Ex-Bill Clinton B.F.F., improbable modelizer, and owner of the private jet known as "Air Fuck One" Ron Burkle bought $6 million worth of American Apparel shares last summer. Then the stock price pretty much plummeted. Now he's reducing his stake.
American Apparel's auditors resigned abruptly this summer, after announcing they had no confidence in the company's accounting structures or the reliability of its results. Now the ex-auditors have written to the SEC to dispute aspects of American Apparel's latest filing.
American Apparel's main lender has agreed to cut the company a break. That just leaves a Department of Justice investigation, an accounting scandal, an SEC investigation, avoiding delisting, late quarterly filings, plummeting sales, and overall un-profitability on the to-do list!
Nobody's favorite t-shirt company is facing hard times. Loans are coming due. Financial reports are five months late. Sales are falling. Auditors are quitting. Stock prices are plummeting. Investors are investigating. But Dov Charney maybe can still turn things around.
Many months ago, a little upstart t-shirt concern didn't file its quarterly results on time. The New York Stock Exchange warned the company to file by August 16, or face delisting. We called our friend Dov Charney to learn more.
American Apparel announced last night that it won't file its latest quarterly financial report on time. It's the second quarter in a row that this has happened, and if the company misses another deadline on Monday, it could be delisted.
