After more than 50 years, youth-oriented women’s apparel retailer The Limited decided to shut all of its 255 stores. Shortly therefore, the company entered into Chapter 11 bankruptcy.
This is the current screen shot at its Web site.
“According to Fortune, Sun Capital Partners sent a letter to investors explaining that it had invested 1.8 times its $50 million investment in Limited stores. The disclosure outlines how the private equity firm will still be able to garner a profit from the investment, despite the fact that the equity value of Limited has been written down to zero.”
“’We have worked very hard and made significant investments over nine years to improve operations and create a sustainable business at the Limited,’ Sun Capital told Reuters in an E-mailed statement. ‘In an increasingly challenging environment for mall-based retail and women’s apparel, we are very disappointed that the company has had to make the difficult decision to close its retail locations.’”
“All brick-and-mortar locations of the Limited were closed effective Jan. 8.”