Tuleh just canceled its fall 2010 runway show. Now speculation is swirling that the label's funding has run out and it might not survive. WWD reports that Tuleh isn't meeting the demands of its creditors, backed by Trilea Holdings Inc., which are reportedly no longer investing in the label. Trilea is rumored to be looking into options to salvage Tuleh, which could include anything from selling it altogether to forging new licensing deals to getting a loan. A rep from Trilea said, "The business has been and continues to be unprofitable, and creditors were making demands that the company could not satisfy." Insiders told WWD that "the brand still resonates with customers." It remains unclear what will happen to Tuleh's spring deliveries and the label's lower-priced Bryan Bradley line. Fashion Week parties may be back in full force this season, and spirits remain high, but this is just one reminder that the effects of the downturn are still being felt.
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