It was only a matter of time.
On Monday, American Apparel filed for bankruptcy protection in what can be seen as an attempt to buy itself more time.
And unsurprisingly, the controversial company cited the causes behind their Chapter 11 petition as: a debt of $311 million, a major decline in sales, employee dissatisfaction, and lawsuits surrounding former CEO Dov Charney.
If approved, American Apparel could lose almost $200 million in debt, along with being able to keep their 130 stores in the US open and keeping their manufacturing in Los Angeles.
They're really going to need this approval!
Oh, and Dov would lose his stake in the company, as will all the shareholders. Additionally, any lawsuits would be put on hold if bankruptcy court decided to approve the brand's petition.
Well, those are a couple more pros. Though we do have to wonder if it's worth putting off the inevitable??
Guess the Kardashians and Jenners would really miss their American Apparel bodysuits…
[Image via Bauer Griffin Online.]