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Another retailer has filed for bankruptcy

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Another retailer has filed for bankruptcy

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Gymboree

Facebook/Gymboree

Gymboree has filed for bankruptcy.

The children’s clothing retailer Gymboree filed for Chapter 11 bankruptcy protection late Sunday. 

The mall-based chain says it plans to remain in business during its restructuring, but will close 375 to 450 stores out of its fleet of its 1,281 locations.

The company employs more than 11,000 workers. 

Gymboree says the restructuring will reduce its debt by more than $900 million and position the company for “long-term success.”

“We expect to move through this process quickly and emerge as a stronger organization that is better positioned in today’s evolving retail landscape, with the right size store footprint and greater financial flexibility to invest in Gymboree’s long-term growth,” Gymboree CEO Daniel Griesemer said in a statement.

With the filing, Gymboree joins a long list of other retailers that have filed for bankruptcy this year, including Rue21, Payless ShoeSource, Hhgregg, The Limited, RadioShack, BCBG, Wet Seal, Gormans, Eastern Outfitters, and Gander Mountain.

Already, more retailers have filed for bankruptcy this year than throughout all of last year.

If Gymboree closes 375 stores, it would bring the number of retail closures this year to more than 5,460.

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Read more stories on Business Insider, Malaysian edition of the world’s fastest-growing business and technology news website.



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