There’s more upsetting news on the retail front.
COVID-19 has led to the takedown of Le Chateau — an iconic Canadian retailer, based in Montreal.
In July we reported that there was trouble on the horizon for the company. Four months later, Le Chateau Inc. is seeking court protection from creditors as reported by CBC News.
Le Chateau is looking to sell off its remaining merchandise before shuttering 123 locations across Canada. Sadly, 1,400 employees will be impacted by the closure.
Apparently, the decision to close did not come without a concerted effort from the company. In a statement management said, “after having used its best efforts over the preceding months, with the assistance of professional advisers, to refinance or sell the company to a third party that would continue operating the business.”
For those who remember, Le Chateau enjoyed their hay-day in the ’90s and early 2000s with hip and trendy fashion. However, as we see the trend towards more sustainable and ethical practices in retail and away from fast fashion, the brand’s prominence in the Canadian retail space diminished.
So, after 60 long years, it is a bittersweet farewell to Le Chateau as they join the growing list of bankruptcies and store closures in 2020.
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