Reitmans has become the latest large retailer to announce troubles amid the COVID-19 pandemic, as the company announced on Tuesday that it has sought and obtained creditor protection while it restructures.
Reitmans (Canada) Limited – which includes the retail chains Reitmans, RW & CO., Penningtons, Addition Elle, and Thyme Maternity – was granted protection under the Companies' Creditors Arrangement Act (CCAA) in a Quebec court.
In a press release, Chief Executive Officer, and grandson of the company founders, Stephen Reitman said, "Filing for protection under the CCAA is truly the hardest decision we have had to make as an organization in our almost one hundred years of history, but this pandemic has left us no choice – we believe that this is the only course of action to ensure we remain successful in the future."
There are currently a total of 576 Reitmans Limited stores (259 Reitmans,106 Penningtons, 80 RW & CO., 77 Addition Elle, and 54 Thyme Maternity) with approximately 6,800 employees.
The company plans to remain fully operational during the restructuring process, meaning you can still shop online and once they reopen, in physical store locations.