The Wisconsin Department of Workforce Development announced Bon-Ton Stores has contacted the state, warning it could potentially close 12 Wisconsin stores and its corporate office in Wisconsin. Bon-Ton is in active discussions with an investor group to acquire the Company in a court-supervised sale process. Notices also were issued for 140 workers at two stores in the Lehigh Valley.
Bids from potential buyers were due April 4.
According to bankruptcy filings in U.S. District Court in DE, an auction of Bon-Ton's assets is set for Monday. We are encouraged by the interest in Bon-Ton and we hope that jobs will be preserved through a sale process.
The Bon-Ton Stores Inc. on Friday said it was giving notice of potential layoffs that would affect workers in Lancaster and York counties if the bankrupt retailer is unable to find a buyer.
The spokeswoman said talks regarding the sale of the chain are ongoing. It is legally required to provide employees with 60 days notice before they lose their jobs.
News 18 spoke with Christine Hojnacki, the VP of Public Relations for Bon-Ton.
The Madison stores are located at East and West Towne Malls. A press release says 71 employees will be impacted.
Bon-Ton declared bankruptcy in February and has been attempting to reorganize or sell the company.
Bon-Ton, founded in 1898, operates 260 stores in 24 states under the Bon-Ton, Bergner's, Boston Store, Carson's, Elder-Beerman, Herberger's and Younkers but most of its stores have histories that predate the parent company. That includes $1.3 million for replacing and repairing the department store roof, $400,000 for repaving the parking lot and additional repairs, including the roof drainage system, totaling $300,000.