01 Neiman Marcus files for bankruptcy protection
On the 7th local time, Neiman Marcus, a 112-year-old high-end retail department store in the United States, filed for bankruptcy protection. It is the second large retail company in the United States to file for bankruptcy protection this week.
Neiman Marcus said in a statement released that day that it had filed for bankruptcy protection in a court in Houston, Texas. Currently, the company has received 675 million from creditors. U.S. dollar financing to maintain operations during bankruptcy. Reuters reported that Neiman Marcus’s bankruptcy filing will relieve it of about $4 billion in debt, and the group’s current total debt is about $5 billion. It is reported that at the end of March, affected by the new crown pneumonia epidemic, Neiman Marcus was forced to close all 43 stores. At the same time, due to a large amount of debt and the inability to adapt to the market rhythm, the group was already in danger before the outbreak.
U.S. retail analyst Mary Epner
Nieman Marcus is facing a problem that other retailers are facing, and Saks Fifth Avenue may also face such problems in the future. Neiman Marcus’s filing for bankruptcy protection will affect many people, especially luxury goods companies, but there will always be a market for luxury goods because the rich are still rich.
Neiman Marcus said that bankruptcy protection will not affect the date of reopening some of its stores. During the epidemic, the group will continue to provide services to customers on its e-commerce platform. , hoping to emerge from bankruptcy this fall.
The outbreak of the new coronavirus pneumonia epidemic has dealt a heavy blow to the U.S. retail industry. On Monday, J.Crew, a well-known American clothing brand favored by former US first lady Michelle Obama, also filed for bankruptcy protection, becoming the first national clothing brand to file for bankruptcy protection since the outbreak of the epidemic in the United States. According to the U.S. Department of Commerce, U.S. real gross domestic product fell 4.8% in the first quarter of this year, the largest quarterly decline since the 2008 financial crisis.
02 Aldo, a major shoe brand, files for bankruptcy protection!
On Thursday (May 7), the internationally renowned shoe brand Aldo Group announced that it is seeking to creditor protection.
Aldo Bensadoun was founded in Montreal in 1972 and has grown to 3,000 locations in 100 countries. The company says it has sold 46 million pairs of shoes since its inception and has 8,000 employees, including 2,900 in stores across Canada and 1,200 at its Montreal headquarters.
In a news release Thursday, the company said that like many other retailers, it has been hit by the COVID-19 pandemic.
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Chief executive David Bensadoun said: “It’s no secret that the retail industry has experienced rapid and significant change over the past few years. “In addressing these challenges We have made great progress in transforming our business; however, the impact of the COVID-19 pandemic has placed too much pressure on our business and cash flow.
In the year to the end of February, the company sold more than $1.2 billion worth of merchandise but incurred losses — $74.8 million at Canadian stores, U.S. stores, according to court documents. The region’s loss was $52.8 million.
Company CEO David Bensadoun said: “ALDO is one of the world’s leading fashion footwear and accessories brands and has maintained its position as one of the world’s leading fashion footwear and accessories brands for nearly half a century. Solid track record of growth and profitability. The retail industry has experienced rapid and significant change over the past few years, and we have made great strides in transforming our business to meet these challenges; however, the impact of the COVID-19 pandemic has left us business and cash flow have brought too much pressure. Through an exhaustive review of strategic options, we determined that filing under the CCAA and related procedures is in ALDO’s best interest to preserve the company long-term and survive this challenging time. “
“Throughout this process, ALDO expects to continue its business as it develops and implements a restructuring plan across the organization. With our strong fashion footwear heritage, experienced leadership team, broad omni-channel capabilities and loyal customer base, we strongly believe we will emerge as a result of the restructuring process and COVDespite the challenges posed by the ID-19 pandemic, we will emerge stronger and better positioned to continue leading the fashion retail industry. ” Bensadoun added.
ALDO, Call It Spring and GLOBO’s e-commerce websites will remain open throughout the process. Corporate corporate stores that are temporarily closed due to COVID-19 will Reopening in accordance with guidelines set by local governments and health authorities.</p
