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You can breathe a little bit easier now, because it looks like Oak isn't done quite yet. After news broke that beleaguered parent company American Apparel filed paperwork in court to effectively shut down the brand at year's end following unsuccessful spinoff efforts, WWD is reporting that founders Jeff M. Madalena and Louis Terline are trying to buy it back for $600,000.
Their reasoning seems sound: Lawyers argued in a Delaware court that that figure is more than what American Apparel would earn in liquidation. Plus, it would save the jobs of about 40 people. Their plans include keeping all four doors open — that's Noho, Greenpoint, and two in Los Angeles.
A hearing to further discuss the matter has been set for December 17th. So the good news is that hope floats for Oak right now; the bad news, at least for bargain hunters, is that a blowout closing sale looks like it's off the table.