Gordmans files bankruptcy, plans to sell stores
The company announced it has entered into an agreement with Tiger Capital Group, LLC. and Great American Group, LLC for the sale in liquidation of its inventory and other assets.
For now, the chain will operate "as usual without interruption", Chief Executive Officer Andy Hall said in the statement.
We have bad news to report for fans of the Gordmans store in Woodbury: the Nebraska-based department store has filed for bankruptcy.
Apparel and home décor retailer Gordmans Stores, Inc., announced Monday it filed for bankruptcy.
Gordmans had posted losses in five of its last six quarters. He said less than one percent of the company's sales were made online in the past year. And in its most-recent quarter, it reported a 9.4 percent drop in same-store sales previous year. Its stock price fell to 6 cents a share Monday after the announcement.
The company estimated its debts total between $100 million and $500 million.
No timeline was given for when it plans to close its stores.
The two Gordmans stores total more than 100,000 square feet of retail space - almost a football field apiece.
Sun Capital Partners purchased Gordmans in September 2008.