J.P. Morgan is ceding its role as administrative agent for rue21’s term loan to Wilmington Savings Fund Society as the struggling apparel retailer seeks to restructure its debt, Debtwire reports. The apparel retailer has missed interest and amortization payments and is seeking new lenders, although many lenders think the company can’t take on any more debt, Debtwire Associate Editor Reshmi Basu told Retail Dive.
Factor firms are getting nervous and not approving shipments, Basu said, though Debtwire’s report noted that management has said it continues to have factor support. “Whenever you have issues with your supply chain it’s not a good thing,” she told Retail Dive.. . . more