American Apparel, Inc.(American Apparel) is a vertically integrated manufacturer, distributor, and retailer of branded fashion basic apparel based in downtown Los Angeles, California. During the year ended December 31, 2008, the Company operated 260 retail stores in 19 countries, including the United States, Canada, Mexico, Brazil, United Kingdom, Austria, Belgium, France, Germany, Italy, the Netherlands, Spain, Sweden, Switzerland, Israel, Australia, Japan, South Korea and China. The business reporting segments of the Company are United States Wholesale, United States Retail, Canada, and International. Its subsidiaries include American Apparel LLC, American Apparel (USA), LLC, American Apparel Retail, Inc., American Apparel Dyeing and Finishing, Inc., and KCL Knitting, LLC. In May 2008, the Company acquired an additional facility in Garden Grove, California with cutting, dyeing and sewing capacity.