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Monday, September 30, 2019

Forever 21 is closing all stores in Canada after filing for bankruptcy

It looks like Forever 21 couldn't make it to forever, as the company has just filed for Chapter 11 bankruptcy protection and will be shuttering all of its stores in Canada. 

All 44 stores in Canada will be closed after a liquidation process. Operations will wind down on this side of the border and Canadians will no longer have access to the fast-fashion retailer without a trip to the U.S. 

Bradley Sell, the company's Chief Financial Officer, said that years of poor performance and "challenges set forth by the headwinds facing the retail industry today" led to the inevitable. 

The Canadian subsidiary for the company was granted protection under the Companies' Creditors Arrangement Act this weekend by the Ontario Superior Court of Justice. 

Ontario is home to 22 of the 44 stores in Canada, all of which will be closed, costing around 2,000 jobs.

The company also announced that, as part of the overall restructuring strategy, stores in international locations will also be closed, including Asia and Europe. 


by Staff via blogTO

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