Fruit of the Loom has until November 30th to win court approval of its proposed bankruptcy-sale procedures. Otherwise, an $835 million (€953 million) offer for the clothing manufacturer by investor Warren Buffett's holding company, Berkshire Hathaway, could fall through.

Fruit of the Loom, which has three sites in Derry and Buncrana employing 830 people, failed on Thursday to win approval from a US Bankruptcy Court judge for its procedures. Both companies said in court submissions that if the procedures were not approved by next Friday the deal could fall through.

The Buffett offer represents the best hope for future viability of Fruit of the Loom, which filed for Chapter 11 bankruptcy in December 1999 and owes creditors $1.6 billion. Six years ago, the company employed more than 3,500 people in the Republic and Northern Ireland, making T-shirts and sweatshirts for the European and Russian markets. Last week it announced the loss of another 65 jobs in Buncrana.