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The problem with retailers filing for Chapter 11 protection these days – and the reason this downturn is so different from previous ones – is that lenders are reluctant to get involved with any reorganization. So instead of emerging from bankruptcy, merchants are being forced to liquidate. That's what happened with Mervyns and Linens 'N Things and it might still happen to fashion retailer Steve & Barry's. Just a couple of months ago the company had a reorganization plan that involved the closing of 100 of its stores. Now, according to the WSJ, the company is likely to liquidate the entire chain. No details on what's going on. Steve & Barry's is well represented throughout Socal.
Mark Lacter created the LA Biz Observed blog in 2006. He posted
until the day before his death on Nov. 13, 2013.