While clothing company American Apparel has survived bankruptcy and is considering outsourcing its manufacturing operations to a cheaper city than Los Angeles, it will have to do all of that under a different leader: the company’s current CEO is reportedly leaving in just over a week. The company’s chairman also left recently after just about six months in the job.

The company remains open to selling all or part of itself, which may have something to do with CEO Paula Schneider’s decision to step down now. “[T]he sale process currently underway for all or part of the company may not enable us to pursue the course of action necessary for the plan to succeed nor allow the brand to stay true to its ideals,” she wrote in her resignation letter to the board.

Reorganizing was one option for the company coming out of bankruptcy, with a group of investors backing original founder and longtime CEO Dov Charney. Instead, Charney is reportedly starting his own new company that would most likely compete with American Apparel, whatever form it takes under new owners.

Schneider was appointed to run the company after Charney’s antics led to his suspension and firing for being a jerk back in 2014.

Possible shake-up at American Apparel: CEO Paula Schneider is expected to exit post [Women’s Wear Daily]

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