VENDOR INFORMATION

General Questions

Why did Gymboree have to take these actions?

  • This action is an important step forward in addressing Gymboree’s debt maturities and establishing a sustainable capital structure for the Company.
  • We believe we are taking the right actions to reposition the business and support our future growth, and we are confident that this financial restructuring is the best path forward for all of our stakeholders.
  • The financial restructuring will help ensure that Gymboree can continue to invest in the business, execute against our planned initiatives and meet the needs of our customers.
  • We expect to move through this process quickly and to emerge as a stronger organization with a more appropriate retail footprint for today’s industry landscape.

Does this mean the Company or its Gymboree, Janie and Jack or Crazy 8 brands are going out of business?

  • No. Operations are expected to continue as normal throughout the process, including continuing to operate the majority of our stores.
  • Chapter 11 is very different from Chapter 7 and other types of bankruptcy, where the focus is on liquidating a company and going out of business.
  • The Chapter 11 process provides an orderly path to significantly reduce our debt, address our store leases and establish a sustainable capital structure that can allow us to invest in and grow Gymboree’s business long-term. It will also facilitate a consensual transfer of ownership of the Company.
  • The court-supervised process will allow us to continue to pay our employees and meet our obligations to operate without interruption consistent with Chapter 11 and applicable court orders. 

When is Gymboree expected to emerge from this process?

  • It is our intent to move through this process with the support of our key financial stakeholders as quickly and efficiently as possible.

Where can vendors go if they have additional questions?

  • You may call our Restructuring Support Center at 844-822-9233 (or 646-486-7945 for international calls) or send an email to gymboreeinfo@PrimeClerk.com.

Vendor-Specific Questions

Will Gymboree pay my pre-petition invoice?

  • As is customary, pre-petition amounts are addressed through the Chapter 11 case.
  • Gymboree cannot pay claims for goods and services delivered prior to our filing on June 11, 2017 without specific court approval

What assurances can you provide that my company will be paid for goods and services provided to Gymboree in the future?

  • Gymboree will be a financially stronger company as a result of our court-supervised financial restructuring. 
  • Gymboree expects to pay vendors in the normal course for all goods and services delivered on or after June 11, 2017.
  • Already, we have secured $35 million in debtor-in-possession (“DIP”) financing from a majority of our existing Term Loan Lenders and up to $273.5 million in additional debtor-in-possession financing from our existing lenders under Gymboree's ABL credit facilities. 

Has Gymboree secured Debtor-in-Possession (DIP) financing?

  • Gymboree has secured $35 million in debtor-in-possession (“DIP”) financing from a majority of our existing Term Loan Lenders and up to $273.5 million in additional debtor-in-possession financing from our existing lenders under Gymboree's ABL credit facilities. 

When will I be paid for goods and services delivered before Gymboree’s filing? Is there anything I can do to expedite this process?

  • Gymboree cannot pay claims for goods and services delivered prior to our filing on June 11, 2017, without specific court approval. 
  • Payment for goods and services delivered prior to the filing will be addressed through the Chapter 11 process. 
  • The Company has received authority from the court cor trade vendors that are critical to the Company’s business to be paid in full for pre-petition claims under the terms of the agreement with our lenders. 
  • The Company has also received authority to pay the pre-petition claims of its critical foreign and other critical vendors as they come due in the ordinary course.  

Was the Company's freight motion approved?

  • Yes. The court approved payment of the pre-petition and post-petition claims of our shippers, warehousemen and agents for import and export charges as usual in order to ensure the timely delivery of goods to our stores.

What determines whether an invoice is a pre-petition or post-petition claim? What’s the difference?

  • Goods and services delivered prior to Gymboree’s June 11, 2017 filing are considered pre-petition and will be addressed through the Chapter 11 process. 
  • Goods and services delivered on or after our filing date are considered post-petition and will be paid in the normal course. 
  • In making this distinction, the key factor is not the invoice date but when the goods or services were delivered and Gymboree became legally responsible for payment.

My company issued an invoice after the filing date for goods or services provided prior to the filing. Is it pre-petition or post-petition?

  • The key factor is not the invoice date but rather when the goods or services were delivered and Gymboree became legally responsible for payment. 
  • If this date is prior to June 11, 2017, the claim will be considered pre-petition, regardless of the date of the invoice.

Can my company reissue an invoice to expedite payment?

  • The determination of whether a claim is paid in the normal course or addressed in through the Chapter 11 process is based on the date the goods or services were delivered, not on the date of the invoice.
  • Accordingly, your claim cannot be expedited by reissuing the invoice. 

Can vendors apply payments made after the filing to pre-petition invoices?

  • No. Vendors must maintain a distinction between receivables for goods and services provided to Gymboree before the Chapter 11 filing and receivables for goods and services provided after the filing.

Are there any forms I need to complete or anything else I need to do now to file my claim?

  • Court filings and information about the claims process are available at https://cases.primeclerk.com/gymboree, by calling Gymboree’s claims agent, Prime Clerk, at 844-822-9233 (or 646-486-7945 for international calls) or by sending an email to gymboreeinfo@PrimeClerk.com.
  • Any questions you have about your specific situation would be most appropriately addressed by your own legal counsel.

Will Gymboree continue to order goods and services from its vendors?

  • Yes. We expect to continue operations as normal throughout this process and intend to pay vendors in full for goods and services provided on or after the filing date. 

We have a contract with Gymboree. Are you going to be able to satisfy it? 

  • We intend to continue working with our vendors and intend to pay vendors in full for goods and services furnished on or after the filing date of June 11, 2017.

Can I renegotiate my contract terms with the Company? 

  • No, under the Bankruptcy Code, you are required to perform under your contracts with the Company.  
  • It is important to understand that we expect to continue operating the business and serving our customers in the normal course throughout this court-supervised financial restructuring process. 
  • The cooperation of all of our vendors is essential to a successful outcome of this process. 

How do I file a proof of claim? 

  • Court filings and information about the claims process are available at https://cases.primeclerk.com/gymboree, by calling Gymboree’s claims agent, Prime Clerk, at 844-822-9233 (or 646-486-7945 for international calls) or by sending an email to gymboreeinfo@PrimeClerk.com.
  • Any questions you have about your specific situation would be most appropriately addressed by your own legal counsel.