This is an image that we have created to help us visualize different valuation frameworks for American Apparel. The exercise is not an exercise in precision but an exercise in visualisation. Take the numbers with a grain of salt.
Produced by Michael Bigger and Jennifer Galperin
Disclaimer: Bigger Capital, LLC, Bigger Capital Fund, LP, Bachelier, LLC and the Bigger family own more than 3.27 million shares of American Apparel. American Apparel is a highly distressed situation and it is not suitable for the majority of investors. The likely outcome of an investment is a loss of principal. In other words, the probability of losing all your investment in this situation is very high. We have been purchasing American Apparel since May of 2011 and we have nothing to show for it. Take our opinions with a grain of salt and do your homework.