Gordmans to close Woodbury store in wake of bankruptcy filing
Gordmans Stores Inc. announced Monday that it plans to file for bankruptcy and plans to close all of its stores, including four in the Twin Cities metro area.
The century-old budget department store chain also said it plans to liquidate its assets and inventory, including its store at Tamarack Village in Woodbury.
The Nebraska-based chain hasn't announced a timeframe for store closures.
Gordmans' president and CEO Andy Hall said in a statement Monday all stores will remain open until further notice. "The management team and all of our associates remain committed to continuing to provide great merchandise and service to our guests during this process," he said.
The company operates more than 100 stores in 22 states, employing about 5,100 people. It listed a $131 million debt in its Chapter 11 papers filed Monday in federal court.
The announcement comes as department stores and other retailers have been grappling with slumping sales due to shifts in consumer demands and sharp declines in foot traffic. The impact has been both felt with national chains, like Macy's, as well as regional department and retail stores.
Gander Mountain announced it voluntarily filed for bankruptcy March 10. The St. Paul-based outdoor retailer said it plans to shutter several of its stores, including its Woodbury location.
Gordman’s operates stores in Coon Rapids, Burnsville, Roseville and Edina. The Woodbury location opened six years ago at Tamarack Village and is roughly 52,000 square-feet in size.
Read more Woodbury business news here.