When The Checks Stop Coming In: BabyPhat Heading for Bankruptcy?????

Posted on July 11th, 2009 - By Bossip Staff

Categories: Kimora Lee Simmons, News, Russell Simmons, When The Checks Stop Coming In

babyphat2

Bossip has just learned that, Kellwood Co., the owner of Baby Phat, is considering filling for Bankruptcy due to its inability to meet a big debt payment. Vibe Magazine closed down last month after facing the similar problems :

Kellwood Co., one of the largest apparel manufacturers in the U.S., could be forced to file for bankruptcy soon, after it failed to reach an agreement with its bondholders, people familiar with the matter said.

The St. Louis-based company, which employs roughly 2,000 people and owns such popular clothing brands as Phat Farm, Sag Harbor and Vince, was taken private in February 2008 by buyout firm Sun Capital Partners for $542 million.

The twin effects of a heavy debt load and a sharp drop in consumer spending have crushed the company’s financial results.

Well, BDR’s stacks and bulky child support payments should soften the blow for Kimora. She “married good”, one of the best recession fighting strategies around.

  • Necy

    1st, damn!!

  • hotbeaver69

    oh my i’m sorry to hear that

  • GhostWriter

    Fizzy

  • ,,,,,,,

    first

  • lakeshow

    So what? A few African Americans were blessed wth the opportunity to run there own companies that were borne out of the hip hop industry. In my opinion, Kimora and BDR did not deserve to be one of the fortunate ones and the Universe is just correcting itself. Hopefully, they eventually sell the business to someone else who is Black and who will use the business to give back and not be so egocentric. Good karma put out means good karma coming in…bad karma put out means…

  • I dont get it!

    This makes sense…..

    Who in the world is still wearing Babyfat????

  • 1TruDiva w/the PlatinumVocals—Pimpin, Platinum style!!! J-Hud’s concert was OFF THE MEAT RACK!!!!!!!!!

    See–

    As soon as it hit the local hood stores, the image changed up to an even gaudier one with all that damn gold lamme and eventually…

    Oh well, I liked their products a lot more than those dreaded apple bottoms!

  • Naomi.Is.Fierce

    Let’s hope it does soften her azz; cause she is one superficial annoying azz!!

  • Adaena

    I am with you “I dont get it!”

  • Jewel17

    I’m sorry but Babyphat clothes are no better than House of Deroen. Who wears these clothes?

  • Jewel17

    I meant House of Dereon.

  • Morgan Freeman

    There’s only one clothing line that’s worth a damn and it goes by the name, STRAUSS, LEVI STRAUSS. You young whipper snappers just don’t recognize true class.

  • Hell Is Not Full

    RL is right… there’s no loss for Russell or Kimora really. They sold some time ago, the buyer just continued to use their brand.

    And contrary to the impression most may see of Russell in this new age information overload, and TMI, he is an excellent businessman, started with nothing, and worked hard and long.

    He was a pioneer and a lot of the young entertainers in business are able to do what they are doing, because he did it first.

  • julop

    WTH is buying those ugly Baby Phat clothes? Last time I saw some were in Macy’s last year. They were on the 75% off rack, and you could still get another 20% off with a coupon. With all that, the racks were wtill stuffed.

  • Lies and Bullshit-aka-The Truth

    never wore the shoddy looking garments, never would! it’s no surprise it’s going under…

  • bleusavoy

    This is WAY bigger than Russell & Kimora. What about the 2,000 ppl who will join the rapidly rising numbers of unemployed?

  • 305Goon

    I know when they talk bout bdr they talking bout Russell Simmons, but wat does BDR stands for. I think it stands for(no homo) BIG DADDY RUSSELL

  • Say it Aint so Joe

    Baby Phat is overpriced and ugly. So what?

  • nyob

    BDR = Blood Diamond Russ

  • sepia830

    This was bound to happen. Gold cats all over everything….ugh!

    But if they come down on the price, the Mexicans might buy it. Hell, I’m pretty sure they would.

