US "Barneys New York" bankruptcy due to worsening funding, etc. 6:59 on August 7
The US “Barneys New York”, which sells mainly high-end clothing, went bankrupt after applying to the court for the application of Federal Bankruptcy Law Article 11 under the Japanese Civil Rehabilitation Law, as the cash flow deteriorated on the 6th. Stores operating in Japan have no capital relationship and will continue to operate as before.
Barneys New York announced on the 6th that the financial position deteriorated due to sluggish sales of mainstay luxury clothing and rising rents in stores. Explains why.
Already with new sponsorships, out of 22 stores across the US, 15 stores in Chicago and Las Vegas will be closed, while 7 stores will continue to operate, including the flagship store on Madison Street in central New York. It is a policy.
According to local media, this Madison Street store has doubled the rent of $ 30 million per year and 3.1 billion yen in Japanese yen compared to the previous year. It is thought that it was done.
In the United States, the business environment of retail businesses with physical stores continues to be severe due to the spread of online shopping such as Amazon.
No direct impact on Japan
In Japan, Barneys Japan, a wholly-owned subsidiary of Seven & i Holdings, operates 12 stores in Tokyo, Yokohama and Fukuoka, including outlets.
According to “Barneys Japan”, there is no capital relationship with “Barneys New York”, and the company purchases products independently and does not have a direct impact.