The fashion industry suffered a major loss when a prominent member of its community was tragically killed in a plane crash. German entrepreneur Rainer Schulz was one of the biggest household names in the fashion world. He was credited as the founder of major European apparel outlets, such as the Colloseum and Forever 18. He later expanded his ventures to North America when he opened My Fashion Club in shopping centers throughout California.
Schulz’s life came to a tragic end on March 1st when his corporate jet, a Cessna 750, crashed in Egelsbach, Germany. His untimely death will also spell the end for the chain of European clothing stores he founded. The chain of clothing stores he founded in the U.S., however, still have an unforeseeable future.
Schulz’s widow, Silke Schulz, was named as the managing director, and it is up to her whether she will move forward with the clothing companies her husband founded. Phone calls to the Schulz residence in Malibu, California, went unanswered.
The apparel stores Rainer Schulz founded catered to a young audience, primarily teens and young adults. Store managers from those stores located at various malls announced they will be closing its doors for good due to Schulz’s death.
The clothing stores founded by Schulz were known for its trendy fashion, yet low prices. He began his fashion empire in Berlin in the mid ‘90s when he opened his first clothing retail called the United Fashion Brands. Stores quickly expanded outside of Germany and into Russia, Australia and Poland.
It is sad news that the stores are closing in light of the tragedy. However, it appears that Schulz’s death only expedited the inevitable. It turns out that a lawsuit was filed against Schulz by a Hong Kong company where his clothing is outsourced and manufactured. The suit was filed after Schulz failed to pay 3.9 million dollars that was owed to the company for the merchandise that was shipped but not paid for. In addition, the United Fashion Brands also had a loss of over 800,000 dollars due to declining sales.