New York & Company’s parent company RTW Retailwinds is the latest chain to file for bankruptcy as the coronavirus has piled additional pressure on an already challenging retail landscape. The company filed for Chapter 11 protection on July 13. It plans to permanently close most, if not all, of its stores and has begun liquidation sales.
The news affects 10 of the women’s clothing stores on Long Island, including four in Suffolk County — Smith Haven Mall in Lake Grove, Mayfair Shopping Center in Commack, Tanger Outlets in Deer Park and the Riverhead Outlet in Riverhead.
“The combined effects of a challenging retail environment coupled with the impact of the coronavirus pandemic have caused significant financial distress on our business, and we expect it to continue to do so in the future,” RTW Retailwinds CEO and CFO Sheamus Toal said in a statement.
“As a result, we believe that a restructuring of our liabilities and a potential sale of the business or portions of the business is the best path forward to unlock value.”
Neiman Marcus, J.Crew, Sur la Table, Dean & Deluca, J.C. Penney, Brooks Brothers, and Gold’s Gym have also sought bankruptcy protection amid the COVID-19 global pandemic.