Up to date on March nineteenth, 2025
If you happen to’ve bought a Endlessly 21 in your native mall, you would possibly need to store there quickly — it might be on the chopping block. The fast-fashion large filed for chapter in March and plans to carry liquidation gross sales at its U.S. shops. Right here is the latest timeline of occasions:
- February 19: In line with Bloomberg, Endlessly 21 is frantically looking for a purchaser and planning to shut 200 shops.
- February 27: USA Immediately experiences Endlessly 21 will lay off roughly 358 staff and shut its Los Angeles headquarters.
- March 17: AP experiences Endlessly 21 had filed chapter with plans to wind down operations. The corporate remains to be open to discovering a purchaser.
In an official assertion, the corporate’s CFO Brad Promote mentioned:
Whereas we’ve evaluated all choices to greatest place the Firm for the longer term, we’ve been unable to discover a sustainable path ahead, given competitors from overseas quick vogue firms, which have been capable of benefit from the de minimis exemption to undercut our model on pricing and margin, in addition to rising prices, financial challenges impacting our core prospects, and evolving client developments. As we transfer via the method, we are going to work diligently to attenuate the influence on our staff, prospects, distributors and different stakeholders.
A have a look at Endlessly 21
Endlessly 21 established its fame by promoting reasonably priced, fashionable clothes within the Eighties. The chain rapidly turned a fast-fashion favourite amongst youthful customers. By means of mall growth and its on-line presence, the corporate grew into a global model. Right here’s a have a look at our protection of Endlessly 21 through the years:
At its peak, Endlessly 21 operated greater than 500 shops worldwide. However altering client preferences — the broad shift to on-line procuring — and stiff competitors — from Temu and Shein — created points for the chain. Monetary struggles led to a 2019 chapter and a rash of retailer closures. Immediately, there are about 350 Endlessly 21 shops nonetheless open.
What’s subsequent for Endlessly 21
The corporate is working with a restructuring advisor to outline a sustainable path ahead. Decreasing prices and shutting unprofitable shops are key targets, together with discovering a purchaser. The official line as of February 2025 was this quote obtained by USA Immediately:
Endlessly 21’s working firm, which is the model licensee within the U.S., continues to discover strategic choices, together with a possible sale, whereas additionally decreasing prices and optimizing its retailer footprint. The efforts are ongoing and no remaining selections have been made concerning the end result of the method or the variety of shops which may be closed.
In late-February and early-March, experiences of retailer closures in Pennsylvania, Connecticut, and California have surfaced. Official chapter submitting information hit the wires in mid-March.
That doesn’t essentially imply the top for the Endlessly 21 model, nonetheless. Bear in mind what occurred to Mattress Bathtub & Past. After struggling for years, the model was bought out of chapter by Overstock. Overstock rebranded itself as Mattress Bathtub & Past, and the model stays alive on-line right this moment. After which there’s the Lord & Taylor saga. Lord & Taylor, as soon as a top-end division retailer, has been bought a number of instances to consumers with grand intentions of reviving the model. These efforts have failed up to now, however there’s one other one within the works.
Nonetheless, Foss notes that the Endlessly 21 model and mental property might not be a part of a chapter liquidation. May this imply a attainable reboot by the present proprietor group? Time will inform.
What went fallacious
Endlessly 21 seems to be one other retail sufferer of powerful instances. A worldwide pandemic adopted by an prolonged inflationary interval have expedited the demise of mall site visitors and the shift to on-line procuring. In the meantime, abroad on-line retailers have mimicked Endlessly 21’s providing: enormous choice, fashionable garments, and low cost costs. These retailers can compete extra successfully than Endlessly 21 as a result of they don’t have the burden of 100s of bodily retailer places.
The final time Endlessly 21 went bankrupt
In 2019, Endlessly 21 filed for Chapter 11 chapter safety. Then, analysts mentioned Endlessly 21 had expanded too rapidly simply as customers turned away from mall procuring. In the meantime, H&M and Zara did a greater job getting new stock into their shops and stole market share.
After the primary chapter, Endlessly 21 closed greater than 100 shops in 2020. The model was then rescued by a gaggle of traders. Genuine Manufacturers Group, Simon Property Group, and Brookfield Properties collectively paid $81 million for Endlessly 21’s belongings.
The hope was that new management would assist flip issues round, however right here we’re as soon as extra.
A retail shift
Sadly, Endlessly 21’s troubles usually are not distinctive. JCPenney filed for chapter in 2020, additionally asserting plans to shut 200 shops. Later that 12 months, the chain was purchased by Simon Property Group and Brookfield Asset Administration. These names ought to sound acquainted — they’re additionally concerned in Endlessly 21. Simon Property Group owns and operates malls. Brookfield is an asset supervisor and property supervisor.
In 2025, JCPenney introduced a “handful” of upcoming retailer closures.
Additionally in 2025, Kohl’s mentioned it will shut 27 shops. It is a small quantity in comparison with the chain’s complete retailer depend of 1,150. Ten of the deliberate closings are in California. Alabama, Arkansas, Colorado, Georgia, Idaho, Illinois, Massachusetts, New Jersey, Ohio, Oregon, Pennsylvania, Texas, Utah, and Virginia may even say goodbye to a minimum of one Kohl’s retailer.
Analysts largely agree on what’s occurring with these large retailers: Bodily shops are costly, competitors is hard, and extra client are staying house to buy. I’d love for readers to weigh in on this. Have your procuring habits modified within the final 10 years? How usually are you procuring in shops? While you store on-line, are you favoring completely different shops than you’d store in particular person? Tell us within the feedback.
