Nerissa

Bikini Village files for creditor protection stores to remain open

SAINTE-JULIE, Que. — Quebec-based swimwear retailer Groupe Bikini Village Inc. filed for bankruptcy protection Tuesday after posting a series of million-dollar quarterly losses.The company says it hopes to restructure and ultimately find a partner or buyer after announcing it is seeking creditor protection under the Bankruptcy and Insolvency Act.Jocelyn Dumas, chairman of the board for Bikini Village, says the company needs a cash injection to help it reach profitability.The bathing suit retailer based just south of Montreal is $6 million in debt and posted a net loss of $6.4 million for fiscal 2014, compared with a $1.1-million loss the previous year.The company’s restructuring will be led by PricewaterhouseCoopers, which has between 30 days and six months to come up with a plan for the firm to repay its creditors.Parasuco Retail to close its seven stores, files for bankruptcyMexx files for bankruptcy protection as retail competition claims another victimBikini Village says it will continue to operate its stores “in the ordinary course of business” and has not confirmed any job cuts.The retailer has 52 stores and employs 400 people.The retail industry is hurting with several well-known Quebec companies closing or filing for bankruptcy protection.Parasuco Retail Inc. filed for bankruptcy earlier this month, joining a list of retailers that are closing up shop in Canada, including Target Corp., Sony Corp., Mexx Canada, Smart Set and Boutique Jacob.Dumas says Bikini Village is better-placed compared to other struggling Quebec retail brands because the company specializes in a niche product and is well-known among consumers. read more