Christian Lacroix Files for Bankruptcy
Last month my colleague Deidre Woollard reported that French fashion house Christian Lacroix was looking for investors to shore up its business. Now the brand has filed for bankruptcy in the wake of an increasingly bleak financial picture. Lacroix, which is owned by duty free retailer the Falic Group and employs 125 people, has been hit hard by the faltering market for ultra-luxury goods like haute couture gowns. Lacroix chief executive Nicolas Topiol said the economic crisis had "considerably hurt our revenues," the London Times reports. Major retailers recently stopped buying new Lacroix merchandise and last month both Neiman Marcus and Saks reduced their orders for Lacroix apparel considerably. Sales of the Lacroix women's summer collection are down 35% this year; last year the company reported a $15 million loss.