Troubled clothing maker Pacific Brands has trimmed $25 million from its debt pile thanks to stronger cash flows and the sale of two surplus properties.

Pacific Brands has been trying to reduce its debts amid a major restructure aimed at turning its fortunes around.

The loss-making company, whose brands include Bonds and Rio, on Monday said it had paid down $25 million of term debt following strong operating cash flow and the sale of two surplus properties in NSW and Victoria.

The payment reduced the company’s syndicated debt facility to $150 million from $175 million.

Pacific Brands also extended the terms of the facility, which was due to expire in May 2013 but will now run until July 2015.

Pacific Brands has been struggling amid the tough trading conditions gripping the retail sector.

The company has failed to reach a takeover deal with potential suitors in recent months.

Shares in Pacific Brands were one cent higher at 51 cents at 1155 AEST.