Clothing retailer Laura’s Shoppe files for creditor protection

Canada’s last retail victim has turned out to be women's fashion retailer Laura's Shoppe, which owns Laura, Laura Petites and Melanie Lyne. The fashion group has just filed for creditor protection.

The company, with more than 150 stores across the country, said it expects to close some underperforming stores but plans to keep doing business as usual while it restructures, reports CBC News.

A filing under the Companies' Creditors Arrangement Act protects the retailer from claims by creditors while it revamps its operations.

Despite having had important loses in 2012 and 2013, president Kalman Fisher said sales have since rebounded.

"We fully expect to reorganise the business, emerge as a strong and well-financed retailer and continue to serve our customers for many years to come," Fisher explained in a communicate on Wednesday.

"We continue to fill very important needs in the marketplace. Our customers have shown incredible loyalty to us, and have responded well to our redoubled efforts to please them during these difficult economic times,” added the company, which did not specify how many stores might close.