Just days after announcing the closure of 42 stores, The Bon-Ton appears heading for bankruptcy.
On Friday, Reuters, citing sources familiar with the retailer, reported that the struggling department store chain has secured financing that will allow it to file for bankruptcy. The loan will allow the company to operate through bankruptcy, the report said.
Bon-Ton officials declined to comment on the report
Over the past six weeks, Bon-Ton’s financial difficulties led the company to delay an interest payment on a loan and put forth a turnaround plan in a filing with the Securities & Exchange Commission that included store closings, a reset of its product assortment and an enhanced focus on e-commerce.