American Apparel Board Suspends Dov Charney as CEO
"We have one of the best known and most relevant brands in the world, with employees who are second to none; I believe we have a very exciting future," said Luttrell. "Our core business—designing, manufacturing, and selling American-made branded apparel—is strong and continues to demonstrate great potential for growth, both in the U.S. and abroad. This new chapter in the American Apparel story will be the most exciting one yet."
Mr. Luttrell said American Apparel would remain committed to its sweatshop-free, made-in-USA manufacturing philosophy.
As a result of the management changes, the company may have been deemed to have triggered an event of default under its credit agreements and will be in discussions with its lenders for a waiver of the default. Additional details are provided in the company's Form 8-K filing with the Securities and Exchange Commission, dated June 18, 2014.
For more information, visit www.americanapparel.net.