Barneys has tapped law firm Kirkland & Ellis LLP to restructure its debt and is weighing a potential bankruptcy filing, according to a report from Reuters.
The move is largely to address expensive leases, especially its flagship location on Madison Avenue in Manhattan, that are hampering the retailer’s business, the report said.
CNBC also confirmed the report, citing unnamed sources, and noted that rent at the Madison Avenue store leaped from about $16 million to $30 million in January.
