Reports Say That Gottschalks To File Chapter 11

No word on status of Elk Grove store

Several news sources report today that Fresno-based Gottschalks Inc. is on the verge of filing a Chapter 11 bankruptcy following a disappointing Holiday sales season.

As part of the filing, it is reported that 15 of its 58 stores will be shuttered. The Elk Grove store has long been rumored to be on the chopping block.

On top of a 11% year-over-year sales decline in December, Gottschalks has been squeezed by the international credit crunch.

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