Yes it will be gone. What some people do is to drag the folders to the collections area in Classic to create a new collection structure that mimics your folder structure before doing the migration. This is a manual process and takes some time but it will create new Albums in CC that mirror your old folder structure.
Thanks for the info. I have been creating my collection structure to mirror my file structure as I have been adding my photos to Classic.
I will try the import and see how it goes.