Rue21 closing all stores in bankruptcy
Retailer will hold ‘going out of business’ sales
Teen clothing retailer rue21 intends to close its almost 550 United States stores – including 12 in Wisconsin – amid a recent bankruptcy filing.
Rue21 did not issue a press release announcing the move, but Reuters reported that the retailer shared the plans in its bankruptcy filings in U.S. Bankruptcy Court in Delaware. The company said in those documents that it plans to close the stores within the next two months.
The company will hold “going out of business” sales and also intends to sell its intellectual property. Reuters reported that the company has about 4,900 workers, is $194.4 million in debt and the retailer has struggled by consumer’s pivot to online shopping.
This is the third rue21 bankruptcy filing — previous filings were in in 2003 and 2017. During the latter filing, the company close about 400 stores, Reuters reported.
USA Today reported that the company was founded in 1970 as Pennsylvania Fashions Inc. In 2003, it exited its initial bankruptcy and renamed itself rue21.
There are 12 rue21 stores in Wisconsin. Among those, there are two in Madison, one in Appleton, and two in the Milwaukee area.
The Milwaukee-area stores are at Southridge Mall in Greendale and at Brookfield Square Mall in Brookfield.
The Madison locations are at the East Towne Mall and the West Towne Mall.
Appleton’s location is at the Fox River Mall.
Other locations are in Baraboo, Eau Claire, Green Bay, Janesville, Johnson Creek, La Crosse and Oshkosh.