The retailer, which owns New York & Co., has until the end of August to pay down its entire revolving loan balance.
What happened
Let Retail Dive's free newsletter keep you informed, straight from your inbox.
Why it matters
RTW is among a handful of apparel retailers whose already tenuous finances have come under severe stress amid the COVID-19 crisis.
The company revealed in June that it was in default with landlords and vendors, in addition to Wells Fargo. RTW said then that it had no other credit lines to lean on, in a time of depressed sales because of the pandemic. "The Company believes without seeking protection under the bankruptcy laws it does not have ability to raise additional capital at this time," RTW said at the time.
Now Wells Fargo is asking for full payment on its revolving loan. RTW, in March, tapped its loan agreement with Wells Fargo for $40 million as the company, among scores of others in retail, scrambled to raise liquidity to survive temporary store closures.
This news brief is based on reporting published by Retail Dive on 2020-07-07. The original report is linked below.
Retail Dive
https://www.retaildive.com/news/rtw-retailwinds-gets-forbearance-after-loan-default/581122/This independent news brief is based on the public source identified above. It is an original summary or translation, not a reproduction of the source article. Rights in source text, research, trademarks and images remain with their respective owners; images are used under the licence or permission identified in the credit. Rights holders may contact rights@goodproductasia.com with evidence of ownership. Verified concerns will be corrected, replaced or removed promptly. This report is not investment, legal, medical or purchasing advice.
