08/26/2010 10:54 am ET | Updated May 25, 2011

American Apparel: Rags To Riches... To Rags Story?

With sales down by 16% in its 279 shops globally -- 15 in the UK -- the company whose clothes were worn by the coolest kids across the world is now at risk of breaching the terms of an $80m loan provided by British company Lion Capital, in March 2009 -- a loan advanced to rescue it from another financial crisis. If Lion Capital call in its loan, American Apparel will be forced into receivership.

Read more on The Guardian