U.S. retail chain, Eddie Bauer Holdings Inc. filed Wednesday for Chapter 11 bankruptcy protection and entered into a deal worth $202 million with a private equity firm to buy the company’s assets.

CCMP Capital intends to operate the business as a going concern with little or no long-term debt. According to Eddie Bauer, CCMP Capital has agreed to keep a majority of the 371 stores open and retain a majority of the employees.

CCMP Capital specializes in buyouts and looks for investment opportunities in retail and other sectors.

The company has made investments in the outdoors specialty retailer Cabela’s, which sells hunting, fishing and camping gear. Eddie Bauer is known for its outdoor clothing.

“Eddie Bauer is a good company with a great brand and a bad balance sheet,” Neil Fiske, Eddie Bauer’s chief executive, said in a statement. “This process will allow the business to emerge with far less debt, positioned for growth as the economy recovers and as our new products gain traction. We expect this process to be completed very quickly, protecting our employees and critical vendor partners every step of the way.”

The Company plans to conduct business as usual through the process and has asked for court approval to continue paying product vendors and employees as usual. The Company intends to honor customer gift cards, returns and loyalty program points.