Retailer True Religion Seeks Ch. 11 Rework Of $493M Debt

True Religion reaches milestone agreement with lenders

True Religion - the apparel brand known mostly for its signature-stitched denim - today filed for Chapter 11 protection in the U.S. Bankruptcy Court for the District of Delaware. Investment firm TowerBrook Capital Partners, which acquired True Religion for roughly $835 million in 2013, has also approved the company's plans.

John Ermatinger, president and C.E.O. of True Religion Apparel, comments, "After a careful review, we are taking an important step to reduce our debt, reinvigorate True Religion's iconic brand and position the company for future growth and success".

Founded in 2002 by Jeff Lubell, Manhattan Beach, Calif. -based True Religion has about 140 stores in 33 states and foreign markets and more than 1,900 employees.

Founded in 2002, True Religion grew popular with its array of pricey designer jeans, and from 2007 through 2012, it almost tripled in size, becoming a company with revenue of $490 million in 2013.

In court documents, True Religion has listed the estimated value of its assets at between $100 million and $500 million - the same estimated value of its liabilities.

In its announcement, True Religion said that through May it had year-to-date adjusted EBITDA of $7.1 million, up 95% compared with last year.

That trend has accelerated in recent years with shoppers shifting from brick-and-mortar stores to e-commerce.

True Religion requested court permission to reject about 30 store leases, meaning those stores are likely set to close.

Reuters reports True Religion announced a restructuring agreement with a majority of its lenders Wednesday.

In its fiscal year that ended January 28, True Religion lost $78.5 million on revenue of $369.5 million. A deal with lenders will also allow the denim brand to cut its debt by 75%, or $350 million.

True Religion said its business had been undermined by discounts at other retailers, online competition and the athleisure trend, in which yoga trousers have become a substitute for jeans.

Related News:

  • Dark Knight Director's New War Movie Dunkirk Gets Stunning New Trailer

    Dark Knight Director's New War Movie Dunkirk Gets Stunning New Trailer

    It's about a World War II event that was a miracle - which is obvious as the battle's name known as "The Miracle of Dunkirk ". The director is only alluded to by his past hits " Interstellar " and " The Dark Knight " trilogy.
    Rangers Big Tax Case ruling has 'wide-ranging implications'

    Rangers Big Tax Case ruling has 'wide-ranging implications'

    More than £47m was paid to players, managers and directors between 2001 and 2010 in tax-free loans. The liquidators of OldCo Rangers were subsequently granted leave to appeal that decision.
    Chance the Rapper Squeezes Into NPR's Tiny Desk Concert Series

    Chance the Rapper Squeezes Into NPR's Tiny Desk Concert Series

    Then, he was a 19-year old upstart rapping and singing for a handful of people at a tiny club in Austin, Texas. Chance seamlessly transitioned by cracking a joke and started " The Other Side " over again.
  • SBI PO Mains result 2017 declared, here's how to check

    SBI PO Mains result 2017 declared, here's how to check

    However, some 20 lakh candidates actually took the preliminary exam which was held in the last week of April & first week of May. Note: Further details (Group Exercise & Interview etc.) will be advised to the selected candidates by SMS or e-mail separately.
    Connor McDavid inks 100 million dollar extension with Oilers

    Connor McDavid inks 100 million dollar extension with Oilers

    It's not a surprise that in today's "team first" hockey culture that McDavid would have settled on a lower number to put less pressure on the Oilers' salary cap situation.
    Achal Kumar Joti to succeed Zaidi as CEC

    Achal Kumar Joti to succeed Zaidi as CEC

    A K Joti , a 1975-batch Indian Administrative Service (IAS) officer retired as the Gujarat Chief secretary in January, 2013. The concept of multi-member Commission has been in operation since then, with decision-making power by majority vote.
  • Finally, The Age Of Snortable Chocolate Has Arrived

    Finally, The Age Of Snortable Chocolate Has Arrived

    Snortable chocolate is not new, raw cacao had been used by Europeans as an alternative to harder stimulants. But, doctors have voiced concerns over the risk of snorting the concoction.
    DOJ sues Hobby Lobby for hoarding Iraq's antiquities

    DOJ sues Hobby Lobby for hoarding Iraq's antiquities

    Green also serves as chairman of the board of the Museum of the Bible which is slated to open in Washington, D.C. this November. In a statement, Hobby Lobby President Steve Green acknowledged "regrettable mistakes" that he chalked up to inexperience.

