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Steve & Barry's was an American retail clothing chain, featuring casual clothing, footwear and accessories. Headquartered in
Port Washington, New York Port Washington is a Hamlet (New York), hamlet and census-designated place (CDP) on the Cow Neck Peninsula in the North Hempstead, New York, Town of North Hempstead, in Nassau County, New York, Nassau County, on the North Shore (Long Island), No ...
, the chain operated 276 stores in 39 states before liquidating throughout 2008 and 2009. The chain's origin was based on various university campuses across the United States. Until 2007, it was called Steve & Barry's University Sportswear, and the chain specialized in college-related clothing and private-label casual clothing. The chain dropped the "University Sportswear" tagline after securing licensing agreements with several celebrities to develop and distribute private-label lines of clothing designed or inspired by each of them, in an attempt to expand the chain's customer base.


History

Founded by Steven Shore and Barry Prevor at the
University of Pennsylvania The University of Pennsylvania (Penn or UPenn) is a Private university, private Ivy League research university in Philadelphia, Pennsylvania, United States. One of nine colonial colleges, it was chartered in 1755 through the efforts of f ...
in 1985 while Prevor was an undergraduate student, Steve & Barry's became a local popular destination due to its low prices compared to other university bookstores and gift stores. The success of the original store led to the opening of locations on university campuses, including
Michigan State University Michigan State University (Michigan State or MSU) is a public university, public Land-grant university, land-grant research university in East Lansing, Michigan, United States. It was founded in 1855 as the Agricultural College of the State o ...
, the
University of Michigan The University of Michigan (U-M, U of M, or Michigan) is a public university, public research university in Ann Arbor, Michigan, United States. Founded in 1817, it is the oldest institution of higher education in the state. The University of Mi ...
, the
University of Illinois The University of Illinois Urbana-Champaign (UIUC, U of I, Illinois, or University of Illinois) is a public university, public land-grant university, land-grant research university in the Champaign–Urbana metropolitan area, Illinois, United ...
, the
University of Wisconsin–Madison The University of Wisconsin–Madison (University of Wisconsin, Wisconsin, UW, UW–Madison, or simply Madison) is a public land-grant research university in Madison, Wisconsin, United States. It was founded in 1848 when Wisconsin achieved st ...
,
Indiana University Indiana University (IU) is a state university system, system of Public university, public universities in the U.S. state of Indiana. The system has two core campuses, five regional campuses, and two regional centers under the administration o ...
,
Rutgers University Rutgers University ( ), officially Rutgers, The State University of New Jersey, is a Public university, public land-grant research university consisting of three campuses in New Jersey. Chartered in 1766, Rutgers was originally called Queen's C ...
, the
University of Colorado at Boulder The University of Colorado Boulder (CU Boulder, CU, or Colorado) is a Public university, public research university in Boulder, Colorado, United States. Founded in 1876, five months before Colorado became a Federated state, state, it is the fla ...
, and
Purdue University Purdue University is a Public university#United States, public Land-grant university, land-grant research university in West Lafayette, Indiana, United States, and the flagship campus of the Purdue University system. The university was founded ...
. In 1998, Steve & Barry's opened its first large mall-based store at Great Lakes Crossing in
Auburn Hills, Michigan Auburn Hills is a city in Oakland County in the U.S. state of Michigan. A northern suburb of Detroit, Auburn Hills is located about north of downtown Detroit. As of the 2020 census, the city had a population of 24,360. Auburn Hills is home to ...
. The new line of products included business casual, denim, active wear, outerwear, footwear and T-shirts. In addition, the company began marketing "All-American" brands such as Hershey's,
Marvel Comics Marvel Comics is a New York City–based comic book publishing, publisher, a property of the Walt Disney Company since December 31, 2009, and a subsidiary of Disney Publishing Worldwide since March 2023. Marvel was founded in 1939 by Martin G ...
,
Ford Ford commonly refers to: * Ford Motor Company, an automobile manufacturer founded by Henry Ford * Ford (crossing), a shallow crossing on a river Ford may also refer to: Ford Motor Company * Henry Ford, founder of the Ford Motor Company * Ford F ...
,
WWE World Wrestling Entertainment (WWE) is an American professional wrestling promotion. It is owned and operated by TKO Group Holdings, a majority-owned subsidiary of Endeavor Group Holdings. A global integrated media and entertainment company, ...
, My Little Pony, Monopoly, and
General Mills General Mills, Inc. is an American multinational corporation, multinational manufacturer and marketer of branded ultra-processed consumer foods sold through retail stores. Founded on the banks of the Mississippi River at Saint Anthony Falls in ...
cereals, amongst others. The continuing product line expansion and store growth allowed the company to achieve a 50% annual growth rate over more than two decades. The International Council of Shopping Centers named Steve & Barry’s as the “Hot Retailer of the Year” in 2005, along with Apple Computer and Williams-Sonoma, for generating the most mall traffic and cachet. ''
