Bakery Chain Le Pain Quotidien’s U.S. Arm Files Bankruptcy (1)

The U.S. arm of bakery chain Le Pain Quotidien filed for bankruptcy in Delaware with plans to sell itself for $3 million to avoid shutting down for good, court papers show.

The Chapter 11 petition allows Le Pain Quotidien to rework its debts and carry out a sale to Aurify Brands LLC, which requires court approval. Without the sale, the company would’ve had to liquidate its 98 U.S. stores, proposed Chief Restructuring Officer Steven Fleming said in a court declaration.

The chain’s sales were slipping amid heavy competition and lack of investment in its stores even before the ...