Pacific Sunwear of California, Inc. commonly referred to as Pac Sun is a retailer based out of Anaheim California that specializes in apparel that draws inspiration from the California lifestyle. Pac Sun sells casual apparel, accessories, and footwear all geared towards teens and young adults. Most of the company’s physical retail locations are mall-based. According to the New York Times, as of 2015 the company had a total of 605 stores that were under their operation totaling more than 2.4 million square feet of retail space. In addition to the company’s many locations it is also the full time employer of over 2,000 individuals. The company itself also sells a wide variety of other brands like Nike, Brandy Melville, Volcom, Vans, Kendall and Kylie, RVCA, and Roxy. …show more content…
When newcomer Gary Schoenfeld took his place at the top of Pac Sun with a new business strategy the company had high hopes that he would turn the company around. Schoenfeld is responsible for the shift from “in-house designed clothing” (Iacob) to the many brands the company currently sells, as well as a wider variety of girls’ clothing. In addition to newcomer Shoenfeld Pac Sun brought in a third party merchant to oversee girls’ merchandise in an attempt to keep up with consumer fashion trends. Despite their best attempts the company continued struggling to stay afloat. In 2011 the firm announced that it would begin closing nearly one quarter of the retail locations, in addition to that Pac Sun also received a private loan from an equity firm by the name of Golden Gate Capital. As a part of the deal between the two firms Golden Gate Capital placed two executives into Pac Sun’s board of directors to ensure their investment be handled properly. As a second hope after the private loan, the restructuring of Pac Sun led to a five-year $100 million credit line with Wells Fargo Capital