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Surprised this didn't happen in normal times let alone now. It's like radioshack, how the fuck did it last so long?!
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Pittsburgh-based health supplement retailer GNC Holdings Inc. told investors it may have to file for Chapter 11 bankruptcy protection if it cannot secure an agreement with its lenders or otherwise refinance more than $700 million in debt due by the end of the week.
The company posted a net loss of $200 million during the first quarter, compared with a loss of $15 million during the same three months last year.
In March, its stock price fell below $1 per share and has remained there since then, prompting the New York Stock Exchange to warn the company it is in danger of being delisted.
GNC sales and revenues have suffered from lockdowns. The retailer closed about 1,100 stores in the U.S. and Canada, which is about 30% of its locations. It furloughed employees, reduced inventory purchases and deferred other spending. In April, it stopped paying rent at some of its locations.
While its online revenue grew by 25% year over year, the overall impact of the global pandemic has been bruising and “management has concluded there is substantial doubt regarding the company's ability to continue as a going concern within one year” of issuing its financial results, GNC warned on Monday.
GNC said an independent committee of its board has been working with financial and legal advisers to find financing sources in the U.S. and Asia.
“While the company continues to work through a number of refinancing alternatives to address its upcoming debt maturities, the company cannot make any assurances regarding the likelihood, certainty or exact timing of any alternatives,” GNC said.
https://www.post-gazette.com/busines...gWe1B2CrVHWPFA
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Pittsburgh-based health supplement retailer GNC Holdings Inc. told investors it may have to file for Chapter 11 bankruptcy protection if it cannot secure an agreement with its lenders or otherwise refinance more than $700 million in debt due by the end of the week.
The company posted a net loss of $200 million during the first quarter, compared with a loss of $15 million during the same three months last year.
In March, its stock price fell below $1 per share and has remained there since then, prompting the New York Stock Exchange to warn the company it is in danger of being delisted.
GNC sales and revenues have suffered from lockdowns. The retailer closed about 1,100 stores in the U.S. and Canada, which is about 30% of its locations. It furloughed employees, reduced inventory purchases and deferred other spending. In April, it stopped paying rent at some of its locations.
While its online revenue grew by 25% year over year, the overall impact of the global pandemic has been bruising and “management has concluded there is substantial doubt regarding the company's ability to continue as a going concern within one year” of issuing its financial results, GNC warned on Monday.
GNC said an independent committee of its board has been working with financial and legal advisers to find financing sources in the U.S. and Asia.
“While the company continues to work through a number of refinancing alternatives to address its upcoming debt maturities, the company cannot make any assurances regarding the likelihood, certainty or exact timing of any alternatives,” GNC said.
https://www.post-gazette.com/busines...gWe1B2CrVHWPFA
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