The Betsey Johnson fashion brand, which filed for Chapter 11 bankruptcy in April 2012, announced last week that they would be having a going-out-of-business sale beginning May 11, 2012, in both stores and online.
Savings on clothing, jewelry, and handbags at retail stores for the brand across the United States, Canada, and United Kingdom will range from 20 - 50 percent, as well as furniture like shelves and lighting, which will be sold at shops around the world, according to a press release issued on May 10, 2012. All the stores will honor gift cards until June 1, 2012, and all sales after the start of the sale will be final. Investment firms Gordon Brothers Group and Hilco Merchant Resources took charge of the going-out-of-business sales on the behalf of Betsey Johnson.
"While the sales are ongoing, Betsey Johnson customers are still our main priority. We hope that they use this opportunity to find great discounts on all of the latest Betsey Johnson fashions," Jonathan Friedman, Chief Operating & Financial Officer of Betsey Johnson LLC, said in the press release issued by Gordon Brothers Group. "I recommend that customers shop early so that they can take advantage of the sale, as merchandise will not be replenished once it has been sold."
The company found by fashion designer Johnson, who found her label in 1978, was said to have filed for bankruptcy protection due to poor performances in its 63 retailers, including 54 stores and nine outlets, in North American and the U.K., according to an April 26 report in the Wall Street Journal. The company that owns the Betsey Johnson license, Steven Madden Ltd, according to what a source close to the bankruptcy situation told the Journal, will probably keep four or five flagship shops in New York City, and possibly several other cities. Currently, Betsey Johnson is being represented by Goulston & Storrs, P.C. and Togut, Segal & Segal as counsel, and Richter Consulting, Inc., as financial advisors through the Chapter 11 proceedings, as listed in the May 10 press release.
"Discounts on this brand are uncommon so we expect merchandise will sell out quickly. We strongly encourage customers to shop early while the greatest selection of sizes and designs are still available," said Robert Grosskopf, Principal & Managing Director, Retail Division, Gordon Brothers Group and Michael Keefe, President & CEO, Hilco Merchant Resources, in a joint statement.
