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Forever 21 files for bankruptcy, intends to close up to 178 stores

Posted at 6:30 PM, Sep 30, 2019
and last updated 2019-09-30 18:30:26-04

(WXYZ) — Fans of Forever 21 may have to say goodbye to hundreds of stores across the country and the globe.

Over the weekend, the retailer filed for Chapter 11 bankruptcy in the hopes of salvaging the company’s brand.

The chain said it will file a motion to close up to 178 of its more than 800 stores, though it said in a letter to customers that "the decisions as to which domestic stores will be closing are ongoing, pending the outcome of continued conversations with landlords."

Loyal shoppers have always touted its low prices, but affordability wasn’t enough to keep the retailer competitive amid online market pressures.

In addition to closing over 100 stores nationwide, it is ceasing operations completely in 40 countries, including Canada and Japan.