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G-Star files for Chapter 11 bankruptcy in the US

By Huw Hughes


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Dutch denim brand G-Star has filed for Chapter 11 bankruptcy in the US citing the impact of Covid-19 on the business.

“As a result of this crisis, the previously initiated shift to online has accelerated, at the expense of the performance of physical stores,” a G-Star spokesperson told FashionUnited. “In order to cope with these structural market changes, it is important that we adjust our retail portfolio in various regions. This does not mean that we will leave these regions, we will restore the balance between G-Star stores, strategic partners and online presence.”

The spokesperson said that the company is now reviewing its store base in the US and Sweden. “Our intended end goal is to maintain a smaller healthy retail portfolio that better reflects the current market situation," they said.

It comes after the Australian arm of the brand entered administration in May. At the time, the company had 57 stores in the country with around 200 employees.

Founded in Amsterdam in 1989, G-Star is one of the world’s leading denim brands with flagship stores in London, New York, Paris and Sydney.

Photo credit: G-Star Raw Press Room