Forever 21 Files Bankruptcy, Willow Grove Store To Close

MONTGOMERY COUNTY, PA — Discount clothing retailer Forever 21 is shutting down its U.S. operations and closing all stores, including several in Montgomery County.

The chain has locations at the King of Prussia Mall, Montgomery Mall, Willow Grove Park Mall, and Philadelphia Premium Outlets in Limerick, all of which will close.

Stores will remain open for now, but the company will begin liquidation sales with the intention to close all locations if there is no potential buyer.

"Through their chapter 11 cases, the Company will implement an orderly wind down of its U.S. business while continuing to conduct a marketing process to solicit interest in a going concern transaction or a sale of some or all of its assets," the company said in a news release.

The company filed for bankruptcy in 2019 before this latest news, but the problems remained consistent: rising costs, economic challenges and hearty competition from others in the fast-fashion side of the industry.

"Forever 21 was the brand that the former generation used," said Roger Beahm, a marketing professor and director of the Retail Learning Labs at Wake Forest University, told the Los Angeles Times. "Today’s shoppers want their own brand, they want their own identity."

Forever 21’s locations outside of the United States are operated by other licensees and are not included in the Chapter 11 filings, officials said.

The chain has 16 total locations across Pennsylvania, including the four Montgomery County locations.

With reporting from Patch correspondent Deb Belt