Teen Clothing Retailer Rue 21 Restructuring Under Chapter 11

CRANBERRY, Pa. (AP) - Pennsylvania-based teen clothing retailer rue21 is restructuring and filing for Chapter 11 bankruptcy protection about a month after announcing it would close roughly 400 stores to focus more on online sales.

The company announced last month that it is shuttering the stores, leaving it with more than 700 stores in 48 states.

The company based in Cranberry, north of Pittsburgh, announced Tuesday that its bankruptcy filing accompanies agreements with lenders to restructure some debt and obtain more capital.

The company says it could wind up closing more stores before it emerges from bankruptcy in the fall.

Here is a list of impacted locations.

A federal bankruptcy judge must approve the Chapter 11 plan which includes up to $175 million in financing from various lenders. That money will help the company pay employees, vendors and honor gift cards.

Join The Conversation On The KDKA Facebook Page
Stay Up To Date, Follow KDKA On Twitter

(Copyright 2017 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed.)