The German fashion house has filed for bankruptcy in Munich after they failed to find sufficient banking from its investors. It is an international company with 180 shops and franchises in 60 countries!
Escada is trying to stay afloat trying by asking its investors to cash in their loans at a reduced rate.. so far not really working! Over the 2007-2008 business year, the company has had losses of about 70.3 million euros. 
The former Hugo-boss chief Bruno Saelzer has taken over as head of the company and has been unable to turn it around. Pretty much since the death of it's co-founder, Swedish model Maragretha Ley, Escada has had a rough time.
I for one hope they can find a way to get out of trouble, which I am sure they will. It would be a real loss if they didn't! Especially their very famous fragrance line which has been pretty much carrying the company as of late.
Finger crossed!
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