Crumbs Bake Shop Celebrates Independence Day, Then Closes Its Doors Forever

7/8/14 12:45PM EST

Crumbs Bake Shop Celebrates Independence Day Then Closes Its Doors Forever Crumbs Bake Shop Celebrates Independence Day, Then Closes Its Doors Forever

Image via Facebook/Crumbs Bake Shop

Crumbs Bake Shop employees around the country went home for the last time on Monday. The company announced that it would immediately be closing its doors and shutting down all locations. The sudden announcement came just a few days after July 4th celebrations, when there was no indication of trouble.

The photo was also used as the page’s cover photo and remains there post-announcement.

A day before appeared an even more misguiding message as to what was no doubt cooking up at Crumbs headquarters.

Crumbs has not said what exactly was the cause of the extremely short-noticed shutdown that left hundreds of employees in their 48 nationwide store locations nationwide jobless overnight. But a spokeswoman for the company released a statement to the Wall Street Journal yesterday shortly after the announcement outlining a grim future for the once hugely popular cupcake destination.

Regrettably Crumbs has been forced to cease operations and is immediately attending to the dislocation of its devoted employees while it evaluates its limited remaining options,” The company said in a statement. “Those options could include a bankruptcy filing.”

While the company gave no formal indication of its impending doom, NASDAQ may have given the biggest clue to what was imminent for Crumbs when it stopped trading the company’s stock on July 1 because the company didn’t meet the $2.5 million minimum stockholders equity requirement, according to The New York Times.

Crumbs’s stock price had also fallen dramatically in June to a record low of 27 cents per share, from a high of $14 per share when the company went public in 2011.

From The Web
 
0 comments

Become Richer, Smarter And Funnier

Get Our Best Stories Delivered To Your Inbox

Get Your Daily Dose Now For Free

No thanks, i don’t want to receive awesome stuff