Major Companies That Are Surprisingly About to Go Out of Business

By Jake Schroeder
1kuay2qubnynvftsiwbhxt8x Xz2vhfy5d8pnlrf Ymagxh3aiwpjboexj3h0thk1g0oqhkcmktyaaygg Lf1omu0q6zvkbntdscwqbskmgvjggosjbuc 1hrg Dfhugavdwatqhldgi5xqe8a
Photo Courtesy: Tim Boyle/Getty Images

With the monster growth of e-commerce in the last decade, the United States has become oversaturated with retail options. Some surprising retail bankruptcies have already occurred in the last two years, and even more companies are expected to go belly up in 2020.

With retail liquidations at an all-time high, you might be surprised to learn which of your favorite retailers plan to close up shop next. Many of the businesses on this list may seem to be doing fine on the surface, but bankruptcy filings and closing procedures are well underway behind the scenes. Here’s the list of retailers you may have to say goodbye to soon.

Advertisement

J.Crew

Due to falling sales, J.Crew plans to close some of its retail stores. This favorite of former First Lady Michelle Obama has already closed its bridal store. The retailer has also parted ways with its creative director, Jenna Lyons, and its chief executive officer, Millard Drexler. Drexler believed the company’s lackluster sales were due to the company raising its prices at a time when consumers were becoming thriftier.

Hmlxmsj4jlxfvd1onchqhdjxz50f1jlu7fqnx8ogpcltk9hhegiex Egqwpiu6bf77dpfcg1rxffm3v9h 7rjxoppxltupx 1pwqgdiv8z672ww1zabwnl Ziihebuydneit9pw4dpzvxkoh G
Photo Courtesy: Saul Loeb/Getty Images

Instead, J.Crew failed to adapt appropriately, raising prices and attempting to expand. Former West Elm President Jim Brett succeeded Drexler in the position he had held 14 years. The company was offered a debt exchange in 2018 that offered some relief from the $2 billion debt.

Sears Holdings

Sears has been struggling for at least a decade. As sales continued to decline, the company cut costs, sold assets, closed stores and laid off hundreds of employees. Despite these efforts, the retail giant was not able to avoid bankruptcy. In October of 2018, Sears Holdings filed for Chapter 11 bankruptcy and closed 142 retail stores.

6ueh6c Dtom1hjzptwpxqa W62kqkva9rolnhui85d0vfrc K3afjiznrjysf2sjgtozmnzzedzix 3n6yk D4jof74hdmaacfxrgfemech0c3tm6ctg1jwpjlsazxw6s81ju6lknchibedaq
Photo Courtesy: Justin Sullivan/Getty Images

CEO Eddie Lampert’s hedge fund loaned the company hundreds of millions of dollars to try and stave off bankruptcy. Unfortunately, even the hedge fund wasn’t enough to keep this storied retailer afloat. Oversaturation, land prices, overhead costs and online retail sales all played key roles in the downward spiral.

99 Cents Only

Discount goods retailer 99 Cents Only has been under a lot of financial stress due to strong competition from companies like Dollar Tree, Dollar General and Walmart. The company recently reported a loss of $271.1 million in 2017, with $33.6 million in losses during the second quarter alone.

Zgthjpqjrrwis38njpfb5jdakzwk Zjfy9wp1cwoakt Lxdoreed3e986khko Fhhr6ymeijj8ttiof1oj9nwiivgmqqra9isi9z7xedagljsmqmicach2hvapvspced8mqfxne8tisrt6ahda
Photo Courtesy: Rodger Hornback/Getty Images

In recent years, the 35-year-old company has tried to make some big changes. It’s now owned by Ares Management and CPP Investment Board. Jack Sinclair replaced Geoffrey Covert as CEO in 2015. Although sales have improved, the company is still losing money.

Advertisement

GNC

Despite top-line revenue of roughly $2.5 billion for the year, widely recognized supplement supplier GNC lost 3.4% of its revenue and has $1.3 billion in debt. GNC’s chief executive officer said the company is doing well in e-commerce sales as well as in China.

