McKool Smith principal John Sparacino provided commentary to Law360’s article, “Holiday Season Won't Save Many Retailers in Pandemic Year.” On top of the so-called Amazon effect challenges, bankruptcy and retail experts anticipate that retailers without online presence prior to the COVID-19 pandemic may not survive even the holiday season may bring an unexpected jump in sales. John commented that the retailer’s talk with lenders and other parties should focus on “right-sizing the business by identifying which locations will continue to be profitable and taking steps to close others while addressing rent with landlords to conserve cash.” He added, “You need to determine who the vendors are you absolutely need to go forward with and continue good relations with, and also identify those who aren't core or necessary or may not fit into your business plan in the future.” Read the full article here.
