Green’s Dictionary of Slang

1. (US) a shabby or unfashionable garment.

1972		B. Rodgers Queens’ Vernacular 179: shmatta [...] 3. a housedress; broadly any expensive garment casually dismissed as a hand-me-down.
1989		Kirk & Madsen After The Ball 322: Did you see that tacky schmattah he was wearing?
1999		Scenario 165: The blond he gives a mink, me he gives a schmatte and wedgies.
2005		L. Rosenthal Schmattes [online blurb] Schmattes is a unique history of Melbourne fashion which evokes the social mood of the times.

2. (US gay) a sanitary napkin.

1972

B. Rodgers Queens’ Vernacular 179: shmatta (fr Yid schmatte = rag) 1. sanitary napkin.