Bankruptcy? Texas, Louisiana Fashion Retailer Said to be ‘On the Verge’

(KMDL-FM) The landscape inside malls in Texas and Louisiana has certainly changed over the past decade. Incredible retailers with a storied pedigree have been falling by the wayside at places like The Galleria in Houston and Dallas, The Vista near Lewisville, The Mall of Louisiana in Baton Rouge, and Acadiana Mall in Lafayette.

It now appears as if another well-known retailer that was quite a fixture in shopping malls across the Gulf South and the country could be heading in the wrong retail direction as well.

How Many Locations in Louisiana and Texas Could Be Affected?

According to reports on some financial sites, the company has skipped paying rent at several locations throughout the country. The company operates 132 stores in Texas, which is the state with the most locations. Texas is followed by California with 116 and Florida with 80.

Louisiana currently has 22 stores. Those outlets are located in Hammond, Lafayette, Metairie, New Orleans, Houma, Alexandria, Slidell, Bossier City, Ruston, and Shreveport.

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The fact that this well-known retailer has opted not to honor rental agreements for not only July but for June has really fueled the fire that some kind of financial restructuring is in the immediate future. In fact, the respected financial news source Bloomberg is citing sources close to the company, suggesting that the company would file for Chapter 11 bankruptcy before the end of the week.

For the sake of clarity, we should remind you that this purveyor of jewelry and fashion accessories targeted mainly at young women has already been involved in a bankruptcy restructuring. That happened back in 2018, and some close to the situation say the retailer never fully recovered from that.

If you have figured out who the rumors of bankruptcy are swirling about. It's all about the iconic fashion and jewelry retailer Claire's. Since 1974, the brand has been a fixture in shopping centers and shopping malls across the country. Its primary focus has been serving the fashion, jewelry, piercing, and cosmetic needs of young women.

Will Claire's Be Closing Stores in Louisiana and Texas?

Claire's target demographic is young women who are considered "tweens", "teens", and young adults. The company has served that customer base through some 2,300 outlets over the decades

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It is unclear what a Chapter 11 bankruptcy filing would do to the brand. Most of the rumors on the financial pages suggest the company will seek to find a buyer. Should that not come to fruition, it is possible that stores and retail outlets could be shuttered, but all of that is speculation at this time.