The operator of Eddie Bauer stores in the U.S. and Canada has filed for Chapter 11 bankruptcy protection due to declining sales and industry challenges. This marks the third time the brand has faced bankruptcy in its storied history that began in Seattle as a fishing shop. Eddie Bauer LLC will undergo a restructuring process with secured lenders while maintaining some retail and outlet store operations. The brand’s e-commerce and wholesale operations, not affected by the filing, will continue under a separate entity.

Despite its iconic history and legacy, Eddie Bauer has struggled to keep up with competitors in the outdoor apparel market. Issues such as declining quality and a perception as old-fashioned have impacted the brand’s appeal to younger consumers. The restructuring aims to optimize value for stakeholders while ensuring the brand remains profitable in the future. This move reflects the evolving landscape of retail as companies adapt to changing consumer preferences and market conditions.