LOS ANGELES (CBSLA.com) — on a daily basis after filing for Chapter 11 personal bankruptcy protection, Los Angeles-based United states Apparel announced Tuesday the ny stock-exchange is suspending trading into the business’s stock immediately and beginning the process of delisting its common stock.
American Apparel said it offers received a notice through the NYSE informing it that trade determined that “the company isn't any much longer suited to detailing…”
The pre-dawn announcement by American Apparel comes one-day following the business filed notice in U.S. Bankruptcy legal in Delaware to re-organize under section 11.
The NYSE notice states that in achieving the delisting dedication, the change “noted the doubt regarding time and outcome of the personal bankruptcy procedure, as well as the ultimate effectation of this process from the value of the company’s typical stock, ” said the company statement, incorporating that American Apparel “does perhaps not want to appeal the delisting dedication.”
United states Apparel said Monday it had been processing for personal bankruptcy after reaching a deal with 95 per cent of the secured loan providers. The restructuring contract will need the business exclusive and hand almost 100 percent control to its largest bondholders.
On the list of investors that will have no choice but out by personal bankruptcy procedures is founder Dov Charney, who was ousted just last year as chief executive and chairman amid allegations of unsuitable behavior involving employees and monetary misconduct.
Madeleine