Dolce&Gabbana to be managed without Gabbana in future

Milan (awp/dpa) - At the Italian fashion house Dolce&Gabbana - one of the most famous names in the fashion world - company founder Stefano Gabbana has retired from the management. The 63-year-old had already resigned from all entrepreneurial functions at the beginning of the year, the company confirmed corresponding media reports. At the same time, it was emphasized: "This resignation has no influence whatsoever on the creative activities that Stefano Gabbana carries out for the Group."

Dolce&Gabbana was founded in Milan in 1985. The second namesake alongside Milan-born Gabbana is the Sicilian Domenico Dolce (67). The pair achieved their international breakthrough a few years later through their collaboration with US pop singer Madonna, for whom they designed numerous costumes. The two were also a couple in their private lives. Today, the group has an annual turnover of around 1.9 billion euros and employs more than 5,400 people.

Reports: debts of 450 million euros

In contrast to Gabbana, Domenico Dolce also retains the functions in the company management. According to media reports, his brother Alfonso Dolce has also been promoted to second CEO. In response to reports that the Group was in debt to the tune of 450 million euros, the official statement was simply: "The company has nothing to say on this subject at present, as negotiations with the banks are still ongoing."

According to media reports, the company is considering raising new funds of up to 150 million euros to strengthen its liquidity. The sale of real estate is also under discussion, according to reports. The two founders each hold around 40 percent of the shares in Dolce&Gabbana. There is also speculation in the Italian newspapers that a former top manager of Italian rival brand Gucci, Stefano Cantino, could join the company.