Published On: Sun, Jul 27th, 2014

With Charney Out, Sexually-Charged Outfitter Hires Female Director

Colleen Brown

Fashion retail chain American Apparel has named Colleen Brown as one of four new directors on its board. She is the first female director in the chain’s history.

The move is part of a recovery plan, following the ouster of American Apparel’s founder and CEO Dov Charney last month.

Brown CEO of Fisher Communications Inc. for eight years, ending in 2013, when she organized sale of the company to Sinclair Broadcast Group Inc. for $340 million.

Joseph Magnacca, formerly the CEO of Radioshack, was also appointed to the board.

Adding a female director should help in recovering the chain’s reputation for sexist management practices. It probably won’t change the company’s hyper-sexual advertising, because that part works.

American Apparel deposed CEO Charney was sued for sexual harassment for engaging in sex acts while being interviewed by a magazine reporter.

He allegedly also misused company funds to retaliate against a former employee who sued him for harassment.

American Apparel has lost $270 million since. The board shakeup is seen as part of the company’s deal with the hedge fund Standard General LP, who are experts at financing deal for struggling outfits.

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