BH S&B Holdings and its related entities filed Chapter 11 late Nov. 19. The entity is the holding company of Steve & Barry's, formed by Bay Harbour Management and York Capital Management in August, when the two purchased the discount apparel retailer in bankruptcy for $168 million. On Sept. 17, the new owners of the 276-store chain said they intended to continue operating Steve & Barry's, but selected 103 stores to be closed following the holiday season, which would leave it with 173 stores. According to the filing, Bay Harbour/York were unable to secure the financing required to keep the company in business, especially considering the chain's disappointing sales results. Specifically, the new company could not meet required covenants under a senior secured credit facility and reported no probability that financing could be obtained to keep stores running. As a result, the company will immediately begin liquidation proceedings at its remaining stores, to be complete after the holiday shopping season no later than early 2009, according to Reuters which cited the filing. In addition, an employee that worked at the company's Port Washington, NY headquarters until being laid-off Nov. 17, filed a class action lawsuit claiming that Bay Harbour/York did not give legally required advance notice of a mass layoff to at least 250 employees that were laid off across the company that day. RAS Management Advisors LLC is serving as the restructuring advisor to BH S&B, while liquidation firms Great American Group, SB Capital Group, Tiger Capital Group and Hudson Capital Partners will handle the liquidation. According to CoStar Tenant, Steve & Barry's stores range in size from 13,000 to 170,000 square feet and typically serve as an anchor retailer for regional enclosed malls. CoStar News estimates the retailer will have vacated over 10 million square feet of retail space by the time all stores are closed.