Stein Mart, Inc. announced Wednesday that it has filed for Chapter 11 bankruptcy protection.
The Jacksonville-based women’s and men’s apparel company has three stores in the Bradenton-Sarasota area. Closest to Bradenton is the store at 119 N Cattlemen Road, in University Town Center. That store opened near Best Buy in 2010.
Stein Mart also has stores at 6535 S. Tamiami Trail in Sarasota and at 1560 US-41 Bypass, Venice.
In South Florida, Stein Mart has locations in Aventura, Cooper City, Plantation, Coral Springs and Pompano Beach.
“The combined effects of a challenging retail environment coupled with the impact of the coronavirus (COVID-19) pandemic have caused significant financial distress on our business,” Hunt Hawkins, Stein Mart’s CEO and chief financial officer, said in a press release.
“The Company has determined that the best strategy to maximize value will be a liquidation of its assets pursuant to an organized going out of business sale. The company lacks sufficient liquidity to continue operating in the ordinary course of business. I would like to thank all of our employees for their dedication and support,” Hawkins said.
Stein Mart officials expect to close a significant portion, if not all, of its brick-and-mortar stores and, have launched a store closing and liquidation process. Stein Mart will continue to operate its business in the near term.
The company is also evaluating any and all strategic alternatives, including the potential sale of its eCommerce business and related intellectual property.
The bankruptcy filing is intended to allow Stein Mart to maintain operations, including the payment of employee wages and benefits without interruption, payment of suppliers and vendors in the normal course of business, and the use of cash collateral.
Stein Mart was founded in the early 1900s as a single store in Greenville, Miss. It now operates nearly 300 stores in 31 states.
Court filings and other documents related to the process are available at https://cases.stretto.com/SteinMart.
Stein Mart, Inc. operates 281 stores across 30 states. For more information, visit www.SteinMart.com.