Destination Maternity Closing 4 Stores; 642 Layoffs In NJ: Report

NEW JERSEY – The retail chain Destination Maternity plans to close 201 locations in the United States, including four in New Jersey, as the maternity apparel store continues through its Chapter 11 bankruptcy protection case.

The New Jersey-based company also plans to layoff 642 people in corporate locations: Florence (212 job losses) and Moorestown (430).

Read more: Nearly 2K Layoffs In NJ As Store Bankruptcies, Closings Hit State

The company has 62 Destination Maternity stores across the nation, in addition to its 799 Motherhood Maternity stores and its 40 Pea in the Pod locations.

In New Jersey, USA Today reports, the company said it plans to close stores at the following locations:

• Bridgewater - Destination Maternity
• Deptford - Motherhood Maternity
• Elizabeth - Motherhood Maternity Outlet
• Shrewsbury - A Pea in the Pod

The company did not provide specific addresses of every store it plans to close, although it did say it plans to shut the Motherhood Maternity store in the Deptford Mall, USA Today reported. Jersey Gardens in Elizabeth was identified as another location.

The company also runs 423 leased departments (or stores within stores) in the United States and Canada, such as Motherhood Maternity in Macy's, which will continue.

It has 3,200 employees, of whom 1,000 are full-time and 2,200 are part-time. It plans to continue paying its workers through the Chapter 11 restructuring.

As part of the Chapter 11 proceedings, bids for the company must be submitted by Dec. 5, an auction will be held Dec. 9 and the bankruptcy court must approve the sale by Dec. 12.

Destination Maternity is among the latest retail businesses to file for bankruptcy. The company, which has $260 million in assets and is $244 million in debt, filed for bankruptcy on Oct. 21, according to court documents.

The company has had five CEOs in the last five years.

Despite the closures, the company does expect to continue operating brick-and-mortar and online stores.