It’s been a while since we heard from Dov Charney. Let us catch you up: After blowing all of his money trying to hold on to his beloved American Apparel, the man who helped normalize inappropriate sexual behavior for the president-elect made one last-ditch effort to regain the t-shirt-and-soft-core-porn emporium he founded back in the 1980s. It didn’t work. So he decided to channel his 1980s self and essentially refounded American Apparel for the 21st century (while taking up photography). And then he showered sour grape-y prophesy on the putrefying but still somehow breathing company he’d lost.
Charney’s hex on American Apparel is almost complete. “The business is dead now. It’s gone. It will never come back,” he says of its notorious financial struggles of late. “It is not going to resurrect. It’s not going to have a happy ending. They destroyed it.” R.I.P.
Well, in a month that’s coming up roses for alleged sexual predators, we’ve got to give it to him: He was right.
American Apparel returned to bankruptcy Monday after months of scrambling for money and a buyer, less than a year after an earlier court-approved chapter 11 turnaround ran off the rails, according to court papers.
American Apparel is hoping buyers step up to salvage the rest of its business, according to bankruptcy court papers. However, the only deal the cash-strapped company has in hand is from Canada’s Gildan Activewear Inc., which is offering about $66 million for the intellectual property, some wholesale inventory and an option on manufacturing and distribution assets.
Gildan’s offer, the “highest, best and only viable bid” received in a three-month search, falls short of the $215 million in top-ranking debt left on American Apparel’s books.