Coldwater Creek Files For Bankruptcy, Plan To Close Next Month
SANDPOINT, Idaho (AP) — The women's clothing retailer Coldwater Creek has filed for Chapter 11 bankruptcy protection after failing to find a potential buyer or a source of capital to help fund its turnaround efforts.
The retail chain said it spent the past six months evaluating its options, but that its declining financial liquidity, tough retail conditions and its inability to find other viable options drove it to file for bankruptcy protection.
Coldwater Creek's stores are still open and selling clothing and other goods to shoppers, as is its website.
The company said Friday that it expects to start sales to liquidate inventory in early May. It plans to hold going out of business sales in the coming months.
Coldwater Creek Inc. is getting $75 million in debtor-in-possession financing from existing lender Wells Fargo to help it wind down its business.
The women's clothing store has 11 locations in Minnesota, including a store in the Crossroads Shopping Center in St. Cloud.