Children’s Retailer Gymboree Files Bankruptcy
Making it in the world of retail these days is proving to be difficult. Children's retailer Gymboree has filed for Chapter 11 bankruptcy protection while the company restructures and tries to emerge as a more leaner profitable company. Operating more than 1200 stores, the company plans to close 375 to 450 of its stores while it tries to pay off more than a billion dollars of its $1.4 billion debt. The retailer employs more than 10,500 hourly workers and 11,000 employees over all. No announcement has been made as of yet as to which stores are doomed and will be closing.
Gymboree CEO Daniel Griesemer had this to say about the company,
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."
This announcement comes other local retailers have announced they are closing or filing for Chapter 11 bankruptcy protection too - Macy's, Gander Mountain, Rue 21, JCPenney, WetSeal, Gordman's and others.