Brandweek ''Brandweek'' is a three-day brand marketing symposium and a part of Adweek, Llc. It was also previously a weekly American marketing trade publication that was published between 1986 and April 2011. Profile Brandweek is a part of Adweek, cover ...
'' named Steve & Barry’s 2007 Marketer of the Year. The Company’s in-house video productions won a 2007 Silver Telly Award for distinction in creative work. By 2007, Steve & Barry’s was ranked in the 400 largest private companies in America by Forbes Magazine. Founders Steve Shore and Barry Prevor were awarded the Ernst & Young Entrepreneur of the Year Award for 2006 in a metropolitan New York Area 20th anniversary event with more than 500 people in attendance. For several years, the company was the fastest growing specialty retailer in the United States, adding of new retail space in 2005, of new retail space in 2006, and of new retail space in 2007; more than the combined total of specialty clothing competitors Gap (Gap,
Banana Republic In political science, the term ''banana republic'' describes a politically and economically unstable country with an economy dependent upon the export of natural resource.A banana republic is a country with an economy of state capitalism, where th ...
,
Old Navy Old Navy is an American clothing and accessories retailing company owned by multinational corporation Gap Inc. It has corporate operations in the Mission Bay, San Francisco, Mission Bay neighborhood of San Francisco, California. The largest of t ...
),
Abercrombie & Fitch Abercrombie & Fitch Co. (A&F) is an American lifestyle store, lifestyle retailer, founded in 1892 which focuses on contemporary clothing targeting customers in their early 20's to mid 40's. Headquartered in New Albany, Ohio, the company operate ...
,
American Eagle Outfitters American Eagle Outfitters, Inc. is an American clothing and accessories retailer headquartered at SouthSide Works in Pittsburgh, Pennsylvania. It was founded in 1977 by brothers Jerry and Mark Silverman as a subsidiary of Retail Ventures, Inc ...
, and
Pacific Sunwear Pacific Sunwear of California, LLC, commonly known as PacSun, is an American retail clothing brand. The company sells lifestyle apparel, along with swim, footwear and accessories designed for teens and young adults. As of 2022, the company operate ...
. Steve & Barry's was among the top 10 builders of new square footage among all retailers in the United States when including big-box chains like
Wal-Mart Walmart Inc. (; formerly Wal-Mart Stores, Inc.) is an American multinational retail corporation that operates a chain of hypermarkets (also called supercenters), discount department stores, and grocery stores in the United States and 23 other ...
,
Target Target may refer to: Warfare and shooting * Shooting target, used in marksmanship training and various shooting sports ** Bullseye (target), the goal one for which one aims in many of these sports ** Aiming point, in field artille ...
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Home Depot The Home Depot, Inc., often referred to as Home Depot, is an American multinational corporation, multinational home improvement retail corporation that sells tools, construction products, appliances, and services, including fuel and transportat ...
,
Walgreens Walgreens is an American pharmacy store chain. It is the second largest in the United States, behind CVS Pharmacy. As of March 2025, the company operated more than 8,700 stores in the U.S. Walgreens has been the subject of a number of lawsuit ...
,
Costco Costco Wholesale Corporation is an American multinational corporation which operates a chain of membership-only big-box warehouse club retail stores. As of 2021, Costco is the third-largest retailer in the world, and as of August 2024, Cos ...
, etc. In 2006, private equity firm
TA Associates TA Associates Management, L.P. is an American private equity firm and was one of the early modern-era private equity firms in the United States. The firm leads buyouts and minority recapitalizations of profitable growth companies. TA invests acros ...
closed a minority investment in the company for an undisclosed amount. A group of investment firms led by Bay Harbour Management, former owner of
Barneys New York Barneys New York is an American brand founded in 1923 by Barney Pressman that operated full-line department stores from 1923 until 2020. Authentic Brands Group acquired Barneys' intellectual property in 2019, and has licensed the brand to Saks F ...
luxury department store chain, later purchased the company for $168 million. In early 2008, GE Commercial Finance Corporate Lending provided a $197 million (~$ in ) asset-based credit facility to the company, for working capital to replace Steve & Barry's credit facility from the CIT Group. On July 9, 2008, the company filed for
Chapter 11 Chapter 11 of the United States Bankruptcy Code ( Title 11 of the United States Code) permits reorganization under the bankruptcy laws of the United States. Such reorganization, known as Chapter 11 bankruptcy, is available to every business, w ...
bankruptcy reorganization, citing a liquidity squeeze and the economic downturn, while in discussions with potential strategic and financial partners for a stronger Steve & Barry's to emerge. While initial results were promising, reorganization efforts ultimately failed, and successor parent company BH S&B Holdings announced the liquidation of its 173 remaining stores at the height of the credit crisis on November 27, 2008, which later converted the Chapter 11 reorganization into a
Chapter 7 liquidation Chapter 7 of Title 11 U.S. Code is the bankruptcy code that governs the process of liquidation under the bankruptcy laws of the United States. This is in contrast to bankruptcy under Chapter 11 and Chapter 13, which govern the process of ''reor ...
.


