News & Features

Kalispell Herberger’s Faces Closure After Company Sale

Herberger's parent company, Bon-Ton, went into bankruptcy in February

Herberger’s department store in the Kalispell Center Mall is likely facing closure after its parent company agreed Wednesday to sell its assets to liquidators.

Bon-Ton Stores, a York, Pennsylvania-based corporation with several department store chains, filed for Chapter 11 bankruptcy in February, but the company was unable to reverse its financial course in time.

The Great American Group LLC and Tiger Capital Group LLC, a liquidating group, won the bid for the company when it went to auction on Tuesday. A bankruptcy judge was expected to approve the sale on Wednesday.

There was a chance new ownership could have kept the department stores open when the company went to auction, but the likely outcome of this winning bid is the closure of all locations, according to Reuters.

The news wasn’t entirely unexpected at the Kalispell Herberger’s store, which completed a 40,000-square-foot expansion and renovation project last year, given that the company went into bankruptcy earlier in the year.

Local store manager Gary Evans said Wednesday he’s had little contact with the parent company about the sale, but he expected to know more by the end of the week. Evans said there are anywhere between 60 to 75 people working at Herberger’s, depending on the season.

Until local store representatives hear from the company, Evans said his crew is following along with the news.

“We really haven’t gotten a lot of direction at all,” he said.

Bon-Ton brands include Bon-Ton, Bergner’s, Boston Store, Carson’s, Elder-Beerman, Herberger’s and Younkers. They are in 23 states with about 250 locations. The company had already announced in January that 42 of its stores would close in 2018.

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