The days are numbered for Eddie Bauer’s store fleet.
Early Monday, Eddie Bauer LLC, a division of Catalyst Brands and operator of the 200-plus stores in North America under license from the brand owner Authentic Brands Group, entered into a restructuring support agreement with its secured lenders and filed a voluntary Chapter 11 petition in the United States Bankruptcy Court for the District of New Jersey.
The bankruptcy confirms a report in WWD on Jan. 29. The filing does not impact Eddie Bauer’s e-commerce or wholesale operations or its 20 or so stores operating in Japan.
Buzz had been building online for weeks after rumors of a possible bankruptcy surfaced. The flames were fueled by going-out-of-business sales that have already started at some 40 units whose leases reportedly expired at the end of January. But the Chapter 11 filing will allow the company to close the remaining stores in the fleet.
However, it’s possible that another entity could emerge to buy the store operating rights and keep a handful of units open. Sources said several other companies have expressed interest, but any deal would have to be approved by the bankruptcy court.
In revealing the bankruptcy, Eddie Bauer LLC said it would conduct liquidation sales while “continuing to pursue an ongoing sale process to conduct an expeditious, value-maximizing going concern sale of all or part of its store operations.”
Earlier this month, the company’s manufacturing, e-commerce and wholesale operations in the U.S. and Canada transitioned from Catalyst to Outdoor 5, a global design and product development platform which will continue to operate those categories. Outside of its own stores and e-commerce site, the brand is also carried at Costco, Kohl’s and some off-price players including T.J. Maxx.
Eddie Bauer LLC has also filed what it deemed “customary motions” with the bankruptcy court seeking a variety of “first-day” relief, including approval of the use of cash collateral to pay employee wages and benefits and fund operations through the Chapter 11 process.
Marc Rosen, chief executive officer of Catalyst Brands, said, “Even prior to the inception of Catalyst Brands last year, the retail company was in a challenged situation, with declining sales, supply chain challenges and other issues. Over the past year, these challenges have been exacerbated by various headwinds, including increased costs of doing business due to inflation, ongoing tariff uncertainty, and other factors. While the leadership team at Catalyst was able to make significant strides in the brand, including rapid improvements in product development and marketing, those changes could not be implemented fast enough to fully address the challenges created over several years.”
He said that the Eddie Bauer stores company “has evaluated all options and taken actions to best position the retail company for the future,” but if it is unable to find another store operator, it will “wind down…store operations.”
Catalyst Brands was formed last year by Simon Property Group, Brookfield Corp., Authentic Brands Group and Shein and consists of Lucky Brand, Aéropostale, Nautica, Brooks Brothers and JCPenney, as well as Eddie Bauer.
Authentic and SPARC acquired the Eddie Bauer brand in May 2021 for an undisclosed sum from the PSEB Group, an operating group owned by Golden Gate Capital. The company, which at the time of the sale had estimated sales of $500 million and employed around 1,000 people, competes with outdoor brands such as L.L. Bean, REI, Patagonia and others.
At the time Catalyst was formed in January 2025, Ken Ohashi, chief executive officer of Brooks Brothers, also assumed the CEO post at Eddie Bauer. He could not be reached for comment on the bankruptcy filing but sources said that since he took the helm, he has spearheaded the company’s return to more-lifestyle products. And business in categories such as sweaters and fleece were reportedly strong over the holiday season.
Its 2025 holiday campaign was titled “For the Outdoors ad the Outdoorsy” and featured joggers, faux shearing fleece jackets and vests and beanies for activities such as skiing and camping.
But the stores remained the problem. Sources said that the majority of the Eddie Bauer stores in North America have been unprofitable for years as the brand lost ground to more-technical experts such as Arc’teryx, The North Face, Patagonia and others.
However, as part of its go-forward strategy, Authentic is seeking to return to the brand’s roots and will reintroduce its First Ascent elite performance line this month. A multi-channel spring campaign, titled “Living Your Adventure,” will focus on the relaunch and the company’s products for both elite and everyday explorers.
A look from the Eddie Bauer spring campaign.
“In partnership with Outdoor 5, we are excited to put a spotlight on the brand pillars that have always defined Eddie Bauer: quality, functionality, and outdoor innovation,” said David Brooks, executive vice president of action and outdoor sports, lifestyle at Authentic. “We are also proud to announce the return of First Ascent, one of Eddie Bauer’s elite, performance-tested lines. Our focus is on Eddie Bauer’s roots in the outdoors while expanding its digital and wholesale reach to meet adventure-seeking consumers wherever they choose to shop.”
Eddie Bauer’s history dates back more than a century, and its namesake founder is credited with having developed the first quilted down jacket via a 1940 patent. A Pacific Northwest sportsman, he started the brand in 1920 by selling tennis wear in Seattle. PSEB first linked up with Eddie Bauer in 2009.
The company changed hands several times over the years after its founder sold it in 1968. General Mills and Spiegel owned it at different points in time. It was part of a bankruptcy filing by Spiegel in 2003 , the company filed for Chapter 11 bankruptcy in Delaware in 2009 and it was later purchased by Golden Gate Capital for $286 million. It filed Chapter 11 a second time in 2009.
