CONSHOHOCKEN, Pa. — David’s Bridal Inc. filed for bankruptcy with a plan to cut debt by more than $400 million and a deal with lenders that will keep stores open during a reorganization.
The Chapter 11 filing in U.S. Bankruptcy Court in Delaware on Monday listed liabilities of more than $500 million and assets of more than $100 million. The court-supervised restructuring allows the business to keep operating, and thus avoid the calamitous and sometimes tearful impact on brides that often accompanies the collapse of wedding retailers.
David’s Bridal signed a restructuring support agreement with its main stakeholders before going to court that could speed the company through bankruptcy in a matter of weeks, and it doesn’t expect any major store closures or liquidations. The company had more than 300 outlets in the U.S., Canada, U.K. and franchise locations in Mexico as of mid-year.
