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American Apparel appoints administrators in UK

American Apparel has appointed Jim Tucker and Richard Beard of KPMG as administrators to its UK retail and wholesale business.

American Apparel

The American Apparel brand and its US business is being sold, but the UK and certain European operations are not part of the deal and are therefore likely to be wound down.

Its 13 UK stores will continue to trade for the time being, and no redundancies have yet been made.

“The American Apparel group has been experiencing strong retail headwinds, which has culminated in the US parent deciding to stop inventory shipments to the UK,” said restructuring partner Tucker. “The UK business has experienced similar trading difficulties, resulting in the appointment of administrators.

“The 13 UK stores are well stocked and will continue to trade as usual in the lead up to the peak Christmas trading period.

“While the UK business is not part of the US sale, a number of the UK stores are in prime high street locations and we will aim to sell individual stores following the Christmas trading peak.”

American Apparel has eight stores in London, on Camden High Street, Carnaby Street, Kensington High Street, Oxford Street, in Shoreditch, Covent Garden, Westfield Stratford City and Westfield London. Outside of London, it has stores in Brighton, Bristol, Leeds, Glasgow and Nottingham.

American Apparel (UK) and American Apparel (Carnaby) are the holding companies for the UK retail and wholesale operations of American Apparel.

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