The news earlier this week that Belk had filed for bankruptcy and was going to get new financing was not exactly a shocker, the rumors had been circulating for some time. But here’s the thing: there will be new financing but there will be the same old owners — private equity player Sycamore Partners — but even worse, the same old department store model. Until they change the way they do business — which could involve changing the ownership — Belk will be in a slow but steady decline as mall-based department stores continue to falter and become increasingly irrelevant in the retail marketplace. To expect any other outcome is just plain Stupid.
Here’s my take on the Belk chapter 11 filing and what it means: https://www.forbes.com/sites/warrenshoulberg/2021/01/26/why-the-belk-bankruptcy-plan-is-not–a-done-deal/?sh=e27fd9474e2e