Blog: Leonie BarrieMervyns’ future looks bleak

Leonie Barrie | 30 July 2008

Mervyn's is the latest US retailer to join an ever-lengthening list of companies who have filed for bankruptcy this year. Steve & Barry's, Shoe Pavilion and Goody’s are just three that have succumbed in recent months.

The department store chain says it has a US$465m debtor-in-possession funding, and intends to remain open during the bankruptcy process. But a long-term turnaround plan put into place earlier this year, and which included a focus on markdowns and promotions, has clearly proved to be less then effective in recent months as the retail market has slowed.

It’s future, and that of other mid-tier retailers, depends on whether or not it can find another way to draw back consumers who are currently seeking bigger bargains at discount stores.

US: Mervyns files for Chapter 11 bankruptcy protection


Ethiopia unrest a sourcing risk?

Fashion retailer H&M and UK based glove and leather manufacturer Pittards both say they are monitoring the situation in Ethiopia closely after the country's government declared a state of emergency af...


Asia facing up to increased competition

Increasing competition for garment sourcing contracts is seeing China not only being challenged by other countries in Asia, but by sub-Saharan African and even Russian suppliers too. And it is pushing...


Cambodia raises garment worker wages

The monthly minimum wage for workers in Cambodia's textile, garment and footwear sector is set to rise to $153 from January next year, following a vote on the issue last week. The increase marks a ris...


Sportswear initiatives start to take shape

The results of two highly-anticipated initiatives in the sportswear sphere were revealed last week: the launch of Under Armour’s new UAS lifestyle brand and the first pair of running shoes created at ...

just-style homepage

Forgot your password?