Forever 21 Files for Bankruptcy Again
Forever 21 has filed for Chapter 11 bankruptcy protection for the second time, citing declining foot traffic in U.S. malls and increasing competition from online retailers like Amazon, Temu, and Shein. The retailer operates stores at Northlake Mall in Charlotte, Carolina Place Mall in Pineville, and Concord Mills in Concord.
F21 OpCo, which runs Forever 21 stores, announced late Sunday that it will begin winding down its U.S. operations while exploring options for a potential partnership or sale of its assets. Liquidation sales will take place at U.S. stores, while the website will remain active during the process. However, Forever 21’s international locations, operated by other licensees, are not part of the filing and will continue business as usual. This is the retailer’s second bankruptcy filing, the first occurring in 2019.
