Eddie Bauer (Bellevue, Wash.) and Pacific Sunwear (Anaheim, Calif.) are reportedly exploring a merger to consolidate their store footprints and gain traction in a turbulent market.
Both retailers are controlled by private equity firm Golden Gate Capital (San Francisco). The company is still deliberating the potential merger, and according to CNBC, the plans could still change.
However, if the merger were to come through, it could give both chains a better chance at weathering the current retail market by allowing them to whittle down their fleet of stores, which currently numbers about 700.
Both retailers have previously filed for bankruptcy.