California, September 1, 2025
News Summary
Claire’s, the popular teen accessories chain, has announced plans to close nearly 300 stores across the U.S. as it files for Chapter 11 bankruptcy for the second time since 2018. The closures will significantly impact California, with 25 locations affected due to increased competition, shifts in consumer spending, and the decline of brick-and-mortar retail. The company faces a $500 million debt due by December 2023 and has initiated liquidation sales in some locations. The closures are expected to be completed by September 7, 2025.
California – Claire’s, the well-known teen accessories chain, has announced plans to close nearly 300 stores across the United States as it files for Chapter 11 bankruptcy protection for the second time since 2018. The closures include 25 locations in California, with the company citing increased competition, shifts in consumer spending, and the decline of brick-and-mortar retail as key factors in its decision.
The store closures will affect 291 locations nationwide, with significant impacts in California, affecting towns and cities such as Barstow, Buena Park, Chula Vista, Citrus Heights, City of Commerce, El Centro, Emeryville, Lake Arrowhead, La Mesa, Long Beach, Murrieta, Newport Beach, Novato, Oxnard, Rancho Cordova, Rancho Santa Margarita, Sacramento, San Dimas, San Jose, Tulare, and Tustin. The announcement also includes the closing of 56 Icing stores, a sister brand linked to Claire’s, with locations identified in Culver City, Lakewood, and Palmdale.
The CEO of the company has pointed out that Claire’s has been grappling with a significant debt load, which includes a $500 million loan that is due by December 2023. In a bid to reduce losses, a liquidation sale was recently launched at the Emeryville store, offering discounts as high as 80% on merchandise.
Founded in 1961 originally as a wig store, Claire’s successfully transitioned into accessories and ear-piercing services by 1978. The brand boasts a long history in retail, claiming to have pierced over 100 million customers’ ears since it opened. Even though the company currently operates over 2,750 locations in 17 countries across North America and Europe, it faces challenges that reflect a broader trend impacting mall-based retailers.
The ongoing decline of Claire’s aligns with a growing narrative where mall retailers have struggled to retain customer interest due to the rise of online shopping platforms, particularly popular sites such as Shein and Temu. Other retailers like Forever 21 and Foot Locker have also announced bankruptcy filings, showcasing the difficulties plaguing traditional retail markets.
After its previous bankruptcy in 2018, Claire’s managed to offload $1.9 billion of debt and secured an additional $575 million in new capital. Currently, discussions are underway to explore strategic alternatives as Claire’s seeks a recovery path despite the necessary store closures. Sales will continue in most current stores until their closure, which is expected to be finalized by September 7, 2025.
FAQ
What is causing Claire’s to close stores?
Claire’s is closing stores due to increased competition, changing consumer spending habits, and a decline in brick-and-mortar retail.
How many store locations in California will be affected?
A total of 25 store locations in California will be closed as part of the company’s plan.
When will the store closures be completed?
The closures are expected to be completed by September 7, 2025.
What initial business did Claire’s operate?
Claire’s was originally founded as a wig store in 1961 before transitioning to accessories and ear-piercing services.
What happened during Claire’s previous bankruptcy?
During its previous bankruptcy in 2018, Claire’s offloaded $1.9 billion of debt and raised $575 million in new capital.
Key Features of the Store Closures
| Feature | Details |
|---|---|
| Total Store Closures | 291 locations nationwide |
| California Store Closures | 25 locations |
| Type of Bankruptcy | Chapter 11 |
| Debt Issues | $500 million loan due by December 2023 |
| Company History | Founded in 1961 as a wig store |
| Expected Closure Completion | By September 7, 2025 |
Deeper Dive: News & Info About This Topic
- ABC10 News
- Wikipedia: Claire’s
- USA Today
- Google Search: Claire’s store closures
- Los Angeles Times
- Google Scholar: Claire’s retail bankruptcy
- King 5 News
- Encyclopedia Britannica: Retail
- Business Insider
- Google News: Claire’s bankruptcy 2025
Author: STAFF HERE HUNTINGTON BEACH
The Huntington Beach Staff Writer represents the experienced team at HEREHuntingtonBeach.com, your go-to source for actionable local news and information in Huntington Beach, Orange County, and beyond. Specializing in "news you can use," we cover essential topics like product reviews for personal and business needs, local business directories, politics, real estate trends, neighborhood insights, and state news affecting the area—with deep expertise drawn from years of dedicated reporting and strong community input, including local press releases and business updates. We deliver top reporting on high-value events such as the Huntington Beach Surf City USA Marathon, the U.S. Open of Surfing, Fourth of July celebrations at the Huntington Beach Pier, and community festivals at Huntington Beach Central Park. Our coverage extends to key organizations like the Huntington Beach Chamber of Commerce and Visit Huntington Beach, plus leading businesses in retail, hospitality, and outdoor recreation that drive the local economy. As part of the broader HERE network, including HEREAnaheim.com, HERECostaMesa.com, HERESantaAna.com, and HERELosAngeles.com, we provide comprehensive, credible insights into Southern California's dynamic landscape.
