Aeropostale may file for bankruptcy protection within the next couple days.
The Wall Street Journal reported that the retailer will seek protection ahead of the deadlines for its May rent payments and that Aeropostale may close 100 of its 800 locations, citing sources familiar with the matter.
The Journal's sources also said that Aeropostale is in advanced talks with Crystal Financial regarding a loan that would support the company's operations after it files Chapter 11 bankruptcy.
In April, Aeropostale announced that its stock would cease trading on the New York Stock Exchange because of it's "abnormally low" trading price. The stock currently trades on the OTCQX Best Market around 2 to 3 cents.
Aeropostale declined to comment to CNBC.