WARN notice posted for Younkers in Sioux City - KTIV News 4 Sioux City IA: News, Weather and Sports

WARN notice posted for Younkers in Sioux City

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SIOUX CITY (KTIV) -

UPDATE:

It appears that Bon-Ton Stores will be going out of business. 

That's according to a report from Reuters.

One of the department stores Bon-Ton owns is Younkers. 

And, Younkers right here in Sioux City has now been added to the Iowa Worker Adjustment and Retraining Notification website.

Bon-Ton filed for chapter 11 bankruptcy back in February. 

And, Reuters is reporting that the only bidders competing at the auction for the company are liquidators. 

The auction started Monday. 

Bon-Ton was working with two mall owners last week to secure a bid that could have kept many locations open. 

Those two mall owners, Namdar Realty Group and Washington Prime Group Incorporated, have many Bon-Ton operated stores in their malls. 

One of those malls includes the Washington Prime ran Southern Hills Mall here in Sioux City. 

And now, 84 employees at the Southern hills Younkers' location have been notified of the layoffs expected on June 5th. 

A spokesperson from Bon-Ton has not yet responded to an interview request after we left three phone messages and sent an email to their spokesperson. 

I also reached out to three times to Washington Prime Group for comment and have also not heard back. 


The Sioux City Younkers location has been added to the Iowa WARN notification website. It shows the layoff date begins on June 5, 2018. 

The closure shows 84 employees are impacted.

Six other Younkers locations in Iowa were also posted. 

Reuters is reporting Bon-Ton is heading to liquidation. 

KTIV will have more on this story as it develops. 


Previous: 

In a letter dated April 5, 2018, Mayor Bob Scott received from Bon-Ton Vice President of Human Resources Gail Monreal said they are notifying him of the Younkers store located at the Southern Hills Mall at 4380 Sergeant Road. 

The letter states the closing is expected to be permanent and will affect the entire operation. 

In accordance with the Worker Adjustment and Retraining Notification Act, Bon-Ton officials said they are providing advance written notice to the approximately 84 employees.

The first layoff would happen on June 5, 2018, and is expected to take several months.  

In the letter, the company states the timetable for closing is based on the best information available and is subject to change as the company evaluates their options including the selling of the business and subject to any actions of the bankruptcy court. 

On Wednesday, a spokesperson with Bon-Ton says the company has received a signed letter of intent from investors DW Partners. 

That group is made up of Namdar Realty Group and Washington Prime Group. 

The group is proposing to acquire the company.

Bon-Ton says the company and the investor are in the process of finalizing an asset purchase agreement ahead of an auction. 

The auction was set for Monday, April 16.

A spokesperson with Bon-Ton says they are waiting for that sale to go through. 

--Keith Bliven and Ashly Richardson contributed to this story. 

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