  • Sit yo 5$ ass own before I make some change ( Usher-Tamecka=a 1# Album)!!

    Oh man Baby Phat is horrendous!!! I am sure no one is still wear that ugly mess…it classified as officially hood approved…Hopefully this will help them to refine the clothing designs …lol

  • http://tmz Kiss an Tell

    Yall need to Chill

  • !!!!!.R.I.P MIKE!!!!!

    DAMN THATS CRAZY BUT I KNOW SHE STILL MONEY SO WHATEVER.

  • what

    chile please!

  • Just My Opinion

    @Sepia830

    Like I have always stated African-Americans are some of the biggest racists in this country. Your statement towards Mexicans was uncalled for and lacked mature humor.

  • Just My Opinion

    How original Sepia! I have no self-esteem issues and have professional men asking for my contact information almost daily.

  • …….

    russell sold the company years ago. they arent hurting for a thing.

  • sepia830

    @Just My Opinion

    How original Sepia! I have no self-esteem issues and have professional men asking for my contact information almost daily
    __________________________________________________

    Pimps with bad eyesight and low standards, I’m sure.

  • Just My Opinion

    Take care Sepia!

  • sepia830

    @Just My Opinion

    You and Morgan Freeman AKA my stalkers are posting back to back. That’s just too much of a coincidence. You’re a bigger loser than I thought. Why don’t you pick a name and stick to it. But for the love of God, do us all a favor and get a new gravatar.

  • Pam

    im not shocked…those clothes are ugly and cheap

  • http://. GeeMoney

    @Sepia830

    Looks pretty how, @jeremih stop being stupid your probably gay huh?

  • Darkesthourglass

    isn’t that Thandie Newton in sepia830′s gravatar? y’all don’t know who she is?

  • Darkesthourglass

    I don’t think Kimora even wore that shit. Probably her higher end line KLS though. Where I live they sell Baby Phat purses and sandals at Marshall’s sitting along the Ed Hardy stuff.

  • Jeremih

    sepia830

    Now that you mention it, I guess it is Thandie Newton. It looks like Sepia is the one with self esteem issues and is merely projecting her own insecurities unto others to compensate for her own lack of self worth. Poor thing.

  • http://bossip.com too cute

    never liked baby phat,it looks cheap and tacky,just like these other celebrity lines,give real talented people who go to school for design a chance,celebrities can have a line because of their name,not their talent,I like express and the limited.Thats bad if this story is true.

  • so what, who cares?

    i’m toasted. i’m feeling good

  • Shay

    I’ve never bought any of that tacky stuff. The material always looked scratchy.

  • C-CHICK

    Who the fck really wears that ghetto gay azz shyt that kimora designs???? fck babyphat, fck rocawear, fck sean john, fck phat farm and fck house of deron all of that shyt are clothes designed for the poor by their former ghetto equals. Your better of wearing wealmart clothes then those ghetto shyt..

  • HotTea

    Bout time!! Those some ugly, tacky clothes!!…………..Looks just like South Pole!!!!!!!

  • DR.FUNK

    Don’t weep for KLS.If it’s like most deals-she got her MILLIONS years ago.She probably had a personal services contract with Kellwood to be “the face” of the brand.It was probably for six figure chump change.She won’t miss it.A coupla’ things could happen here:

    1)The circling vultures will land on Kellwood &
    buy the brands they think are worth saving…
    AT A STEEEEEP DISCOUNT.

    2) KLS could buy it back from Kellwood at a
    STEEEEEP discount…rebuild the brand …
    & sell it again for mega millions to another
    VC firm that specializes in apparel.(I WOULD’NT)

    It’s cool to see it when Black entrepreneurs build a business to the point where someone buys it for multiples.It’s happening more…and hopefully at the dawn of the “new economy” more VC/IB firms will have Black faces writing the check from the
    buyout side too.

