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Destination Maternity Files for Chapeter 11 Bankruptcy

destination maternity

Destination Maternity filed for Chapter 11 bankruptcy protection on Monday, citing a variety of factors including significant sales slumps and dwindling foot traffic, the declining national birth rate, and internal leadership shifts.

According to the bankruptcy filing, the company plans to shutter 183 stores across its existing markets in the US, Canada, and Puerto Rico. The retailer operates 458 stores total across its three maternity-focused brands, including its namesake Destination Maternity, Motherhood Maternity, and A Pea in the Pod. As the largest global maternity company, it also sells products within several major retailers including Macy’s and Bed Bath & Beyond.

As it moves into bankruptcy proceedings, Destination Maternity will attempt to find a buyer and work toward restructuring, but not without its 1,100 full-time and 2,300 part-time employees likely taking a hit. The mall brand has struggled to stay afloat amid a rise of competing e-commerce brands and rental companies that cater to expectant mothers, paired with a national birth rate that hit a 32-year-low in 2018.

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