R0omhl Jerj Bep85yvmhttraflxdg9damykwuapvbxszxmau5pgjslb H5fgqmmbpyi1vqmwgpy5pkwdavrvnwn4cfqjwayuoy5fdqhsjb60w1bqvcdqnma1dfxlat2kn 4uujst Lxcbtuw
Photo Courtesy: Stephen Chernin/Getty Images

Apparently, that’s not enough to counteract declining sales domestically, and the company plans to sell 40% of the company to a pharma company based out of China. The Chinese company will sell, market, distribute and manufacture GNC products in China. GNC's recent decline is likely due to increasing e-commerce competition and lower mall traffic.

Fred’s Pharmacy

Fred’s Pharmacy has been a pharmacy staple for 70 years. The company recently reported that top-line sales fell 4.3% for a net loss of $139.3 million. Fred’s previously had 600 locations and planned to operate 1,000, but those plans fell through when Walgreens backed out of a joint deal with Rite Aid that would have divided acquired Rite Aid stores between the two.

Sjd8bgufm0qactg 5 Drxgca9unpm9arqtwzdxi Wahi0xf7w24zq Niimx9oxbztcrlgl8fc9xltlzwihqpvef0foyrwh6bylvzcxlxlhws3naq Zhoizstartn1w3xqoj5c3gu3 In Zsw
Photo Courtesy: Tim Boyle/Getty Images

After those plans failed to materialize, Fred’s Pharmacy’s chief executive officer left in 2018, and a former media executive soon joined Fred’s as the new CEO. Fred’s recently sold its specialty pharmacy division to CVS for $40 million, and now all its pharmacies are for sale.

Destination Maternity

Destination Maternity is a maternity apparel giant with more than 1,000 stores. Last year, the company’s sales fell by more than 7%. The company’s CEO left in 2018, and the company started working with its second interim CEO to turn things around. To help with those efforts, Destination Maternity hired Berkeley Research Group.

I Coz722r5w0z24csbc9g Iktetq3riy5q8lbjyy2z2bgbmrfjy9t7ypzw5kogdwpcpplttol4akbpdo0e7fvgytfbxhs6wfmn68zk Lou3ntw6s1mjcxjobo Jgael Mfsipyl4y Y3b2vp6w
Photo Courtesy: Thomson2020/Wikimedia Commons

It was later revealed that Destination Maternity’s severed relationship with Kohl’s was a chief cause of the income loss. The maternity retailer’s revenue fell 6.3% year-over-year, down to $406.2 million. One beacon of hope for the chain is a 40% jump in e-commerce sales.

Advertisement

Ascena Retail

Ascena is the umbrella company for once popular mall retailers Dress Barn, Ann Taylor, LOFT and Lou & Grey. Even after the company brought in a new chief executive for Dress Barn, things have not improved for the retail chain. In an attempt to save the brand, Dress Barn will close 25% of its doors by the end of 2019.

Hsg Izbyerijo7kxybl2ifofzkzl9b8mkaj725cilxsrzi E8dyxs Dwivgwqomii03eda9ylgyrjjguz1jig7a Xofaqvsmer5zku3lyuha2ripcqzjnk Cllggwta0vhdhxvkioooov3rftq
Photo Courtesy: Keith Getter/Getty Images

Ascena saw $1.7 billion in sales last year. Despite falling sales year-over-year, Moody’s financial services company said Ascena is on a good path to recover from those falling sales. The company hopes to keep store locations open on a smaller scale moving forward to return to profitability.

Stein Mart

Stein Mart has a spark of hope after years of recent struggles. The discount department store based in Jacksonville has seen its sales start to stabilize, with digital sales growing by 47%. The company still reported net losses of $23.4 million last year, but the loss was 10% less than the previous year, so the future isn’t quite as bleak.

Ofmo3dscj7expgbx4v9necmc6ididb23nbi 956mmv66eqrensjllf0orx8oj0mqh8p3lcajpl 1lagk5mqb9chbzn6umlg1jqpw12c2krcsx2mj Qkp3vhk7 Dsjvrqasm9t3phh 6mpp14tq
Photo Courtesy: MCT/Getty Images

At the start of the year, Stein Mart announced it had hired a team of advisors to help boost the chain. The company also secured a $50 million loan that can be increased, if necessary.

