It looks like another iconic clothing store is joining the growing list of stores that are shutting down and saying goodbye to all locations. Drawing the iron curtain this time is the iconic retailer, Esprit . Esprit Holdings Limited announced the bankruptcy of its two U.
S. subsidiaries, as both Esprit U.S.
Distributions Limited and Esprit U.S. Retail Inc.
filed notices of Chapter 7 bankruptcy on Monday, according to multiple outlets, including Fashion Dive and Global Data . The Esprit brand, which was founded in 1968, was extremely popular in the 1980s and 1990s, as the well-known branding was seen everywhere. After 56 years of booming business, sales over the past decade or so have slowly taken a nosedive.
The company opened U.S. pop-up stores in Los Angeles and New York as part of a comeback strategy, but after giving it an honest try, considering economic changes, the company just fell short.
Esprit, which were once in nearly every shopping mall in America, were down to their last 80 locations when the decision was made to end things for good. “Having considered the poor business and financial conditions, as well as the unsatisfactory operational results of the US Subsidiaries, the board of directors of each US Subsidiary has concluded that it is unlikely for the relevant US Subsidiary to be able to generate sufficient revenue to cover its high operating costs and fulfill its debt obligations,” the company said in its statement. Keep in mind, once Chapter 7 Bankruptcy.
