Advertisement

American Outfitters files for Chapter 11 bankruptcy

September 29, 2006|by ANDREW SCHOTZ

The American Outfitters, a clothing store with a branch at Valley Mall in Halfway, filed for bankruptcy Tuesday, the company announced Wednesday.

Bob Turkovich, an officer with the company, said the Chapter 11 bankruptcy plan would not affect any of The American Outfitters' seven branches.

Turkovich called the plan a "reorganization process."

Typically, a business stays open under a Chapter 11 bankruptcy instead of shutting down and liquidating its assets to pay off debts.

"The filing was necessitated by the company's efforts to maintain business and employees in unprofitable stores longer than might have been wise and by pressure from creditors," the company said in a press release.

Advertisement

The company filed its bankruptcy paperwork at a federal court in Pittsburgh, according to the release.

The American Outfitters, which is based in Bedford, Pa., sells men's and women's apparel and footwear, Turkovich said.

The Herald-Mail Articles
|
|
|