Due to plummeting sales, bankruptcy rumors have been surfacing for awhile about Eddie Bauer Holdings Inc.
True to the rumors, the Bellevue, Wash.-based company filed for Chapter 11 bankruptcy protection Wednesday the Chicago Tribune reported.
According to the Tribune, the clothing retailer reported a loss for the first quarter of $44.5 million. When it filed for bankruptcy, the company had $476.1 million in total assets and $426.7 million in total debt.
The company is likely to be acquired by private-equity company CCMP Capital Advisors.