The operator of Eddie Bauer, a sportswear company known for selling goose-down coats and other outdoor apparel, filed for bankruptcy on Monday, citing declining sales and supply chain issues.
The operator filed for Chapter 11 bankruptcy protection in the District of New Jersey. It said in court filings that it was looking to sell some or all of its approximately 220 Eddie Bauer stores in the United States and Canada.
Eddie Bauer LLC, based in Washington State, said it experienced a spike in sales after the Covid-19 pandemic as people wanted to spend more time outdoors.
But a shift in consumer preferences, rising inflation, the closure of a loophole on cheap imports and higher tariffs eroded margins and hurt earnings, the company said.
Monday’s bankruptcy filing is the third for Eddie Bauer since it was founded in the 1920s. It first filed for Chapter 11 bankruptcy protection in 2003, then six years later in the wake of the 2008 financial crisis.
Eddie Bauer was founded by an entrepreneur of that name who began making down jackets for himself and a few friends after contracting hypothermia on a winter fishing trip in Washington State in 1923. He patented the design and the company grew from a single store to a mail-order business with a national profile.
When James W. Whittaker became the first American to climb Mount Everest in 1963, he wore an Eddie Bauer parka. Its garments and sleeping bags were standard equipment for the United States Army Air Corps in World War II.
By 2002, the company had about 500 clothing stores in the U.S., Germany and Japan. It also collaborated with other fashion labels, including Buck Mason and Homme Femme, to blend outdoor style with casual streetwear.
Eddie Bauer’s latest bankruptcy came during a volatile period for some American retailers. Some have scaled down their operations to focus on the successful parts of their businesses as they grapple with global uncertainty and disrupted supply chains.
Earlier this year, Amazon said it would close physical stores and focus on growing its food delivery and grocery chain, Whole Foods Market.
Saks Global, the parent company of Saks Fifth Avenue, Neiman Marcus and Bergdorf Goodman and the largest luxury department store group in America, filed for bankruptcy protection in January.
Laura Chung is a Sydney-based reporter and researcher for The Times, covering Australia, New Zealand and the Pacific.
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