Rob Banks
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American Apparel Is Losing Its Flair

American Apparel, which has seen the glory days with share prices jumping to the high of $15.87 in 2007, fell 32% yesterday and 10% more today.  It is currently trading at .60 per share. While their store and online sales have been taking in the past 5 months, they have been been making steady gains for almost 2 years before that.

With that said, the company has been hit by things such as large long term debts, and also the 2009 government immigration action that costed many laborers and increased product costs.  Apart from that, their productivity was also hindered by a transition to a new distribution center.Currently, American Apparal has hired lawyers and advisers to prepare for restructuring negotiations.