JCPenney

Although things are still looking grim for the department store chain, JCPenney has still managed to keep its head above water, unlike former chief competitor Sears, which laid off 1,000 employees and sold its distribution center in 2018. In contrast, JCPenney has been hard at work trying to turn things around.

Apcyqirunmru9hoqz1lhnoj66e Lcxwxsbftqbuucvoqn4jg Ojvlgfpqc2zbm Ev0aayrjude41brg6qrjr8op9qjhchna8 B Fd Sp72za7ielarvxdvtnb8qs6a1q7y9pczgujxjkfjnmmq
Photo Courtesy: Tim Boyle/Getty Images

One key roadblock for the company is the $4.2 billion in debt, and investors are starting to lose their patience. Recent changes for the company include the departure of CEO Marvin Ellison, who left his leadership position in 2018 to head up the home improvement powerhouse Lowe’s.

Advertisement

Office Depot

With sales falling 7% to $10.2 billion in 2017, office supply retailer Office Depot is no stranger to hard times in recent years. Chief Executive Officer Gerry Smith announced that Office Depot would shift to providing a line of services in addition to retail sales in an effort to increase the company’s top line.

Rplxyiilstb3vsbdfscva0wkgz Vqoretipmv6xangmgk8ic4a6rtw5es Cs Byivqdlb5mhu4v95dxg V7vzsxovbaf2udg0pbkcg0f8xsdotwah7x7tngou1aqgwb 0cucteudkmlspzwebg
Photo Courtesy: Robert Alexander/Getty Images

Office Depot’s new services plan includes its business-to-business box subscription service known as "BizBox." The subscription program has more services than products. To further the company’s investments in service, it acquired the IT firm CompuCom. Services now account for 14% of Office Depot’s revenues.

The Vitamin Shoppe

This nutritional supplement retailer has had a similar struggle as GNC in recent years. The company hopes to solve its problem of declining sales and lower foot traffic by focusing more efforts on e-commerce and subscription services. Despite the company’s efforts, sales fell 8.5% to around $1.2 billion in 2017.

L7lvjfhnvhueoi9aezohvihqi T37n Djfb0rrdzjoujm6n2fl4fnu3cl86cy8zhrudcbje3knktonbqaawmu41pngqt7iu8jpajbkpq7ohbyv Cfhetyjxkkfde Fhtgt Amgjxr C6bjpb2a
Photo Courtesy: Maureen Sullivan/Getty Images

The company’s declining sales have been attributed to declining mall traffic and increasing competition from other supplement stores and online retailers. The Vitamin Shoppe has plans to implement category expansion, delivery services, subscriptions and events to boost sales. E-commerce will also see a big push by executives in the coming year.

Forever 21

Discount, fast-fashion retailer Forever 21 filed for bankruptcy on September 29, 2019. After filing for Chapter 11 protection, Linda Chang, the company’s Executive Vice President, announced that Forever 21 will close 350 stores around the world and cease operations completely in 40 countries.

Yjyoo5 8 Fm1gpqmh4rlxed R5a0xc1rfm4lpcg80f Waslilwlijdda 9e Fohqmzpf6 H93kgqbbloz4t6blxj1elpbxataah1f5qj2vky40p0cf7fvn4f4 Mryahubosp562m4x9ioyspsq
Photo Courtesy: Justin Sullivan/Getty Images

Luckily for Forever 21 fans, a large number of Forever 21 stores will remain open in the United States — for now. High performing stores in strong retail markets will obviously not close. The Chapter 11 bankruptcy announcement came shortly after the company hired advisers to refinance, seek private-equity support and restructure the company.

Advertisement

Neiman Marcus

Neiman Marcus saw sales drop 5% to $4.7 billion in 2017. The luxury clothing retailer tried a few strategies to turn things around, but the company’s efforts haven’t improved the outlook. Strategies included eliminating 200 jobs and developing a "Digital First" customer engagement plan to boost sales.

Ozyjgf5meak5vgbvqorxp6k0db V4s1ix7k9r42dykf3ikfyk4uypyc 0c8b1qjxpzqhzbrytuokrtlv3l0sak0xff2h2cqrpcmfj5xh7ehzgaqsjmuq0uhi6jvjasjkwtdexkokhf4fzoetg
Photo Courtesy: Scott Olsen/Getty Images

Earlier this year, Canadian company Hudson’s Bay expressed interest in buying the luxury retailer. However, when the companies were in negotiations, the deal fell through due to concerns over Neiman Marcus’ falling sales. The declining popularity of malls has been cited as one of the main reasons for the decline. Operating and interest costs are also high.

