According to theybf.com Baby Phat, Phat Fashions, etc. are in a financial mess as their parent company, Kellwood Co., is being forced to file bankruptcy.
Kellwood Co., one of the largest apparel manufacturers in the U.S., could be forced to file for bankruptcy soon, after it failed to reach an agreement with its bondholders.
The St. Louis-based company, which employs roughly 2,000 people and owns such popular clothing brands as Phat Farm, Sag Harbor and Vince, was taken private in February 2008 by buyout firm Sun Capital Partners for $542 million.
The twin effects of a heavy debt load and a sharp drop in consumer spending have crushed the company’s financial results.
Kellwood has a $140 million bond issue …
Russell Simmons sold Phat Farm and Baby Phat to Kellwood in 2004 for $142 million in cash plus performance incentives. Kimora Lee Simmons remained the HBIC at Baby Phat and now this bankruptcy is about to shake her ish up. Looks like Baby Phat is about to be no longer. Honestly, it was about that time anyways….
