Racked is no longer publishing. Thank you to everyone who read our work over the years. The archives will remain available here; for new stories, head over to Vox.com, where our staff is covering consumer culture for The Goods by Vox. You can also see what we’re up to by signing up here.
All the controversy American Apparel generates over publicity stunts like that Best Ass contest apparently isn't getting converted into sales: The L.A.-based clothing manufacturer reported a first-quarter operating loss of $17.6 million, and they may be close to defaulting on an $80 million loan. They're taking a big spanking on Wall St. today, but a tricky ownership arrangement means they could come out of this ok. Just in case, stockpile t-shirts massively when the July warehouse sale rolls around. [LA Observed]