Montreal-Based Retailer Le Château Is Going Out Of Business After 60 Years
The company was founded in Montreal in 1959, and has 123 stores across Canada.
probably have fond memories of shopping at Le Château, a — founded in Montreal 60 years ago — that epitomized 2000s fashion in the province.
However, Le Château Inc. has started the process of liquidating its assets, citing "numerous challenges due to the ongoing news release — meaning it will soon be gone for good.
It's not the first to halt or change operations during the pandemic.
Reitmans also filed for bankruptcy protection.moved to a more online-focused business model, has gone virtual for the time being, and
We regret the impact this will have on our people and can assure you that we explored all options available to us prior to taking this difficult decision.
Le Château Inc.
"The Company [has] come to the very difficult decision that [it] can no longer continue its operations," reads the release.
It also says the company had unsuccessfully used its "best efforts over the preceding months [...] to refinance or sell the Company to a third party."
In the statement, Le Château says COVID-19 has impacted consumer demand for itsand occasion wear, a core portion of its sales every year.
The retail chain currently has 123 stores across Canada, in addition to its online store. It employs 1,400 Canadians, including 900 retail store employees who will lose their jobs as a result of the closure.
The company'sare set to remain "fully operational," in conformity with provincial and regional guidelines, as it liquidates its assets.