The Children's Place files for bankruptcy, aims to sell assets

The Children's Place, a longtime staple for kids' apparel, filed for bankruptcy on Sunday in the U.S. Bankruptcy Court District of New Jersey. 

The company cited declining sales and increased costs, including impact from tariffs, in court records and quarterly results. In September, the company described negative impacts from tariffs on second-quarter sales. For now, e-commerce sites and stores are open, including its seven Long Island locations, as the company seeks to find a buyer by year's end with the aim to continue operations.  

“At this time, all of our stores and e-commerce sites remain open and continue to serve customers. With that said, The Children’s Place has determined that it will be necessary to close certain stores during this process," a company spokesperson said in an emailed statement. "As such, we are conducting an ongoing evaluation of our operational footprint and will communicate confirmed decisions as they are made.

"While these are difficult decisions, they are necessary to improve our financial and operational position and provide The Children’s Place with the best opportunity to move forward on stronger footing,” the statement said.

The Secaucus, New Jersey, company, founded in 1969, sells clothes for babies, toddlers and children under The Children's Place and Gymboree brands through two websites, 514 retail stores in North America and wholesale marketplaces like Amazon, according to court records. Company products are distributed in 13 countries.

Websites for The Children's Place and Gymboree are advertising a "total inventory blowout," with 25-60% off final sales. 

By Brianne Ledda

brianne.ledda@newsday.com@brianne_ledda

Brianne Ledda covers personal finance and affordability for Newsday. She previously covered Southold and Greenport for The Suffolk Times and is a graduate of Stony Brook University.