The Big Interview American Apparel: The story so far
It may have only been a few weeks since Gildan Activewear confirmed the acquisition of American Apparel, but the company already has big plans in mind for the Los Angeles-based clothing manufacturer.
F397 Flex Fleece Crop Hoodie
blank T shirts to screen printers, uniform companies and fashion brands. Over time it developed to become a trendy apparel manufacturer aimed at a young audience, with a retail presence in both the States and in the UK. It also ranked as one of the largest apparel manufacturers in North America, owning and operating its own fabric dye houses, garment dye house and knitting facility, all based in Los Angeles. After many years of struggle, controversy
A
in the media with racy advertisements and not making a profit, American Apparel filed for chapter 11 bankruptcy for the second time in November 2016. It was at this point that Gildan saw the perfect opportunity to extend its penetration of the fashion basics segment in the printwear market and submitted a stalking horse bid to purchase the company.
Integrating the brand In February Gildan Activewear completed
the purchase of American Apparelʼs intellectual property and other assets for $88 million. Gildan also separately purchased inventory from American Apparel to ensure a seamless supply of goods into the printwear market while the brand integrates into its portfolio. Despite it being early days, Glidan has already secured US-based contractors to make fabrics and sew garments for key American Apparel styles offered to the
| 44 | April 2017
merican Apparel was founded in 1989 by Dov Charney as a wholesale business selling
wholesale market. At the same time Gildan also plans to utilise its global manufacturing capabilities to produce certain American Apparel styles abroad, creating less expensive offerings that will be able to compete better for the business of price-conscious end-buyers.
What does the future have in store? Garry Bell, Gildanʼs vice president of marketing and communication, spoke exclusively to P&P editor Melanie Attlesey at Printwear & Promotion LIVE! in February and explained further about the future of American Apparel. He said: “Although itʼs early days our initial perception is to bring the American Apparel brand into more markets internationally. We have already received quite a lot of interest from markets around the world to supply stock to, including Japan, Australia, China and Latin America.” There are some obvious synergies between the Gildan and American Apparel brands; the most immediate being that they are both vertically integrated companies. This means that they both own the whole supply chain within their business. Garry adds: “A key component of the American Apparel brand is its made in the USA philosophy. This is something that will be maintained. American Apparel has a great manufacturing heritage and this is something which appeals greatly to the consumer. “There are other points which made this brand stand out to us including; owning its own factories in the US, the ongoing delivery of great fabrics and product
innovations, great style, fits and silhouettes and edgy photography.” Garry explained that each of Gildanʼs brands, Gildan, Anvil, Comfort Colors and now American Apparel, will maintain their own voice within the printwear market. American Apparel will be positioned as a premium brand within Gildanʼs product portfolio, priced slightly higher than the similar Anvil range. “We will be making some changes as
the brand has faced some price competitiveness in recent years,” added Garry. “The American Apparel range will be styled and fashioned the same way, but will now become more price centric, which
2001 Fine Jersey Crewneck T-Shirt
www.printwearandpromotion.co.uk
Page 1 |
Page 2 |
Page 3 |
Page 4 |
Page 5 |
Page 6 |
Page 7 |
Page 8 |
Page 9 |
Page 10 |
Page 11 |
Page 12 |
Page 13 |
Page 14 |
Page 15 |
Page 16 |
Page 17 |
Page 18 |
Page 19 |
Page 20 |
Page 21 |
Page 22 |
Page 23 |
Page 24 |
Page 25 |
Page 26 |
Page 27 |
Page 28 |
Page 29 |
Page 30 |
Page 31 |
Page 32 |
Page 33 |
Page 34 |
Page 35 |
Page 36 |
Page 37 |
Page 38 |
Page 39 |
Page 40 |
Page 41 |
Page 42 |
Page 43 |
Page 44 |
Page 45 |
Page 46 |
Page 47 |
Page 48 |
Page 49 |
Page 50 |
Page 51 |
Page 52 |
Page 53 |
Page 54 |
Page 55 |
Page 56 |
Page 57 |
Page 58 |
Page 59 |
Page 60 |
Page 61 |
Page 62 |
Page 63 |
Page 64 |
Page 65 |
Page 66 |
Page 67 |
Page 68 |
Page 69 |
Page 70 |
Page 71 |
Page 72 |
Page 73 |
Page 74 |
Page 75 |
Page 76 |
Page 77 |
Page 78 |
Page 79 |
Page 80 |
Page 81 |
Page 82 |
Page 83 |
Page 84