California, September 2, 2025
News Summary
Claire’s Holdings LLC has announced the closure of more than 290 retail locations across the United States due to bankruptcy and financial struggles. The move comes after a sale to Ames Watson for $104 million, with most closures expected to be completed by September 2025. This decision impacts both Claire’s and Icing stores, with California being the hardest hit. The company aims to stabilize its operations amidst fierce competition and changing shopping behaviors as it faces $500 million in debts.
California – Claire’s Holdings LLC will close over 290 retail locations across the United States as part of its bankruptcy proceedings and recent sale to private equity firm Ames Watson for $104 million. The decision has been made to address the ongoing financial struggles of the company, aiming to stabilize its operations in the face of increasing competition and shifting consumer behaviors.
The closures involve both Claire’s and Icing stores, affecting communities nationwide. The company announced that most of the store closures will be completed by September 7, 2025, with the entire process expected to wrap up by early September 2025. Court documents filed on August 25 list a total of 291 stores set for closure, which includes 235 Claire’s stores and 56 Icing locations.
Among the states facing the most significant impact, California will see the highest number of closures at 25 stores, followed by New York with 18, and Illinois and Pennsylvania, each with 16. While more than 290 locations are being shuttered, a total of 830 stores will remain operational for the time being, including 785 Claire’s and 45 Icing stores.
Claire’s has been in a tenuous financial situation for some time. Following a previous bankruptcy filing in March 2018, the company underwent restructuring to resolve approximately $1.9 billion in debt and emerged from that process in December 2018. However, the ongoing challenges of the retail landscape, marked by increased competition and changing consumer preferences, have once again placed the company under financial strain. Claire’s had previously cited that without a buyer, it might need to close over 1,100 stores.
Recently, worsening economic variables such as tariffs and higher interest rates further complicated Claire’s financial landscape, prompting the second bankruptcy filing on August 6, 2025. As of now, the company is grappling with debts totaling $500 million, due by December 2025, which weighs heavily on its operational decisions.
Historically, Claire’s began in 1961 as a wig store and diversified into jewelry and ear-piercing services in 1978. The chain has become synonymous with ear piercing, reportedly serving over 100 million customers over the decades. Additionally, Claire’s and Icing stores were found in virtually all major shopping centers across the United States, including significant partnerships with retailers like Walmart.
The ongoing closures reflect the realities faced by brick-and-mortar retail locations as consumer shopping increasingly shifts online. CEO Chris Cramer noted that while the decision to close stores is tough, it is necessary given the current landscape. Moving forward, Claire’s is exploring strategic alternatives and continuing discussions with potential partners to stabilize its financial future.
Despite its challenges, Claire’s had previously seen a phase of profitability and considered an IPO in 2021, although that plan was postponed. Facing another round of financial difficulties, the company is now focused on restructuring, evaluating its long-term strategies, and ensuring its viability amid a challenging retail environment.
Frequently Asked Questions
Why is Claire’s closing over 290 stores?
The store closures are part of Claire’s Holdings LLC’s bankruptcy proceedings and a response to financial difficulties and changing consumer behaviors. The decision follows a sale to private equity firm Ames Watson for $104 million.
When will the closures be completed?
The closures are expected to be completed by early September 2025, with most stores shutting down by September 7, 2025.
How many locations will remain open?
After the closures, a total of 830 stores will remain operational, which includes 785 Claire’s and 45 Icing locations.
What challenges has Claire’s faced recently?
Claire’s experienced financial challenges due to increased competition, changing customer preferences towards online shopping, and broader economic issues such as tariffs and higher interest rates.
Key Features of Claire’s Store Closures
| Feature | Details |
|---|---|
| Total Store Closures | Over 290 locations (235 Claire’s, 56 Icing) |
| Completion Date | Early September 2025 |
| Remaining Operational Stores | 830 total (785 Claire’s, 45 Icing) |
| Most Affected States | California, New York, Illinois, Pennsylvania |
| Company Debt | $500 million (due December 2025) |
Deeper Dive: News & Info About This Topic
- Fox LA
- AL.com
- Business Insider
- Bloomberg
- KING 5 News
- Wikipedia: Bankruptcy
- Google Search: Claire’s bankruptcy 2025
- Google Scholar: Retail Bankruptcy
- Encyclopedia Britannica: Bankruptcy
- Google News: Claire’s store closures
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