Gottschalks employees have been told to quickly cash pending paychecks and to expect a bankruptcy filing as soon as today, the Business Journal has learned.
Employees say the department store chain may also announce the closing of about 15 stores.
Meanwhile, Gottschalks executives have also made contact with at least one major liquidation firm that specializes in going out of business sales for distressed retail operations.
On a more hopeful note, Women’s Wear Daily, a retail trade publication, reported on its website today that Gottschalks has been in negotiations with Everbright and El Cortes Ingles that would call for both to put up $25 million for a $50-million infusion into the company and that a vote on the proposed investment could come as early as today.
El Cortes Ingles is Spain’s largest department store chain and owns about 16 percent of Gottschalks through the Fresno-based retailer’s 2000 acquisition of Harris Co.
Friday, January 09, 2009
Posted by Bakersfield Bubble at 1:39 PM