Barneys New York Considers Bankruptcy
By: Valeria Ramos
An iconic New York department store just might have met its end. Throughout its history, Barney’s has served not only as a playground to wealthy New Yorkers but also as a city landmark and the backdrop to TV series such as Sex and the City and Gossip Girl.
As consumers increasingly veer towards online shopping, retail and department stores are faced with lower traffic and higher rents. Following the closing of stores in several cities including Boston, New York, and California, Barneys is exploring the option of bankruptcy.
“Our board and management are actively evaluating opportunities to strengthen our balance sheet and ensure the sustainable, long-term growth and success of our business,” Barneys said in a statement.
Whether Barneys will shift their focus to e-commerce or call it quits altogether, their decision could set precedent for the world of retail.