Salt Life clothing brand owner to close two Long Island stores; nonprofit IPRO loses contract

The parent company of athletic clothing brand Salt Life is closing two Long Island store locations, laying off 14 employees as part of a bankruptcy sale of the brand, according to a state notice.

Delta Apparel Inc., a Duluth, Georgia-based wholesale manufacturer of activewear under several clothing brands, said in a state WARN notice that the company would be closing its two Tanger Outlet locations in Deer Park and Riverhead on Aug. 29.

The stores are located at 1220 Tanger Mall Dr. in Riverhead, and 1215 The Arches Circle in Deer Park.

Officials with Delta could not immediately be reached for comment regarding the layoffs.

WARN, the state Worker Adjustment and Retraining Notification Act, requires employers with at least 50 full-time employees to file a notice of a mass layoff or a closing 90 days in advance.

Delta, which also owns Soffe brand clothes, as well as its own in-house brand of apparel, filed for Chapter 11 bankruptcy protection late last month.

As part of the bankruptcy proceedings, Delta announced plans to sell assets from its Salt Life for $28 million to FCM Saltwater Holdings, the "stalking horse" bidder, according to SEC filings. Stalking horse bidders set the price floor for the sale of a bankrupt entity's assets. 

On July 2, the New York Stock Exchange notified the company its common stock was “no longer suitable for listing on the NYSE American,” and would be delisted, according to the most recent news release from the company.

At the start of the year, Delta’s price per share was $7.23 on the OTC markets. As of Monday, shares were selling for just over 6 cents.

Health care nonprofit loses contract 

Separately from Delta, Lake Success-based nonprofit Island Peer Review Organization Inc. announced it would be laying off 25 employees by Sept. 30, including nine jobs based on Long Island, over the loss of a contract. Three other jobs report to IPRO's headquarters but are listed as remote positions. 

IPRO partners with government agencies and health care providers to improve patient care by consulting and implementing technology solutions, according to the nonprofit’s website.

“IPRO has notified 25 employees whose positions are funded by federal or state contracts that their positions are at risk of being eliminated within the next 90 days,” IPRO said in a statement.

“IPRO is working to secure funding for the positions affected, and to find equivalent positions for those whose jobs may not receive continued funding,” the nonprofit said.