True Religion Files For Bankruptcy
True Religion Bankruptcy: True Religion has joined a couple of other businesses to file for Chapter 11 bankruptcy. Sales have been badly affected by the global COVID-19 pandemic. This would also be the second time the denim label has gone bankrupt in the last three years.
True religion stated in court documents that they wished to advance through the lockdown and unstable economy but was unable to do so due to lack of funds.
Their CEO, Michael Buckley was quoted by HYPEBEAST, detailing the company’s next plans,
“In the near term, and until our stores open up, we will be continuing as we have, to run our e-commerce businesses, in the same way we did prior to filing for Chapter 11.”
They listed about $100 to $500 million USD worth of assets and liabilities in court. They had to layoff some of their staff and cut production costs due to the viral pandemic. Keeping their 100 US stores afloat has been a big challenge.
True Religion is a premium denim brand established in 2002 and gained popularity throughout that decade, However, the struggle to shift with the market’s changing landscape has caused its decline.
They first filed for bankruptcy in 2017.