Apparel Retailer Charlotte Russe Has Filed for Bankruptcy

Charlotte Russe, an apparel retailer, has filed for Chapter 11 bankruptcy protection over the weekend and also said it will be shuttering 94 stores.

Charlotte Russe said it voluntarily filed for relief under Chapter 11 of the Bankruptcy Code in the U.S. Bankruptcy Court for the District of Delaware on February 3, 2019 and that it intends to use these proceedings to facilitate an orderly wind-down of a group of approximately 94 of its store locations, while continuing to pursue a going-concern sale of the business and assets.

The company said in its press release on Monday that it would continue to pursue a sale of its business after it received a commitment of $50 million in debtor-in-possession financing.

Charlotte Russe also operates Peek Kids stores, and offers “affordable on-trend apparel, shoes and accessories for all sizes.” The company operates more than 500 stores across the United States.

“Charlotte Russe and Peek stores and online platforms are currently open and continuing to serve customers,” the company announced. “The Company will provide more details about the plans for the closing locations of Charlotte Russe and Peek and their store closing sales in the near term.”

Charlotte Russe is scheduled to make its first appearance in bankruptcy court tomorrow.