Latest news with #LiberatedBrands
Yahoo
2 days ago
- Business
- Yahoo
Popular women's retailer closing 30% of its stores
Popular women's retailer closing 30% of its stores originally appeared on TheStreet. For those of us old enough to have been shopping at malls for decades, it's been awfully strange to watch retailers that have been around forever closing their doors permanently. Perhaps one of the strangest to see go was Forever21, the fast-fashion brand once so popular that people stood in long lines at their retail stores to snap up too-cheap-to-believe deals. 💵💰💰💵 But the company was eventually overtaken by similar low-cost online retailers like Shein and Temu, and eventually had to admit defeat after declaring Chapter 11 bankruptcy twice. It closed the last of its physical locations at the beginning of May, vanishing into the ether as if it never is another mall staple that's been around seemingly forever. But as fewer people flock to department stores to buy clothing and home goods in favor of buying them online or from discount stores like Home Goods, Macy's has been forced to downsize. The company announced in January that it would close 66 of its locations this year as part of a plan to close 150 "underproductive stores" through 2026. So, while it's still afloat, it's obvious that it's struggling in the current climate. You may also see specialty stores like Volcom, Billabong, and Quicksilver disappear from your local mall soon. Parent company Liberated Brands filed for Chapter 11 bankruptcy in February and plans to close 100 locations, although the brands themselves will live on thanks to a well-timed save from an unnamed buyer. Now, another mall staple has announced that it will make major cuts to its locations, which means it may vanish from your local mall soon. Torrid, the plus-sized women's clothing store founded in 2001, announced during its Q1 earnings call that it was planning to downsize its retail footprint due to customer preference for online shopping. 'Digital continues to be our customers' preferred channel, now approaching 70% of total demand," CEO Lisa Harper said during the call. "We're accelerating our transformation to a more digitally-led business, which includes optimizing our retail footprint."Harper went on to say that Torrid will close up to 180 underperforming stores this year, allowing the business to "reduce fixed costs and reinvest in areas that drive long-term growth, including customer acquisition and omnichannel enhancements." The fashion retailer currently operates 632 locations. The majority of the store closures are likely to happen in Q4, according to William Blair analysts Dylan Carden and Anna Linscott in talks with RetailDive. The company also reported a drop in net sales of 5% year over year and a net income drop of more than half, which may also be motivating this move. Torrid, however, sounds prepared to be resilient. "Leveraging the deep connection with our existing customers, of which 95% are engaged in our loyalty program, combined with strategic and targeted acquisition and retention efforts, this digital transformation will position us for efficient and accelerated top and bottom-line growth," Harper said during the earnings call. Harper also said that Torrid plans to refresh 135 stores in Q3, which she called 'low-capital investments with an expected fast return.' Despite only making up a quarter of its sales, Harper told analysts that its brick-and-mortar locations still played an important role for the brand. Stores 'serve as community hubs and immersive brand-building experiences, introducing customers to our brand and sub-brands, offering the dressing room experience, and acting as service centers for purchases made online or in stores,' she said. 'Most importantly, our passionate sales associates bring the brand to life, delivering personalized service that deepens customer connection and drives long-term loyalty.'Popular women's retailer closing 30% of its stores first appeared on TheStreet on Jun 6, 2025 This story was originally reported by TheStreet on Jun 6, 2025, where it first appeared. Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
07-02-2025
- Business
- Yahoo
Quiksilver, Billabong and Volcom stores are closing in the US in 2025
Quiksilver, Billabong, and Volcom, known for their surf and skate products, are closing stores in the United States. The parent company of the brick-and-mortar stores, Liberated Brands, filed voluntary Chapter 11 bankruptcy on Sunday, which will result in over 100 retail locations across the country being shuttered, according to a filing. The company attributes its financial difficulties to several factors, including inflation demands as well as a significant change in consumer spending habits. ABC News has reached out to Liberated Brands for comment but has not yet received a response. "The Liberated team has worked tirelessly over the last year to propel these iconic brands forward, but a volatile global economy, consumer spending changes amid a rising cost of living, and inflationary pressures have all taken a heavy toll," Liberated Brands said in a statement, according to Financier Worldwide. The statement continued, "Despite this difficult change, we are encouraged that many of our