29 May 2009

Crisis hits Christian Lacroix

5:36 am on 29 May 2009

Paris fashion house Christian Lacroix, one of the most prestigious in France, has declared insolvency.

In a statement issued on Thursday, Christian Lacroix SNC said it had declared insolvency before a court in Paris due to a "sharp downturn of the luxury market."

Declaring insolvency is a first step towards bankruptcy protection.

The company was acquired from LVMH in 2005 by Falic, a US duty free group.

Lacroix, 58, was unavailable for comment. His dramatic designs were inspired by the costumes of his native Arles in the south of France, and the Camargue, with its gypsies and bullfighters.

Last year the company registered losses of 10 million euros for a turnover of 30 million.