apparel: June 2009 Archives

Premium children's clothing retailer Pumpkin Patch is reviewing its U.S. operations and will be closing around 20 of its 35 locations this summer. The company, which is based in New Zealand, hopes to close in on a break-even level with the action. Pumpkin Patch's U.S. stores have struggled since 2007 and underperformed in the recent economic climate.

Anchor Blue, a southwestern chain selling denim and other clothing, is closing and liquidating 46 stores. The closings are related to a bankruptcy filing from May (which somehow slipped past Eyes McGurk at Timely Demise). Anchor Blue had 177 stores before the closings; another 75 Most outlet stores were sold to Levi Strauss at the time of the Chapter 11 filing.

Apparel and footwear retailer Finish Line, responding to poor company-wide sales, is selling the Man Alive chain to the owner of Jimmy Jazz. Man Alive is a 75-store street wear retailer, and is a small piece of Finish Line's business, which has 685 Finish Line stores alone. Jimmy Jazz has roughly 65 outlets and the Man Alive acquisition will "accelerate growth initiatives in the urban market sector faster than we could attain through organic growth alone," stated owner Jimmy Khezrie in a statement.

Apparel retailer Abercrombie & Fitch is shutting down the Ruehl chain and closing all 29 doors. The company first publicly cast a skeptical eye on the brand several weeks ago. Ruehl's sales were down 33% in the most recent reported figures.

Following a week of speculation, clothing company Eddie Bauer filed for Chapter 11 bankruptcy today. The filing coincides with a plan to sell the business to a private capital group.

Eddie Bauer, which had 371 stores across the United States, is struggling with the usual combination of poor sales and mounting debt. The company traces its debt issues all the way back to previous parent company Spiegel's bankruptcy filing in 2003.

Apparel retailer Talbots is selling the J. Jill line to a capital investment firm. Seventy-five of J. Jill's 279 stores will close as a result of the sale. Talbots is positioning the move as a brand focus maneuver for the parent company, but the brand was sold at a "huge loss," according to the Wall Street Journal, and does not help Talbots' difficult financial situation.

The Filene's Basement discount chain has been purchased by Men's Wearhouse, the men's clothier. Men's Wearhouse outbid two other companies, including fellow discount retailer Syms. The buyer is expected to retain roughly 20 of Filene's Basement's 25 existing stores, shutting a few suburban locations.

Filene's Basement has had an interesting run in the past year, from closing a third of its stores to selling itself to a liquidation firm shortly before filing for bankruptcy in May.

Apparel retailer Oilily filed for bankruptcy, the latest victim of the economic crisis. The 33-store retailer sells women's and children's clothing in mall locations. Oilily was recently acquired; it previously declared bankruptcy in Europe and closed all European locations.The company has also closed 8 U.S. locations in recent months.