Quiksilver Files for Bankruptcy

Fashion retailer Quiksilver has begun Chapter 11 proceedings for its U.S. subsidiaries, while at the same time acquiring new financing to secure its reemergence.

The bankruptcy filing will not affect the company's foreign subsidiaries in Europe and Asia Pacific, and is designed to facilitate a financial and operational restructuring.

Following the filing, Quiksilver will continue to operate business as a “debtor-in-possession” under the jurisdiction of the Bankruptcy Court. At the same time the retailer has entered into a financing agreement with Oaktree Capital Management to receive $175 million in DIP financing to help the company re-emerge from bankruptcy.