Men's Wearhouse Files For Bankruptcy | WHAT REALLY HAPPENED

Men's Wearhouse Files For Bankruptcy

As we previewed on month ago in 'Work-From-Home'-Epidemic Set To Bankrupt Suit-Sellers, "I Guarantee It", on Monday the retail wreck continued on Sunday when Tailored Brands, the owner of Men's Wearhouse filed for bankruptcy, adding to a list of brick-and-mortar retailers that have succumbed to the economic fallout from the COVID-19 crisis.

The retailer filed for Chapter 11 bankruptcy in the U.S. Bankruptcy Court for the Southern District of Texas. Tailored Brands said in a statement that it has entered into a restructuring agreement with more than 75% of its senior lenders, and that could reduce the company’s debt by at least $630 million. The company also said it has received commitments for $500 million in debtor-in-possession financing from its existing lenders. In the court filing, the company listed both its assets and liabilities in the range of $1 billion to $10 billion.

The Houston, Texas-based retailer, which was already struggling with competition from fast-fashion brands and a shift to online shopping before the pandemic, said it will continue to build on its previously announced plans to reduce its corporate workforce by 20% and shut as many as 500 stores.

The company’s four retail brands, including Moores Clothing for Men and K&G Fashion Superstore, will continue to operate through the process. It employs 18,000 workers and operates 1,274 retail and apparel rental stores in the U.S. and 125 in Canada, according to court documents.

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