Bebe

Bebe has been struggling since the company’s founders experienced marital problems. The company’s founder, Manny Mashouf, started Bebe in 1979, and his ex-wife, Neda Mashouf, served as creative director. In 2007, Neda divorced Mashouf and left the company. Declining mall sales and other retail challenges also played a role in falling traffic and sales at Bebe.

V4uhib61 Oqxqc Ad8fleqcbxjfxk5du5fpmybedutjh9mwbnylhvpztcc04tdctnyyiag7tkckir87pvs7mhaguhhooh9kzdzhooi No8cipmme1t1msb6hrkpdy921e7ive2xsu22sp Uamg
Photo Courtesy: Ethan Miller/Getty Images

Bebe saw a $4.6 million operating loss in 2017. To stay afloat, the company decided to shift away from traditional brick and mortar retail stores. Bebe has now moved to a fully e-commerce business, paying $65 million to close all the company’s physical retail stores.

Pier 1 Imports

Pier 1 has had a tough time in recent years. In 2018, the home goods retailer tried to curb falling sales by enforcing a strategy that focuses on marketing, sourcing, merchandising, e-commerce and supply chain. Net sales for Pier 1 fell by 9.2% in 2018 to $371.9 million.

U562zpnlwbsxhfeyr Ghbzphxhhqjedihbwx3sjqchs0gtrxtyv7ipq3grcbiwnseiwflfvtmpczss Quyrbi2tdsbgzdpmc8 V7szseetogkpoqlmp6hic2spq2pbfkdas3milrgnv4mhchra
Photo Courtesy: Scott Olsen/Getty Images

Global analysts for S&P also downgraded Pier 1 Import’s credit rating, which was a big financial blow for the retailer. President Trump’s 10% tariff on Chinese goods also took a toll on Pier 1. Leadership disclosed in a statement that roughly 60% of the company’s goods are made in China. Pier 1 is currently working on new strategies to stay afloat.

Advertisement

Lands’ End

Lands’ End offers clothing, luggage and home furnishings, but it seems to be having trouble resonating with consumers. The company’s former association with Sears may have been a potential cause, but the company branched off in 2013. The company has enjoyed strong catalog sales, but it made some critical errors in recent years.

Boiy9pvzwb0rzduhp2w1 Jgrvkfimhr3nsmy0t84kluuum2w5clql0u5wuoo316knhkwwdihn1z Jik9s1iruhr5b9fqv8azjzxclnysyucc4wgnt7ady Exx0mqqhfv26oltjz9 E7q9jmqaw
Photo Courtesy: Tim Boyle/Getty Images

Lands’ End former CEO Federica Marchionni tried to boost sales by launching a youthful clothing brand aimed at trendy, fashion-forward consumers. Called Canvas, the brand failed to capture the desired core clientele and launched with little success. This failure, along with poor online and in-store sales at Lands' End, are primarily to blame for the retailer’s decline.

Guitar Center

Music supplier Guitar Center has had about a year to refinance the company’s $900 million debt. Although the company has been in business for more than 50 years, its continued existence is threatened by declining electric guitar sales. From 2005 to 2016, the company saw electric guitar sales drop 36%.

Od 08aq8zonud0pfgvhes8jr7gr1mi7r K Toz5xplleqml1bguikftawnbnmiyefagz8slppndfxvlbwq5gq K2y58lrep3tbf5hih9wlktowptuxvqbpipfp4fq9c5wfnczba0hji Jwsekw
Photo Courtesy: Valerie Macon/Getty Images

The instrument retailer planned to open new stores — despite its financial troubles — to try to right the ship, but those plans failed. The company managed to stave off closure by negotiating an emergency loan. Former Executive Vice President of Merchandising Michael Amkreutz told Forbes in a recent interview that the company is still going strong while in transition, but then he left the company in June.

