Once Popular Retailer In Texas Set To Close Amid Liquidation

Forever 21 may not be, forever.  At least in the US.

In a situation that is beginning to sound all too familiar, this once-popular retailer is on the verge of closing all of its US retail locations permanently.

In September 2019, Forever 21 filed for bankruptcy and closed 200 of its retail operations, which impacted stores here in Tyler and Longview as well as around East Texas and throughout Texas.

The remaining stores were eventually sold off for approximately 81 million dollars according to CNN. Currently, Forever 21 has approximately 350 stores remaining in the chain.

In an eerily similar situation to Joann Fabric, where Joann filed for bankruptcy and closed 300 stores, it turned around a few months later to file bankruptcy again and is in the process of closing the remaining 500 stores nationwide. A similar thing is happening with Forever 21, but six years after it first filed for bankruptcy.

Get our free mobile app

Total store liquidation sales are already underway at the remaining 350 locations according to CNBC. The company is still operating under the hopes that a potential buyer will emerge and take over and keep the more than 40-year-old company alive here in the US.

NPR says in court filings that Forever 21's parent company says that Chinese online retailers, Shein and Temu, are in part to blame for the second round of bankruptcy filings because of current loopholes in the import tax law that they can skirt around.

Interestingly, the Forever 21 brand will continue to live on though despite closing all of its US retail locations. The brand name Forever 21, owned by Authentic Brands Group (ABG), will continue to operate its international stores as well as online sales and retain the intellectual property.

As of now the US stores and website are operating while the bankruptcy proceeding is ongoing with hopes of a new owner emerging and buying any or all of what's left of Forever 21.

The following 32 Texas locations are being affected by this announcement:

• Allen
• Amarillo
• Arlington
• Austin
• Beaumont
• Cedar Hill
• College Station
• Corpus Christi
• Dallas
• El Paso
• Fort Worth
• Friendswood
• Grapevine
• Houston
• Humble
• Hurst
• Katy
• Laredo
• Lubbock
• McAllen
• Mercedes
• Mesquite
• Pearland
• San Antonio
• San Marcos
• Spring
• Sugar Land