- Virtually all Quiksilver, Billabong and Volcom stores in the U.S. are closing. The shutdown comes as the licensee Liberated Brands has filed for bankruptcy. The brands will continue to be sold, however, as licenses have been transferred to another company.
Three of what were once one among the most popular clothing stores for Millennials are shutting down all of their U.S. retail locations.
Quiksilver, Billabong, and Volcom stores around the country are being closed after the U.S. licensee Liberated Brands filed for bankruptcy. (The status of the company’s nine retail locations in Hawaii is currently being negotiated.) The company blames, in part, the rise of fast fashion for its financial problems.
All three of the retail brands catered to largely the same audience: the surfer/skateboarder crowd, as well as those that wanted to emulate them. While more than 120 retail locations are closing, the brands will continue to exist and produce clothing. The licenses for all three have been transferred to another company, which will continue to make the clothes.
Liberated listed debt of $226 million and laid off approximately 1,400 employees as part of its shutdown. The company saw a bump in business during the pandemic, when people were spending more time outside. That led to an expansion, with retail stores jumping from 67 to 140. The demand died down, however, as it did for many pandemic darlings. Add in higher interest rates and increased costs and the company said it had no choice but to file bankruptcy.
“The Liberated team has worked tirelessly over the last year to propel these iconic brands forward, but a volatile global economy, consumer spending changes amid a rising cost of living, and inflationary pressures have all taken a heavy toll,” Liberated Brands said in a statement. “Despite this difficult change, we are encouraged that many of our talented associates have found new opportunities with other license holders that will carry these great brands into the future.”
The closures are the latest in several recent retail bankruptcies, including Party City and The Container Store.
