Posted by admin | Posted in Baby Phat | Posted on 22-07-2009
The parent company of former Russell Simmons and Kimora Lee Simmons owned brands Phat Farm and Baby Phat may be close to bankruptcy according to WSJ (Wall Street Journal).
According to the Journal, Phat Farm and Baby Phat, now owned by Kellwood Co. are in jeopardy of falling thanks to mounting debt and a bondholder that refuses to give it breathing room when it comes to paying off a reported $140 million bond.
Kellwood, which employs 2,000 people, also owns Sag Harbor and Vince clothing brands.
Russell and then Kimora Lee Simmons sold Phat Farm and Baby Phat for somewhere over $140 million before financial woes began to sweep the industry. Kimora Lee Simmons remained on board at Baby Phat however… no word on her position with this whole bond situation.