- Claire's filed for Chapter 11 bankruptcy protection on Monday.
- The teen retailer is closing 92 stores across the US and Puerto Rico.
- We visited one of Claire's New York City stores on the day it announced it had filed for bankruptcy to see what it's like to shop there right now.
Claire's, the teen jewelry and accessories retailer known for its iconic ear-piercing service, filed for Chapter 11 bankruptcy protection on Monday. The company has been crippled with $2 billion of debt and agreed to a restructuring plan to reduce its debt by $1.9 billion.
In the bankruptcy filing, Claire's announced it would be closing 92 stores across the US in March and April.
Claire's has been hit hard by declining traffic to malls since most of its 7,500 stores are located in shopping malls. The majority of its store closings will impact mall-based stores.
"A Claire's store is located in approximately 99% of major shopping malls throughout the United States," Claire's said in a bankruptcy filing, citing data showing that traffic to malls had declined 8% over the last year.
"This decline may be attributable to several factors, including competition from big-box retailers, large tenant closures (leaving malls without an 'anchor' tenant to drive foot traffic), and the increased popularity of online shopping," the company said.
Claire's did not immediately respond to Business Insider's request for comment.
We visited one of its stores to find out exactly what it's like to shop there now:
