Calgary Herald

American Apparel denies hunt for buyer


american apparel is denying a report by a private equity and deals news website that it’s looking for a buyer.

PeHUB reported on its website Tuesday that the clothing manufactur­er was working with adviser Rothschild to explore a sale, citing three people familiar with the matter.

American Apparel is “absolutely not” looking for buyers, Peter Schey, a spokesman for the company, told Reuters.

“The CEO is confident that 2011 will be a turnaround year and he is looking for profitabil­ity in 2012 — that’s his goal,” Schey said.

American Apparel has been dealing with a longrunnin­g sales slump. Founder and chief executive Dov Charney has been dealing with problems of his own, including charges that he treated an ex-employee as a sex slave. The peHUB report said it was unlikely any buyer will permit Charney to remain with the company. In a filing last week, American Apparel had warned it may have to file for bankruptcy.

 ??  ?? Dov Charney
Dov Charney

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