Mall staple Claire’s to close numerous stores, files for bankruptcy
Claire’s is seeking “strategic alternatives” through Chapter 11 bankruptcy and is planning to close 18 U.S. stores as it navigates economic pressures.
Mall jewelry chain Claire’s has filed for bankruptcy for the second time in seven years, and a Washington state store outside Seattle has been identified for closure.
However, the majority of Claire’s locations in the U.S. and the rest of North America will remain open as the company “continues to explore all strategic alternatives,” according to a news release issued Aug. 6, by parent company Claire’s Holdings LLC and Claire’s U.S., which operates Claire’s and Icing stores in the U.S.
Illinois-based Claire’s has continued to struggle since a March 2018 bankruptcy filing. The rise of ultra-popular fast fashion websites Shein and Temu has cut into sales for the jewelry store chain, which has 1,326 company-operated stores in the U.S. Other detrimental factors: rising interest rates, inflation, and tariffs on goods from China.
Known for its ear piercings and teen fashion accessories, the chain joins other companies facing bankruptcies and store closings such as At Home, Joann Fabrics, JCPenney, Big Lots, Macy’s and Party City.
Here’s what to know about Claire’s stores, which are closing in Washington and across the United States.
Which Claire’s and Icing stores are closing?
A total of 18 Claire’s and Icing stores will be closing, with clearance sales concluding no later than Sept. 7, according to the company’s court filings. Additional stores could close, the company said in the filing.
Here’s the current list:
Claire’s Stores closing (13)
- Woodinville Plaza, Woodinville, Washington (14011 NE Woodinville Duvall Rd #5, Woodinville, WA)
- Eastdale Mall, Montgomery, Alabama
- Newpark Mall, Newark, California
- Ford City Mall, Chicago
- Market Street, Lynnfield, Massachusetts
- Bay City Town Center, Bay City, Michigan
- Northtown Mall, Blaine, Minnesota
- Livingston Mall, Livingston, New Jersey
- Uniontown Mall, Uniontown, Pennsylvania
- Shops at Highland Village, Highland Village, Texas
- Pinnacle at Turkey Creek, Knoxville, Tennessee
- Junction Commons, Park City, Utah
- Provo Town Center, Provo, Utah
Icing stores closing (5)
- University Orem, Orem, Utah
- Galleria at Tyler, Riverside, California
- Woodland Mall, Grand Rapids, Michigan
- Greece Ridge, Rochester, New York
- Mall of Abilene, Abilene, Texas
How many Claire’s stores are in Washington state?
There are 23 Claire’s stores in Washington state, according to the company’s website.
Why is Claire’s filing for backtuptcy?
Ahead of the Aug. 6 bankruptcy filing, the company had sought to find a buyer for all or part of the business, and identified 18 stores it would close, according to filings in U.S. Bankruptcy Court in Delaware.
“This decision is difficult, but a necessary one. Increased competition, consumer spending trends and the ongoing shift away from brick-and-mortar retail, in combination with our current debt obligations and macroeconomic factors, necessitate this course of action for Claire’s and its stakeholders,” said Claire’s CEO Chris Cramer in the news release. “We remain in active discussions with potential strategic and financial partners and are committed to completing our review of strategic alternatives.”
Earlier this year, Claire’s deferred payments on debt interest as a way to conserve cash, Bloomberg reported. U.S. tariff policy uncertainties has led to concerns about Claire’s ability to pay a $475 million loan due in December 2026, according to Bloomberg.
Another sign of financial pressure and cash flow problems at Claire’s: the company had increasingly fallen behind on its bills over the past year, according to Ragini Bhalla, spokesperson for business credit report provider Creditsafe.
“These patterns once again reveal that the retailer has been struggling to handle its financial obligations and delaying paying more of its outstanding bills,” she said in July 30 report shared with USA TODAY.
Contributing: Greta Cross and Kathryn Palmer, USA TODAY
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