Syms announced its bankruptcy protection filing and the closure of all its stores in November 2011; all company assets were liquidated and all Syms locations were closed by the end of January 2012. This closure included all Syms and Filene's Closet stores.
Syms blamed increased competition in discount clothing retail for its bankruptcy and closure. It also cited reduced merchandise stock due to high-end clothing retailers opening their own branded outlet stores instead of selling through third-party discount retailers such as Syms.
Filene's Closet filed for bankruptcy twice before its sale to Syms. Syms purchased the chain at auction in 2009.