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rue21 Announces Confirmation Of Plan Of Reorganization
WARRENDALE, PA, Sept. 11, 2017 -- rue21, Inc. ("rue21" or the "Company"), a leading teen specialty apparel retailer, today announced that the U.S. Bankruptcy Court for the Western District of Pennsylvania (the "Court") has confirmed the Company's Plan of Reorganization, which clears the way for rue21 to emerge from the bankruptcy process after less than four months.
"Today's confirmation represents an important step forward in rue21's ongoing business transformation to a sustainable business model for a highly performing retailer," said Melanie Cox, Chief Executive Officer of rue21. "We are very pleased to have moved through the restructuring process in a relatively short period. With the support of our lenders, our landlords, all of our business partners and the hard work of our team, the Company has performed consistently well ahead of its liquidity plan, and exceeded its second quarter target for Adjusted EBITDA by over 200%."
Ms. Cox added, "rue21 can now move forward from a position of renewed strength, with a highly relevant brand, an enthusiastic and loyal customer base, hundreds of highly performing stores, and a rapidly growing eCommerce business supported by strong vendor relationships and terms that are trending well above plan."
The Company expects the Plan of Reorganization to become effective by September 15, 2017, once all closing conditions have been met.
Information about the Company's chapter 11 filing can be found on its website at www.rue21.com/restructuring or on the website of its claims agent at www.kccllc.net/rue21. A toll free restructuring information line is also available by calling (888) 647-1738 or, if calling from outside the U.S. or Canada, (310) 751-2625.
rue21, a leading teen specialty retailer, believes that fashion plays an important role in the journey to self-discovery. Choose a style, make it your own. You're an individual, and you need fresh, feel-good pieces that let you totally own it. That's why the retailer works to make the latest trends affordable and available to anyone. Its mission is to make fashion everyone's playground. Headquartered just north of Pittsburgh, Pennsylvania, rue21 currently operates 758 stores in 45 states in shopping malls, outlets and strip centers, and on its website. For more information, visit www.rue21.com. The freedom to be you is rue!