A federal bankruptcy court judge in Newark on Thursday approved the sale of urbanwear retailer Against All Odds USA Inc. to New Deal LLC.
The purchase price for the bankrupt retailer couldn’t be immediately determined. Against All Odds filed for Chapter 11 bankruptcy court protection in January.
According to court papers, the sale will provide unsecured creditors with an estimated 14 percent return, compared with the “estimated minus 0.7 percent to [positive] 3.4 percent they would have gotten through a liquidation.”
Court papers filed by the unsecured-creditors’ committee noted the “success of this case is even more poignant in the current climate, due to the ‘perfect storm’ created by the global financial crisis, the lack of credit, the reduction in consumer spending, the collapse of the residential real estate market, a deteriorating commercial real estate market and the adverse impact on retailers caused by certain [amendments]” to the federal bankruptcy code in 2005.
The Moonachie, N.J.-based firm had sales of $15.5 million in 2000, grew to a $78.7 million chain in 2005 and ended 2007 with sales of $121.1 million, according to court papers. Net income fell in 2007, and the retailer sustained a loss in 2008. At the time of the filing, the chain operated 64 units in eight eastern and two western states.
Against All Odds was founded in 1995 by Kenny Khym.
In its petition, the retailer listed Wicked Fashions Inc. of Fort Lee, N.J., as its top unsecured creditor, owed $3.9 million. Wicked, the manufacturer of Southpole, a hip-hop line, was founded and is headed by chief executive officer David Khym, Kenny’s brother.
At the time of its bankruptcy filing, Against All Odds listed The CIT Group/Commercial Services Inc. as the second largest unsecured credit with claims of $2.1 million.
EXCLUSIVE: Two and half months after John Targon, cofounder and codesigner of Baja East, was hired as creative director of the contemporary division at Marc Jacobs, he has left the company, WWD has learned. Marc Jacobs International, which is owned by LVMH Moët Hennessy Louis Vuitton, confirmed Targon’s departure in a statement: “John Targon is a talented designer and we appreciate the work he has done here. Ultimately working together did not make sense for the brand and we wish him the best.” Read the story by @jessiredale, link in bio. #wwdnews
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With her costume pearl necklace and what-you-see-is-what-you-get style, Barbara Bush, who died Tuesday at age 92, was a straight-shooter from start to finish.
Born Barbara Pierce in New York City, Bush served as the 37th first lady, as well as the country’s second lady from 1981 to 1989. In addition to being part of the longest presidential marriage — 73 years — Bush also had the unlikely distinction of having one son, George W., become the 43rd president and another son, Jeb, run unsuccessfully in 2016. Having served as second lady during the Reagan administration’s two terms and lived all over the world during her own husband’s ascending political career, Barbara Bush made it clear that literacy — not fashion — was her priority. Read more from Rosemary Feitelberg’s obituary on the late First Lady in WWD.com, link in bio. #barbarabush #wwdnews
Western and ’90s trends have influenced denim for fall 2018. Think raw, dark and coated jeans mixed with bold prints and tough leather. #trendtuesdays #wwdfashion (Styled by @thealexbadia;📷: @ryanplett)