Celebrity lines

In 2006, the chain announced its partnership with
NBA The National Basketball Association (NBA) is a professional basketball league in North America composed of 30 teams (29 in the United States and 1 in Canada). The NBA is one of the major professional sports leagues in the United States and Ca ...
point guard The point guard (PG), also called the one or the point, is one of the Basketball positions, five positions in a regulation basketball game. A point guard has perhaps the most specialized role of any position and is usually the shortest player ...
Stephon Marbury Stephon Xavier Marbury (born February 20, 1977) is an American former professional basketball player who was also the head coach for the Beijing Royal Fighters of the Chinese Basketball Association (CBA) from 2019–2023. After his freshman year ...
, a joint venture in which the chain would produce Marbury's
Starbury "Starbury" is the affectionate nickname for former NBA star Stephon Marbury. Known for his exceptional skills as a point guard, Marbury played for various NBA teams and earned two All-Star selections. Beyond the court, he made a lasting impact ...
Collection, a 50-item line of discount clothing, athletic clothing, and sneakers. The centerpiece of the line was the Starbury One, a
basketball Basketball is a team sport in which two teams, most commonly of five players each, opposing one another on a rectangular Basketball court, court, compete with the primary objective of #Shooting, shooting a basketball (ball), basketball (appro ...
sneaker that retailed for $14.98. The low price point for an authentic on-court NBA shoe was positioned as a social statement, including donations of thousands of pairs to public school basketball players, with publicity that caused lines and sold-out conditions at many Steve & Barry’s stores. Marbury liked the high-quality, low price-point promise, which, as he later said, meant "we can help teach kids to be responsible, earn their own money and buy these shoes without asking their parents for money." When the collection was unveiled in August 2006, Marbury committed his time and energy by handing out Starburys to high school athletes at basketball camps, on playground courts and in barber shops. He wore on-court exactly the same shoes that consumers got off the shelves. In March 2007, the company announced that then
Chicago Bulls The Chicago Bulls are an American professional basketball team based in Chicago. The Bulls compete in the National Basketball Association (NBA) as a member of the Central Division of the Eastern Conference. The team was founded on January 16 ...
center, and 4-time NBA Defensive Player of the Year, Ben Wallace, would endorse the Starbury brand, wearing Starbury's during all his games and debuting his own Big Ben Starbury sneaker in the 2007-08 NBA season. Similarly,
Sarah Jessica Parker Sarah Jessica Parker (born March 25, 1965) is an American actress and television producer. In a career spanning over five decades, she has performed across several productions of both Sarah Jessica Parker filmography, screen and stage. List o ...
introduced her own clothing line, BITTEN, on June 7, 2007. The brand was originally leaked to the press during an early fashion show in March 2007. The Bitten name came from the phrase that one who becomes an actor has been "Bitten" by the acting bug. After an appearance on ''
The Oprah Winfrey Show ''The Oprah Winfrey Show'' is an American first-run syndicated talk show that was hosted by Oprah Winfrey. The show ran for twenty-five seasons from September 8, 1986, to May 25, 2011, in which it broadcast 4,561 episodes. The show was taped i ...
