Steve Madden's company paid the debt from 2010 taking Betsey Johnson's intellectual property as collateral and started the process of restructuring the company and pumping out more goods. Unfortunately this restructuring didn't take and as a result of the bankruptcy, all Betsey Johnson Boutiques are closing their doors. As of now all locations are selling everything on sale including the fixtures and equipment.
Not all is lost, the fashion legend will still have her designs available at department stores and her lower priced line Betseyville available. The once Andy Warhol costume designer I trust will get out of bankruptcy, she has even said that she will remain the creative directer and will be having a fashion runway show in September!
*I had the pleasure of meeting Betsey recently and she is one of the kindest and most unpretentiousness women I've ever met. I'm sending out positive vibes her way and know she will come out on the other side even more girly, fun, youthful and sweet as ever!