The final quarter of 2014 was a dismal one financially and legally for downtown clothing maker American Apparel Inc.

For the quarter ended Dec. 13, the company reported sales of $154 million, down 9 percent from the sale period a year ago. Net losses in the quarter widened to $28 million (-16 cents a share), compared with $20.8 million (-19 cents) in the year-ago period.

The company noted that it incurred legal and consulting fees of $3.8 million in the quarter due to an investigation into the founder and former chief executive Dov Charney, who was fired last year. Another $1 million was paid out in legal settlements for employment-related claims.

American Apparel had delayed its fourth-quarter and annual financial report while it negotiated new terms with creditors after defaulting on that debt in December. The company reported that on Wednesday it amended its credit agreement with lender Capital One, which agreed to waive prior defaults and reset certain loan obligations.

The amendment will allow American Apparel to borrow $15 million from private equity firm Standard General at 14 percent interest under a prior agreement. The company needs that money to make interest payments on other debt.

While the company’s fourth-quarter losses widened, American Apparel did better for the full year. The company reported a net loss for 2014 of $69 million (-43 cents a share), compared with a loss of $106 million (-96 cents) in 2013. Still, sales declined, falling from $634 million in 2013 to $609 million last year, a decline of about 4 percent.