'', the brand launched in early June 2007, with roughly 400 pieces of clothing that was reported to grow to 500 or more by the fall. The line achieved significant commercial and critical success. Sarah Jessica Parker stated that growing up with her sister's hand-me-downs inspired her to do something so affordable, explaining "It’s a way of giving women without financial means access to good, simple, well-made clothes to feel proud of." The ''
Project Runway ''Project Runway'' is an American reality television series that premiered on Bravo on December 1, 2004. The series focuses on fashion design. It was created by Eli Holzman and was hosted by Heidi Klum from 2004 to 2017. It has a varied airi ...
'' reality television series, with Sarah Jessica Parker as guest judge, went on to design clothing which was sold exclusively at Steve & Barry's stores. Announced during the summer of 2007, former
Nickelodeon Nickelodeon (nicknamed Nick) is an American pay television channel and the flagship property of the Nickelodeon Group, a sub-division of the Paramount Media Networks division of Paramount Global. Launched on April 1, 1979, as the first ca ...
star
Amanda Bynes Amanda Laura Bynes (born April 3, 1986) is an American actress. Bynes began her career as a child actor, appearing on the Nickelodeon sketch comedy series '' All That'' (1996–2000) and its spin-off series '' The Amanda Show'' (1999–2002). ...
also debuted a clothing line, Dear, on August 16, 2007. Similar to the Bitten line, Dear was a women's brand that appealed mostly to younger women. Steve & Barry's signed tennis star
Venus Williams Venus Ebony Starr Williams (born June 17, 1980) is an American inactive tennis player. She has been ranked as the List of WTA number 1 ranked singles tennis players, world No. 1 in women's singles by the Women's Tennis Association, WTA for 11 wee ...
to market her own clothing and sneakers line called EleVen. Likewise, American golfer
Bubba Watson Gerry Lester "Bubba" Watson Jr. (born November 5, 1978) is an American professional golfer. He has two major championships, with victories at the Masters Tournament in 2012 and 2014, and a total of 12 PGA Tour wins. In February 2015, Watson reac ...
had his own clothing line called "Bubba Golf". On May 15, 2008, the company debuted big-wave surfer
Laird Hamilton Laird John Hamilton (né Zerfas; born March 2, 1964) is an American big wave surfing, big-wave surfer, co-inventor of tow-in surfing, and an occasional fashion and action-sports model and actor. He is married to Gabrielle Reece, a former professi ...
's "Wonderwall" collection with a surfing expo around New York's
Statue of Liberty The Statue of Liberty (''Liberty Enlightening the World''; ) is a colossal neoclassical sculpture on Liberty Island in New York Harbor, within New York City. The copper-clad statue, a gift to the United States from the people of French Thir ...
. The collection featured men's clothing themed around surfing, skating, and the outdoors, utilizing the tagline "Every man is equal before the wave". Hamilton grew up in Hawaii with a single mom and not a lot of money, and he stated that he teamed with Steve & Barry's because he understood the pressures and wanted his line to speak to teens who haven't had access to hip clothes because of their economic status. American singer
Ciara Ciara Princess Wilson ( ; Harris; born October 25, 1985) is an American singer, songwriter, dancer and actress. She was discovered by record producer Jazze Pha in the early 2000s, and rose to prominence with her debut studio album, ''Goodies ...
, who was at the time the face of rap mogul
Jay-Z Shawn Corey Carter (born December 4, 1969), known professionally as Jay-Z, is an American Rapping, rapper, businessman, and record executive. Rooted in East Coast hip-hop, he was named Billboard and Vibe's 50 Greatest Rappers of All Time, the ...
's 'Rocawear' clothing line, unveiled plans to launch her own fashion line with Steve & Barry's in 2008.


