American Apparel Issues Statement in Response to Lawsuit

Los Angeles-based American Apparel Inc. issued the following statement in response to news reports of a lawsuit filed by a former employee:

“American Apparel denies all of the allegations in Mr. Hernandez’s lawsuit and will vigorously defend itself and its shareholders in this contemptible action. Mr. Hernandez was a non-accounting employee in the information technology department who was terminated for legitimate reasons. The allegations in this lawsuit are fictional, which the company believes represents a cynical attempt to extract phony leverage by Mr. Hernandez’s counsel, Keith Fink, who has been engaged with the company in other litigation for over three years. The facts are that Mr. Charney had no personal management responsibility nor influence over the work of Mr. Hernandez and played no role in his termination in 2006.”