Southeastern Grocers

Southeastern Grocers, the owner of popular Winn-Dixie grocery stores, recently filed for Chapter 11 bankruptcy protection in an attempt to restructure its debt. The grocery company closed nearly 100 stores and lowered its debt by $600 million. Additionally, it hopes to turn things around by remodeling and rebranding stores that are still open.

Kwvkxmko6llixyr8j2vrcsx4kjdrxtbyuswnjmfwyf6bzf9rgh1qwdlw2ss1lkst3njxod6amjwd1feej87pnddsqw5jwbddzaoqqqt0d87e Jgxqaxxnhtc3mahfdkkuvpxhp8royf4x Uanw
Photo Courtesy: Joe Raedle/Getty Images

Southeastern Grocers also operates Bi-Lo, which has been struggling to compete against big-box retailers such as Target and Walmart as well as e-commerce powerhouses like Amazon. The company is based in Florida and operates in most southern states, including Alabama, Mississippi, Georgia, Louisiana, North Carolina and South Carolina.

Advertisement

Nine West

Shoe retailer Nine West is saddled with $1.5 billion in debt, although attempts are currently being made to restructure it. Part of the restructuring includes selling portions of the company and filing for Chapter 11 bankruptcy protection. In an effort to save the company, Nine West sold the Easy Spirit brand and closed all but 25 of its retail stores.

W1 I2tmezd Ojlniq4vmzmpdc2ji2zyfaefgws8cuoomjq 82wkg Hubmww Lde1b3wywel0lbezt1ypzasitfcdo7lmv Wn4c2g6t2clm1zcxfb1rlo I9wjnbr3z8xgbriceuiuqg7mjra
Photo Courtesy: Daniel Acker/Getty Images

Nine West Holdings will also shift its focus to other products, including clothing and jewelry, to expand its market share beyond shoes. A shift in popularity away from ballet flats, heels and sandals in recent years has affected Nine West’s sales, and this change in consumer interest has Nine West refocusing.

Kohl’s

Kohl’s Corporation recently decided to close four stores in Los Angeles, Kansas and New York. The company also announced it would consolidate three of its major operation centers into two locations. One major trend the department store noticed was that its lowest-performing locations were the stores located inside or near malls.

Bdguatcga54dtxvzohmnp8uax76lfqconi4jwd1fdmptxyopbggrezu Ry2j6oczzvgjmv06owtnvbu9cs0l3idkrz4lmzpy1e8yvat 8lqrqggo7avgbkcxomi8rw0tbikihq Smyxtwqgvag
Photo Courtesy: Justin Sullivan/Getty Images

Kohl’s also noted that the best performing stores are the smaller locations. These smaller stores are one-sixth the size of the average Kohl’s location, so the company is hoping that closing some larger locations and focusing on the company’s smaller stores can help change the trajectory for the retailer.

Bon-Ton

Bon-Ton has been in business for more than 100 years, an impressive feat for any retail business. Carson’s, Boston Store and Boscov’s are also part of the Bon-Ton brand of companies. In 2018, Bon-Ton filed for bankruptcy, and the company was sold and liquidated.

6dmvtflvtvhdoyvpkrltkoc Yhto4zsxqfsczp Ct5dstvvum2ix3e0h Euvykiqrygv0y283cauk2rkjycfb Du5ai5hn77lmueep41h7z3rtxzhy4umtvpigrtcu63cx0mx5mca C0qe7h7w
Photo Courtesy: Gordon Chibroski/Getty Images

However, in the fall of 2018, the new owner relaunched the company’s e-commerce site and announced plans to open select stores in the future. The newly refocused Bon-Ton is sleeker and streamlined for e-commerce. In the 1990s and 2000s, Bon-Ton enjoyed extensive popularity as a major department store, thriving in small towns with very little competition. With the growth of Amazon and e-commerce in the past decade, critical changes were necessary for the company.

Advertisement

David’s Bridal

David’s Bridal has been a staple in the bridal industry for years, but current trends have brides opting for more casual, less expensive weddings. As a result, stores like David’s Bridal have felt the financial pinch. In 2019, the company has a $520 million loan due, followed by another $270 million due in 2020 in unsecured notes.

