True Religion (Vernon, Calif.) has filed for Chapter 11 bankruptcy protection, reports USA Today. The company plans to stay in business but expects to close an unspecified number of its stores.
“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,” True Religion’s Chief Executive Officer John Ermatinger said in a statement.
The company currently operates about 140 stores and has requested court permission to reject about 30 store leases, which would make it likely for those stores to close. This comes after the company closed 20 stores last year, cut about 25 percent of its corporate workforce and endeavored to bolster its digital operations ways to improve business.