August 3, 2020
Lord & Taylor, America’s oldest department store, filed for Chapter 11 protection Sunday, along with its owner, Le Tote Inc. Le Tote acquired Lord & Taylor from Hudson’s Bay Co. for $71 million last year.
The New York City-based Lord & Taylor, founded in 1826 by two English immigrants, joins a growing list of department-store casualties tied to the COVID-19 pandemic, which turned malls into ghost towns, Bloomberg News reported. Former fashion stalwarts like J. Crew Group Inc. and Neiman Marcus Inc. already filed for bankruptcy protection this year, as did JC Penney.
In its bankruptcy filing, submitted in Richmond, VA, Lord & Taylor said it had about $137.9 million of debt obligations.
Executives at San Francisco-based Le Tote had planned to cut the number of Lord & Taylor stores, currently at 38, and target younger women with luxury try-on studios, beauty subscriptions and rental drop-off points, according to Bloomberg.
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