Penny Loves Kenny Files for Bankruptcy, Says 'Business is Great'

Posted Aug 6th 2009 at 5:00PM by Kristen Seymour (Subscribe to Kristen Seymour's posts)

Filed under: News

Sometimes, love just ain't enough. Photo: amazon.com

They just keep coming -- another major brand has filed for bankruptcy.

Penny Loves Kenny, the trendy and popular juniors footwear brand, filed Chapter 11, reporting assets of around $900,000, and total liabilities of almost $4.9 million, reports WWD.

Co-founder Kenny Robinson remained positive at this week's FFaNY shoe show, saying that they filed for bankruptcy due to two major legal issues they've been dealing with almost since their inception, and that the seven-year-old company's lawyers recommended this course of action as protection.

"In the last six months, we've opened a showroom and added two brands [Park Lane and First Love by Penny Loves Kenny]. My business is great, but it just had to happen this way," explained Robinson.

Though business might be strong, the company's future is far from certain. According to court papers, Penny Loves Kenny "intends to restructure its organizational abilities to decrease overhead and increase sales. Alternatively, [the company may] sell all or part of its business operations."

We're gonna run out and buy a pair to help out our friends at PLK; you can do your part below:

Tags: bankruptcy, flats, heels, junior-shoes, Juniors, penny-loves-kenny, shoes, trendy-shoes

Reader Comments (Page 1 of 1)

joe smith 8-08-2009 @ 3:56PM

NO WONDER PENNY LOVES KENNY WENT BELLY UP,THAT IS THE WORST FRIGGIN NAME FOR A COMPANY,WHOEVER GAVE IT THAT NAME SHOULD BARRED FROM EVER OWNING ANOTHER BUSINESS.

Tg 8-08-2009 @ 4:03PM

If you're unemployed, underemployed or feel that you're underpaid, guess what, the job market is never going to be the same. If you don't adjust and learn new skills how are you going to support your family? You're not going to get hired for a high paying job with yesterday's skills. That was the situation I was in when I lost me job last August and couldn't find a decent job. It was terrible not being able to buy all the things we needed. The worst thing was having to make up excuses to tell my kids because I couldn't buy them the things their friends had. I kept looking and looking for a way out of my financial mess when a friend told me that he was making serious money, working at home, with a multiple income system developed by Robert Allen ( http://cli.gs/RobertAllenIncomeStreams ). I had read a number of his books and I always respected him as a money making master. I tried it and it was a life changer for me. Within a few months I was making more money than I ever did before and had much more free time too. No more cheap cuts of meat and not being able to buy what we want. His program is so simple that anyone with reasonable intelligence should be able to follow it and create a huge income for themselves and their family. Of course you could just sit around and wait for someone to hire you for a job you only think still is out there for you.

John F.C. Taylor 8-08-2009 @ 5:27PM

Never heard of them. Where exactly are they popular? If those yellow things are an example, it is no wonder that they've had to file chapter 11.

Jim 8-08-2009 @ 5:38PM

I never heard of them, but that's beside the point. Ever since the NYSE lost almost 1,400 point's over a two week span, the economy went downhill faster than a speeding bullet. Now, acording to various sources on Wall Street, we are on the "way back". But still companies are going bankrupt, or at least filing for Chapter 13 (where after a period of time, the company can try a comeback. Pan Am Airlines tried that. It did not last long). Even getting a new job is a pain. I have looked all over. I have the requirements, etc. Perhap's it's because 2 of the companies I worked for went bankrupt and are on my resume', but these day's, who know's?

teltech54 8-08-2009 @ 6:04PM

Wait until after this Back to School and Christmas shopping season. Everyone is going to be in for an eye opener.

Rich 8-08-2009 @ 8:08PM

Chapter 11 is industrialized robbery. Debts are tossed out and they keep on keeping on. Pass the buck on to their suppliers who are alreadly getting screwed.

Larz 8-08-2009 @ 10:36PM

The shoe business like most all others needs a cleansing!! Time for the cream to rise to the top and whats left at the bottom needs to be thrown out. Bye, Bye Yesterdays news in shoes!!!

Bob 8-08-2009 @ 10:54PM

No business is immune
from failing anymore. To
allow a company to reach
such monumental loss
questions whether any
legal advice should be
valued by this company.
What attorneys provided
any worthwhile advice?
Handling a company's
abilities seems sense-
less; no group of advis-
ers should have allowed
this company to sink.

Shoebooty 8-08-2009 @ 11:26PM

Never heard of this company.... so I can't say I'll miss them. There are so many shoe companies (especially for juniors) out there that I don't see this company being missed. I do feel bad for anyone who is out of a job because of its closure...that really sucks.

steve 8-09-2009 @ 12:38AM

Never heard of them. AOL always seems adept at finding stars, places and companies we've never known or heard of. Nice work. Masters of the obscure.

Ray 8-09-2009 @ 1:29PM

They were our next door neighbors for 20 years and wonderful people. Very tough business to be in but they managed to do well through all types of economy. Sorry to see this happen

Ron 8-10-2009 @ 4:29PM

Sounds like a little bailout of a few million might do the trick. Maybe President Obama can make it happen, and get in the shoe business too. After all, there's no business like shoe business!

Ron 8-10-2009 @ 4:38PM

Advisers only advise. Often the business owners don't follow the advice. Often the best entrepenuers are lousy at managing the business. Don't blame the advisers.

Denise 8-10-2009 @ 7:13PM

Their shoes are somewhat to be desired. I think they need a new buyer for their store. The prices seem reasonable but there are tons of shoe stores out there. It's a dog eat dog world in the shoe business.