The owner of Herberger’s will close all six Montana stores and liquidate its assets as part of a bankruptcy process that began this week.
Bon-Ton Stores, Inc, the owner of several corporate brands including Herberger’s, plans to liquidate retail locations across the country, including its store at Southgate Mall in Missoula and its stores in Great Falls, Havre, Kalispell, Butte and Billings.
“While we are disappointed by this outcome and tried very hard to identify bidders interested in operating the business as a going concern, we are committed to working constructively with the winning bidder to ensure an orderly wind-down of operations that minimizes the impact of this development on our associates, customers, vendors and the communities we serve,” CEO Bill Tracy said in a press release.
Herberger’s serves as a major anchor at Southgate Mall and represents just one of the 260 stores in 23 states operated by Bon-Ton. In court filings earlier this week, the company named 212 locations slated for liquidation.
The closure of Herberger’s marks the latest setback at Southgate Mall, which saw the closure of Sears in 2015. Other box stores have also shuttered or downsized across Missoula in recent years, including Staples, Kmart, Hastings and Sports Authority.
Other looming closures are also rumored, including Shopko. A number of additional retailers located in Missoula have been named among those on this year’s “death watch.” That list includes JC Penney, Barnes & Noble, GNC, and Sears Hometown stores.
Southgate Mall Associates quietly sold its property for $58 million to Washington Prime Group earlier this year.