U.S. luxury department store operator Barneys New York Inc. is exploring options that include a bankruptcy filing, as it struggles with high rents and changing consumer tastes, Reuters reported. The nearly 100-year-old retailer, known for its high-end designer collection, is working with law firm Kirkland & Ellis LLP to prepare for a potential bankruptcy filing that could come in the coming weeks. Barneys has not yet made a final decision on whether or not to seek bankruptcy protection, and is weighing other possible solutions for addressing high rents that are straining its business. The retailer’s flagship department store on Madison Avenue in Manhattan has weighed on its finances. Should it file for bankruptcy, Barneys would be one of the most high-profile victims of the downturn in retail, and underscore how even luxury department stores are not immune from fierce competition with e-commerce firms such as Amazon.com Inc.
