The L'OCCITANE U.S. arm has officially filed for bankruptcy, with plans to close 23 of its stores.
According to reports by WWD, the business cited declines in brick-and-mortar sales and the ongoing coronavirus pandemic as the reasons for the filing.
“Like most retailers in the United States, the debtor has been impacted by the COVID-19 pandemic, which has significantly limited retail operations throughout the country and suppressed consumer willingness to shop in person,” L'OCCITANE regional managing director, Yann Tanini wrote in a declaration for the court.
“Even prior to the pandemic, the debtor was experiencing a decline in sales revenue from its brick-and-mortar boutiques, while its e-commerce revenue has dramatically increased.”
A hearing on L'OCCITANE first-day motions is scheduled for January 28, 2021.
