Talbots files for bankruptcy

Stage will reopen its stores in a phased approach to liquidate inventory as it seeks a buyer. About stores will open on May 15, 67 stores are expected to open on May 28, and the remaining stores are expected to open on June 4. Gift cards, rewards or coupons that expired while the store was closed because of COVID will not be honored.

For questions about products, warranties or rewards, customers in the U. If customers have questions regarding the restructuring process, or for information about which stores will be affected, visit www. What will bring for retailers? The pandemic upended some trends and dramatically accelerated others to further disrupt the flow of goods from manufacturers to retailers to consumers.

An article from. Dive Brief. Published Oct. Ben Unglesbee Senior Reporter. Getty Images. Fitch also included an "Other Noteworthy Retailers" list — the only such list among the industries it covers in the loans of concern report. Filed Under: Financial News. Retail Dive news delivered to your inbox Get the free daily newsletter read by industry experts Email: Select Newsletter: Daily Dive Topics covered: retail tech, e-commerce, in-store operations, marketing, and more.

You can unsubscribe at anytime. Sign up A valid email address is required. Please select at least one newsletter. Deep Dive. Company Announcements. Now that unemployment is expected to be higher than normal for months, if not years, it is going to be very difficult for the department store to refinance its debt at reasonable interest rates.

You've got the struggling Victoria's Secret brand, which can't seem to do anything right these days. It went as far as asking the Chancery Court of Delaware to render the agreement null and void because L Brands closed stores and laid off employees, violating the agreement.

L Brands filed a lawsuit of its own on April 23, arguing that Sycamore's move was nothing more than "buyer's remorse" and an invalid reason for terminating the agreement. L Brands further argues that in recent weeks, Sycamore had tried to lower the acquisition price.

The outcome could determine the future financial health of L Brands. Also fortunate for shareholders: Rite Aid's 2,plus pharmacies remain open during the coronavirus, ensuring the sales keep rolling in.

Rite Aid expects to generate adjusted earnings in of anywhere from a loss of 22 cents to a profit of 19 cents. However, if social distancing continues for an extended period, it could result in significantly lower front-end sales and prescriptions.

That would be terrible news for CEO Heyward Donigan, who was brought in by the board in August to take the company in a different direction. Donigan's turnaround plan focuses on becoming the dominant mid-market pharmacy benefits manager PBM , leveraging its more than 6, pharmacists to provide customers with whole-health and wellness solutions, and revitalizing Rite Aid's retail and digital experience.

Rite Aid's biggest problem right now is how much time it has to execute on these plans. Several analysts include RAD among their stocks to sell as a result.

Fitch also said its outlook for Capri is negative. It seems the owner of higher-end brands such as Michael Kors, Versace and Jimmy Choo is suffering from the coronavirus like most other retailers. Since then, North American retail has struggled as stay-at-home orders filtered through the U. Fitch projects a global slowdown in consumer discretionary spending could extend into The ratings agency does believe Capri has enough liquidity to get it through the coronavirus and decline in consumer discretionary spending.

Capri, which expects its stores in North America and Europe to be closed until June 1, has moved to drastically cut expenses. On April 11, Capri furloughed all 7, of its retail store employees. CPRI also is reducing its capital expenditures and inventory purchases for the year.

For now, Capri isn't an immediate-term bankruptcy threat. Fitch believes Capri can weather the storm, and indeed it might based on current assumptions. However, if a lack of consumer discretionary spending carries well into , that outlook could change. The company will use the proceeds from the sale of junk bonds to refinance notes due in ; those notes had a much more reasonable 5. It currently is negotiating with landlords to get deferments and reductions in its rent during the coronavirus.

It also wants to renegotiate future rents downward or terminate leases where a financial arrangement isn't possible. Considering Gap's overall sales were deteriorating before the coronavirus shut non-essential businesses, it's possible that the company's financial condition could result in further drastic measures later in The coronavirus isn't making things any easier. In mid, GNC announced that it planned on closing to stores by the end of Most of the store closures will be mall locations that have suffered from reduced traffic in recent years.

GNC ended up closing locations in In March , the company announced that it didn't expect to generate enough cash from its operations to be able to pay off debt maturing in August and early in GNC reported its fourth-quarter and fiscal results on March One of the few bright points was GNC's e-commerce business, which accounted for 8. A basis point is one one-hundredth of a percentage point.

In the fourth quarter, e-commerce revenues accounted for