Clothing manufacturer American Apparel announced Monday that it had hired Peter J. Solomon Co. to act as a strategic and financial advisor in the wake of the dismissal of company founder Dov Charney as chairman and chief executive.

“We believe the hiring of a financial and strategic advisor at this important juncture is in the best interest of our stockholders and will help maximize long-term shareholder value,” John Luttrell, interim chief executive of Los Angeles-based American Apparel said in a statement.

American Apparel announced last Wednesday that the company’s board members had decided to end Charney’s term as chairman of the board and suspend him from his duties as chief executive, pending a 30-day waiting period before he could be fired for cause.

Solomon, a New York investment bank, offers advice on mergers and acquisitions, corporate restructurings and recapitalizations. American Apparel’s board warned last week that its decision to fire Charney may trigger defaults with the firm’s lenders.

The popular website BuzzFeed reported Sunday that it had obtained a copy of the board’s termination letter to Charney, in which he is accused of breaching his fiduciary duty by failing to prevent an employee from writing defamatory blog posts and paying expensive severances to former American Apparel employees to protect himself from personal liability, violating the company’s sexual harassment and non-discrimination policies and misusing corporate assets.

An SEC filing made on Monday reveals that Charney has met with shareholders and others described as supporters to discuss potential options to replace board members. The Los Angeles Times reported on Monday that Charney’s attorney has threatened to sue American Apparel if he is not reinstated to his former post.

American Apparel stock fell 2 cents to $0.67 in Monday’s trading on the New York Stock Exchange.