While many were happy to bid a hearty "Bye, Felipe" to Dov Charney after his firing from American Apparel yesterday, the man's still got fans. Namely, the 30-plus employees who signed a letter to the board in protest of his firing. In the letter, obtained by Bloomberg News, they state that Charney “is what makes this thing tick,” and that he could work alongside newly named CEO Paula Schneider. (As if Charney would be comfortable playing second banana to anyone.)
The Bloomberg story also contains the juicy claim that Charney was asked to remain with the company as a consultant, but turned down the board's offer and was only then fired — along with a reminder that Charney remains the company's largest shareholder, with a 43 percent stake (that he co-owns with the hedge fund Standard General). In a statement, he said, "Naturally, I am disappointed with the circumstances and my over 25 years of deep passion and commitment for American Apparel will always be the core DNA of the company.” He certainly sounds like he's not ready to let go anytime soon. And a WWD item today notes the possibility that he might pursue his case in court, which would mean we're in for a lot more of this.
There is one piece of good news, however, for American Apparel's fate: The Street is reporting a jump of nearly 16 percent in the company's stock since the firing.