    UFC 213: Amanda Nunes vs. Valentina Shevchenko statistical breakdown

    The champion is big for a bantamweight and when both enter the Octagon, her size advantage will be obvious. Her no-holds-barred fighting style is what has gotten her this far and it is part of her fighting DNA.
  • Penn State sues Tennessee coordinator Bob Shoop for breach of contract

    Penn State sues Tennessee coordinator Bob Shoop for breach of contract

    Penn State's defense was ranked second in the country during Shoop's first season and they were ranked 14th in 2015. The suit was originally filed in Centre County court in June, according to PennLive, but it was transferred to U.S.
    Rays' Morrison: Yankees' Sanchez 'Shouldn't Be In Home Run Derby'

    Rays' Morrison: Yankees' Sanchez 'Shouldn't Be In Home Run Derby'

    Anyhow, Morrison marshals some further evidence that he's being ignored because he plays for the Rays and Sanchez is a Yankee . He does have only 13 homers, but that's due in large part to having missed almost a month of the season with a biceps strain.
    West Nile Virus Detected

    West Nile Virus Detected

    The Berkshire County Mosquito Control Project has found one positive sample of West Nile virus near Swamp Road in Richmond. About 20 percent have flu-like symptoms, and fewer than one percent develop a serious, potentially deadly illness.

Most liked

Arizona Humane Society dealing with aftermath of 4th of July fireworks
It's business that you can hear in the shelter's kennel, as some four-legged friends wait for their owners. Pet owners do have to pay a 30 dollar impound fee to get their pet back from the Humane Society.

SpaceX Scrubs Two Back-to-Back Launches for Intelsat 35e
The rocket will be carrying an Intelsat satellite, meant to enhance communications in Caribbean, trans-Europe and African markets. SpaceX said it will not attempt the Falcon 9's first stage with this launch, due to mission requirements.

13 al-Shabaab militants killed in southern Somalia
U.S. forces conducted a "collective self-defense strike" against al Qaeda affiliated al Shabaab in Somalia on Tuesday night, U.S. The raid came after a series of attacks in Kenya claimed by Somali militants, killing at least 28 people in the last six weeks.

Three-quarters of people might never pay back their student loans
Lead author Dr Morag Henderson said among the many challenges faced are record university fees and student loan debt. The Debrief: British students face the highest student debt in the developing world, at an average of £50,800.

Google Begins Rollout of July Security Patch to Pixel and Nexus Devices
At the beginning of each month Google releases a new set of security patches for Android , and July is no exception. According to the video description, "The Google Pixel 2 XL will be the bigger version of the Google Pixel 2 ".

Florian Lejeune poses in Newcastle shirt as Magpies unveil second summer signing
Lejeune is the second player to join Newcastle this summer after the arrival of Ghanaian winger Christian Atsu in May. A week ago Spanish newspaper Marca reported Newcastle United had returned strongly for Florian Lejeune .

Waiters to re-sign with Heat
He averaged 15.8 points while shooting 39.5% from three in 30.1 minutes per game, although he did play for just half a season. The guard was being courted by multiple teams including the New York Knicks and Los Angeles Lakers .

UNESCO again condemns Israel's presence in Jerusalem's Old City
Palestinians and Israelis are now preparing for the next battle, this time over Hebron's status as a World Heritage City. Last year, UNESCO adopted a similar resolution, titled Occupied Palestine and sponsored by several Arab countries.

Boynton Beach police smash vehicle window, rescue dog from hot auto
Another dog was hiding under a seat to get away from the sunlight, and came out and was rescued after the first dog was removed. Police also posted videos of an officer breaking into the vehicle and of the dog recuperating safely after the ordeal.

NASA plans to crash a satellite into an asteroid
Some of the world's leading scientists believe that a monumental asteroid collision with Earth is highly likely in the future. The Planetary Missions Program Office at Marshall Space Flight Center in Huntsville, Alabama would oversee the project.

Reporter Gets Hit With Projectile Vomit During Fourth of July Party
KTLA 5 journalist Wendy Berch was covering a July 4 Iron Man contest at a Los Angeles beach when she was caked in puke. According to the unfortunate reporter, the motto of the competition is "Run, paddle, chug!".

CONE Midstream Partners LP (NYSE:CNNX) Buckles Under The Trend Lines
The investment company owned 2,239,438 stocks of the pipeline firms shares after disposing 203,156 shares through out the quarter. Analysts have a consensus recommendation of 1.90 based on a 1 to 5 scale where 1 represents a Strong Buy and 5 a Strong Sell.

A new KFC commercial spoofs Hodor's tragic 'Game of Thrones' death
The video was only just released recently, which is probably no accident, as the seventh season of GoT premieres later this month. The commercial is meant to advertise the KFC Ricebox, which combines the chicken the brand is known for with rice.

India trampled on Panchsheel pact, says China
Mr Geng said the case of Indian troops crossing the delineated boundary into the Chinese side was "very serious". China also said India had "trampled upon" the Panchsheel pact by illegally entering into Chinese territory.

Nick Young Signs with the Golden State Warriors
He signed for five years, $201 million, and he'll bring in $34.6 million next season, playing alongside the NBA Finals MVP. For Kevin Durant-at least for the time being-NBA championships are more important than extra zeros on his bank balance.