Forever 21 Declares Bankruptcy, Shutters Danbury Store

DANBURY, CT — It looks as though the ill-named Forever 21 will be shuttering its store in Danbury, as it charts its way through murky financial waters.

The Los Angeles-based retailer announced it has filed for Chapter 11 bankruptcy in a letter to customers Sunday. The letter made it clear that the clothier was not going out of business, but filed for bankruptcy protection as a "deliberate and decisive step to put us on a successful track for the future."

"We are confident this is the right path for the long-term health of our business," Forever 21 said in the letter to customers. "Once we complete a reorganization, Forever 21 will be a stronger, more viable company that is better positioned to prosper for years to come."

But it won't be positioned in Danbury. The total number of closures planned represents about a third of Forever 21′s operation in the U.S., and includes its Danbury Fair Mall location at 7 Backus Avenue, the company announced Tuesday afternoon.

Forever 21 hitched its chariot to the youth market with its low-cost trendy styles, but now joins a growing list of brick-and-mortar establishments that have seen a nosedive in revenue and popularity with the emergence of e-commerce goliaths such as Amazon. Forever 21 saw its revenue dip to $3.3 billion last year, down from $4.4 billion in 2016, according to the New York Times. The company also has laid off more than 10,000 people since 2016.