A last-minute dispute over costs not only held up the final sale of bankrupt suit maker Hartmarx to British private equity firm Emerisque and SKNL North America - but also led to the closure of two of the firm's factories with the loss of around 475 jobs.

Alabama-based men's pants maker Anniston Sportswear Corp has shuttered, putting around 175 people out of work.

And about 350 workers are losing their jobs at the Seaford Clothing Co plant in Rock Island, Illinois.

The factories were casualties of a series of Hartmarx debts and accounting issues that only came to light as the sale was negotiated. 

Instead of Emerisque and SKNL North America paying the millions of dollars in additional costs that would have been incurred, the decision was taken to break the company up. 

The Hartmarx sale was finally completed late Friday (7 August), after the company filed for Chapter 11 bankruptcy protection back in January.