will continue to provide our customers with the exceptional merchandise and service they expect from us, and we will continue all day-to-day operations, albeit under these extraordinary COVID-19-related circumstances,” J.Crew Group CEO Jan Singer said.

“As we look to reopen our stores as quickly and safely as possible, this comprehensive financial restructuring should enable our business and brands to thrive for years to come.”

The company filed for voluntary Chapter 11 proceedings in a federal bankruptcy court in the Eastern District of Virginia. RGA

RELATED STORIES: 

A flood of business bankruptcies likely in coming months

With fever checks and masks, Dubai’s megamall reopens

Subscribe to our business newsletter

By providing an email address. I agree to the Terms of Use and acknowledge that I have read the Privacy Policy.

For more news about the novel coronavirus click here.
What you need to know about Coronavirus.
For more information on COVID-19, call the DOH Hotline: (02) 86517800 local 1149/1150.

The Inquirer Foundation supports our healthcare frontliners and is still accepting cash donations to be deposited at Banco de Oro (BDO) current account #007960018860 or donate through PayMaya using this link .

Read Next
Don't miss out on the latest news and information.

Subscribe to INQUIRER PLUS to get access to The Philippine Daily Inquirer & other 70+ titles, share up to 5 gadgets, listen to the news, download as early as 4am & share articles on social media. Call 896 6000.

TAGS: Bankcruptcy, Clothing, COVID-19, United States, Virginia
For feedback, complaints, or inquiries, contact us.

Subscribe to our business news

By providing an email address. I agree to the Terms of Use and
acknowledge that I have read the Privacy Policy.



© Copyright 1997-2021 INQUIRER.net | All Rights Reserved

We use cookies to ensure you get the best experience on our website. By continuing, you are agreeing to our use of cookies. To find out more, please click this link.