Eddie Bauer could close all North American stores as parent company eyes bankruptcy

Core Viewpoint - Catalyst Brands, which operates Eddie Bauer stores in North America, is preparing to file for bankruptcy protection, potentially leading to the closure of all its North American locations [1][2]. Group 1: Company Overview - Catalyst Brands owns the license to operate Eddie Bauer, along with other brands such as Lucky Brand, Aéropostale, Nautica, Brooks Brothers, and JCPenney [1]. - The company operates approximately 180 locations in the US and Canada, with an additional 20 international locations [2]. Group 2: Financial Context - Catalyst Brands was formed in 2025 through a merger between JCPenney and SPARC Group, consolidating various clothing brands under one entity [3]. - Prior to the merger, JCPenney faced significant challenges, including declining foot traffic and sales, leading to its own bankruptcy filing during the pandemic [4]. Group 3: Recent Developments - JCPenney has been closing stores in recent years as it struggles to adapt to changing market conditions [5]. - The potential bankruptcy filing for Eddie Bauer is expected to have no impact on the other brands under Catalyst [2].