Brooks Brothers is talking with lenders to explore bankruptcy.

As demand for business attire has fallen sharply and unemployment reaches new heights each week, Brooks Brothers is talking to banks about raising financing for a potential bankruptcy that could come as soon as July.

According to CNBC, the novel coronavirus pandemic has squeezed the sales of the two-century-old retailer with store closures, finally forcing it to analyze “strategic options” and start talking with lenders to explore the possibility of bankruptcy. Brooks Brothers CEO Claudio Del Vecchio, told The New York Times this week that while he was not “eager” to consider a Chapter 11 bankruptcy filing, he would not rule it out. To the day, Brooks Brothers also holds nearly $300 million in debt.

Brooks Brothers has more than 250 stores in North America and 500 worldwide. If it files for bankruptcy, it is possible it would do so with a “stalking horse” bidder in hand, providing the floor for further bids, the CNBC reporting says