MANUFACTURING
New American Apparel Director on Board After One Board Member Resigns
Los Angeles–based American Apparel’s board of directors has had several members come and go in the wake of founder Dov Charney being suspended and later terminated as the president and chief executive.
The latest to exit the board room is Robert Mintz, a Charney childhood friend who in August was appointed by Lion Capital, a previous American Apparel financial investor that has the right to appoint two members to the nine-member board. Lion Capital holds warrants to buy 24.5 million American Apparel shares, which is about 12 percent of the company’s stock.
Mintz handed in his resignation March 5, according to documents filed with the Securities and Exchange Commission. Replacing him is Jeff Chang, a Lion Capital director based in Los Angeles.
On June 18, the board decided to push Charney out of his leadership roles and off the board while they investigated the founder for alleged misconduct. At that time, four other board members left. Shortly after, Mintz was appointed to the board.
In July, four new board members were appointed: Joseph Magnacca, Colleen Brown, David Glazek and Thomas Sullivan. Later, Lyndon Lea of Lion Capital joined the board.
The board’s two co-chairs, Allan Mayer and David Danzinger, stepped down as co-chairs but remained on the board. In their place, Brown was named to head the board.
With a practically all-new board, the directors decided in December to terminate Charney from his executive positions, although he is still a major stockholder.
