Monday, September 29, 2014

American Apparel Picks New Interim CEO Amid Charney Investigation

The company said its other interim CEO will resign without explaining why. It also announced a new CFO.



Jonathan Alcorn / Reuters


American Apparel has selected a new interim chief executive officer and a new chief financial officer as its investigation of ousted founder Dov Charney continues.


The company said in a statement today that John Luttrell, its CFO who was temporarily serving as interim CEO, is resigning. American Apparel didn't say why he's leaving the company. The company also announced new presidents for its retail and wholesale divisions.


American Apparel's new interim CEO will be Scott Brubaker, a managing director at consultancy Alvarez & Marsal. That company's website says Brubaker, 43, "specializes in business diagnostics, plan development and financial strategies for corporate turnarounds, acquisitions and restructurings." He has worked at companies including Eddie Bauer, Woodside Homes and Sunshine Biscuits.


The company's new CFO Hassan Natha, 55, has worked at Fisher Communications and Jones Soda Co.


American Apparel fired founder and CEO Dov Charney in June on a long list of allegations, including sexual harassment and misuse of corporate assets, according to his termination letter, which was obtained by BuzzFeed News.


Charney has been serving as a consultant at the company while a board committee looks into allegations against him to figure out what, if any, his future role at American Apparel will be.


He has been largely removed from the public eye after a couple of initial interviews in which he proclaimed his innocence and called the board's accusations baseless.


Contact the reporter on this story at sapna.m@buzzfeed.com.




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