Covid-19 knocks out Circa of America. The US company, which specialises in the design and manufacture of belts and small leather goods, filed for bankruptcy before the Federal Court in Atlanta. The company, founded in 1967 in San Francisco, moved to Dunwoody, Georgia last year.
Covid-19 knocks out Circa of America
According to reports from AJC-The Atlanta Journal Constitution, Circa of America reported 10 million dollars in liabilities. Its turnover was 24 million dollars last year, with a 21% drop compared to 2018. Also due to this collapse, the company had decided, at the same time as it moved to Georgia, to close an active production site in California. Covid-19, with the closing of the shops and the consequent drop in sales, has irreparably aggravated the situation.
For those who produce
In addition to producing for some licensed brands, Circa of America has a rich customer portfolio, for example, it develops some collections for Gap, J.Crew, Disney, Under Armour, Nordstrom, Calvin Klein, and Polo Ralph Lauren. The company, among other things, had launched circular economy projects. In other words, reuse leather waste to cover belts and small leather goods. According to AJC, most of the company’s creditors are firms that supply leather, finished leather products and metal accessories and mainly based in China, Mexico, Taiwan and Vietnam.