Pennsylvania-based David’s Bridal this morning filed for reorganization under Chapter 11 of the U.S. Bankruptcy Code in the District of Delaware. The court-supervised process is expected to be completed by early January.
David’s Bridal, which specializes in wedding dresses, prom gowns, and other formal wear, has stores in Yonkers and Middletown, in New York and in Danbury, Connecticut.
The company said in a statement that its previously announced restructuring supporting agreement would reduce the company’s approximate $760 million in debt by $400 million.
In a message posted to its customers on its website, David’s Bridal CEO Scott Key said, “Our 300-plus stores will continue operating, and all orders and alterations will be delivered as promised. We are, and will continue to be, open for business.”
As part of the court process, the company said it “has obtained commitments for $60 million in new debtor-in-possession financing from its current term loan lenders and a recommitment of its existing $125 million asset-based lending revolving credit facility to support the company’s continued operations during the restructuring.”
The company is based in Conshohocken and has been in business for 60 years.