(Bryan Davis) Less than a month after filing Chapter 11 bankruptcy, Birmingham-based Simply Fashion owners have announced the impending closure of 243 stores nationwide.
Gordon Brothers Group and Hilco Merchant Resources will close its Simply Fashion and Dots units after being awarded the store closing process by the bankruptcy court on May 6, a release from the joint venture said.
The stores will liquidate with sales that will offer discounts up to 30 percent off all merchandise, the release said.
“We anticipate that this will be a short sale due to the outstanding savings and the desirable assortment of fashions and accessories. Consumers are encouraged to shop early while the selection is best,” said a representative of the Joint Venture.
The BBJ reported on April 16 that Simply Fashion Stores Ltd. filed for Chapter 11 bankruptcy protection with plans to liquidate its assets.
Founded in 1987, the chain had grown at one point to over 250 locations across 25 states, with over 1,300 employees.
The company’s April filing listed more than $24.7 million in debts, with an inventory valued at $22 million.
Revenue and profits too had dipped from an average of $114 million between 2006 and 2011 to just $65 million last year.