Credit ratings firm S&P issued a report on the outlook concerning the distressed retail sector.
The retailer said talks continue with its debt holders and potential investors.
Debt holders are willing to continue to invest in the retailer, but only on the condition Bon-Ton finds a new investor to “assume majority ownership.”
The regional department store is exploring strategic alternatives, including a sale of the company.
As losses continue to mount, the regional department store is looking to develop a more productive base.