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Published January 27, 2021
Published January 27, 2021
L’Occitane via Facebook

The US arm of L’Occitane filed for Chapter 11 bankruptcy on January 26, 2021, in hopes of reducing its physical footprint.

WHO: The L’Occitane brand was founded in 1976 in Manosque, France, by Olivier Baussan and captures the true art de vivre of Provence, offering a sensorial immersion in the natural beauty and lifestyle of the South of France. From the texture of products to the scent, each skincare, body care, and fragrance formula promises pleasure through beauty and well-being—a moment rich in enjoyment and discovery that goes beyond tangible benefits to create a different experience of Provence.

WHY: To implement a store footprint optimization plan, including the contemplated exit of unprofitable locations in order to accelerate a transformation already underway to best position its business for the future.

IN THEIR OWN WORDS: “Today’s action is a pivotal step forward in achieving the full potential of L’Occitane’s U.S. business,” said Yann Tanini, Managing Director of L’Occitane North America. “Over the past year, we have moved aggressively to address COVID-related challenges head on, developing innovative new ways to connect with our community and continue to deliver the extraordinary L’Occitane beauty experience that our customers know and love, all while accelerating the essential transformation of our store footprint already underway. We look forward to working collaboratively with our landlords to achieve partnerships that make economic sense in this current retail environment and best position our marquee brand’s boutique offering for years to come.”

Mr. Tanini added, “Just like in L’Occitane’s other markets around the world, we look forward to continuing to serve our loyal clients here in the U.S. in our boutiques, online, and through our amazing team of passionate beauty advisors. As always, L’Occitane is focused on creating a delightful and personalized customer experience, and we will continue to develop innovative products with unique benefits. Our unwavering commitment to sustainability and ambition to make a positive impact in the world are stronger than ever. We appreciate the continued support of our employees, community, and partners, and we are excited about the bright future of our U.S. business.”


  • The US arm of L’Occitane commenced a voluntary case under Chapter 11 of the U.S. Bankruptcy Code in the United States Bankruptcy Court for the District of New Jersey.
  • The filing does not include the L’OCCITANE en Provence brand or any operations outside the US; parent company L’Occitane International SA (“Group”); or any other Group subsidiaries, including Elemis and LimeLife.
  • L’Occitane currently runs 166 boutiques in the US, largely based in regional malls, and has immediate plans to close 23 locations looking to shed unprofitable and declining locations.
  • The brand’s sales were down by 21% between April and December compared to 2019, while brick-and-mortar sales fell by 56.5%. At the same time during that period, the beauty retailer’s e-commerce sales expanded by 72% and went from around 20% of its total sales to 42.7%.
  • The business has about 1,051 US employees and furloughed and laid off certain workers during the pandemic. The company said that of 325 furloughed employees, 165 have come back, and 40 have been let go.
  • The company has $161 million in assets and almost $162 million in liabilities, per court papers. L’Occitane U.S.’s biggest unsecured creditor is its parent company, which is owed $26 million related to loans and $4.5 million related to inventory.
  • The company intends to continue to pay suppliers in the ordinary course for all goods received and services rendered after the filing.
  • Fox Rothschild LLP is serving as legal counsel, RK Consultants LLC is serving as financial advisor, and Hilco Real Estate, LLC, is serving as real estate advisor to the company.

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