New York-based Loehmann's Holdings Inc. sought bankruptcy protection for a third time amid growing competition from discount chains. Loehmann's is a seller of discounted designer goods and is operated by employee-owned investment firm Whippoorwill Associates Inc.

According to Bloomberg, Loehmann's listed assets of as much as $100 million in a Chapter 11 petition filed with the US Bankruptcy Court in Manhattan on Sunday. The discounter also listed debt of up to $500 million.

Loehmann's 40 stores in 11 states sell designer goods with discounts from 30% to 65%. The designer discount chain carries brands such as Michael Kors and Calvin Klein, the report said.

Loehmann's is no stranger to the bankruptcy court having entered Chapter 11 protection for the first time in 1999. It emerged from bankruptcy the following year after cutting more than $140 million of debt, closing 25 stores and rejecting takeover offers from two competitors, Reuters said. 

The designer discounter filed for bankruptcy protection a second time on November 15, 2010. It emerged in March 2011 after reducing long-term debt by about $110 million, the report said.