Bradlees Inc. (Braintree, Mass.) has decided to file for bankruptcy protection. The 105-store chain will begin a phase-out of its headquarters and distribution operations this week.
A company statement said the retailer “had explored a number of options, including strategic consolidation, before determining that an orderly wind-down of operations offered the best alternative to maximizing the value of the company.” The company says it has a valuable, urban real estate portfolio.
Just a year after emerging from Chapter 11 bankruptcy, Bradlees'business was buoyed by the liquidation of Caldor, its main regional competitor. But soon, Wal-Mart, Kmart and Kohl's were taking over some 70 vacant Caldor stores, and Bradlees again began to struggle. The retailer also cited a general economic downturn as a factor in its decision.