Monday, May 27, 2024

Mall retailer Express files for bankruptcy, company closing nearly 100 stores

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Express Inc. has filed for Chapter 11 bankruptcy protection and will close nearly 100 retail stores, the company announced Monday.

Express, the Columbus, Ohio-based brand and longtime mall retailer, is also the parent company of Bonobos and UpWest. In a press release Monday, Express said it plans to close approximately 95 Express retail stores and all of its UpWest stores.

The locations of closing Express stores were not immediately specified.

Closing sales at the affected stores are scheduled to begin Tuesday, April 23.

All of Express’ brands are still fulfilling orders and processing returns. Its merchandise policies remain unchanged, and gift cards and store credits are currently being redeemed in-store.

Express currently operates about 530 Express, Express Edit and Express Factory Outlet stores in the U.S. and Puerto Rico, according to the store locator, as well as seven stores in Mexico and Central America.

The company also operates around 60 Guideshop locations and 12 UpWest stores.

Express files for Chapter 11

The company has filed for voluntary Chapter 11 petitions in U.S. Bankruptcy Court in Delaware.

Express said it has received a $35 million commitment in new financing from certain existing lenders, subject to court approval, in addition to the $49 million it received from the IRS on April 15 related to the pandemic-era CARES Act.

According to the release from Express, bankruptcy was filed to “facilitate” a formal sale of its operations retail stores to an investor group, which includes WHP Global, Simon Property Group and Brookfield Properties.

Express CEO Stewart Glendinning said the proposed transaction will “provide us additional financial resources, better position the business for profitable growth and maximize value for our stakeholders.”

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