Wedding retail giant David’s Bridal has filed for bankruptcy, it announced on Monday.
This is the second time the Pennsylvania-based company has applied for bankruptcy in five years. The first one was in November 2018.
In a release, David’s Bridal stated that it’s also applying for bankruptcy for its businesses in Canada and the UK. According to court documents, the company is US$257 million in debt.
A Department of Labor & Industry notice states that the company plans to lay off at least 9,236 employees in the next few months. Daily Hive has contacted David’s Bridal to determine what this means for its Canadian stores.
According to their website, David’s Bridal currently has 12 locations across Canada.
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Despite the announcement, the company “intends to continue operating in the ordinary course, including fulfilling all customer orders without disruption or delay.”
David’s Bridal’s Diamond program members can continue to earn and redeem rewards. Gift cards will also be honoured, and customers can still return and exchange purchases.
After being in business for 70 years, David’s Bridal faces closure if it doesn’t find a buyer.
“Our business continues to be challenged by the post-COVID environment and uncertain economic conditions, leading us to take this step to identify a buyer who can continue to operate our business going forward,” said James Marcum, chief executive officer of David’s Bridal.
“We are determined to stay focused on our future because we believe we have an important role in ensuring that every bride, no matter her budget, can have her perfect dress.”
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