American Apparel has ousted founder Dov Charney of his roles as chairman and chief executive officer. According to the NY Times:
“The company has grown a lot bigger than just one person and the liabilities Dov brought to the situation began to far outweigh his strengths,” said Allan Mayer, the board’s new co-chairman.
Having been an employee of American Apparel for several years, it’s not a surprise to me that Charney became more of a liability than a resource, and it looks like the board agrees:
“The independent directors became aware of some facts we’d been previously unaware of,” Mr. Mayer said. “The only right and sensible thing to do at that point was to ask Dov to leave.”
While the stories of inappropriateness are no secret, we re curious to see what the future holds for American Apparel. Read the full story here.
