Western Pa. Gordmans stores could close after parent company files for bankruptcy
Several local Gordmans stores, including those in Allegheny Township, East Huntingdon and Rostraver, are at risk of closing for good, another victim of the coronavirus pandemic that left stores largely shuttered across the country.
Houston, Texas-based Stage Stores Inc. — the parent company of Gordmans, which has been in operation for more than 100 years — announced this month it filed for Chapter 11 bankruptcy because of effects from the coronavirus pandemic.
The company will move to reopen all Gordmans locations to begin liquidation sales.
If a buyer is found during this time, liquidation sales will stop at certain locations, according to a letter from Michael Glazer, president and CEO of Stage Stores.
The liquidation process started May 15 when 557 stores largely in Southern states reopened. None in Pennsylvania was included on the initial reopening list. More stores will reopen May 28 and June 4 to begin liquidation sales.
“We hope our actions over the last several months to reposition the business will attract the right partner who is interested in our off-price concept,” Glazer said. “If we receive a viable bid for the business, we will terminate our wind-down of operations at certain locations. This is incredibly difficult news to deliver, and it is a decision that we came to after exhausting all other options.”
The move comes months after several Gordmans stores opened in the region, taking the place of former Peebles department stores.
Stores in East Huntingdon, Rostraver, Ellwood City, Allegheny Township, New Castle and Somerset all opened Feb. 18, selling low-price name-brand clothing, home decor, jewelry, fragrances, toys and pet accessories.
As stores begin to reopen for liquidation sales, officials said they will follow health recommendations by ensuring social distancing, the use of face masks, enhanced cleaning and sanitation, and modifications to purchasing and returns processes.
Details on when local stores could reopen will be posted on the company’s website, gordmans.com. A timeline for when operations will cease was not announced.
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