Whew, Chile things are hitting the fan. Shopping mall staple #Forever21 is reportedly preparing to file for bankruptcy, sources say.
Can you believe that an industry analyst told Forbes that F21 sales dropped by 25-25% last year. Now, the company held talks earlier this month to raise additional financing, but negotiations with possible lenders have reportedly been stalled.
Bankruptcy isn’t always a bad thing. #Power creator #50cent filed, and he’s still excelling. The plan is that the bankruptcy filing could help Los Angeles-based Forever 21 cut under-performing locations and recapitalize the business. #Payless, the discount shoe store also filed for bankruptcy in the past and announced plans to close all 2,500 stores in what may be one of the largest retail liquidation in history.
Forever 21 became a staple in women’s fashion and shipping malls and aggressively expanded with supersized locations over the last decade. But it has been quietly downsizing some of its biggest stores across the U.S and closing international locations. If Forever 21 shuttered stores, landlords could struggle to fill their vacant leases.
We hope this decision is for the best and we wish Forever 21 success in the future.