Charlotte Russe Holdings Corp., owner of the popular shopping mall apparel brand Charlotte Russe, announced Sunday it has voluntarily filed for Chapter 11 bankruptcy.
The company will begin closing as many as 94 of its stores, according to a company news release, while seeking a going-concern sale of its business and assets. The closures will include Charlotte Russe's Hobart location in Southlake Mall, according to the company's bankruptcy filing.
The company currently operates 13 Charlotte Russe stores in Indiana and and more than 20 in the Chicago area, according to the store's website.
Six Illinois stores will close, including locations in Algonquin, Joliet, Lincolnwood, Lombard, Peoria and Skokie.
The company operates more than 500 Charlotte Russe stores in every state but Alaska, as well as 10 Peek Kinds brand stores and an e-commerce website.
Charlotte Russe Holdings Corp. has secured $50 million in debt financing, according to the company's bankruptcy filling. If approved in court, the funding will help finance operations and administration throughout the company's Chapter 11 proceedings.
Closing sales at stores to be shuttered will begin no later than Feb. 7, according to the bankruptcy filing, and conclude on March 31.
"Charlotte Russe and Peek stores and online platforms are currently open and continuing to serve customers," the company said in its news release. "The Company will provide more details about the plans for the closing locations of Charlotte Russe and Peek and their store closing sales in the near term."