Report: Gymboree preparing to file for bankruptcy and close all 900 of its stores
In order to wriggle free of it’s over $1 billion dollars of debt, retailer Gymboree has filed for Chapter 11 bankruptcy. Josh King has the story (@abridgetoland). Buzz60
New reports indicate that children’s clothing retailer Gymboree Group Inc. is expected to file for bankruptcy protection and make plans to close all of its remaining stores as early as this week
According to a report from The Wall Street Journal, the San Francisco-based company will file for bankruptcy for the second time in two years and liquidate its Gymboree, Crazy 8, and Janie and Jack stores.
The company website lists Gymboree stores at The Fashion Mall at Keystone, Clay Terrace, Hamilton Town Center and Edinburgh Premium Outlets.
There are Crazy 8 stores at Castleton Square, Hamilton Town Center and Greenwood Park Mall, as well as a Janie and Jack stores at The Fashion Mall and Edinburgh Premium Outlets.
The Wall Street Journal reported that the Janie and Jack stores could be saved if the company can find a buyer for the brand. The company operates about 139 Janie and Jack stores nationwide.
The company now operates an estimated 900 retail stores in the United States and Canada under its three brands, according to the company website.
Gymboree was founded in the 1970s as a company that offered music and activity classes. It would go on to launch a chain of children’s clothing stores in the 1980s.
In July 2016, Gymboree Play & Music split from Gymboree Group Inc. to become a standalone, privately-held company owned by Gymbo Global Education Group, which is an international education company.
Representatives for Gymboree Play & Music said the bankruptcy filing does not include the more than 800 franchised and company-operated Play & Music centers worldwide.
IndyStar has reached out to company officials for more information.
USA Today contributed to this story. Call IndyStar reporter Justin L. Mack at 317-444-6138. Follow him on Twitter: @justinlmack
The Wall Street Journal reports that Gymboree Group Inc. is expected to seek bankruptcy protection this week. It previously filed for bankruptcy in June 2017.The company operates its namesake stores as well as Crazy 8 and Janie and Jack shops.
Gymboree has already closed about 400 stores. The Gymboree website says there are still 19 store locations within 50 miles of Boston.
Gymboree was taken private in 2010 when it was bought by private equity firm Bain Capital for $1.8 billion.
(© Copyright 2019 CBS Broadcasting Inc. All Rights Reserved. The Associated Press contributed to this report.)