Japanese clothing designer Yohji Yamamoto’s fashion house has filed for bankruptcy protection in a Tokyo court.

The company said Friday its sales had been battered by sluggish demand amid the global economic slowdown with debts totaling six billion yen ($67 million).

Integral Corp., a Japanese investment company also announced today that it will be sponsoring the fashion company’s restructuring plan.

It said it would provide the firm with capital and financing and assist with management resources.

(Under Japan’s Civil Rehabilitation Law, Mr Yamamoto can keep his business afloat while restructuring takes place).

While there is no comment yet from Yohji’s team, WWD reports that the designer will be holding a press conference this evening in Tokyo.

The bankruptcy marks the second blow to Tokyo couture this week. Gianni Versace SpA on Wednesday said it closed its three stores in Japan because the stores “no longer represented the brand image.”

Source: NYTimes – BBC – WSJ