Boscov's Files for Chapter 11

The troubled department store chain Boscov's filed for Chapter 11 bankruptcy protection today, becoming the latest victim of the harsh consumer spending environment. The Reading, Pa.-based chain said it will close 10 of its 49 stores, citing sluggish consumer spending and credit issues—and acknowledging that some of its suppliers had stopped shipping merchandise to the company—as contributing factors.

The country's largest family-owned independent department store chain said it has secured $250 million in debtor-in-possession financing from Bank of America, which will allow it to pay for shipments of merchandise for the back-to-school and holiday seasons. Boscov's joins other recent Chapter 11 filers like Steve & Barry's, Linens 'n Things, Lillian Vernon, and Sharper Image. (More Boscov's stories.)