SAN FRANCISCO (AP) - Fresno-based retail chain Gottschalks Inc.
has filed for Chapter 11 bankruptcy.
In announcing it has filed for reorganization under the bankruptcy code, the regional department store chain also says it has negotiated a $125 million financing package from a group of lenders led by GE Capital.
Gottschalks also put itself up for sale.
The financing -- if approved in bankruptcy court -- would fund its employee wages and benefits, some vendor payments and other operating expenses while it reorganizes.
Gottschalks operates 58 department stores and three specialty clothing stores in California, Washington, Alaska, Oregon, Nevada and Idaho.
Its largest market is California, where it has 38 stores.
(Copyright 2009 by The Associated Press. All Rights Reserved.)