Fred's, the general discount retailer, is throwing in the towel, officially filing for Chapter 11 bankruptcy protection, according to documents filed Monday with the Securities and Exchange Commission.
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Shares, already battered, fell to a fresh record low.
The retailer, with locations primarily located throughout the Southeast, will hold liquidation sales at all locations which will close in about 60 days.
In July, the company announced plans to shutter 129 stores in an attempt to streamline operations and cut debt. At the time, that would have left 89 stores operating.
The retailer will continue to fill prescriptions at its pharmacies while also continuing to pursue a sale of that business.
Bankruptcy is subject to court approval which the company said it expects to win.
|SHLD||VICTORY PORTFOLIOS II VICTORYSHARES PROTECT AMER||28.94||+0.04||+0.14%|
Fred's comes as the U.S. retail industry wrestles with the haves and have nots. Once iconic stores, such as Sears, are closing and struggling to stay operational. Others, such as Target and Walmart, are thriving. Both recently boosted their profit outlooks, while Amazon -- which announced this week it is seeking 30,000 full and part-time employees -- remains the online leader.