Eddie Bauer said Monday that it has declared bankruptcy — the third time the 106-year-old outdoor apparel retailer has filed for Chapter 11 protection from its debts.
The Bellevue, Washington-based company, which operates roughly 180 stores across the U.S. and Canada, said its retail locations will continue serving customers as the company starts winding down some stores. Its e-commerce and wholesale operations are not affected by the filing because they are operated separately.
The bankruptcy doesn’t affect Eddie Bauer stores in markets outside the U.S. and Canada.
“This is not an easy decision,” Marc Rosen, CEO of Catalyst Brands, which holds the license to operate Eddie Bauer stores in the U.S. and Canada, said in a statement. “However, this restructuring is the best way to optimize value for the retail company’s stakeholders and also ensure Catalyst Brands remains profitable and with strong liquidity and cash flow.”
In recent years, the company has faced dwindling sales, supply-chain issues and what Rosen on Monday cited as “ongoing tariff uncertainty.”
“While the leadership team at Catalyst was able to make significant strides in the brand, including rapid improvements in product development and marketing, those changes could not be implemented fast enough to fully address the challenges created over several years,” he said.
Eddie Bauer launched in 1920 as a Seattle fishing shop, and became known for providing outerwear, including down jackets and sleeping bags, for the military during World War I. In 1963, Jim Whittaker wore the company’s clothing in becoming the first American to climb Mount Everest.
