The ALDO Group Inc recently obtained an initial order from the Superior Court of Quebec pursuant to the Companies' Creditors Arrangement Act (CCAA). The Montreal-headquartered company will work to complete its restructuring in a timely fashion and hopes to exit from the process as soon as possible and better positioned for long term growth. It intends to use the proceedings to stabilise the business and build on its legacy in retail fashion.
In addition, the Canadian fashion footwear and accessory retailer has voluntarily applied for similar protection in the United States and is about to do the same in Switzerland.
Among other things, the initial order provides for a stay of proceedings in favour of the company for an initial period of 10 days, subject to extension thereafter as the court deems appropriate, and the appointment of Ernst & Young Inc. as monitor in the CCAA proceedings.
ALDO, Call It Spring and GLOBO's e-commerce websites will remain open throughout the process. The company's corporate stores, which are temporarily closed due to COVID-19, will re-open based on the guidelines set by local governments and health authorities.
