January 13, 2006//
January 13, 2006//
Painting Red Rhinos, an upscale manufacturer and distributor of childrens clothing, apparently is closing its doors.
The companys Web site posted a “Going Out of Business Sale” to begin Jan. 7, and a for-lease sign has been placed in front of the firms Mechanicsburg store.
Donald Zydorczyk owns Little Critters Inc., which does business as Painting Red Rhinos. He could not be reached for comment. However, in the past year, he complained about lagging sales because of foreign competition in the U.S. textile and apparel industry.
Last year, Zydorczyk said sales at his 15-year-old business had grown steadily until about three years ago. In 2001, the company had $2.5 million in wholesale sales. In 2005, Zydorczyk had said he expected sales of $2.3 million.
Many of the small, upscale retailers that carried the Painting Red Rhinos line have gone out of business in recent years. In previous interviews, Zydorczyk said it was difficult for him to compete against retail giants like Wal-Mart and Old Navy.
The company received a $1.5 million loan from the U.S. Small Business Administration in 2004.
The Mechanicsburg store is closed this week for inventory. It will reopen Jan. 7 and merchandise will be discounted 30 to 80 percent, according to the stores recorded phone message.