talented associates have found new opportunities with other license holders that will carry these great brands into the future." The brands themselves are expected to continue under new management, the company said in a statement. The announcement of these store closings follows other huge department stores such as Macy's, Kohl's and more that are also closing their doors at locations throughout the U.S. In January, Macy's announced the closure of 66 Macy's non-go-forward store locations. Macy's said it intended to close almost 150 underproductive stores in total over a three-year period. These closures are a part of the Bold New Chapter strategy, which was announced in February 2024, with the goal of returning 'the company to sustainable, profitable sales growth,' the company said. Kohl's also announced last month that it would be shuttering 27 underperforming stores and all would occur by April. "As we continue to build on our long-term growth strategy, it is important that we also take difficult but necessary actions to support the health and future of our business for our customers and our teams," said Tom Kingsbury, Kohl's chief executive officer, in a statement. Quiksilver, Billabong and Volcom stores are closing in the US in 2025 originally appeared on
Associated Press
07-02-2025
- Business
- Associated Press
Quiksilver, Billabong and Volcom stores across the US will close as operator files for bankruptcy
NEW YORK (AP) — Outdoor apparel seller Liberated Brands, which has operated stores for surfer and skater-inspired labels like Quiksilver, Billabong and Volcom, filed for bankruptcy this week — and plans to shutter its locations across the U.S. Liberated filed for Chapter 11 bankruptcy protection in Delaware court on Sunday. In court documents, the California-based company said it would be winding down and liquidating its North American business after struggling with a series of macroeconomic shocks, supply chain troubles and falling profits due to 'fast fashion' rivals. 'The Liberated team has worked tirelessly over the last year to propel these iconic brands forward, but a volatile global economy, consumer spending changes amid a rising cost of living, and inflationary pressures have all taken a heavy toll,' Liberated Brands said in a statement. According to court filings, Liberated has decided to close all 124 of its U.S. brick-and-mortar stores, close its corporate offices and lay off nearly 1,400 employees. The liquidation sale process is already underway — and the company confirmed in a Monday press release that more than 100 stores will close after completion. But the exact timing is still unclear. The status of nine Hawaii locations are still in negotiations, Liberated said. While Liberated is working to shutter the vast majority — if not all — of its U.S. stores, popular brands like Quiksilver, Billabong and Volcom aren't going away. Those and other labels are owned by Authentic Brands Group, which partnered with Liberated to license U.S. operations. Authentic confirmed to The Associated Press on Friday that all licenses previously held by Liberated were transitioned to new partners prior to the bankruptcy filing. 'We've been working closely with Liberated Brands to thoughtfully transition key licenses to trusted operators within our network,' David Brooks, Authentic's EVP of action and outdoor sports, lifestyle, said in a statement. Brooks added that Liberated's U.S. store fleet was 'overinflated' and 'burdened with outdated and underperforming locations' — and that physical U.S. locations 'will likely be rationalized' in the future, perhaps with a stronger presence through department stores or e-commerce platforms. Beyond Quiksilver, Billabong and Volcom, Liberated has also operated stores or sold apparel for brands like Spyder, RVCA, Roxy and Honolua. Back during the height of the COVID-19 pandemic, as more and more consumers turned to outdoor activity or leisure apparel, Liberated reported soaring demand. But the company later struggled to keep up with larger macroeconomic headwinds — like inflation, supply chain disruptions and slowing customer demand, Liberated CEO Todd Hymel said in a sworn declaration. That 'combination of macroeconomic shocks' resulted in a 'lethal combination of significantly lower revenue,' Hymel wrote. Brick-and-mortar retails also continued to struggle after online shopping skyrocketed during the pandemic, he added. And he also pointed to the impact of 'fast fashion' on the industry. 'Consumers can cheaply, quickly, and easily order low-quality clothing garments from fast fashion powerhouses and have such goods delivered within days,' Hymel said — noting that Liberated and others have 'suffered from decreased profit margins after losing part of their overall market share and pricing power to fast fashion.' Beyond the U.S., Liberated says it sold apparel to customers in more than 100 countries to date. This week's bankruptcy documents note that the company currently operating regional headquarters in North America, Europe, Japan and Australia. But, in addition to winding down its North American business, court filings the company is also anticipating one or more sales of other operations worldwide 'either on a going-concern or liquidation basis.'
