Bankruptcy In 2019: What Companies Have Filed For Chapter 11 Protection?

With 2019 only a little over a month in, there have already been several companies that have filed Chapter 11 bankruptcy protection thus far. As a consumer, you may be wondering if these companies will survive or if they will close for good. With restructuring plans in place for many of these businesses, it still remains to be seen what their fate will be. Here’s a look at the bankruptcies that have been filed so far this year.

PG&E

One of the most notable companies to bankruptcy in 2019 was utility company PG&E. Amid liability for the Northern California wildfires, PG&E filed bankruptcy on Jan. 29. The company was able to secure $5.5 billion in debtor-in-possession (DIP) financing.

Despite being cleared of liability in the Tubbs wildfire, which cut its $30 billion wildfire liabilities in half, PG&E continued forward with its bankruptcy filing. The company is awaiting approval by a bankruptcy judge in the U.S. Bankruptcy Court for the Northern District of California.

Shopko

Shopko announced that it filed for Chapter 11 bankruptcy on Jan. 16. The company will close 38 store locations and relocate 20 optical stores through the reorganization as it looks to continue operations. The company secured $480 million in DIP financing to “fund and protect its operation during the Chapter 11 process,” it said in a statement.

Charlotte Russe

Charlotte Russe filed for Chapter 11 bankruptcy protection on Monday. The company looks to shutter 94 store locations as part of its restructuring plan and has acquired $50 million in DIP financing. The women’s clothing retailer’s case is pending approval in the U.S. Bankruptcy Court for the District of Delaware.

Things Remembered

Personalized gift retailer Things Remembered filed for Chapter 11 bankruptcy protection while also being purchased by giftware and home décor company Enesco LLC on the same day. The purchase by Enesco “will preserve many jobs across Things Remembered stores, home office, fulfillment center and e-commerce operations,” the company said in a statement. Things Remembered has not said if the bankruptcy will affect store locations, but the company does have about $120 million in debt, the Warren Tribune Chronicle reported.

Gymboree

Children’s clothing retailer Gymboree filed for Chapter 11 bankruptcy protection for the second time in two years on Jan. 16. The company will close more than 800 Gymboree and Crazy 8 stores while it tries to sell its more upscale Janie and Jack brand. The company secured $30 million in DIP financing and held its case in the U.S. Bankruptcy Court for the Eastern District of Virginia.

FullBeauty

FullBeauty Brands, a plus-size women’s apparel company, filed for Chapter 11 bankruptcy on Feb. 3 with $1.2 billion in debt owed to its creditors. The company secured DIP financing and received bankruptcy approval in 24 hours, setting a record for the fastest bankruptcy turnarounds, Bloomberg reported.