American Apparel Officially Terminates Dov Charney, Names New CEO

Finally, a decision.
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Eliza Brooke
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Finally, a decision.
Charney. Photo: Stephen Shugerman/Getty Images

Charney. Photo: Stephen Shugerman/Getty Images

After months of deliberation, American Apparel has finally terminated founder Dov Charney after suspending him from his roles as president and CEO in June for alleged misconduct and violations of company policy. According to a release from the company, a special committee of the American Apparel board has been investigating the allegations since July. 

"Based on this investigation, the special committee determined that it would not be appropriate for Mr. Charney to be reinstated as CEO or an officer or employee of the Company," reads American Apparel's statement, released Tuesday afternoon. "While under suspension as CEO, had been serving as a consultant to the Company. This relationship has now been terminated."

So that's that. 

The stewardship of the American Apparel brand now falls to Paula Schneider, who has been named the company's new CEO. She takes over the reins from Scott Brubaker, who has been serving as interim CEO since September. Schneider has previously served as the president of Laundry by Shelli Segal and president of sales at BCBG Max Azria. 

We're looking forward to seeing what she can do for American Apparel. After watching its sales slide and keep sliding in recent quarters, it needs the help.