P.M. BRIEFING : Salant Apparel in Bankruptcy
Salant Corp. today filed for bankruptcy court protection from its creditors, saying weakness in the retail apparel business has made it impossible to pay its debts.
Ray W. Williams, Salant’s chairman and chief executive, said the company believes it can continue operating while it negotiates with creditors and attempts a court-supervised reorganization.
Salant accumulated debt in acquiring a much larger apparel manufacturer, Manhattan Industries Inc., in early 1988. Before taking over Manhattan, Salant mainly was a maker of private label clothing for retailers, such as Sears, Roebuck & Co. and J. C. Penney Co.
There are numerous national names under Manhattan, including Manhattan shirts, Lady Manhattan sportswear, Perry Ellis women’s and men’s wear and Vera scarves and apparel items.