Two months after American Apparel admitted it didn’t have enough financing to continue operations for another year, the retailer says things haven’t gotten better and it’s filed for Chapter 11 bankruptcy. American Apparel stores and manufacturing operations are expected to continue to operate normally under a restructuring deal the company has reached with most of its lenders, Reuters reports. The Los Angeles-based company says its first plan of action is to cut its $300 million in debt by nearly $200 million through the elimination of bonds in exchange for equity. It was unclear if the company intends to eventually shutter some stores as a result of the filing.