logo
flickr.com
flickr.com

Charming Charlie Closing All 261 Stores in the US

Junie Sihlangu
Jul 12, 2019
11:41 A.M.
Share this pen
FacebookFacebookTwitterTwitterLinkedInLinkedInEmailEmail

The jewelry, clothing, and accessories retail store Charming Charlie is set to close all its stores in the US. The retail company filed for bankruptcy for the second time in two years.

Advertisement

Charming Charlie’s 261 stores in the US were well-known for organizing their items by color instead of category. On Thursday, the company filed for bankruptcy for the second time in two years.

They tried to turn the retailer around after their first bankruptcy but failed. At the time, 100 of its stores had been closed to try and save them.

Charming Charlie store | Photo: Flickr.com

Charming Charlie store | Photo: Flickr.com

Advertisement

The Houston-based retailer shared that it planned to shut its 261 stores by launching going out of business sales. Court documents revealed that the company filed for Chapter 11 protection in Delaware.

The stores that survived the first bankruptcy filing are held in 38 states. The current liquidation is expected to take around two months. In 2017, Charming Charlie revealed that they had a strategy that they believed would up their sales.

Advertisement

They called it a "back to basics" strategy which involved closing under-performing stores and their Los Angeles office. The plan lessened its employees at its corporate office and distribution center in Houston.

They also acquired a lower-quality inventory to boost sales. The company also borrowed $13 million from an existing creditor.

Advertisement

By April 2018, the company had managed to pull itself from bankruptcy, however, it wasn’t enough for the long term. The current retail depression has also claimed other stores like Charlotte Russe, Dressbarn, and Payless ShoeSource.

According to Coresight Research, in 2018 over 5,800 retail locations closed. This year even more stores are closing with around 7,062 retailers set to liquidate as of July and will vacate its stores by August 31.

Advertisement

Coresight said it expected that this number might rise to 12,000 by the end of the year. The research company and advisory firm tracks consumer, retail, and technology trends.

Charming Charlie currently has a debt of about $82 million. It was founded in 2004 and their remaining stores are found in malls.

Charlotte Russe was a clothing store which focused on teenagers and young adults. They revealed at the beginning of the year that they would be closing all of their 500 locations across 49 states and Puerto Rico.

They also intended on selling their intellectual property.

Advertisement
info
Please fill in your e-mail so we can share with you our top stories!
By subscribing, you agree to our Privacy Policy
Advertisement
Related posts

Mel Gibson's Ex & Mom of His Kid Went Bankrupt after He Left ⁠— She Could Not Pay Debts & Had $10 in Cash

March 21, 2022

Jonathan Scott 'Suffered Anguish & Heartache' during Divorce Yet Says It Helped Him Appreciate His New Love

May 14, 2022

Couple Used Orphan to Build Reputation in Town – Spent over $200K of Her Inheritance in 7 Years

April 10, 2022

Woman Briefly Steps Away from Cart with Little Daughter inside at Costco, Stranger Steals the Cart

March 05, 2022

Antique Shop Owner Asks Homeless Man Begging for Food Where He Got His Ring – Story of the Day

February 10, 2022

Little Boy Who Wants to Buy a Toy for His Dying Younger Brother Is Kicked Out of the Store – Story of the Day

March 16, 2022

Michael McKean Remembered Annette O'Toole Was Called His Wife Before Their First Kiss and 22 Years of Marriage

February 05, 2022

Joan Rivers Spoke With Her Husband the Day Before He Was Found Lifeless With Tapes for Wife & Daughter

February 11, 2022

Grocery Store Owner Fires Clerk for Giving Food to Homeless, They Switch Places Months Later — Story of the Day

February 12, 2022

Burt Reynolds Denied Being Broke despite His 'Slide into Bankruptcy' & Auctioning Sally Field's Gift

May 01, 2022

Mom-Of-5 Joanna Gaines Reveals She Has Learned from Her Parenting Regrets

May 04, 2022

Paul Newman Had 6 Children with 2 Women – His Will Caused a Rift between His Family and Adviser

April 23, 2022

Reba McEntire Claimed All of Her Stepchildren & Loved Them Like Her Own Even When She Finally Gave Birth

April 01, 2022

Lady Notices Two Unattended Children Going to the Forest Every Day Towards an Abandoned House – Story of the Day

March 01, 2022