ADVERTISEMENT

ADVERTISEMENT

ADVERTISEMENT

ADVERTISEMENT

Herberger's begins going out of business sales - Those with gift cards advised to act quickly to redeem

Going out of business sales begin Friday, April 20, as Herberger's ends its run. It's parent company, the Bon-Ton Stores, made the announcement Thursday noting the business closing sales will begin in 212 stores and on e-commerce websites under t...

4155564+0420_herbergers-storefront.jpg
Bon-Ton Stores reported Wednesday, April 18, it will close its retail stores, including Herberger's in Brainerd at the Westgate Mall after liquidators had the winning bid in U.S. Bankruptcy Court. Steve Kohls / Brainerd Dispatch

Going out of business sales begin Friday, April 20, as Herberger's ends its run.

It's parent company, the Bon-Ton Stores, made the announcement Thursday noting the business closing sales will begin in 212 stores and on e-commerce websites under the Bon-Ton, Bergner's, Boston Store, Carson's, Elder-Beerman, Herberger's and Younkers nameplates. Bon-Ton has 250 stores but 38 of them are already in liquidation and were among a list previously announced for closure.

The liquidation sales are expected to run about 10 to 12 weeks and all the stores are expected to be shuttered no later than Aug. 31, according to court papers.

Court documents indicate the liquidators who submitted the winning bid for Bon-Ton in a bankruptcy auction Tuesday will honor gift cards for at least the first 10 days of the going-out-of-business sales across the chain's remaining stores, USA Today reported, It also was noted promptness in redeeming those gift cards was advised.

The company reported its stores, e-commerce and mobile platforms are open and serving customers.

ADVERTISEMENT

"A joint offer of almost $800 million by Tiger Capital Group, a unit of liquidator Great American Group and a group of Bon-Ton debt-holders was the winning bid in this week's bankruptcy auction of Bon-Ton," USA Today reported.

Wednesday, the U.S. Bankruptcy Court for the District of Delaware approved an agreement between Bon-Ton and a joint venture composed of the holders of the company's 8.0 percent second lien secured notes due 2021 and Great American Group LLC and Tiger Capital Group LLC governing the liquidation of the company's inventory and other certain assets. The closure puts about 24,000 people out of work.

CNBC reported Washington Prime Group, a real estate investment trust with significant exposure to the bankrupt retailer, had joined forces with another mall owner to make a bid for Bon-Ton, which reportedly fell through after the court ruled Bon-Ton wouldn't be able to pay the group a $500,000 "work fee."

ADVERTISEMENT

What To Read Next
Get Local

ADVERTISEMENT