MAHWAH, N.J. — The parent company of Ann Taylor, Loft and Justice says it will close all of its clothing stores in Canada.
The closures are part of the Chapter 11 bankruptcy proceedings and restructuring the Mahwah, New Jersey-based Ascena Retail Group Inc. has begun in the wake of COVID-19.
According to their websites, there are four Ann Taylor, nine Loft and 37 Justice stores in Canada.
Ascena operates 2,800 apparel shops internationally, but says it will begin its restructuring by closing its entire footprint in Canada, Puerto Rico and Mexico.
In the U.S., where Ascena has most of its stores, a “significant” number will close, but the company will try to continue operating an undisclosed number of locations.
Ascena is able to keep some locations in the U.S. open because it has reached an agreement with creditors that will reduce its debt by $1 billion and the company has received $150 million in new financing.
This report by The Canadian Press was first published July 23, 2020.
