In 2019, large companies like Forever 21, Avenue, Destination Maternity, Fred’s, Charming Charlie, Payless ShoeSource, Things Remembered, Charlotte Russe and Gymboree all filed for bankruptcy. And while Chapter 11 bankruptcy by itself doesn’t mean that a company will close, many retailers do.
This year there has been no shortage of large chains filing for Chapter 11 bankruptcy hoping to restructure without closing. And with the impact of COVID-19, it almost feels like every week if not more another major retailer or other major company files for bankruptcy.
Chapter 11 bankruptcy provides the businesses or large investors with protection from creditors while they continue operating and develop a repayment plan. Both creditors and owners must agree on a reorganization plan, which ultimately must be approved by a federal bankruptcy judge.
Here are 16 large companies, most of which have locations in the midstate that have filed for Chapter 11 bankruptcy this year.