Manhattan Beach, Calif. — True Religion, a premium jeans retailer based in Manhattan Beach, Calif., filed papers in Delaware bankruptcy court on April 13, 2020.
In its filing, the company stated that pandemic-related closure of all its retail location and all the stores of its wholesale buyers had accelerated “existing liquidity constraints.” Due to these factors, True Religion furloughed all nonessential employees and reentered Chapter 11, which it previously entered in July 2017.
“While the debtors would have preferred to wait out the current instabilities of the financial markets and retail industry generally, [True Religion] simply could not afford to do so,” according to the filing.
The company, which was founded in 2002, stated in its bankruptcy filings that it has just north of 1,000 employees, 92% of them currently furloughed. The Chapter 11 petition listed between $100 million and $500 million in liabilities.
SOURCE: ShoppingCenterBusiness.com