According to published reports, Forever 21 Inc. is preparing for possible bankruptcy filings as the retailer’s sales and assets continue to decline.
The company has also been seeking new financing and restructuring its debt, say the published reports which add that without such measures the company is likely headed for reorganization under Chapter 11 bankruptcy laws.
A bankruptcy filing would help the company close unprofitable stores, the reports said. According to its website, Forever 21 operates more than 800 stores worldwide including ones at Sangertown Square Mall in New Hartford and Destiny USA in Syracuse.
The company website made no mention of impending bankruptcy filings nor possible store closings.