Betsey Johnson Files For Bankruptcy.

Reblogged from Rebecca Horgan

US fashion designer Betsey Johnson has filed for bankruptcy, this is see nearly all of he designers 63 boutiques close over the following weeks.

This will see the lay off of 350 jobs from Betsey' free standing stores.

Johnson is to remain the creative director of the brand and will continue to design her moderately priced Betsey Johnson sportswear and accessories labels which are sold in Macy's.

The designer is still set to start shooting a new reality show.

The decision was made with founder of Steven Madden LTD - Steven Madden, which took over a loan of 48.8 million to the company.

According to the daily mail :

"The fashion house listed total assets of $21.3 million and total liabilities of $15.4 million at the end of 2011, according to the company's balance sheet that was filed with a U.S. bankruptcy court in New York."  

So far the cmpany has been unable to find any buyer/investers.

"Having failed to find a prospective buyer, Betsey Johnson LLC filed for Chapter 11 bankruptcy protection in an effort to 'maximize the value of its assets for the benefit of creditors,' according to the court filing."

Im am crushed over this!

how do you guys feel? 

source