Body Shop Canada files for bankruptcy protection, plans restructuring
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The Body Shop Canada Ltd. says it will close 33 stores and halt its e-commerce operations as it seeks to restructure itself under the Bankruptcy and Insolvency Act.
The Body Shop Canada Ltd. says it will close 33 stores and halt its e-commerce operations as it seeks to restructure itself under the Bankruptcy and Insolvency Act.
The Canadian subsidiary of the international cosmetics brand announced Friday that it will immediately begin liquidating almost a third of its 105 stores.
The company did not say how many workers would lose their jobs as a result of the store closures that span locations in cities including Toronto, Ottawa, Edmonton, Calgary, Saskatoon and Saint John.
A court filing showed the company owes more than $3.3 million to unsecured creditors and about $16,400 to secured creditors.
The company's U.S. arm has also ceased operations, The Body Shop Canada said Friday.
The moves come weeks after the company's parent, The Body Shop International Ltd., filed for administration -- a process that allows companies to restructure or wind down without paying off its debts -- in the U.K.
British media reported Thursday that 75 of the brand's U.K. stores would close and 40 per cent of its headquarters staff would be laid off.