  • http://hiphoppopandrnbstop.blogspot.com/2009/07/new-music-chameleon.html Mileka

    NEW CHRISTINA MILIAN FEAT. THE DREAM – “CHAMELEON”. Click on my name to listen/download!!! :-)

  • Pride

    Wait Vibe can’t shut down yet! Hell they still have a couple more months with me or give me a refund! What up VIBE holla at a sister with that refund check Oh Shit1 what refund. What’s up Monica……

  • KissKiss

    i cant stand her… just feel sorry for those who are gonna lose their jobs.

  • betty

    I recommend you a nice milionaire dating site __Rich Flirts.c o m__. Whenever I chat with my friends on this site, I feel really relaxed and happy. They are easygoing and honest. I enjoy staying on the site. Hope you can find more nice rich friends there. Good luck to you.

  • http://www.bossip.com Moses

    Its really cracy how the recessive economy is catching up and leading to the closure of a lot of businesses nowadays. It looks like no job is pretty much guaranteed cause the recession is almost found in every job out there. Consumers are holding on to their cash and spending habits due to a uncertain economy making businesses hit losses ending up filling for bankruptcy since very few are buying their products.

  • in4mustpimpette

    Just more people out of a job,I never liked Baby Phat but at the same time I don’t wish for anybody to lose their jobs.

  • ghana princess

    i would only buy bp for my 1 year old and it has to be on the clearance rackat marshalls everything else is wwaaaayy overpriced! i am going to try and start making my own clothes except for denims i am tired of making other people rich.

  • http://deleted Hey there

    when will house of dereon collasp! When will apple bottom spol? when will JLO sales go LOW! when will all of these horrible lines just go away!

  • Joy

    What have you idiots created? R U living in a 20mil estate? do U have an estate in the Hamptons? Have U ever traveled private jet? Do u know a damn thing about building a business with an exit strategy. Have u sold a business for $120 mil like The Simmons?

    EDUCATE YOURSELVES! Stop focusing on what peoples fake gravitars look like.

  • bococalady

    SO IS DEREON NEXT?

  • RAWRR

    305Goon

    I know when they talk bout bdr they talking bout Russell Simmons, but wat does BDR stands for. I think it stands for(no homo) BIG DADDY RUSSELL


    More like Blood Diamond Russ.
    LMAO

  • 305Goon

    OK thanks nyob

  • memyselfandi

    baby phat’s jeans are very good quality. i have ten pair and they all look still brand new

  • ll

    I don’t know anyone who wears that line.

  • john hope franklin

    garbage gear…

  • http://www.lovelifegodsexmoney.com REPPIN’ 4 COACH ROSIE

    It’s always a shame when someone’s labour hits a wall. But if they did it once, they’ll come again.

  • army brat

    I think Babyphat is a rip off any ways I love baby phat its very exspensive and the clothes shrink.. Out of all of my name brand clothing that I have only my Baby Phat clothes shrunk in the wash…. So oh well Kimora will be ok she has russel simons and that new Ugly Guy to take care of her..

  • wifey06

    kimora got enough as it is if you look at these folks money.

    Stop making others rich and gain self wealth. They are rich enough…. stack your paper !!!!

    Support your own black azz…

  • Lady Shady

    guess it wasn’t so faaaaabulous!

  • Samael

    I’d like to know what their executive compensation packages are like. That’s a lot of income to squander.

    I bet those clothes are made in sweatshops to boot and therefore little overhead.

    Now all of their creditors will be hung out to dry.

  • CoCoChanel

    I like BabyPhat clothes, some stuff is a lil much tho with the loud prints and some cost a lot.

  • http://Bossip asweetcovergirl

    Just because someone goes bankrupt does not mean they do not have CASH MONEY. They can take out a small business loan and rectify the situation, but I would rather believe that this is just a rumor because it seems to be sold out in the malls where I shop.

  • http://REDBONIN'ENTERTAINMENT That’s The Last of The Tyrone Biggums

    LEVI’S? wtf. Better get yo religion..True Religion.

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