What a surprise. CEO Dov Charney is still causing trouble for American Apparel.
Four months after the clothing brand was warned by its auditor of the possibility of "collusion or improper management" of its financials, the retailer told the public that its accountant Deloitte & Touche had resigned.
In March, Deloitte told the retailer that there were several problems in its accounting, including a lack of accounting officials that were sufficently trained. The retailer skimped on details in a securities filing, but noted that Deloitte "identified material weaknesses in internal control over financial reporting," and that the huge accounting firm has uncovered information "that if further investigated may materially impact" a previous audit report as well as the retailer's 2009 financial statements.
This doesn't help the brands troubles of possibly being delisted from the New York Stock Exchange if the company doesn't make a quareterly filing by Aug. 16.
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