Gildan delays American Apparel Los Angeles flagship opening

By

Gabriella Lacombe

Published
Apr 30, 2019

Gildan Activewear Inc., the Canadian owner of American Apparel, has delayed the opening of the clothing company's brick-and-mortar flagship in Los Angeles.

In a report by Bloomberg, spokesman Garry Bell said the store is still “a possibility, just one that we have decided to delay for the time being,” while prioritizing American Apparel's wholesale efforts, as well as its e-commerce, which launched under Gildan last spring.

Bell continued, highlighting the company's e-commerce presence in 220 countries, saying that the company's main focus has been expanding its "imprintables" client base -- those wholesalers in the market for blank and customisable apparel.

The California flagship store's opening was first announced a year ago. Gildan acquired the L.A.-based company in 2017, buying up American Apparel’s rights, but not its retail stores, in a bankruptcy auction for $88 Million.

The Canadian company, which is based in Montreal, announced a 5.7 percent increase in full-year 2018 net sales for a total of $2,908.6 million earlier this year, driven by positive international sales.