Roberto Cavalli U.S. Subsidiary Filing for Chapter 7

MILAN — The Roberto Cavalli company is facing more troubles as it seeks a new owner and goes through a restructuring plan with creditors. A spokesman over the weekend said the company’s U.S. subsidiary, operating under the ArtFashion Corp. moniker, is filing for Chapter 7 this week, confirming a WWD report on Friday. This follows the announcement that day that  Roberto Cavalli SpA’s board had decided to file a restructuring plan with the Court of Milan that would allow it to continue to operate while holding discussions with creditors under the so-called process of “composition with creditors.” On the evening of March 29, all U.S. stores ceased operations, going out of business starting from the following day. Merchandise and store keys were taken into custody by a security company to be handed over to the trustee next week. There were seven directly operated stores, one corner and four outlets in the U.S., all closed on March 29.  The American market accounted for 17 percent of consolidated sales or 22 percent of direct sales. ArtFashion Corp. was established in 1997 . The U.S. e-commerce operation is suspended until logistic services can be managed out of Europe, said the spokesman. All employees were informed on Friday evening and contracts have

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