One of the top affordable men’s suits market player Men’s Wearhouse and JoS. A. Bank owner has filed for bankruptcy protection on Sunday owning to the coronavirus pandemic as the demand for office wears has nosedived as America corporate workers are working from home.
The Tailored Brands of the company has around 1,400 stores with 18,000 staffs working in them. Earlier it was announced in July to remove 20 percent of its corporate jobs and near 500 stores. Now according to the fresh information on Sunday the company is showing intention to cut its debt at the minimum by $630 million.
“Our enduring commitment to help customers look and feel their best will allow us to overcome the challenges of Covid-19,” Dinesh Lathi, chief executive of Tailored Brands said.
Renowned retailers like Neiman Marcus Group, J.Crew and J.C. Penney has also been hit hard by the pandemic and forcing them to filing bankruptcy. Earlier Lord & Taylor had also filed for bankruptcy several hours before Tailored Brands.
Brooks Brothers also faced the similar like other brands forcing to file for bankruptcy in early July.
American citizens either have been working from home or are unemployed and also there is a shutdown over proms and weddings because of which demand has been reduced a lot for company key products like men’s suits. It has been reported that in the last three months ending o n May 2, net sales fell to 60.4% compared to last year.
“They came out with an inexpensive option that allowed a guy to go in and buy everything from one place, all at a certain quality and all at a certain price point,” said Mark-Evan Blackman, assistant professor and men’s wear specialist at the Fashion Institute of Technology. “For many years, they were considered by certain customers to be the only game in town.”