Clothing retailer Le Chateau is filing for creditor protection and plans to close its doors.
The retailer says its application will be heard by the Supreme Court of Quebec on Friday.
In a statement released Friday, Le Chateau says it can no longer continue its operations as a going concern.
“The retail industry faced numerous challenges due to the ongoing COVID-19 pandemic and the second wave currently hitting our communities across Canada,” the company said in its statement.
“It’s already evident impact on consumer demand for Le Chateau’s holiday party and occasion wear, which represents the core of our offering, has diminished Le Chateau’s ability to pursue its activities.”
Le Chateau currently has 123 stores across Canada, in addition to its e-commerce website. That includes four stores in New Brunswick and two in Nova Scotia.
The company will remain “fully operational” and the stores are expected to remain open throughout the liquidation process.
Le Chateau has 1,400 employees across the country, including 500 staff at its head office.
Follow
