Conshohocken, Pennsylvania-based wedding retailer David’s Bridal Inc. today filed for Chapter 11 bankruptcy in Delaware.
The company, which has stores in Brookfield and Greenfield, says in a statement on its website that it plans to undergo financial restructuring while remaining operational.
“Our 300+ stores will continue operating, and all orders and alterations will be delivered as promised,” says chief executive officer Scott Key in the statement. “We are, and will continue to be, open for business.”
David’s expects the financial restructuring will reduce its debt by more than $400 million and “provide significant financial flexibility to support long-term growth prospects.”
David’s Bridal was established in 1950 as a family-owned salon and has expanded to more than 300 stores in the U.S., UK and Mexico. The company estimates it dresses nearly 60 percent of U.S. brides. David’s Bridal sells bridal and bridesmaid dresses, accessories and shoes, as well as wedding gifts and decorations, and prom dresses.
The restructuring is expected to be completed by early January.
“Today’s announcement is just the next step in our efforts to proactively secure David’s Bridal for a long, successful future,” Key said in a press release. “We are implementing our consensual restructuring plan from a position of strength and, with the support of our lenders, noteholders and equity holders, the plan will allow us to reduce our debt significantly while continuing to run our business as usual. We will be able to move through the court process very quickly, and in the end, we will be able to allocate even more of our resources towards making strategic investments in digital technologies and talent that will drive long-term growth and operational excellence at David’s Bridal.”
