Le Château will be closing all stores in Canada after 61 years in business, as the company announced that it had filed for creditor protection on Friday.
The news comes three months after the Montreal-based chain had expressed doubt about their future during an earnings call and noted that they planned to seek new sources of financing.
Originally founded in 1959, Le Château currently operates 123 stores in Canada across eight provinces and the closures will affect approximately 1400 employees. Stores will remain open during the liquidation process, which the company says may start as early as next week.
Le Château is the latest retailer to close Canadian stores due to financial struggles amid the COVID-19 pandemic, adding to a growing list that includes DAVIDsTEA, Ann Taylor, Toys, Toys, Toys, Microsoft, GNC, Starbucks, Reitmans, Victoria's Secret, Pier 1 and more.