Manhattan Beach-Based True Religion Emerges From Bankruptcy Protection

The luxury denim brand lowers its debt and gets more time to pay off loans under the reorganization plan.

LOS ANGELES (AP) — True Religion Brand Jeans has exited Chapter 11 bankruptcy protection in a move that reduces how much the retailer owes while giving it more time to pay it off.

The Los Angeles-based company said Friday that its debt reorganization plan was approved by a bankruptcy court on Oct. 5.

The plan reduces True Religion’s term loans from $471 million to $113.5 million and extends the time when the loans come due to 2022.

CEO John Ermatinger says the plan clears the way for the company to improve its retail operations, grow the brand’s digital presence and tackle other strategic goals.

True Religion filed for Chapter 11 bankruptcy protection in July. It’s one of several retailers this year to seek bankruptcy protection, close stores or go out of business entirely.

(© Copyright 2017 The Associated Press. All Rights Reserved. This material may not be published, broadcast rewritten or redistributed.)

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