The Wall Street Journal is reporting: Gourmet cupcake shop Crumbs Bake Shop Inc. said it is closing all stores, including three in the Baltimore area, and ceasing operation following years of financial trouble.
The chain's website listed the closings as "temporary." The company had 48 stores in 10 states and Washington, D.C. that all closed Monday night. It had closed many other stores in the last two years as well. Locally, the chain had locations at Towson Town Center, the Mall in Columbia and the White Marsh Mall.
The cupcake chain became a public company three years ago but has struggled as demand for high-priced sweet treats waned. In its most recent quarterly results released in March, it posted a loss of $4.8 million.
"We have known for quite some time now that we needed to evolve our business model," Crumbs CEO Edward M. Slezak said at the time.
Trading in its shares was suspended on July 1 for failure to meet certain financial thresholds required by the Nasdaq Stock Market.
A spokeswoman told the Wall Street Journal that that it may consider a bankruptcy filing.
Get the full story at wsj.com