Puerto Rican retailer Jeans.com files Ch. 11, owes $5.1M
Jeans.com, a Puerto Rican clothing retailer established in 1998 catering to men 15 to 40, has filed for Chapter 11 bankruptcy protection, listing more than $5.1 million in debt.
The chain founded in 1998 has an extensive list of creditors that includes municipalities, shopping centers and suppliers. Oriental Financial Group and the Municipal Revenue Collections Center are owed the most, with $323,556 and $317,202, respectively.
The retailer’s debt significantly overshadows its current assets, listed at $953,742, according to the bankruptcy filing.
On a lesser or larger scale, Jeans.com — presided by Michael J. Silva — owes money to at least 19 municipal governments, including Bayamón, Cidra, Hatillo, Manatí, San Juan and Toa Alta, where it has or had presence.
On its website, Jeans.com states it operates 34 stores throughout the island featuring “many national brands as well as private label merchandise.”
“Unlike the competition, Jeans.com is strictly geared toward the young man, and does not cater to the ‘caballero’ or to children,” the company said to describe itself. Featured clothing is meant to appeal to the urban crowd, with t-shirts, jeans and accessories lining store racks and shelves.
By definition, a Chapter 11 filing allows the company to continue operating while it reorganizes its finances under the supervision of the U.S. Bankruptcy Court.