Sqysvsksj7et Xyjec8tzxeit Jxpzflhf425wr8kslk T3n1j04x1ajqh0fzhevi8q7fomqz4tilrebqnaicd7gbep Qyphyj2xlahzssfcvp9ymcom7hrnjwlnktsqzxlfbhq8jfjvj Iudq
Photo Courtesy: Mike Fuents/Getty Images

David’s Bridal's new CEO, Scott Key, plans to do some debt refinancing to save the wedding superstore — at least for now. To add to the company’s struggle, S&P Global downgraded its credit rating in June of 2018. The company has an uphill battle to maintain sales in the coming years.

Tops Friendly Markets

This East Coast grocery chain has had its share of hard times in recent years. Grocery consumer habits are changing, and Tops has failed to keep up. Modern consumers are gravitating to smaller, specialty grocers and non-traditional food retailers in increasing numbers.

Kcishgnu 12vslpebjzpkzuglidpvoe4zdkhhp E1 Meknmaxwjl3 13au Vxdg0op1ukeksr Un 9ciika6cu0f3tbnchzg97 Ygzrf4e4gmqtwwqodfx Omqizq5 59xqkawf4f3ubye0fg
Photo Courtesy: Stephen Chermin/Getty Images

Tops failed to meet consumer demands and struggled with competition and falling food prices. The company filed for Chapter 11 bankruptcy, which released it from the $80 million in annual interest payments that were due in 2017. Stores for the grocery chain remain open in Vermont, New York and Pennsylvania for now while the company continues to work to improve sales.

Cole Haan

USA Today listed Cole Haan as one of the companies most at risk in 2018. That’s certainly not the way you want your company to make headlines in USA Today. In terms of shoes, the luxury brand is trying to refocus its branding away from dress shoes to sneakers. As consumer preferences have shifted, Cole Haan has struggled to keep up.

6un3wldrdk4u2wvrxhe91k2jrav3r Aijcow 8 Amcopeukjm136ozzwso9h9xloxungnnekirdaatt6uqq9vr8 Fdzy0nptwsv758zca Jlltjh4h5xmqr4clwomf0wmfyrdtsjah02qf0qkw
Photo Courtesy: Ethan Miller/Getty Images

Cole Haan was previously owned by Nike, but the athletic company sold it to Apax Partners in 2013. As a result of the sale, the company lost the right to use Nike’s comfort technology, which built sneaker comfort into the brand’s dress shoes. Now that Cole Haan is doing this on its own and competing with its former owner in the athletic shoe space, the brand isn’t doing so well.

Advertisement

Charlotte Russe

Women’s apparel company Charlotte Russe rang in 2019 by filing for bankruptcy protection. The company planned to close 94 of its retail stores in February 2019 when it originally filed for bankruptcy. Since that time, it has been announced that Charlotte Russe will now close all 500 retail stores in the United States.

Kbqinez4npgdswdhytqeqh8x33quvncwjbhwp6eaujhxb5i7 F4di5wygsqf4rji9qg9jekaro Oae Uuhwti5 Ct Amqgt6p76r Hy0tczgvta Txdqzjxccqezpk Ysabkuvbesnd6k59vig
Photo Courtesy: Drew Angerer/Getty Images

This change in plans for Charlotte Russe occurred when a business liquidator purchased the company in an auction in bankruptcy court. Charlotte Russe stores have almost always been housed in malls. The apparel chain lost market share and failed to keep up with consumer demands, which could have been caused by a decline in mall traffic as well as a shift in consumer interest.

Claire’s

The accessory store Claire’s is a staple in many childhood memories. This mall standard was where millions of young people would flock to get their ears pierced and buy colorful, inexpensive jewelry and accessories. Claire's decline is likely due to dwindling mall traffic and oversaturation.

Tra0zrao4yjpia2bcnmncwafrlhprwxvxa5u4xy951zi71rmv9ceeyfoyioeol7d5v8ydq2v 9qc5c5yiqp7fnhz9bs7njzdez Fywjkhmvskw4 Orkxfu2sxoj O2ak1jsf7vmnzeemrrzv4g
Photo Courtesy: Daniel Acker/Getty Images

Unfortunately for young people everywhere, the store that was first founded in 1961 has pulled out of its IPO. In March of 2018, the company filed for Chapter 11 bankruptcy. Claire’s planned to reduce its $1.9 billion in debt by closing 130 stores. Now, the company plans to market itself to potential investors and buyers in the coming year.

