Bargain chain Century 21 to shut down after nearly 60 years, Retail News, ET Retail
NEW YORK : Century 21 Shops – a place for deal hunters on the lookout for unwanted fat promotions on designer attire and sneakers, cosmetics and housewares for just about 60 yrs – has filed for Chapter eleven personal bankruptcy and is winding down its business, shutting all thirteen outlets across New York, New Jersey, Pennsylvania and Florida.
Century 21 joins additional than two dozen stores who have filed for personal bankruptcy considering the fact that the pandemic, which forced non-important outlets to quickly close.
In a assertion, the New York-primarily based business explained that the determination followed nonpayment by the company’s coverage providers of somewhere around $175 million owing below procedures place in area to defend against losses stemming from business interruption. Insurance income served it rebuild its flagship shop, a magnet for locals and vacationers in downtown Manhattan immediately after it was broken by the nine/eleven assaults, the business explained.
“We now have no feasible choice but to start out the closure of our beloved family business for the reason that our insurers, to whom we have paid significant rates each 12 months for protection against unexpected conditions like we are experiencing currently, have turned their backs on us at this most essential time,” explained Century 21 co-CEO Raymond Gindi in assertion.
Gindi explained that if Century 21 had received “any meaningful portion” of the coverage proceeds, it would have been ready “to preserve thousands of jobs and weather conditions the storm in hopes of a different incredible recovery.”
The business explained that it is removing to the personal bankruptcy courtroom a lawsuit pending in the Supreme Court docket of the Condition of New York against a number of of its coverage providers primarily based on their failure to compensate the business for its losses below the procedures. The business is requesting that the personal bankruptcy courtroom expedite the adjudication of the accommodate for the advantage of its stakeholders.
Century 21 states it is beginning heading-out-of business income at all of its outlets and on the web.
