HOUSTON – Stage Stores announced Monday that the company has filed for Chapter 11 bankruptcy, according to a news release.
The company owns Goody’s, Peebles and Gordmans.
The company said it will “terminate the wind-down of operations at certain locations if it receives a viable going-concern bid.”
The company said the health and safety of its associates and guests remain their top priority as it takes a phased approach to reopen its stores in the coming weeks and anticipates that the first phase of approximately 557 stores will open on May 15. The second phase of approximately 67 stores is expected to open on May 28, the company said.
“Over the last several months, we had been taking significant steps to attempt to strengthen our financial position and find an independent path forward,” President and Chief Executive Officer Michael Glazer said. “However, the increasingly challenging market environment was exacerbated by the COVID-19 pandemic, which required us to temporarily close all of our stores and furlough the vast majority of our associates. Given these conditions, we have been unable to obtain necessary financing and have no choice but to take these actions.”
Glazer added, “We recognize that the actions we have taken in response to the market environment and COVID-19 have affected them both professionally and personally. We deeply appreciate their efforts going forward as we begin the process of reopening stores to conduct liquidation sales... The health and safety of our associates and guests is of the utmost importance to us. We will continue to follow health authorities’ recommendations and industry best practices as we reopen to ensure our associates and guests feel comfortable shopping in our stores.”
In addition, Stage Stores said that Executive Vice President and Chief Financial Officer Jason Curtis is leaving the company to pursue a career with another retailer, effective May 22, 2020.