Express Inc, a prominent fashion retailer, has initiated Chapter 11 bankruptcy proceedings in the United States and plans to shutter over 100 of its stores.
The retailer, encompassing brands like Express, Bonobos, and UpWest Express, disclosed assets and liabilities ranging from $1 billion to $10 billion in a filing submitted to the bankruptcy court in Delaware.
The company has appointed Mark Still as its new CFO, with immediate effect. Still has been serving as the interim CFO since November 2023.
As part of the bankruptcy proceedings, the company will initiate the closure of approximately 95 Express retail outlets and all of its UpWest stores, starting Tuesday. It refrained from specifying the exact locations.
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According to its website, the company runs approximately 530 Express retail and Express Factory Outlet stores across the United States and Puerto Rico, along with roughly 12 UpWest retail stores.
Since its inception in 1980, Express has grappled with subdued consumer demand stemming from slowed spending habits and heightened price sensitivity in discretionary product categories.
Express announced that it has secured a commitment of $35 million in new financing from certain existing lenders.
The multi-brand fashion retailer expects to conduct business as usual as it initiates a court-supervised process to facilitate a formal sale process.
On Monday, the company announced it had received a non-binding letter of intent from a consortium led by WHP Global regarding the sale of a significant majority of its retail stores and operations.
Last year, WHP Global, a brand management firm with ownership of Toys “R” Us and fashion labels like Anne Klein, acquired a 7.4% stake in Express.
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