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American Apparel considers wholesale as path to growth

Struggling US fashion chain American Apparel will consider entering the wholesale market in a bid to try to return to growth.

In November, American Apparel reported a 16% drop in like-for-like sales in the third quarter to September 30, 2010, and a 10% fall in sales overall to $134.2m (£84m). But according to reports, its shop-in-shop in Selfridges in London has been performing well, prompting American Apparel to consider wholesaling its collections to boost sales.

Apart from two shop-in-shops, the one in Selfridges and another in Galeries Lafayette in Paris, American Apparel also supplies plain T-shirts for own-label.

American Apparel has also appointed a chief sales development officer, Marty Staff, who starts his new role today (March 23). Staff was previously chief executive of both JA Apparel, the US menswear supplier, and, prior to that, Hugo Boss in the US.

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