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Mega Music Retailer Guitar Center Filed for Chapter 11 Bankruptcy

They can no longer string this.

According to reports, Guitar Center, the country’s largest retailer of musical instruments, has filed for bankruptcy.

CNN said on Sunday that the coronavirus pandemic had slumped the economy, highlighting 269 locations and applying for Chapter 11 protection.

“This is an important and positive step in the process of significantly reducing debt and strengthening our ability to reinvest in our business to support long-term growth,” said Ron Japinga, CEO of the company. It is stated in. “We will continue to serve our customers and fulfill our mission to provide more music to the world.”

According to CNN, a 61-year-old retailer was forced to close many stores in March by offering online guitar lessons and musical instrument trading amid a deadly virus epidemic.

However, the company’s main owner, Ares Management Corporation, was unable to stop the decline in sales, which began to decline before the blockade of COVID-19, due to the decline in foot traffic at shopping malls. ..

Guitar Center relies on lenders for $ 165 million in new investments and $ 800 million in debt savings to keep it going.

The company hopes to complete its bankruptcy filing by the end of the year, according to CNN.

Mega Music Retailer Guitar Center Filed for Chapter 11 Bankruptcy

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