American Apparel Founder Has Just $100K Left

Dov Charney's 2013 salary was $832K
By Kate Seamons,  Newser Staff
Posted Dec 23, 2014 6:58 AM CST
American Apparel Founder Had Just $100K Left
In this April 3, 2012, file photo, Dov Charney, founder of American Apparel, is photographed at the company's factory in downtown Los Angeles.   (AP Photo/Los Angeles Times, Gary Friedman)

Dov Charney isn't just out at American Apparel—he's down and out, or at least close to it. The officially ousted founder spoke with Bloomberg's Trish Regan, and in a "Market Makers" segment she shares the low points of what they discussed: that he has just $100,000 to his name and is staying on New York City's Lower East Side at a friend's place. "Sleeping on a couch?" prods co-host Stephanie Ruhle. "Sleeping on a couch!" replies Regan. That's a long way down from what Forbes reported as a salary of $832,000 in 2013.

Regan ends the two-minute segment by saying Charney is "suing everyone." She doesn't get more specific on that point, but she does zero in on the root of some of Charney's displeasure, which she says is directed at Standard General. As background, Business Insider explains that Charney pledged his voting rights to the hedge fund in July in order to get a loan that boosted his ownership to 43%. As Regan tells it, Standard General promised to give him a position at the helm (though not necessarily the CEO slot) once the investigation into his alleged misconduct was done. "I gave them my heart. My shares ... they worked against me," he told Regan. (Read more Dov Charney stories.)

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