BloggingStocks http://www.bloggingstocks.com BloggingStocks http://www.blogsmithmedia.com/http://www.bloggingstocks.com/media/feedlogo.gif BloggingStocks http://www.bloggingstocks.com en-us Copyright 2012 Weblogs, Inc. The contents of this feed are available for non-commercial use only. Blogsmith http://www.blogsmith.com/<![CDATA[American Apparel lays off a quarter of its workers over immigration issues]]>http://www.bloggingstocks.com/2009/09/04/american-apparel-lays-off-a-quarter-of-its-workers-over-immigrat/http://www.bloggingstocks.com/2009/09/04/american-apparel-lays-off-a-quarter-of-its-workers-over-immigrat/http://www.bloggingstocks.com/2009/09/04/american-apparel-lays-off-a-quarter-of-its-workers-over-immigrat/#commentsFiled under: ,

American Apparel Inc. (AMEX: APP) has always been unlike any other clothing company: a flamboyant CEO who received oral sex during a magazine interview and marketing logo- and image-free clothing that has become one of the hottest brands in the country.

And the weirdness continues. CEO Dov Charney has been a vocal proponent of immigration rights, and many of the workers at the company's Los Angeles factories were immigrants. Now 1,500 of the company's 5,600 factory workers are being fired because of documentation issues following a U.S. Immigration and Customs Enforcement investigation.

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American Apparel lays off a quarter of its workers over immigration issues originally appeared on BloggingStocks on Fri, 04 Sep 2009 12:30:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>American ApparelAPPDov CharneyinthenewsFri, 04 Sep 2009 12:30:00 EST<![CDATA[American Apparel CEO puts big ugly foot in his mouth]]>http://www.bloggingstocks.com/2009/07/27/american-apparel-ceo-puts-big-ugly-foot-in-his-mouth/http://www.bloggingstocks.com/2009/07/27/american-apparel-ceo-puts-big-ugly-foot-in-his-mouth/http://www.bloggingstocks.com/2009/07/27/american-apparel-ceo-puts-big-ugly-foot-in-his-mouth/#commentsFiled under: , , ,

American ApparelWe might be tempted to think, in this day and age, that a move as stupid as this one could not happen in our enlightened business world. However, the CEO of American Apparel (AMEX: APP), seems to think otherwise.

According to a story provided by Gawker.com; "American Apparel's ... madman CEO, Dov Charney is demanding the firing of employees he deems unattractive and thus detrimental to the "AA aesthetic."

It doesn't take a rocket scientist to know that people (especially in America) are ultra sensitive to negative comments about appearance. It also does not take a great deal of intelligence to recognize that the firing of employees based on their looks is a stupidly discriminatory practice. So, being that this project is being undertaken at the sole direction of CEO Charney, one does not have to spend much time analyzing exactly who is the stupid one over there.

Continue reading American Apparel CEO puts big ugly foot in his mouth

American Apparel CEO puts big ugly foot in his mouth originally appeared on BloggingStocks on Mon, 27 Jul 2009 15:30:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>American ApparelAmericanApparelAPPappearanceDov CharneyDovCharneylawsuitsuglyMon, 27 Jul 2009 15:30:00 EST<![CDATA[Former accountant sues American Apparel -- alleges manipulation]]>http://www.bloggingstocks.com/2008/11/12/former-accountant-sues-american-apparel-alleges-manipulation/http://www.bloggingstocks.com/2008/11/12/former-accountant-sues-american-apparel-alleges-manipulation/http://www.bloggingstocks.com/2008/11/12/former-accountant-sues-american-apparel-alleges-manipulation/#commentsFiled under:

There's plenty of scandal surrounding American Apparel (AMEX: APP) since it went public but, up until now, it's consisted almost exclusively of allegations of bizarre sexual conduct by the company's founder and CEO Dov Charney.

But a new lawsuit tosses the American Apparel quandary into a whole new category. Roberto Hernandez, a former accountant at the company, is suing (subscription required) for wrongful termination alleging that, in 2006, Charney "demanded that Mr. Hernandez pad the inventory" in attempt to make the company appear more attractive to investors. Hernandez says that he "refused to participate in any scheme to potentially defraud the investors" and was fired on November 9th of that year.

This is second time this month that American Apparel has come under fire over allegations that it sought to mislead investors. On November 4th, I wrote about a lawsuit accusing the company of asking an alleged victim of sexual harassment to participate in an arbitration hearing with a predetermined outcome -- and then plotting to issue a press release declaring victory in the sham hearing.

Here's the question: With American Apparel's stock beaten down so badly in spite of incredibly impressive sales growth, does any of this really matter? Up until now, you might have been able to say that it doesn't. But many investors will want to steer clear of a company with a lawsuit accusing the company's CEO of directing an accountant to cook the books.

The shares fell yesterday after the company reported earnings that were down sharply because of stock-based compensation expenses.

UPDATE: This morning American Apparel released a statement in response to the lawsuit and media reports, calling it a "frivolous and baseless lawsuit recently filed by a disgruntled former employee." The company added that "It is unfortunate that the media continues to focus on sideshows and false allegations. It does a disservice to the 10,000 men and women who make American Apparel such an outstanding company; to our customers who love our products; and to our investors who appreciate our strong financial performance and our dedication to being a leading public company."

Former accountant sues American Apparel -- alleges manipulation originally appeared on BloggingStocks on Wed, 12 Nov 2008 09:45:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>accountingAmerican ApparelAmericanApparelAPPdov charneyDovCharneyinthenewsWed, 12 Nov 2008 09:45:00 EST<![CDATA[American Apparel CEO calls CFO a 'complete loser' -- but wait, there's more!]]>http://www.bloggingstocks.com/2008/04/12/american-apparel-ceo-calls-cfo-a-complete-loser-but-wait-t/http://www.bloggingstocks.com/2008/04/12/american-apparel-ceo-calls-cfo-a-complete-loser-but-wait-t/http://www.bloggingstocks.com/2008/04/12/american-apparel-ceo-calls-cfo-a-complete-loser-but-wait-t/#commentsFiled under: ,

Back in December, I wrote about American Apparel (AMEX: APP), which had recently gone public through special purpose acquisition vehicle, and its CEO's checkered reputation -- sexual harassment lawsuits, masturbating in front of a reporter, etc. etc. etc. The stock has taken a beating since then.

This weekend's Wall Street Journal has a lengthy profile of American Apparel and CEO Dov Charney, and it just gets juicier. In an interview, he referred to his company's CFO, Ken Cieply, as a "complete loser," which is pretty ambitious.

The freak show stuff aside, there are some fundamentals-related issues dogging the company as well: the company's former insurer has said it won't cover the sexual harassment lawsuits, "inadequate expertise in the application of U.S. generally accepted accounting principles," a history of accounting woes, an Immigration and Customs Enforcement inquiry seeking citizenship documentation related to its workers, a government tax audit, and a substantial debt load. If you have a lot of time on your hands, flip through the risk factors disclosed in the latest 10-K.

Continue reading American Apparel CEO calls CFO a 'complete loser' -- but wait, there's more!

American Apparel CEO calls CFO a 'complete loser' -- but wait, there's more! originally appeared on BloggingStocks on Sat, 12 Apr 2008 14:40:00 EST. Please see our terms for use of feeds.

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