August 6 2020

Parent Company of Men’s Wearhouse and Jos. A Bank Filed for Bankruptcy Protection

By: BNEWS

Another retail chain is being hit hard by the pandemic. 

 

On Monday, Tailored Brands, parent company of Men’s Wearhouse, Jos. A Bank, Moores and K&G Fashion Superstore filed for Chapter 11 bankruptcy protection. They announced plans to close upwards of 500 stores and cut staff by 20 percent. 

 

There is both a Men’s Wearhouse and a Jos. A Bank in Burlington. The company did not say which stores across all its locations will be closed as of the writing of this article. 

 

The company said in a release that a court granted interim approval of the Company’s motion to access $500 million debtor-in-possession financing from its existing revolving credit facility lenders. 

 

The court also authorized the company to continue to pay employees as usual and provide pre-existing health and welfare benefits, honor customer gift cards, rental reservations and custom clothing orders, maintain existing loyalty programs and pay vendor partners in the ordinary course for all goods and services provided after the date of the Chapter 11 filing.

 

“The Court’s prompt approval of our First Day Motions is a clear step forward that enables us to serve our customers, take care of our team and meet our go-forward financial commitments as we work to achieve our financial goals,” said Tailored Brands President and CEO Dinesh Lathi. “The approval of these motions is an important milestone on our path to positioning our brands to better compete and succeed in today’s retail environment and beyond. We appreciate the continued support of our senior lenders—and all of our stakeholders—during this process and look forward to moving swiftly ahead.”

 

 

 
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