UPDATE: Younkers' parent company seeking sale, hoping to avoid layoffs

Courtesy SiouxFalls.Business

Younkers has notified state officials it plans to close down its Sioux Falls store - but a company spokesperson says that closure is not yet a certainty.

Bon-Ton, Younkers' parent company, notified the South Dakota Department of Labor to begin layoffs June 5. The company expects 158 employees to be affected.

However, Bon-Ton spokesperson Christine Hojnacki tells KSFY News the company is in negotiations with an investor group to potentially acquire the company.

In a statement, Hojnacki said Bon-Ton issued the notification because labor laws require businesses to notify the state about potential job losses under certain circumstances.

Regarding the potential sale, Hojnacki said company officials are "encouraged by the interest in Bon-Ton and we hope that jobs will be preserved through a sale process."

The following is the full statement from Bon-Ton:

“We are required to provide notification under certain state and federal laws of potential job losses even as we work diligently to complete a sale of the Company as a going concern. Bon-Ton is in active discussions with an investor group to acquire the Company in a court-supervised sale process. We are encouraged by the interest in Bon-Ton and we hope that jobs will be preserved through a sale process. We remain committed to pursuing the best path forward for the Company and its stakeholders, including Bon-Ton associates.”



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