MONTREAL — Laura's Shoppe (P.V.) Inc. says it has started a restructuring process under creditor protection amid the unprecedented challenges the retail industry has faced during the COVID-19 pandemic.
The Montreal-based company says the Superior Court of Quebec has granted it an initial order under the Companies' Creditors Arrangement Act that will allow it to restructure its debts.
The women's clothing retailer, which has 140 stores in Canada under the Laura and Melanie Lyne banners, says it will operate its business as usual during the restructuring process.
CEO Kalman Fisher says in a statement that the company's stores were closed for much of March through June "severely impacting our revenues during that period."
Fisher says stores have reopened fully now and the company is confident it "will emerge from the CCAA process even stronger and more resilient than before."
KPMG Inc. has been appointed monitor of the proceedings.
This report by The Canadian Press was first published July 31, 2020.