American Apparel Files For Bankruptcy
American Apparel Files For Bankruptcy
Following a strenuous eighteen months, it was last night revealed that American Apparel has filed for bankruptcy. The retailer has recently been consistently in the press regarding an ongoing conflict with former CEO Dov Charney, who was fired from the brand in December, along with its publicised struggles to manage debts. The company is now said to have reduced the debt from $300 million to $135 million, in the hope that the brand will be able to rebuild.
WWD reported that current CEO Paula Schneider stated that “This restructuring will enable American Apparel to become a stronger, more vibrant company… By improving our financial footing, we will be able to refocus our business efforts on the execution of our turnaround strategy as we look to create new and relevant products, launch new design and merchandising initiatives, invest in new stores, grow our e-commerce business and create captivating new marketing campaigns that will help drive our business forward.”
Appointed following Charney’s exit, Schneider has implemented a range of strategies along with operational processes that have been publicly criticised by Charney’s supporters.
American Apparel Files For Bankruptcy
