L’Occitane U.S. Unit Files for Chapter 11 to Reduce Rent Costs

Beauty product retailer L’Occitane en Provence’s U.S. unit filed for Chapter 11 bankruptcy proceedings in New Jersey in an attempt to cut costs amid business disruption caused by the pandemic.

The chain saw its retail revenues plunge 56.5% in the U.S. between April and December compared with the previous year, regional managing director Yann Tanini said in a statement supporting the filing. A 72% increase in online sales wasn’t enough to offset the loss of brick-and-mortar business, he said.

L’Occitane, which employs more than 1,000 people in the country, filed for bankruptcy after failing to agree a reduction in leases ...