The U.S. entity of Japanese retailer Muji, known for its minimalist home goods, filed for bankruptcy, adding to a growing list of industry companies reeling from the COVID-19 pandemic, Bloomberg News reported. Muji U.S.A Ltd., which is operated by Ryohin Keikaku Co., filed for chapter 11 in Delaware, according to a filing. It listed assets and liabilities in the range of $50 million to $100 million, and estimated the number of creditors at 200 to 999. Ryohin Keikaku said in a separate statement that Muji U.S.A. filed for bankruptcy due to shutdowns from the coronavirus. The company had been grappling with losses due to high rent and other costs, and was taking steps to improve sales and renegotiate rents before the pandemic hit, it said. In the last fiscal year, sales from U.S. operations, where there are 19 stores, made up about 2.5 percent of Ryohin Keikaku’s revenue. The U.S. business has been operating at a loss for the past three fiscal years. Last year, it had a loss of around $10 million, according to its bankruptcy statement.
