Muji U.S Files for Bankruptcy After Pandemic Shutdowns Effects
Muji U.S.A Ltd which was owned by Japanese Retailer Ryohin Keikaku Co. has filed for Chapter 11 in Delaware which in a midst of bankruptcy now due to the decreasing sales after the Covid-19 pandemic. With the current listed assets and liabilities in the range of $50 (S$70Million) million to $100million (S$140Million).
Ryohin Keikaku mentioned on a separate statement that Muji U.S.A is filing for bankruptcy due to the company has been making high losses due to high rent and another cause is it failed to improve the sales and renegotiate the rent before the pandemic hit.
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Muji nows joins more than 110 companies wich has declared bankruptcy in the U.S country this year and most are due to the pandemic period of time. As the current pandemic which has hit retailers all around the globe, which end up stores closes as a part of an effort to mitigate its spread.