The Rise and Fall of True Religion Jeans…How it Happened Part 4 :Beginning of Internal Chaos
Internal chaos and private equity drew the way for Bankruptcy
Despite some tough decisions made after 2007, Jeffery Lubell kept the company profitable and surprisingly increased its revenue by 55 percent in 2011. But internal board members weren't happy with Jeffery's approach and his attitude towards growing the brand.
Meanwhile in 2010, Mike Egeck, who served as the President for True Religion stepped down from his position. This move made True Religion unstable internally as Jeffery and Mike shared a good relationship with each other and grew the company steadily into a global brand.
In 2012, the board declined renewing Jeffrey’s contract as Creative Director of the company. Later in April 2013, Jeffrey stepped down from the company and got a $6 million severance package. Many say that this was the breaking point for the brand because True Religion struggled to keep up after Jeffrey was gone.
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