MONTREAL – Insolvent womenswear retailer Jacob Inc. has been given another month to develop a restructuring plan that could keep some of its stores open.
The Quebec Superior Court extended creditor protection for the Montreal-based company until Aug. 22.
A company spokeswoman said Monday that the time will be used to complete its restructuring plan and obtain financing.
“All the details regarding the number and location of stores that will remain open are still being discussed so I am unable to provide more details at the moment,” Cristelle Basmaji wrote in an email.
In May, Jacob filed for bankruptcy and began to liquidate inventory at all 92 of its stores across Canada.
The company has been under creditor protection since November 2010, when it underwent operational restructuring, which included closing some 50 stores. But Jacob, which was founded in 1977, said it was unable to make the business profitable or to find new financing.