Rising Bankruptcy Trends in Apparel

The U.S. apparel sector is facing escalating bankruptcies, impacting supply chains and retail operations. BKWire’s daily filings and creditor data help you stay proactive.

How BKwire Protects Your Apparel Supply Chain

Suppliers

Spot vulnerable fabric and material partners early via daily bankruptcy alerts and creditor exposure data, preventing losses from disrupted garment flows.

Manufacturers

Track filings across the supply chain to secure production sourcing, enabling swift pivots to alternative vendors and minimizing delays.

Retailers

Ensure inventory continuity with real-time insights into upstream bankruptcies, protecting just-in-time stocking and sales commitments.

Apparel bankruptcies ignite chain reactions, triggering wide impact

Bankruptcies in apparel retail and mills set off chain reactions. Vendors face unpaid invoices, manufacturers lose fabric sources, and partners get dragged into crisis. Staying ahead of these shocks is a matter of survival.

BKwire gives you daily insights, making it easy to stay ahead of the collapse

Corporate collapse disrupts inventory, strains vendor reliability, and endangers apparel businesses. BKwire delivers daily insights for you to act before hidden risks unravel your operations.

BKwire gives you daily insights, making it easy to stay ahead of the collapse

Corporate collapse disrupts inventory, strains vendor reliability, and endangers apparel businesses. BKwire delivers daily insights for you to act before hidden risks unravel your operations.

BKwire Apparel Bankruptcy Filings 2023-2025

2023

120

Number of Filings

Post-pandemic supply chain strains; fast fashion and collegiate apparel hardest hit.

2024

180

Number of Filings

50% above 2019-2022 average; licensing and activewear prominent.

2025 (YTD)

95

Number of Filings

Store closures and liquidations doubled; largescale restructurings dominate.

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Recent Apparel Bankruptcies

Liberated Brands USA (February 2025)

Bankrupt
Quiksilver, Billabong & Volcom operator filed Ch.11 in Delaware amid demand slump & lost ABG licenses; with $100–500M liabilities, shut 124 U.S. stores, cut 1,400 jobs & shifted brands, disrupting wholesale & e-commerce.

Heritage Collegiate Apparel (August 2024, ongoing into 2025)

Bankrupt
University of Michigan retailer M-Den filed Ch.11 amid sales drops, excess stock & legal issues; owes $10–50M, plans liquidation, closing Ann Arbor & Detroit stores, risking campus merch supply.

Delta Apparel (June 2024, into 2025)

Bankrupt
Duluth, GA-based wholesaler of brands like Salt Life & Soffe filed Ch.11 in Delaware amid weak demand & liquidity issues; with $338M assets vs $245M debt, sells Salt Life & Soffe, liquidating stock & impacting B2B apparel.

Recent Medical Bankruptcies

NES Health

Bankrupt
Filed for Chapter 7, leading to liquidation after failing to pay emergency physicians, leaving hospitals understaffed and doctors without malpractice coverage.

Why the Apparel Industry Needs BKwire Bankruptcy Monitoring

Risk mitigation

Identify vulnerabilities in sub-elements like textile supply chains before they escalate

Opportunity capture

Spot acquisition targets or new partnerships amid distress

Seamless integration

Combine with Watchlist alerts for daily insights across zones

Sign Up for Daily Bankruptcy Risk Alerts

Get updates on bankruptcy filings across your supply chain.