FullBeauty Brands Holdings Corp

FullBeauty is a retailer for plus-size women and men. It owns various other brands, such as Woman Within, Jessica London, Ellos, KingSize, Roaman’s and Brylane Home, in addition to its e-commerce sites. E-commerce giant Amazon has been blamed for the company’s financial problems and declining sales.

7s1jdte4w2mxgmqmm3saoehwyjg8ghzg8tx Lfjb9vo6her6dxlzgsf2wij6szi5svdyrd0f1hi4sntx2sjfn6tyjqewpvbvhv6rtvtpe0 Dtthoqnsvww Zxzrsdao75i8cy5io Epqkdivxw
Photo Courtesy: Astrid Stawiarz/Getty Images

Apax Partners now owns Fullbeauty Brands. In a 2017 year-end statement, the company reported a 30% drop in earnings in the first quarter of the fiscal year. In 2018, the company saw an executive revamp, with Bob Riesbeck named Chief Financial Officer, Robert Lepere named Chief People Officer and Liz White named Chief Customer Officer.

Advertisement

Eddie Bauer

In 2017, Bellevue-based outdoor company Eddie Bauer faced some major problems. Golden State Capital, the company’s owners, considered a sale in order to pay down its debts. This is one of the many strategies Golden State Capital has tried to revive Eddie Bauer. S&P Global also downgraded Eddie Bauer’s credit rating in 2017.

Lml 1axovcsrndr3nhysy Cqd4ittjb Zhb3vlxwci Sjphwg76bwunvyxihcrkiylqlkju3ibmwlcthsdadtp0miyomxmi4lfd4oznu1twkbwskquqngxksvpdzbkmubiohq80rz5rzw4gcua
Photo Courtesy: Tim Boyle/Getty Images

The company is no stranger to tough times. In 2009, with help from the sale to Golden State Capital, Eddie Bauer emerged from bankruptcy. However, the brand has struggled in recent years to keep up with trends. The company is currently in talks with Pacific Sunwear of California about a potential merger that could help save the brand.

Bluestem Brands

Bluestem Brands is a major retailer with 13 e-commerce sites in its portfolio. The company’s brands include Appleseed’s, Draper’s & Damon’s, Fingerhut, Blair and Gettington. Due to decreasing sales, Bluestem Brands has been on the chopping block in recent years.

5rm Seiyjbfv4f Vhqp5rdywvogegu2usxyzgz8ay5phetitkpibthmqrgbpehgcifrri9ddl7aolnhqxlcoyg4ng3dtperw Bfibe7fcsfcyb5ll2obfffpj5fhzxdh7 Ctyapzrel Qqomza
Photo Courtesy: Don Kelson/Getty Images

In 2017, Bluestem reported a 10.9% decrease in net sales compared to the first quarter of the fiscal year 2017. Net sales in 2017 were $381.1 million, with adjusted net sales down 5.1% compared to the first quarter of 2017. This dip isn’t a promising sign of things to come, but only time will tell if Bluestem Brands and its e-commerce portfolio can remain afloat in the coming years.

PetSmart

With more than 1,500 stores in the United States, Puerto Rico and Canada, pet goods retailer PetSmart is currently undergoing a restructure. In June of 2018, advisors for the company decided to tackle the $8 billion debt problem it has been facing. The company won’t see debt maturities until 2022; however, PetSmart needs to solve the root of the problem — mainly declining sales — sooner rather than later.

Ciydol1xihondlfmixhffhh5nvqo1dlxeqbwmslc G Kqmzzb8nxlwvrsnc3sufwvfy5unbo2lsv8aerejujfk6jzhdylkxv8adjtaffocrmedpthli2pyjslla1efyuczskwd7b8xe Jefl8q
Photo Courtesy: Loop Images/Getty Images

PetSmart has faced similar problems as most big-box retailers during the consumer shift to lower-priced online retailers. To help with this problem, the company purchased the e-commerce powerhouse Chewy for $3.35 billion, but doing so added to its existing debt.

Advertisement