Apparel Store Forever 21 Preparing for Bankruptcy
It looks as though Forever 21 Inc. is preparing for a potential bankruptcy filing. The company has been working on keeping their fashion retail store opened and working with loan lenders to revamp their stores.
Unfortunately, negotiations with lenders haven't gone in the companies favor and a lot of stalling with answers. This news is devastating to the budget retail shoppers, however as more small boutiques are opening up and most people shop online now anyway. If Forever 21 closed that would make a big impact on the shopping malls around, as the centers are already noticing an increase in vacancy stops in the centers. Although the company has some options that could still keep them out of court, sources say Forever 21 is looking into filing a Chapter 11 which would be more beneficial and gives the store a chance to possibly start over. With over 800 stores around the globe and over 3,000 employees this could be a major loss to many areas. If they decide to complete the chapter 11 filing the company would close stores that aren't making profit and keep open the ones that are.
Fans of the teen clothing store are sad but also excited about the closing sale Forever 21 will have. Many posted memes on social media expressing their dislike about the store filing for bankruptcy. Forever 21 may be closing but Rue 21 is still up and making their sales. Hopefully the retail store can make some efforts in getting the lender they need to get back in business.