Well, looks like there is some good news on this front. Always nice to see a hobby retailer NOT go under.
From David Knight's blog:
"For modelers of my age and older, Squadron Mail order and the Squadron shops hold a special place in our heart. The decline that took place over the last ten years was fairly sad. The good news is that the trademark, trade name and website were purchased out of the bankruptcy and a new group has resurrected the name and website. It is to soon to know if this will be a success, but I am rooting for them."
FWIW,
WD