Ann Taylor Parent Goes Bankrupt, Plans to Shut Over 1,000 Stores

Ascena Retail Group Inc., owner of the Ann Taylor and Lane Bryant clothing chains, will close more than half its stores and hand control to its lenders after the Covid-19 pandemic tipped the debt-laden retailer into bankruptcy.

The court filing on Thursday is the latest among U.S. retailers that have been pushed over the edge by shutdowns tied to the outbreak. The Chapter 11 action allows Ascena to avoid a permanent shutdown, cut its borrowings and close weak stores to minimize costs.

Ascena has about 40,000 employees, according to court papers, and some of them are bound to lose ...