American Apparel closes 8 more stores

The Los Angeles-based company is still heading towards downsizing. Notorious this year for financial difficulties, American Apparel recently sought court approval to close eight more stores starting early next year. Those stores, which were underperforming in sales, are slated to close officially January 30.

After filing for bankruptcy earlier this year in October, it hasn’t been an easy ride for the Los Angeles company. This last Tuesday, American Apparel filed to close these eight stores including four locations in California, as reported by WWD. The SoCal locations that are slated to shutter are its stores in Echo Park, Santa Monica, San Diego, and Santa Clara. Additional closing stores are spread throughout the U.S. including states such a New Jersey, Connecticut, Oregon, and Wisconsin.

The reasoning for this closure is due to the fact that these stores “do not fit within their turnaround business plan,” according to the company’s motion filed last Tuesday. In essence, high rents and underperforming sales contributed to the additional shutters.