Stefano Gabbana, the Italian fashion designer and co-founder of Dolce&Gabbana, has stepped down as president of the famous fashion house, Reuters reports.
According to a company document filed with the local chamber of commerce, Stefano Gabbana, 63, informed the company in December of his intention to step down as president of the fashion house effective January 1.
The new head, Alfonso Dolce, was appointed CEO, brother of another Dolce & Gabbana co-founder, Domenico Dolce.
Domenico Dolce and Stefano Gabbana founded the company in 1985 and remain responsible for its creative direction.
Bloomberg, citing informed sources, notes that Stefano is considering alternatives for his stake in about 40% of the company, which is entering a new round of debt restructuring talks with creditors.
Dolce & Gabbana has been hit by a prolonged downturn in the luxury goods sector, exacerbated by uncertainty caused by the war in Iran. These setbacks have weighed on profits and made it difficult to meet the covenants governing its debt.