WREG.com

Charlotte Russe closing all stores; liquidation sales start Thursday

SAN DIEGO, Calif. – Women’s clothing retailer Charlotte Russe will close all its stores just a month after filing for Chapter 11 bankruptcy protection.

Wednesday night, the company posted on its website that its online store had closed. A going out of business sale starts Thursday, March 7 at all its remaining stores.

In February, the company filed for Chapter 11 and said it planned to close 94 locations. In the court filing, the company said it “suffered from a dramatic decrease in sales and in-store traffic” and struggled with “the burden of maintaining a large brick-and-mortar presence.”

At the time of the Chapter 11 filing, Charlotte Russe had 500 stores in malls around the country.

According to the Wall Street Journal, the company was unable to secure a deal that would save the retailer before a deadline set by lenders.

The company is remains in negotiations to sell off its intellectual property, according to USA Today. On Wednesday, a judge approved the sale of Charlotte Russe’s assets to a liquidation company. The company has more than 8,700 employees, USA Today reported.