David’s Bridal files for bankruptcy
The Northway Mall location of David’s Bridal remains open for business as usual during the chain’s bankruptcy restructuring.
The store at 1440 Central Ave. will continue regular hours and fill all orders without interruption, a customer service representative said on Tuesday.
The 300-store chain filed for Chapter 11 bankruptcy protection on Monday in a bid to restructure about $400 million in debt.
“We have announced a plan to financially restructure David’s Bridal. This agreement allows us to guarantee no change in the service level our customers expect from us,” according to a statement from company CEO Scott Key. “Our stores will continue operating, and all orders and alterations will be delivered as promised.”
David’s Bridal was founded by David Reisberg in 1950 in Fort Lauderdale, Fla. Under subsequent owner Phillip Youtie, the retailer began an expansion that over time would take it to some 300 locations in North America and the United Kingdom, making it the largest bridal chain.
From 2000 to 2006, David’s Bridal was owned by the parent company of Macy’s, then sold to a private equity investment firm that flipped it in 2012 to Clayton, Dubilier & Rice at a valuation of nearly $1.1 billion, with David’s Bridal incurring debt as part of the transaction.
David’s Bridal lists a Guilford, Conn., office of Wilmington Trust as its largest unsecured creditor, owing $270 million for a debt instrument due in 2020, with no other trade vendor owed more than $1 million in unsecured debt. The company lists more than $1.3 million as a litigation settlement for a California class-action lawsuit on wages.
David’s Bridal is on the hook for another $550 million in debt secured by its assets, with other Connecticut creditors including the state Department of Revenue Services, the cities of Danbury and Norwalk and several other government entities.
Alex.Soule@scni.com; 203-842-2545; @casoulman