Tailored Brands Announces Confirmation Of Plan Of Reorganization

FREMONT, Calif. — November 13, 2020 — Tailored Brands Inc. and certain of its subsidiaries today announced that the U.S. Bankruptcy Court for the Southern District of Texas has confirmed the company’s Plan of Reorganization. As a result, Tailored Brands expects to successfully emerge from Chapter 11 protection by the end of November, after it has satisfied the customary conditions to the effectiveness of the Plan.

“We are extremely pleased to have reached this milestone,” said Tailored Brands President and CEO Dinesh Lathi. “Over the past three months, we have not only continued to advance steadily through this financial restructuring but also implemented new buy online, pick up in store and contactless payment technology to better serve our customers during the pandemic; further curated our assortments to make them more shoppable and relevant; opened our first next generation store in Shenandoah, Texas; developed new partnerships; and continued to advance important diversity, equity and inclusion initiatives, consistent with our corporate values. These and other actions taken while in Chapter 11 are the continuation of a strategic transformation that started well before COVID-19 and will position us to compete and succeed for the long term.”

“Our deep appreciation goes out to our employees, customers, vendors, landlords and lenders for the ongoing support they have shown us. We look forward to entering the peak holiday season with this process behind us and to being positioned to grow our business by providing customers with selection, convenience, service and value across all our brands,” Lathi continued.

Under the terms of the Plan, Tailored Brands will emerge with a strengthened capital structure having eliminated $686 million of funded debt from its balance sheet. The capital structure of the reorganized company is expected to consist of a $430 million ABL facility, a $365 million exit term loan and $75 million of cash from a new debt facility to support ongoing operations and strategic initiatives.

Additional resources for customers and other stakeholders can be accessed by visiting the company’s restructuring website at TailoredStronger.com. Court filings and other documents related to the Chapter 11 process are available at http://cases.primeclerk.com/TailoredBrands, by calling the Company’s claims agent at (877) 461-5690 (Toll-Free) or (347) 817-4089 (Local/International) or by sending an email to TailoredBrandsInfo@PrimeClerk.com.

Tailored Brands is advised in this process by Kirkland & Ellis LLP as legal advisor, PJT Partners as financial advisor and AlixPartners as restructuring advisor.

Tailored Brands’ brands include Men’s Wearhouse, Jos. A. Bank, Moores Clothing for Men and K&G.

Posted November 16, 2020

Source: Tailored Brands Inc.