Ditching Dov Charney Hasn’t Helped American Apparel’s Bottom Line

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Photo: JUSTIN LANE/Corbis

It would be an understatement to say that American Apparel has been through a rough couple of months. (Thirty-second recap: The company got rid of that pervy guy, who threatened to sue, snuck back into their stores, bought up a ton of stock via a third party, and then came back into the fold, albeit in a reduced capacity. Oh, and somewhere in there it appointed its first-ever female board member, so that's nice.) Unfortunately, the company's new era has been a rocky one. Last week, American Apparel was critiqued for another set of offensive ads that were deemed Lolita-esque, and now, Bloomberg Businessweek is reporting that the retailer lost $15 million in its second quarter. They lost $38 million during the second quarter of 2013, though, so maybe losing less equals winning?