Forever 21 was once one of the hottest brands in teen apparel, but the company’s fallen hard.
The apparel chain is reportedly looking into restructuring options, including a potential bankruptcy.
As a privately owned company, Forever 21 doesn’t release sales data, but there are always plenty of telling signs to look into. The sheer number of closures the chain has seen in markets like China and the UK are just some of the worrying signs. The company is also downsizing in its home country, the US. It is clear the they’ve run into a serious rough patch, along with many retail giants which at one point seemed too good to fail.
The current challenges faced by Forever 21 weren’t always a given. Just a few years ago the company appeared to be going nowhere but up. The company’s peak was 2015, when its founders achieved a record high net worth of $5.9 billion. The brand itself used to be unquestionable. Now, messy stores and empty shelves are a given at Forever 21 as the company continues closing its major locations. What’s happened is that it simply hasn’t kept up with its fast-fashion competition. According to Forbes, the co-founders of Forever 21 are probably no longer billionaires. “Our stores are open and it is our intention to continue to operate the vast majority of U.S. stores, as well as a smaller amount of international stores, providing customers with great service and the curated assortment of merchandise that they love and expect from Forever 21. Please visit our store locator to find the most up to date store list,” Forever 21 said in a statement on Thursday.