Well, they're still in business because they owe so many "people" so much money that they've been able to keep selling notes, i.e., "restructuring" their debt. It's a house of cards, and they're just one. But, some bank has or has sold customers millions of dollars of junk bonds from GC (and many others), and they're happy to take the interest payments, and they continue to claim they have assets worth the value of the bonds, though there's no way GC could ever pay the principle back (with current retail trends), so they trade "old lamps for new" and hope a genie pops out. It could go on a long time, or if things get tight and some companies (like Toys'R'Us) make junk buyers nervous and want to get off the merry-go-round, GC will not be able to get enough holders of old notes to agree to trade them in. Then it's all over.
Go watch Wall Street if you haven't. F'n LBOs have largely been a disaster, but timing is everything, and Bain Capital's use of GC to make themselves rich is one of the case studies on how those titans just don't care what happens, so long as they get mega richer. In short, this is not really GC's fault, but BC's saddling of the company with an unmanageable debt load just when that was the last thing they needed to execute a plan to keep the company profitable. It's almost certainly a death spiral, but when it will end, well, if you know, you're probably not spending time on this forum...