Leading Australian fashion brand Coogi Australia Pty Ltd, as well as five other firms in the group, was placed into voluntary administration on Thursday after a slump in its key US market.

The world-renown label, best known for its colourful woollen sweaters and knitted items, is based in Melbourne where the future of its 340 workers was today uncertain.

Administrators believe the company has debts of more than A$25 million after it was hit by the economic fall-out of September’s terrorist attacks in the US which is its main export market.

Coogi has five stores in Australia including three outlets in Queensland and one each in Melbourne and Sydney as well as various concept stores in major department stores.

Earlier this year, the Australian Industrial Relations Commission investigated the firm’s financial health at the request of the Victorian textile Clothing and Footwear Union but it cleared Coogi of insolvent trading.