Baby Phat, Phat Farm could go bankrupt by Wednesday
Kellwood Co., the apparel marketer, which owns Baby Phat, Phat Farm, Sag Harbor and XOXO brands, has a $140 million bond issue that matures Wednesday and has hired financial advisers to restructure its debt, The Wall Street Journal reported in its weekend edition.
Kellwood, led by President and Chief Executive Michael Kramer, tried to defer the bond payment by swamping it with bonds that mature in 2014 with sweetened terms, but Deutsche Bank, the largest bondholder, decided not to tender the offer, the Journal reported.
The company has about $500 million in debt and about in $800 million annual sales, according to the Journal.
Kimora Lee Simmons launched the Baby Phat fashion line. Her ex-husband, hip-hop mogul Russell Simmons started Phat Farm.
No more Phat Fashions? I find that hard to believe.
It happens a lot many black own business are lost. NOT MANAGING THEIR financial habit losing sight on the big picture at hand. Get so caught up in trying to keep up with everyone else and lose the main thing important them. Its sad and most of the time other country come to United States and buy those business and make money from someone else fuck up.