Business model

The company was a proponent of "Extreme Value Retailing", generally offering every item in the store at a single price point of $5.98 to $9.98, varying with seasonal offerings. Some high value celebrity endorsed items were sometimes sold for slightly higher prices up to a maximum of $19.98. Shore and Prevor discussed their methods for keeping prices down. Steve & Barry's business model was to keep prices low by not advertising through traditional streams, relying on publicity and
viral marketing Viral marketing is a business strategy that uses existing social networks to promote a product mainly on various social media platforms. Its name refers to how consumers spread information about a product with other people, much in the same way th ...
to get the word out, running its company and stores very efficiently, selling in large volumes, and making modest profits on each item. It also sourced clothing progressively, meaning it purchases product from a wide variety of manufacturers at different times throughout the year. The bidding between manufacturers allowed the buyer to purchase at a lower per unit cost than larger retailers who frequently have standing contracts with suppliers. The company’s low prices and exclusive product lines drew significant traffic and cachet, helping to draw shoppers to smaller retailers in the same shopping complex. The company often opened retail locations in economically challenged areas with household-income levels, crime rates and population trends that caused other retailers to abandon the neighborhood. Individual store sizes of 25,000 to 150,000 square feet made the retailer a mall’s
anchor store In North American, Australian and New Zealand retail, an "anchor tenant", sometimes called an "anchor store", "draw tenant", or "key tenant", is a considerably larger tenant in a shopping mall, often a department store or retail chain. They are ...
, allowing the company to negotiate low rents and large cash inducements.


Financial problems and bankruptcy plan

As of June 21, 2008, the company was deficient in paying a $135.9 million balance outstanding to a General Electric Commercial lending unit. The firm filed for bankruptcy protection under
Chapter 11 Chapter 11 of the United States Bankruptcy Code ( Title 11 of the United States Code) permits reorganization under the bankruptcy laws of the United States. Such reorganization, known as Chapter 11 bankruptcy, is available to every business, w ...
on July 9, 2008. All stores were to remain open with the store's return policy, store credit, and gift cards unchanged. Founders and co-Chief Executives Steve Shore and Barry Prevor cited liquidity concerns and the generally harsh conditions for retailers in recent months. The Associated Press reported that Steve & Barry's was considering a plan to sell all or some of its assets to repay its outstanding debt. Steve & Barry's was also in talks with Sears Holdings Corporation for a possible acquisition. It was reported that Sears might have been interested in buying some or all of Steve & Barry's brands, or that Sears Holdings could open Steve & Barry's store-within-a-store areas in its Sears or Kmart locations. On August 21, 2008, Steve & Barry's announced that BH S&B Holdings LLC, a newly formed affiliate of investment firm Bay Harbour Management L.C., agreed to acquire certain assets of Steve & Barry's. In addition to acquiring merchandise inventories and transfer rights to Steve & Barry's store leases, BH S&B Holdings would acquire all Steve & Barry's intellectual property rights, including its celebrity and brand licenses, and the company's key facilities, including its Port Washington, New York headquarters, Columbus, Ohio distribution center, and certain overseas offices. Bay Harbour planned to keep open about 150 of the chain's 276 stores, and brought Hal Kahn, chairman and CEO of Macy's East, on board as the new CEO. Bankruptcy documents revealed 2008 annual sales of $1.1 billion and assets of $693 million. Total sales in 2008 increased by approximately 70% from prior year sales, with average sales per store increasing by 25%. Reorganization efforts failed, with court filings stating that revenue suffered because of the declining health of the U.S. economy and the slump in the retail market. On November 20, 2008, after closing many stores, Steve and Barry's parent company announced the remaining 176 stores would be liquidated by early 2009 and the chain was going out of business. The ''
New York Post The ''New York Post'' (''NY Post'') is an American Conservatism in the United States, conservative daily Tabloid (newspaper format), tabloid newspaper published in New York City. The ''Post'' also operates three online sites: NYPost. ...
'' reported on March 31, 2010, that Stephon Marbury was sued by a sports marketing agency claiming he owes more than $200,000 (~$ in ) in commissions for helping create a line of sportswear which was distributed through Steve & Barry's retail stores.


References

{{DEFAULTSORT:Steve and Barry's Companies that have filed for Chapter 7 bankruptcy Companies that filed for Chapter 11 bankruptcy in 2008 Companies that filed for Chapter 7 bankruptcy in 2008 American companies established in 1985 Retail companies established in 1985 Retail companies disestablished in 2009 Defunct clothing retailers of the United States Defunct companies based in New York (state) 1985 establishments in Pennsylvania 2009 disestablishments in New York (state)