Sorry Tweens...Looks Like You Will No Longer Be Able to Spend Your Parents Money Here


Delia’s Inc. (DLIA) filed for Chapter 11 bankruptcy protection at Case In re Delia’s Inc, 14-23678, US Bankruptcy Court, Southern District of New York (White Plains).

If you are not familiar with Delia’s, it is a clothing retailer that caters to teenage girls, specifically ages 10 to 15.  Delia’s had 92 retail stores in 29 states malls.  

As mall traffic has declined, Delia’s, like many other retail stores relied on their online presence.  As online shoppers have become savvy at waiting for the best deals, Delia’s was not able to keep up.  Slow online orders moved the company into the realm of a negative cash flow.  It reported a whopping $30.5 million negative cash flow in 2014.  Many are skeptical that Delia will be able to come out of this reorganization and continue operating.

I can remember looking at Delia’s catalog when I was 13 and thinking that it was way too expensive for me to buy with my allowance.  And even worse, my parents would never approve such a purchase.  I knew that I could get my mother to buy classic designs from the Gap but growing up on the East coast, such bright colored, light weight “beachy” looks with a much heavier price tag simply were not practical.


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