Abercrombie & Fitch has corporate-governance experts shaking their heads

By: American Decency Staff

In 1999, ADA became aware that our then Michigan Attorney General, Jennifer Granholm (now Governor) had sent a letter to Abercrombie & Fitch threatening to file charges against them if A&F didn’t cease and desist from selling their pornographic catalog to minors.  The catalog was readily available for purchase at that time. A&F, under significant pressure, began to wrap their catalog in cellophane and to ID youthful shoppers upon their request to purchase the catalog. In addition, we received a call from a member of the church where I was a member who told me that he had recently been in our local mall and was shocked and disgusted with a window display at Abercrombie & Fitch.   We checked it out and shared his disgust.We began checking out A&F’s wall and window displays on a regular basis and we subscribed to A&F’s quarterly catalog.  Due to the toxic content of the catalog and their store displays, we began to lead a nationwide campaign exposing the darkness of Abercrombie & Fitch. I did many radio, newspaper and TV interviews in regard to this culture battle.  Through our efforts, many were alerted to the degrading, destructive nature of the erotic advertisements of Abercrombie & Fitch.  Many ministries began to engage their supporters in boycotting A&F.  Much more could be said but suffice it to say that Abercrombie & Fitch felt the heat from multiple angles.  In December 2003, A&F discontinued the production and sale of their pornographic catalog.  Generally, they also have  toned down their wall displays.  In many (all?) A&F stores, their windows are covered by a black curtain effect.  Though on occasion, they revert back to at least one particularly erotic display inside their store. Though there is not the regular, active push encouraging people to boycott A&F, they remain on our boycott list as we know their leadership team consists of many of the same people. The occasional images they utilize are simply inappropriate particularly when one considers their primary target teens and college-aged kids. The following article provides an excellent up-to-date overview of their financial situation The article from Time doesn’t portray A&F nor their CEO, Michael Jeffries in a favorable light. Quoting:  “… Jeffries, named one of the five Highest Paid Worst Performers of 2008 by the Corporate Library (his 2009 compensation has yet to be disclosed), is one guy who could use some scaling back. …â€Â Other noteworthy Time quotes: “Through the Great Recession, few brands struggled as much as Abercrombie & Fitch, the company that sells preppy, casual clothes to teens and young adults. While other retailers were slashing prices to attract consumers, the company was still pushing $90 pants, and stuck to its "aspirational" marketing campaigns featuring half-naked models. The tone-deaf strategy backfired: in 2009, the company netted just $254,000, essentially running at breakeven, compared to a $273 million profit in 2008 (and a $476 million take during the heady days of 2007). Same-store sales were off 23% last year; between the beginning of 2008 and the end of 2009, Abercrombie's stock price fell 56% ….â€Â And one other quote from Time worth noting: “… the CEO of embattled Abercrombie & Fitch, one of the worst-performing brands of the recession, in no small part due to his management decisions, is actually getting paid a sum most people could only dream of just to stop using the company plane as a personal plaything. …â€Â Abercrombie's move has corporate-governance experts shaking their heads. ‘Most companies have the message that they are eliminating pay perks, not giving the guy cash to eliminate the perk.’ says Eleanor Bloxham, CEO of the Value Alliance, an advisory firm. ‘What's been lost in all of this is minimal human common sense.’ And after so many missteps, you can't help but wonder if Abercrombie will ever get it back. ‘I just thought, What are they thinking? Really?’ says Douglas Park, a Silicon Valley–based consultant. ‘Customers aren't happy with them right now. Investors aren't happy. You have to wonder what is going through their minds.’…â€Â http://www.time.com/time/business/article/0,8599,1982247,00.html?xid=rss-topstories Our stand against A&F was right and still is though we stand in amazement at how dark the darkness is.  When we read about accounts such as the above, we recognize again that darkness breeds darkness.  Darkness also often begets irrationality and reprobation.  (Romans 1) ===================================== Your support is important to our ability to make a difference: donate online at: https://americandecency.org/folder.php?f=donate American Decency Association Bill Johnson, President P.O. Box 202 Fremont, MI 49412 ph: 231-924-4050 www.americandecency.org http://www.twitter.com/billwjohnson

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