There’s no two way about the fact that 2020 was an excessively brutal year for the entire world, personally as well as financially. Economies across the globe suffered massive losses due to Covid-19. The global pandemic caused by the coronavirus led to stay at home lockdowns and economic shutdowns throughout the world, which accelerated the demise of some major corporations that were already facing issues.
Numerous big-box companies filed for bankruptcy in 2020 and here is a list of some major companies that waved a white flag and Covid-19 continued to wreak havoc on global economies.
The Montreal-based shoe retailer company has filed for bankruptcy and is seeking similar relief in Canada (where it is based), and Switzerland. The brand had nearly 3000 operational stores in approximately 100 countries.
The pandemic has been especially distressing for gyms and fitness centres. Gold’s Gym had to file for bankruptcy in May 2020 after having to shut down 700 of its gyms, accepting that no single factor had ever affected the company more.
Exide Technologies manufactures industrial batteries in more than 80 countries filed for bankruptcy in May, and also agreed to sell its business in Europe and Asia.
CEC Entertainment is the parent company to Chuck-e-Cheese, a globally recognized entertainment centre for kids and young adults. CEC Entertainment had to also file for bankruptcy and shut down numerous of its stores.
NPC International is the parent company to iconic food brands like Wendy’s and Pizza Hut. The company had to file for bankruptcy in July because of the competitive pressures of the restaurant industry.
24 Hour Fitness
Like gold’s gym, 24-hour fitness had to also file for bankruptcy due to Covid-19 being crucial for gyms and fitness centres in particular.
Centric Brands, an apparel manufacturer who licenses clothing to high-end designers like Calvin Klein and Tommy Hilfiger, filed for bankruptcy in May 2020.
One of the biggest telecommunication companies of the world had to declare bankruptcy in April 2020 due to its sizable debt.
Global Eagle is the reason why most of us enjoy Wi-Fi facilities and can surf on the internet on flights. However, the company had to file for bankruptcy due to increased debt burden and a major decline in air travels during the pandemic.
This company happens to be the parent company of seven subsidiary eCommerce companies filed for bankruptcy in March.
The high-end men’s fashion brand was already struggling before the pandemic hit. It had to file for bankruptcy in July as because of the pandemic, people were working from home and the demand for suits and dressier clothes went down.
It is the parent company to iconic brands like Ann Taylor and Lane Bryant, among others, had to file for bankruptcy in July. It even announced to close an undisclosed number of stores out of 2800 that was then operational.
The company filed for bankruptcy because the demand for auto-parts suffered a huge deal because of the pandemic.
The neoteric company that launched the first commercial communications satellite in the year 1965 had to file for bankruptcy in May.
Latam Airlines is the biggest carrier company yet to file for bankruptcy, citing the financial toll coronavirus pandemic had on their company.
The pharmaceutical manufacturer company had to file for bankruptcy in February only due to intense pressure of pending lawsuits.
The Swedish fashion retailer had to file for bankruptcy due to customers not being able to shop from stores amid the lockdowns.
Rubie’s Costume Company
The world’s biggest costume company took a heavy blow during the pandemic as demand drastically declined and had to file for bankruptcy in April.
Speedcast International is a satellite internet company that provides connectivity to cruise ships when they are out at the sea and provides service to more than 80% of the cruises. The company had to file for bankruptcy in April.
The Oscar-winning company that provides special effects for major movies had to file for bankruptcy in April.
The largest Australian Airlines had to file for bankruptcy in April after being denied pleas for a bailout by the government.
This company partners with educational institutes all across the world to offer educational tours to students. WorldStrides had to file for bankruptcy in July.
Virgin Atlantic joined the queue of airlines to file for bankruptcy in August and is working on firm up a bailout aided by the British government.
This brand owns subsidiary brands like Men’s Wearhouse, Jos. A. Bank and K&G brands have decided to permanently shut down all of its 500 stores due to major decline in demand. The company also filed bankruptcy in early August.
California Pizza Kitchen
The popular dining chain that is a staple to almost all malls and shopping centres in the US had to file for bankruptcy in early July after the shopping centres and malls closed down due to staying at home lockdowns.
Briggs and Stratton
This company is one of the most prominent manufacturers of gas engines in North America. They had to file for bankruptcy in mid-July as their sales suffered a massive loss due to the near-failure of Sears (which sold Briggs and Stratton craftsmen tools and lawn equipment).
This is the parent company to women’s fashion retailer New York and Co. The company had to file for bankruptcy in July after suffering a loss of millions in the wake of the pandemic.
Muji is a Japanese brand for home décor items and necessary goods with stores all around the world. The company had to temporarily shut down its stores all over the globe and permanently shut down an undisclosed number of stores in and around California and New York. Muji file for bankruptcy in July and decided to focus more on its online retail.
Sur la Table
Sur La Table, a speciality cookware brand had to file for bankruptcy in early July and was later sold for around $90 million.
Famous for its bohemian and denim apparels, Lucky brand had to file for bankruptcy in early July. The company had already been struggling for nearly a decade to make profits due to customers shifting focus to online shopping.
Cirque du Soleil
The company is the producer for the legendary acrobatic shows of Las Vegas and others announced bankruptcy in June laying off nearly 3500 of its workers. The pandemic proved to be particularly hard for the company and hopes to restructure its debts with the help of the Canadian government and private equity firms.
The colossal denim apparel company filed for bankruptcy due to major wobbling in its footing amid the pandemic. The company is restructuring itself for the second time in the last three years.