Charlotte Russe chain files for bankruptcy

Women’s apparel retailer Charlotte Russe announced Monday that it filed for Chapter 11 reorganization bankruptcy the day before and intends to close about 94 of its stores while continuing to pursue a sale of its business and assets.

Charlotte Russe, founded in 1975 in San Diego, offers fashions that target women in their teens and 20s.

Charlotte Russe has four stores in Hawaii with outlets in Ala Moana Center, Windward Mall in Kaneohe, Pearlridge Center in Aiea and Queen Ka‘ahumanu Center in Kahului. Three Hawaii stores, save for the Ala Moana Center store, will be closing.

Sales and in-store traffic have been declining in recent years, the company said.

The retailer said it would provide more details about its plans for the closing locations “in the near term.”

Parent company Charlotte Russe Holdings Corp. said it secured financing of $50 million to continue its operations and administration during the Chapter 11 proceedings.

Charlotte Russe said it will continue to operate its website and keep open roughly 400 remaining stores operating across the U.S.

Private equity firm Advent International bought Charlotte Russe in 2009 for $380 million.