Gymboree Corporation Files Bankruptcy
The children’s clothing chain Gymboree has filed for Chapter 11 bankruptcy reorganization.
The company said that it plans to close 350 to 450 of its 1,281 retail stores. Gymboree will be closing its stores in the Meadows Mall, Town Square, and Outlet Mall as a result of the companies reorganization. Traditional retail companies have recently struggled with the addition of strong competition from online companies and slower mall traffic.
The number of affected employees is unknown. Gymboree’s CEO Daniel Griesemer said in a statement. “We expect to move through this process quickly and emerge as a stronger organization that is better positioned in today’s evolving retail landscape, with the right size store footprint and greater financial flexibility to invest in Gymboree’s long-term growth.”
The stores will begin closing sales starting next Tuesday.