Former Abercrombie & Fitch Chairman and CEO Mike Jeffries addresses shareholders at Abercrombie & Fitch’s annual meeting on May 22, 2003 at the company’s headquarters in New Albany, Ohio.
Will Schilling | via Reuters
Abercrombie & Fitch has washed its hands of former CEO Mike Jeffries, who was arrested on federal sex trafficking charges, and the company said in a statement Wednesday that it will “cooperate fully with law enforcement as the legal process continues.” I promise you that.”
“As we shared when the charges were first made public in October 2023, we are appalled by the alleged actions of Mr. Jeffries, whose employment with Abercrombie & Fitch ended nearly a decade ago. “We are disgusted by this,” a company spokesperson said in a statement. Statement to CNBC.
“For nearly a decade, we have successfully transformed our brand and culture into the values-driven organization we are today,” the spokesperson added. “We do not tolerate abuse, harassment or discrimination of any kind.”
Abercrombie stock fell about 5% on Wednesday.
On Tuesday, Jeffries, who led the classic clothing brand from 1992 to 2014, was arrested along with his partner Matthew Smith and another colleague on charges of sex trafficking and interstate prostitution. However, prosecutors allege the incident occurred while Mr. Jeffries was employed at Abercrombie.
Jeffries and Smith are accused of coercing aspiring Abercrombie models into sexual acts in exchange for modeling jobs.
“Many of the victims were young, at least 19 years old, economically vulnerable and hoping to become models in the notoriously cutthroat fashion industry,” prosecutors said in a court filing. said.
“In fact, some of the men they hired had previously worked in Abercrombie stores or modeled for Abercrombie.”
During Mr. Jeffries’ tenure, Abercrombie became known for its sexualized marketing and efforts to market only to kids who were considered good-looking and cool. However, his alleged abuse did not become widely known until the BBC announced a thorough investigation into his conduct last year.
Shortly after the findings were made public, Mr. Jeffries and Mr. Abercrombie were sued by a man who claimed he was victimized by the former CEO when he was scouted for a modeling job in the 2010s.
Nearly a year later, federal prosecutors filed charges against Jeffries. His attorney, Brian Beaver, told NBC News on Tuesday that he would respond to the allegations in more detail at a later date.
“Once the indictment is unsealed, we will respond in detail to the allegations as necessary, but we will do so in court and not in the media,” Bieber said.
The long-established retailer was forced out of Abercrombie in 2014 after a long period of declining sales. Under the direction of new CEO Fran Horowitz, Abercrombie is now one of the best-performing apparel companies in the industry. The company is introducing inclusive sizing and jeans designed for curvier bodies, and marketing that it is no longer going after a single customer with a specific ethnic background I make it clear.
Abercrombie said in a statement that it supports victims who come forward.
“It’s not easy to come forward and speak out,” the spokesperson said. “Our thoughts remain with those who bravely spoke out as part of this federal investigation.”
