Betsey Johnson Files for Bankruptcy!

Oh Betsey, say it ain’t so! The fashion industry received some semi-startling news yesterday after Betsey Johnson’s chain filed for Chapter 11 bankruptcy. As a result, more than 350 employees are expected to lose their jobs, with a majority of the 63 Betsey Johnson stores closing next month. Betsey said in a statement, “I feel so sad for my store people and all my pink girls. They live and die for me. But I need to be better. I really need to work well and be more efficient.” The company was bailed out by Steve Madden in 2010 after it defaulted on a $48 million loan, so unfortunately it was a move foreseen by many. Betsey says she will continue to work hard and put most of her focus on her more affordable line sold at Macy’s. β€œI love the moderate price range,” Johnson told WWD. β€œIt is in sync with all the girls who are buying my clothes.”
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