USA Today
07-02-2025
- Business
- USA Today
Billabong, Quiksilver and Volcom stores to close in US after operator files for bankruptcy
Three popular surf, skateboarding and swimwear retailers will close their doors in the United States after their Costa Mesa, California-based operator filed for Chapter 11 bankruptcy. All Billabong, Quiksilver and Volcom stores will close in the U.S. after their operator, Liberated Brands LLC, filed for bankruptcy on Sunday in the U.S. District of Delaware. Liberated Brands has 124 retail locations across the country, which also include the brands: Spyder, RVCA, Roxy and Honolua. In a declaration supporting the bankruptcy, Todd Hymel, CEO of Liberated Brands, said, "Macroeconomic issues, including a rapid and dramatic rise in interest rates, persistent inflation, supply chain delays, a decline in customer demand well below the historical trendline, shifting consumer preferences, and substantial fixed costs placed significant pressure on Liberated's revenue and cost structure." 'The Liberated team has worked tirelessly over the last year to propel these iconic brands forward, but a volatile global economy, consumer spending changes amid a rising cost of living, and inflationary pressures have all taken a heavy toll,' Liberated Brands said in a statement sent to USA TODAY. Liberated owes $83 million in secured debt and $143 million in unsecured debt, according to Hymel's declaration. Secured debts involve borrowers who put up assets to serve as collateral for a loan, while unsecured debts accumulate when a borrower does not put up any security or assets often requiring creditors to file lawsuits to be repaid. Earn rewards on your spending: Best credit cards for shopping USA TODAY contacted Liberated Brands on Friday but has not received a response. Stores closing:Bargain Hunt is closing all locations after bankruptcy filing, going-out-of-business sale When will Billabong, Quiksilver and Volcom close? A pop-up on Billabong's, Quiksilver's and Volcom's U.S. websites notifies customers of the bankruptcy filing and informs them that they will no longer accept gift cards as a form of payment online or in-store after Feb. 16. It is unclear if the retail stores plan to close by Feb. 16., but a separate declaration supporting the bankruptcy said Liberated Brands had about $3.3 million of cash on hand on Monday, which would only support its operations for one week. The seven brands operated by Liberated may not be gone forever as the company announced that it is "transitioning its brand licenses to new license holders as part of a management transition to ensure continuity for the brands and their success moving forward," according to the company's statement. 'Despite this difficult change, we are encouraged that many of our talented associates have found new opportunities with other license holders that will carry these great brands into the future," the statement continued. Until Libertated Brands enforces the closures of its more than 100 U.S. stores, the locations will "remain open and continue serving customers," according to the statement. Who owns Billabong, Quiksilver and Volcom? As a licensee, Liberated operated Billabong, Quiksilver, Volcom and the other four brands, which are owned by Authentic Brands Groups, a global brand development company. From 2019 to 2025, Liberated maintained the brands' operations across the world for Authentic, including in the U.S. and Canada, Hymel said in his declaration document. In a statement sent to USA TODAY, Authentic said, "All licenses that were held by Liberated were transitioned to new partners prior to the bankruptcy." 'Our industry is more competitive than ever, and throughout this process, we've remained focused on the wellbeing of our partners, providing support to our licensee, Liberated Brands as they evaluate their opportunity to reorganize their business and regain profitability. At Authentic, our primary responsibility is to our beloved brands and to their loyal fans and customers," the company's statement reads. "To that end, we've been working closely with Liberated Brands to thoughtfully transition key licenses to trusted operators within our network. Liberated's U.S. store fleet was overinflated, burdened with outdated and underperforming locations. As a result, physical U.S. based stores will likely be rationalized, allowing the brands to create more value and strengthen their presence across specialty retailers, department stores, and e-commerce—ensuring a more agile and resilient future.' What did Liberated do before filing for bankruptcy? As Liberated Brands "faced significant liquidity challenges in 2024," the company did try to stabilize the business, Hymel said in his declaration document. According to Hymel, the company tried to seek potential investments in the business from financial and strategic parties, as well as from its existing equity holders; explore a sale to sell the business; renegotiate leases with various landlords; implement a hiring freeze and strategic reduction in force; and negotiate payment plans with vendors. Liberated Brands' attempts to recover the business were unsuccessful, and by December 2024, the company's North American license rights for its wholesale operations under the Volcom, RVCA and Billabong brands were terminated, Hymel said.
NBC News
06-02-2025
- Business
- NBC News
All Quiksilver, Billabong and Volcom stores to close in U.S.
All Quiksilver, Billabong and Volcom stores will close in the U.S. after their operator filed for bankruptcy. Altogether over 100 stores for the brands, that sell apparel for skaters, surfers and snowboarders, will close their doors. Liberated Brands filed a voluntary petition for Chapter 11 bankruptcy protection on Sunday in Delaware bankruptcy court. 'The Liberated team has worked tirelessly over the last year to propel these iconic brands forward, but a volatile global economy, consumer spending changes amid a rising cost of living, and inflationary pressures have all taken a heavy toll,' Liberated Brands in a statement, according to Financier Worldwide. 'Despite this difficult change, we are encouraged that many of our talented associates have found new opportunities with other license holders that will carry these great brands into the future.' Todd Hymel, the CEO of the Costa Mesa, California, based company, said in a declaration of support for the bankruptcy filing that a 'rapid and dramatic rise in interest rates,' inflation, supply chain delays, a decline in customer demand and shifting consumer preferences, cast 'significant pressure' on the operator. He noted that during Covid-19 pandemic the brands saw a boom in business. During that time, Liberated expanded its retail footprint rom 67 to 140 stores, Hymel wrote. However, as the pandemic ended and interest rates and inflation went up, customer demand weakened. The pandemic also saw an increased demand for online shopping, and led Liberated's brick-and-mortar retail footprint to impose 'a further drag on profitability.' Hymel also said consumer demand toward 'fast fashion' contributed to a decrease in profits. Fans of the labels won't have to fear, though, as parent company Authentic Brands Group said it will transition to another operator.
