Citing ongoing industry shifts and COVID-19's impact on the lending market, Rubie's Costume Co. Inc. has sought chapter 11 protection, Newsday reported. Rubie's and five affiliated companies on April 30 requested that the court consider their bankruptcy requests as one and allow the group time to pursue a replacement package for about $49 million in outstanding credit, according to court filings. The business, with corporate headquarters in Westbury, N.J., and sales headquarters in Melville, N.J., estimated it could secure a new credit arrangement within 90 to 120 days, but said it may pursue a sale if proposals did not emerge. Rubie's requested immediate access to $7.7 million in investment accounts, arguing the liquidity is needed to facilitate the restructuring and to function as it gears up for the lucrative Halloween season.
