Clothing store Forever 21 weighs bankruptcy filing

Forever 21 isreportedly planning for a potential bankruptcy filing

Forever 21 isreportedly planning for a potential bankruptcy filing

Forever 21 is reportedly mulling a bankruptcy filing.

The apparel retailer geared toward teens and young adults has been exploring restructuring options, but as those run out, the company is considering filing for bankruptcy, people familiar with the situation told Bloomberg.

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Focus has shifted to securing a potential debtor-in-possession loan to take the company to Chapter 11 reorganization, Bloomberg reported.

Most Forever 21 stores are located in Malls, including at The Greene Towne Center, Dayton Mall, Liberty Center, Jeffersonville Tanger Outlets and the Kenwood Towne Centre.

A bankruptcy filing would help the company shed unprofitable stores and recapitalize the business, the people said.

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