Does This News Mean Claire’s at the Mall is Closing?
But where are we gonna buy My Little Pony earrings now!?!?
Over 100,000,000 ears pierced. 40 years in business. And $1,900,000,000 in debt. What's happening to Claire's?
In short, the company is filing for Chapter 11 Bankruptcy, hoping to shed some of its almost two billion dollars in debt. The good news is, Claire's is making money. Just last year they billed $1,300,000,000 in revenue, but only $23,000,000 in profit. The scary part is, fellow retailer Toys R' Us is closing every store they own, so does that mean Claire's will be following suit?
Not so much, according to their Chief Executive Ron Marshall:
We will complete this process as a healthier, more profitable company, which will position us to be an even stronger business partner for our suppliers, concessions partners, and franchisees.
You can find Claire's inside Boise Towne Square Mall, along with 99% of America's shopping malls.
A little history: Claire's started way back in 1961 as a chain of wig shops in the south. A far cry from the ear-piercing jewelery megaforce they are today.