Pursuits
Aeropostale Files for Bankruptcy, Seeks Probe of Lender
- Changing tastes, fast-fashion rivals prove too much for chain
- Company asks to examine alleged abuse by lender Sycamore
A girl rides up an escalator at Aeropostale's newest flagship store in Times Square in New York.
Photographer: Ramin Talaie/BloombergThis article is for subscribers only.
Aeropostale Inc. filed for bankruptcy and asked for court permission to investigate lender Sycamore Partners, saying the private equity firm used a supplier it controlled to drive the teen-clothing chain into Chapter 11.
Mall-based retailers have struggled to adapt to online sales and the changing tastes of teenagers. New York-based Aeropostale has also had to contend with fast-fashion competitors that get new trends on shelves sooner. Its bankruptcy petition, filed Wednesday in Manhattan, follows meltdowns by American Apparel Inc., Quiksilver Inc. and Sports Authority Inc.