There’s nothing nostalgia about the retail market. Just because a brand has been around for decades, or even a century, doesn’t guarantee it will last beyond 2026.
In the coming year, we may see the demise of Sears and Kmart, two historic brands that helped define American retail. It’s almost inconceivable that Sears, then a brand larger than Walmart, would now be a chain with fewer than 10 stores, ready to close once leases and other obligations were resolved.
The last Sears department store operating in a mall near our home had limited merchandise, few workers, and was only staying open so its owners could afford to transfer its lease to Dick’s Sporting Goods, which took over the location. While it’s still open, it’s a sad reminder of what the chain once was.
However, the glory of the past does not guarantee everything in the present. That’s why Saks Global finds itself fighting for survival in Chapter 11 bankruptcy, while multiple legacy brands are closing their doors.
Now, another famous brand, Eddie Bauer, appears to be preparing to file for bankruptcy under Chapter 11 of the U.S. Bankruptcy Code and close more than 200 of its retail stores, Women’s Wear Daily (WWD) reports.
Eddie Bauer has filed for Chapter 11 bankruptcy twice before.
Its first bankruptcy occurred in 2003.
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Eddie Bauer’s parent company at the time, mirror companyApplied Chapter 11 Bankruptcy March 2003.
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Spiegel’s financial problems led to the closing of many Eddie Bauer stores.
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After reorganization, In June 2005, Eddie Bauer emerged from the Spiegel bankruptcy as an independent company Called Eddie Bauer Holdings.
Source: SEC filings
The second application was submitted in 2009.
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exist June 17, 2009filed by Eddie Bauer Holdings Inc. Chapter 11 Bankruptcy Protection The company itself was in trouble due to heavy debt, declining sales and recession-era pressures.
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At the time, the company owned hundreds of retail stores, was heavily in debt and was financially strained.
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During the bankruptcy process, Eddie Bauer obtained financing to continue operations while searching for a buyer.
Source: New York Times -
exist July 2009Eddie Ball Obtained from bankruptcy by private equity firms Golden Gate Capital at bankruptcy auction $286 millionaccording to a Golden Gate Capital press release.
Now, the company is preparing to file for Chapter 11 bankruptcy again and plans to close all of its stores.
According to WWD’s report on January 29, “Eddie Bauer is preparing to file for bankruptcy under Chapter 11 of the U.S. Bankruptcy Code, and there is news that the retailer will close approximately 200 stores in North America.”
The chain will exit the U.S. retail market, but its stores in Japan will not be affected. It’s a complicated deal due to the company’s ownership, RetailWire reported.
“Following last year’s formation of Catalyst Brands (a brand holding formed by Eddie Bauer, Aeropostale, Lucky Brand, Brooks Brothers, Nautica and JCPenney) (by Simon Property Group, Brookfield Corp., Authentic Brands Group and Shein), Eddie Bauer’s bankruptcy will reportedly leave intact the North American manufacturing, e-commerce and wholesale businesses that are currently undergoing a transition from Catalyst in the process of transitioning the brand to a new licensee,” WWD’s Jean E. Palmieri reports.
This would mean the end of Eddie Bauer as a retail chain, but the brand would live on and be sold elsewhere.
GlobalData managing director Neil Saunders believes Eddie Bauer is a brand in trouble.
“I’ve been to several Eddie Bauer stores over the past year and I’m really struggling to understand what the differences are,” he wrote on RetailWire. “The stores are packed with products that are hard to shop for and don’t provide enough inspiration. There’s almost no storytelling. That doesn’t matter for the outdoor category, which remains soft and full of innovative brands like Fjallravenn and Arcteryx, all of which are doing great stores.”
His fellow think tanker Craig Sundstrom placed the blame on the company’s ownership.
“Well, yeah. I think the lesson – and not that much was learned aboutWe understand that when a brand becomes part of a conglomerate, it becomes expendable… just like L&T was marginalized after NRDC acquired Saks,” he posted.
More retail:
Retail consultant Mohammed Amer agrees.
“Catalyst Brands takes the portfolio operator model to its logical end: financial arbitrage disguised as brand management. Even with 200 store closures, Eddie Bauer’s seamless migration of e-commerce to Outdoor 5 is more than just an operational assortment; it’s monetizing the exit itself while abandoning an unprofitable brick-and-mortar business,” he shared.
Since 2020, many well-known brands have closed their doors, including:
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Lord and Taylor: Founded in 1826one of the oldest department stores in the United States. filed for bankruptcy in 2020 and closed all physical stores 2021 In a pandemic-era recession, according to Modern Retail.
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Steinmat: Founded in 1908. filed for bankruptcy in 2020 and closed its 279 physical stores That year (the brand only existed online), according to CNBC.
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Model’s sporting goods: Founded in 1889. One of the oldest sporting goods retailers. File for bankruptcy and liquidate all stores 2020 back 131 yearsAccording to Modern Retail.
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joan fabric: Founded in 1943. After many bankruptcies, Close all 800+ stores by May 2025TheStreet’s Maurie Backman reports.
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ritual assistance: Founded in 1962. Once one of the largest pharmacy chains in the United States. Filed for bankruptcy twice (2023 and 2025) and Close all remaining stores by the end of 2025According to CBS News.
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Hudson’s Bay (department store division). part of hudson’s bay companythe oldest commercial enterprise in North America. Traditional department store chains are being liquidated All stores closed until June 1, 2025Retail Dive Report.
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This article was originally published by TheStreet on January 31, 2026, and first appeared in the Retail section. Click here to add TheStreet as your preferred source.