Coldwater Creek Inc., the Sandpoint-based women’s clothing retailer, announced this morning that the company and all of its subsidiaries filed for Chapter 11 bankruptcy.
The company said in a press release that its stores and website are open for business, and it plans to start liquidating its inventory in early May.
Jill Dean, Coldwater Creek President and CEO, said in the release, “The board of directors has determined that the actions we are taking represent the best path forward for Coldwater Creek and its stakeholders. While we are extremely disappointed with this outcome, the company’s declining liquidity position and the challenging retail environment, together with the fact we have exhausted all other possibilities, requires that we take this action.”
The company says the plan of liquidation, which is subject to U.S. Bankruptcy Court approval, doesn’t contemplate any recovery for holders of the company’s common stock. The company expects its common stock will be suspended from trading by Nasdaq and that the stock eventually will be delisted. As of 8:50 a.m. Pacific time, however, the company stock still was trading on Nasdaq at 13 cents a share.
As of last fall, Coldwater Creek had 6,600 employees companywide and just more than 350 retail stores.
Subscribe today to our free E-Newsletters!SUBSCRIBE