Abercrombie & Fitch To Cut 170 Jobs

Source: AP

May 1, 2009

NEW YORK -- Teen-oriented clothing chain Abercrombie & Fitch Co. said Thursday it is in the process of cutting its headquarters staff by about 9 percent to save money.

Spokesman Eric Cerny confirmed that the company is cutting about 170 positions at its 2,000-strong Columbus, Ohio, headquarters.

As consumers limit spending, Abercrombie & Fitch's sales have slumped as it kept its relatively high price points steady and invested in international growth, while competitors such as Aeropostale Inc. and American Eagle Outfitters Inc. have slashed prices.

In 2008, profit fell 43 percent to $272.3 million while sales fell 6 percent to $3.54 billion.

Abercrombie & Fitch Chief Financial Officer Jonathan Ramsden said Tuesday that the company was reviewing all its expenses.

"Our internal mind-set is to look at how, over a medium-term timeframe, we can realign our cost structure toward historic levels as a percentage of sales," Ramsden said. standpoint.

Shares rose 29 cents, or 1.1 percent, to close at $27.06 on Thursday.

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Whether you like Abercrombie & Fitch clothing or not, this is going to hurt 170 families in Ohio.

:(

at eardrum shattering levels and of the most nerve racking/hyper type is one of the ones who is losing their job. I hate that store & won't shop there JUST for that reason alone. When I first went in there (only once or twice) I couldn't even talk sensibly with my kids about their selection/the clothes over that frenzied din! I politely asked the manager if they could turn it down a bit, and was told that they were required to keep it at that level ~ to set a certain mood/ambiance. Well, they can keep their "ambiance" and their clothes too. I won't be tortured by that din AND THEN hand over big bucks for their clothes too.

(Maybe they've toned it down now, but I wouldn't know b/c my kids and I never go in there.) /rant off

Signed,
"Grandma" M_Y_H ;-)

my son works at an A&F store, and is constantly complaining about the noise and fragrance pollution in the stores! yes, he could always quit, but jobs aren't exactly falling from the sky at the moment!

They really have no shame.

One has to be 18 years of age to be an A&F model. I've gotten their catalogs in the past and saw nothing remotely close to "kiddy-porn." :shrug:

Once they start shaving they are too old for the catalog.

they are required TO shave (if they have to)!

They even had posters in the store in Reston Center (VA) that were over what I consider "the top", and I am BY NO MEANS A PRUDE!!!

It was just sick.

Americans are such prudes and puritans. What's wrong with some fairly innocent sexuality, including among the young? Jeez...

And that's the point. Is it immoral to commoditize attractiveness? Isn't that the point of models? The shirtless model is portrayed in order to convey a "culture" of sexiness and associate it with their brand. Smart advertising, I would say.

immoral?

It's not even close to child porn.

:eyes:

No one really wants to buy that overpriced crap in this economy.

http://www.abercrombie.com/webapp/wcs/stores/servlet/product_10051_10901_486611_-1_12236_12202

$168.00 for "pre-destroyed" jeans. In this economy most aren't inspired to spend and look like an obnoxious privileged boy band member.

That catalog is the most over priced crap to ever come from a garment sweat shop

as much as it is hitting the lower middle class and poor.

Translation, Mom's and Dad's aren't giving their kids as much to buy clothes so they can be in the in crowd.

My spouse works in the gourmet food industry. He has hardly had any work in the last five months. All the companies he works with, which are the most expensive in their categories, are re-formulating.

Finally he got a call to go back to work from his biggest client. Guess where their first "reformulated marketing plan" presentation is?

Wal-Mart.


Cher

What WILL they do?

Why...get another job tout suite! As beautiful people, they are sure to get new jobs right away. It will take them however long it takes to walk in some other retail store and fill out an application.

(Note: A&F was successfully sued for discrimination against - ahem - hiring normal people, hiring only, instead, "beautiful, normal" ones. No uglies, overweight, black, too ethnic, or too normal need apply.) I don't really understand the case, since I thought it was legal to hire whoever you want, as long as it doesn't violate Title VII (the Civil Rights Act), but maybe it was so egregious.....I don't know.