Claire’s, a jewelry retailer for teens, files for Chapter 11 bankruptcy

Claire’s filed for bankruptcy in Delaware on Wednesday, marking the second time the accessories chain geared toward adolescents has entered Chapter 11 proceedings.

In its Chapter 11 filing, the jewelry retailer listed both its liabilities and assets between $1 billion to $10 billion.

Reached for comment, Claire’s referred CBS MoneyWatch to its press release. 

“This decision is difficult, but a necessary one,” said Chris Cramer, CEO of Claire’s in the company’s statement. “Increased competition, consumer spending trends and the ongoing shift away from brick-and-mortar retail, in combination with our current debt obligations and macroeconomic factors, necessitate this course of action for Claire’s and its stakeholders.”

Claire’s stores throughout the United States will remain open as it explores “strategic alternatives,” the company said. 

The company, which offers jewelry, hair accessories and ear piercings, first filed for bankruptcy in 2018 amid declining foot traffic at U.S. malls.