American Apparel, once a high-flying retailer that peaked at more than $600 million in sales, is probably headed toward liquidation after a bankruptcy auction ended with Canadian T-shirt and underwear maker Gildan Activewear Inc. (NYSE: GIL) buying intellectual property and other assets for $88 million.

This transaction doesn’t include American Apparel’s stores, and the fate of its garment workers in Los Angeles remains in doubt. The company had 4,700 employees and 110 stores as of November 2016, when it filed for bankruptcy for the second time in 13 months. Gildan said it has no obligation to keep any American Apparel employees.

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