The childrens’ clothing retailer Gymboree is filing for bankruptcy for a second time in two years and will close its remaining 900 stores, according to media reports.
Gymboree operates stores under three banners — Gymboree, Janie and Jack, and Crazy 8. Selling off the businesses at the brand level could spare the high-end Janie and Jack brand from liquidation, according to the report.
Like many brick-and-mortar stores, Gymboree has struggled to remain afloat against increased online competition.
The Wall Street Journal cited sources familiar with Gymboree’s plan to sell the operation and said it is expected to liquidate is remaining 900 stores.
The company first filed for bankruptcy in July 2017 and closed 350 stores. At the time, President and CEO Daniel Griesemer said in a statement that closing those stores would allow the company to “continue to deliver quality merchandise and superior service to our customers.”
Closing those stores allowed Gymboree “greater financial flexibility” as it shed $900 million in debt, Griesemer said.
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