As American Apparel faces bankruptcy with mounting debts of US$120 million (NZ$170 million), a federal subpoena and inquiries from the Securities and Exchange Commission, we learn Eric Watson has washed his hands and is no longer involved with the Los Angeles-based clothing company that manufactures cheap T-shirts and cardigans. He sold out of the company.

Cows and dairy farming are his new favourite American pastime. Watson's Cullen Agricultural Holding Corp is a public company based in Watkinsville, Georgia.

He's also linked to Cullen Agritech and Natural Dairy Inc, which buys and converts land to dairy farms to produce milk. Last year the Dominion Post reported Watson's US$400 million (NZ$567 million) American dairy company expects to halve the costs of an average US dairy farm by using Kiwi farming practices, including free-range cows fed on pasture instead of grain.

It seems the man synomous with boobs and Bendon is diversifying. He is also clocking up some land sales. Last month, Cullen Agricultural Holding sold more than 400ha of land in Gerogia to Wilbert Roller for US$2m (NZ$2.8m). Meanwhile, back in New Zealand, Watson is still selling his Auckland digs.

Roger Seavill from Colliers International, who is selling Watson's Westbury Estate in Karaka, told Spy this week he's had "a good response" from potential buyers but there is "nothing categorical to report at this stage."

Seavill reckons he's expecting big bids to come on Thursday when the tender process closes. As for the expected $10m price tag, the agent confessed he got into a little trouble with the vendor for stipulating a sale figure to Spy.

As Watson flogs his Auckland pad, it appears he's not too busy these days to hobnob with London's elite and party on the Mediterranean.

Last month, Lisa Henrekson - the mother of his two youngest sons - updated her Facebook friends with pics from their holiday in St Tropez. Last week it was Sardinia.

And she was snapped sporting a pricey tan Hermes Birkin handbag at a swanky Bulgari jewellery party in London recently. At the price of a small car, the trophy accessory screams money is not a problem. Quite what dissatisfied Hanover investors are screaming is another thing all together.

-Herald On Sunday