Luxury Retailer Barneys Sets Closing Date For Its Stores

Barneys New York luxury goods stores and its corporate office will officially be closed later this month, costing hundreds of jobs after the company went bankrupt.

<p>Barneys New York</p>

Barneys New York

Photo Credit: Barneys New York
<p>Barneys on Madison Avenue.</p>

Barneys on Madison Avenue.

Photo Credit: Google Maps

The once iconic luxury retailer will shutter the doors of 15 stores across the country as of Sunday, Feb. 23, with 719 employees losing their jobs, according to the New York State Department of Labor.

According to reports, any employee at the 97-year-old chain who has worked for the company at least two years received five-weeks severance, though workers did not receive accrued vacation time.

The closures come after Barneys filed for bankruptcy last summer and was sold for $270 million to Authentic Brands Group and B. Riley Financial Inc.

Despite the closures, the Barneys name will live on, with it being licensed to other companies, including Saks Fifth Avenue.

Up until closing day, Barneys items will be discounted by as much as 90 percent as they attempt to offload merchandise before closing.

“For more than 90 years, Barneys New York has been an iconic luxury specialty retailer, renowned for its edit, strong point of view, creativity, and representation of the world's best designers and brands," Barneys CEO and President Daniella Vitale said last year.

"Like many in our industry, Barneys New York's financial position has been dramatically impacted by the challenging retail environment and rent structures that are excessively high relative to market demand.”

On Instagram, the company posted, “Trends come and go, but institutions are timeless.”

Vitale added, "I would like to express my deep appreciation and profound gratitude for the continued support of our employees, vendor community and customers – truly the lifeblood of Barneys New York."

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