With many stores already struggling, the coronavirus pandemic is starting to see retail casualties with J.Crew becoming the first major retailer to file for bankruptcy protection during this time.
According to CNN, on Monday J. Crew announced it has filed to begin Chapter 11 proceedings in Virginia and has reached a deal with its lenders to convert approximately $1.65 billion in debt into equity.
In a statement, the company said its Madewell store chain will remain part of the J.Crew group and the retailer’s eCommerce businesses will continue to operate. J. Crew also plans to re-open retail locations as soon as the stay-at-home orders are lifted.