Kids’ clothing store Gymboree has filed for Chapter 11 bankruptcy protection and plans to close between 375 and 450 of its 1,281 stores, the company announced Monday.
It is the latest major retailer facing financial problems and significant store closures this year.
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Gymboree signed a restructuring support agreement with a majority of its lenders in hopes of cutting its $1.4 billion debt by more than $900 million, a press release said. Cutting the number of stores will allow the company to reach the “right size store footprint,” President and CEO Daniel Griesemer said in the release.
The company hasn’t determined which stores will close. There are a dozen Gymboree stores in metro Atlanta:
- Lenox Square, 3393 Peachtree Rd. N.E. No. 4060, Atlanta
- Cumberland Mall, 1331 Cumberland Mall No. 220, Atlanta
- Perimeter Mall, 4400 Ashford-Dunwoody Rd. N. 1610, Atlanta
- Avenue at East Cobb, 4475 Roswell Rd. No. 930, Marietta
- The Forum at Peachtree Parkway, 5155 Peachtree Pkwy. No. 323, Norcross
- Gwinnett Place Mall, 2100 Pleasant Hill Rd. No. 226, Duluth
- Town Center at Cobb, 400 Ernest W. Barrett Pkwy. No. 167, Kennesaw
- Avenue at West Cobb, 3625 Dallas Hwy. No. 450, Marietta
- Avalon, 4140 Avalon Blvd., Alpharetta
- Sugarloaf Mills, 5900 Sugarloaf Pkwy. No. 585, Lawrenceville
- Shoppes at Webb Gin, 1350 Scenic Hwy. No. 616, Snellville
- Mall of Georgia, 3333 Buford Dr. No. 1082, Buford
Credit consulting service F&D Reports said earlier this year that Gymboree was one of 34 corporations likely to close or go bankrupt in 2017.
In April, electronics and appliance retailer HHGregg announced it was closing all its stores, including 12 in metro Atlanta. Payless ShoeSource announced it was closing four of its metro Atlanta stores. And last week Ascena Retail group — which owns Ann Taylor, Dress Barn, Loft, Lane Bryant, Justice, Maurices and Catherines — announced its plans to close 250 locations.
Department stores including Macy's, Kmart, Sears and JCPenney have also all announced store closures.
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