After 60 years, Discount retailer Century 21 joins the growing list of retail stores to file for bankruptcy during COVID-19. Known as “New York’s Best Kept Secret”, the retailer known for its discounted designer goods will be going out of business and closing all 13 of its stores located in New York, New Jersey, Pennsylvania and Florida.
In a press release, the company’s decision to close stems from “nonpayment by the Company’s insurance providers of approximately $175 million due under policies put in place to protect against losses stemming from business interruption such as that experienced as a direct result of the COVID-19 pandemic.” In meaning, there was a failure in payment of $175 million by the company’s insurance providers which was meant to help Century 21 in recovering from the September 11th attacks in 2001. Ultimately, Century 21 made the tough decision to file for Chapter 11 Bankruptcy to ensure an “orderly wind down”.
Century 21 CEO Raymond Gindi and co-CEO IG Gindi expressed, “From the bottom of our hearts, we thank all of our dedicated and hardworking team members for their countless contributions, including continuing to give 100% throughout this pandemic to take care of our customers and each other. We will be forever grateful for the vital role they played in building the Century 21 legacy hand in hand with our family. Together, we hope we can help our loyal customers create some final memorable Century Stories.“
Century 21 is current open and planning its going-out-business sales both in-store and online.
Thoughts?