CBL files for bankruptcy
2 Nov 2020
CBL & Associates Properties Inc, a U.S. shopping mall operator, has voluntarily filed for Chapter 11 bankruptcy. The news was reported by Reuters. This makes CBL another casualty of mall operator bankruptcies as coronavirus put a major dent in some already struggling mall businesses.
Malls, which were already seeing declining foot traffic, were done no favors by COVID-19. In addition to months of prolonged closures, once they did reopen people were still very cautious about going. More consumers have opted for online shopping instead. Many of CBL’s retailers, including J.C. Penney, which is an anchor at many of their malls, have had to resort to filing for bankruptcy themselves.
CBL filed a chapter 11 petition for financial restructuring, and the company will be able to continue operating while reassessing its financial situation and taking necessary steps to stay afloat. CBL’s assets and liabilities are estimated to be between 1 billion and 10 billion dollars.
photo: courtesy of JC Penney Newsroom