American Apparel 2015

The firm was debtor’s co-counsel to retailer American Apparel and its affiliates in a widely publicized chapter 11 bankruptcy that commenced in October 2015. American Apparel is a nationally known clothing manufacturer and retailer specializing in trendy apparel designed for young consumers. A major institution in the fashion industry, the company filed chapter 11 due to increasing liquidity challenges. The company entered bankruptcy with a negotiated deal with its secured lenders to exchange approximately $200 million in senior notes for equity in reorganized American Apparel. With overwhelming creditor support, the restructuring plan was approved in January 2016.