As American Apparel CEO Dov Charney denies the looming possibility of his company filing for bankruptcy, sources tell PE Hub that the company is considering selling itself — and that if it does, Charney probably won't be invited to the party.
Two of the sources said if the company is sold, it is unlikely that the buyer will permit Charney to remain with the organization.
Charney, whose stake in the company is over 60 percent, said this week, "There’s no chance this industry has to worry about me, or American Apparel, leaving." He also claimed: "To say that the company is unstable is not accurate." The possibility of bankruptcy was only bolded in the company's annual financial report (which was filed late with the SEC, by the way) in the "Risk Factors" section, but sure, cats can bark.