Cosmetics maker Revlon Inc filed for Chapter 11 bankruptcy protection after struggling to compete with online-focused upstart brands in recent years.
The nail polish and lipstick maker listed assets and liabilities between $1 billion and $10 billion, according to a filing with the US Bankruptcy Court for the Southern District of New York.
The bankruptcy filing comes days after the Wall Street Journal reported Revlon had begun talks with lenders ahead of looming maturities of debt to avoid bankruptcy.
Revlon's sales have struggled amid supply bottlenecks and a failure to swiftly switch to in-demand skincare, losing shelf space in US stores to startups backed by celebrities such as Kylie Jenner's Kylie Cosmetics and Fenty Beauty by Rihanna.
In late 2020, the cosmetics maker said that enough bondholders had taken part in its debt restructuring programme for the cosmetics maker to stave off bankruptcy.
At that time, the company had warned that it may be forced to file for chapter 11 bankruptcy protection if a certain amount of its bonds worth $342.8 million were still outstanding by mid-November, as it would trigger the accelerated repayment of other debts.
Elsewhere, European perfume- and cosmetics-makers are facing shortages of paper, glass, and some key oils and alcohols, as Russia's invasion of Ukraine added further disruptions to the supply chains for beauty products, driving prices higher amid robust demand.
"We're in crisis management mode when it comes to these subjects of sourcing," Emmanuel Guichard, secretary general of French cosmetics association FEBEA, told Reuters in an interview.