The world-renowned luggage maker Samsonite Co. retail stores have filed bankruptcy as part of its reorganization plans.
Filing bankruptcy by the company was due to the effects of the global economic recession which lead to consumers cutting down on their budget for leisurely trips. The company’s bread-and-butter is with travel gears which makes it a direct target of this situation.
Samsonite Co. has listed $1.5B in debts and $233M in assets as of July 31 in US Bankruptcy Court in Wilmington, Delaware based on reports.
The move of filing bankruptcy aims to repay the company’s creditors and lenders. There is a meeting scheduled to discuss about the handling of the store-closing sales as part of the reorganization. Further developments on the company’s bankruptcy filing are expected to happen within the next few weeks or months.
