Well you have to weigh the word of mouth bad advertising to their friends and a customer who won't return in the future, against the cost of the jackets. If you do descide not to replace them, you will probably lose their business and word of mouth advertising will probably be bad, but if you are in a large enough area, and can absorb the loss of a few customers, then don't replace them if you truly don't feel that you are at fault. However, if you are in a fairly small place, it would be worthwhile to pay for new jackets, tell them you do not have them, have looked all over, but that you are willing to replace them if necessary.