The recent Chapter 11 bankruptcy filing by Tailored Brands, the parent company of prominent menswear retailers Jos. A. Bank and Men’s Wearhouse, has cast a shadow over numerous store locations. This financial restructuring could lead to significant changes in the retail landscape, particularly for customers who frequent Jos. A. Bank locations for their apparel needs. Originally reported by the Baltimore Sun, the bankruptcy announcement has raised concerns about potential store closures, including several Jos. A. Bank locations in Maryland.
Tailored Brands’ decision to seek Chapter 11 protection, filed in the Southern District of Texas, signals significant financial strain. An initial list of proposed closures included a Jos. A. Bank store within The Gallery at Harborplace in Baltimore’s Inner Harbor, alongside a Men’s Wearhouse at Towson Town Center. Furthermore, four additional Jos. Bank locations in Maryland – Severna Park, Rockville, Gaithersburg, and Germantown – were also identified as potential closures in a list of 100 stores underperforming due to unexpired leases.
These potential closures mark a significant moment for Jos. A. Bank, a brand with deep historical ties to Maryland. The company’s roots trace back to 1905 in Baltimore and it was headquartered in Hampstead, Carroll County. By 2014, Jos. A. Bank had expanded to 629 stores before merging with Men’s Wearhouse in a substantial $1.8 billion deal. The brand prided itself on luxury collections, a commitment to customer service, and the availability of in-store tailoring, aiming to differentiate itself in the competitive menswear market.
However, Tailored Brands, encompassing tuxedo rentals and men’s business attire sales, has faced considerable headwinds. The cancellation of proms and weddings, the widespread shift to remote work leading to closed business offices, and temporary store closures due to the coronavirus pandemic have significantly impacted revenue. This confluence of factors has accelerated financial difficulties for Tailored Brands, alongside a broader downturn affecting many retail businesses.
The retail sector has witnessed a surge in bankruptcies in 2020, with the pace far exceeding the previous year’s total. Numerous retailers, from J. Crew and J.C. Penney to Neiman Marcus and Lord & Taylor, have sought Chapter 11 protection. Tailored Brands, despite its market presence, was already experiencing revenue decline before the pandemic, with a 5.6% drop in the preceding two years, partly attributed to the increasing trend of casual business dress codes. The overall decline in brick-and-mortar retail, intensified by COVID-19, further exacerbated the company’s challenges.
Last month, Tailored Brands indicated the potential closure of up to 500 of its 1,274 U.S. stores. While specific Jos A Bank Locations were not initially disclosed, the bankruptcy filing has now provided a clearer, albeit preliminary, picture of potential closures, particularly impacting Maryland Jos A Bank locations.
Despite the restructuring, Tailored Brands, including Men’s Wearhouse, Jos. A. Bank, K&G Fashion Superstore, and Moores Clothing for Men, will continue operations. At the time of the Men’s Wearhouse merger with Jos. A. Bank, the intention was to maintain Jos. A. Bank’s separate brand identity. However, post-merger, there were workforce reductions at Jos. Bank’s Hampstead headquarters, indicating integration and cost-saving measures.
The Chief Restructuring Officer for Tailored Brands, Holly Etlin, stated the Chapter 11 goal is to emerge as a viable business, preserving approximately 15,500 jobs and relationships with customers, vendors, and landlords. Tailored Brands is part of a larger trend of established retailers facing bankruptcy, including Brooks Brothers and Barneys New York, highlighting the profound shifts within the retail industry.
For customers concerned about specific Jos A Bank locations, the situation remains dynamic. While the initial list identifies some potential closures, the bankruptcy process is ongoing, and final decisions will depend on negotiations and restructuring outcomes. Individuals seeking the nearest Jos A Bank locations are advised to check the official website for the most up-to-date store directory as the company navigates this period of change.
