News Summary
Claire’s, the popular teen accessories retailer, has filed for Chapter 11 bankruptcy for the second time, planning to close nearly 300 stores across the U.S. and Puerto Rico. Estimated assets and liabilities range between $1 billion and $10 billion. While the company will conduct closing sales until September 2025, over 2,750 stores will remain operational as Claire’s seeks to reposition and restructure amid financial challenges. The filings highlight ongoing struggles faced by mall-based retailers and shifting consumer preferences.
Atlanta, Georgia – Claire’s, a popular teen accessories retailer, has filed for Chapter 11 bankruptcy protection for the second time since 2018, citing ongoing financial challenges as it plans to close nearly 300 locations across the United States and Puerto Rico. This filing comes as the company indicates it has estimated liabilities and assets ranging from $1 billion to $10 billion.
The bankruptcy process will include closing sales at affected Claire’s and Icing stores, which are scheduled to run until September 7, 2025. Out of the 291 closures, at least nine Claire’s stores in Georgia are among those shutting down, including a store in Douglasville at Arbor Place Mall under the Icing brand.
Despite the closures, over 2,750 Claire’s locations will continue to operate across North America and Europe. The retail chain aims to reposition itself while restructuring its business, maintaining most of its existence amid this tumultuous financial period. In addition, the company has deferred interest payments on a $500 million loan due in December 2026, seeking to preserve cash during the reorganization.
The news underlines the broader issues confronting mall-based retailers, particularly those targeting younger demographics. Increasing competition, changing consumer spending habits, and rising import costs due to tariffs on products sourced from China have created significant hurdles for Claire’s. The company has recently engaged financial advisory firm Houlihan Lokey Inc. to explore potential buyers for some or all of its locations and has identified over 800 additional stores under review for potential closure.
Founded in 1961, Claire’s focuses on affordable jewelry and hair accessories aimed primarily at teens and tweens. It operates under two brand names: Claire’s and Icing, which collectively encompass around 2,750 Claire’s and 190 Icing stores globally. The retailer’s first bankruptcy filing occurred in March 2018, after which ownership transferred to Elliott Management and Monarch Alternative Capital in an effort to stabilize the company.
Claire’s had previously announced intentions to go public, filing for an initial public offering (IPO) in June 2021, but later withdrew those plans due to unfavorable market conditions and the ongoing struggle to adapt to shifting consumer preferences.
The company’s experiences reflect a challenging retail environment, particularly for businesses primarily located in shopping malls that must compete with both online retailers and changing shopping behaviors among younger consumers. As Claire’s continues to navigate these obstacles, the recent bankruptcy filing serves as a reminder of the volatility present in the retail sector, especially for those reliant on traditional physical storefronts.
Deeper Dive: News & Info About This Topic
- 11Alive: Claire’s Georgia Store Closures
- Google Search: Claire’s bankruptcy
- Atlanta News First: Claire’s Store Closures
- Wikipedia: Claire’s
- Fox 5 Atlanta: Claire’s Files for Bankruptcy Again
- Encyclopedia Britannica: Retail
- WSB TV: Claire’s Files Bankruptcy a Second Time
- Google News: Retail Closures 2025
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AUGUSTA STAFF WRITER The AUGUSTA STAFF WRITER represents the experienced team at HEREAugusta.com, your go-to source for actionable local news and information in Augusta, Richmond County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as Arts in the Heart Festival, Westobou Festival, and Masters Week. Our coverage extends to key organizations like the Augusta Metro Chamber of Commerce and Greater Augusta Arts Council, plus leading businesses in manufacturing and healthcare that power the local economy such as Textron Specialized Vehicles, Cardinal Health, and Nutrien. As part of the broader HERE network, including HEREAtlanta.com and HERESavannah.com, we provide comprehensive, credible insights into Georgia's dynamic landscape.
