Abercrombie & Fitch responds to former CEO's sex trafficking arrest, says it will cooperate with law enforcement

Abercrombie & Fitch washed its hands of its former CEO Mike Jeffries after he was arrested on federal sex trafficking charges, saying in a Wednesday statement the company is “committed to fully cooperating with law enforcement as the legal process continues.” 

“As we shared when the accusations were first made public in October 2023, we are appalled and disgusted by the alleged behavior of Mr. Jeffries, whose employment with Abercrombie & Fitch Co. ended nearly ten years ago,” a company spokesperson said in a statement to CNBC. 

“For close to a decade, we have successfully transformed our brands and culture into the values-driven organization we are today,” the spokesperson added. “We have zero tolerance for abuse, harassment or discrimination of any kind.” 

Shares of Abercrombie were down about 5% on Wednesday.

On Tuesday, Jeffries — who helmed the legacy apparel brand from 1992 to 2014 — along with his partner Matthew Smith and another associate, were arrested on charges of sex trafficking and interstate prostitution that prosecutors allege happened during his tenure at Abercrombie. 

Jeffries and Smith are accused of coercing aspiring Abercrombie models into sex acts in exchange for modeling gigs, among other acts.

Many of the victims, at least one of whom was as young as 19 years old, were financially vulnerable and aspired to become models in the fashion industry, a notoriously cut-throat world,” prosecutors wrote in a court filing.

“Indeed, some of the men they recruited had previously worked at Abercrombie stores or modeled for Abercrombie.”

Under Jeffries’ tenure, Abercrombie became known for its sexually charged marketing and its efforts to market exclusively to kids perceived as good looking and cool, but the abuse he allegedly perpetrated didn’t become widely known until the BBC published an explosive investigation into his practices last year. 

Soon after the investigation was published, Jeffries and Abercrombie were sued by a man who said he was victimized by the former CEO in the 2010s when he was recruited for a modeling opportunity.

Nearly a year later, federal prosecutors brought a case against Jeffries. His attorney, Brian Bieber, told NBC News on Tuesday it would respond to the allegations in more detail at a later date.

“We will respond in detail to the allegations after the Indictment is unsealed, and when appropriate, but plan to do so in the courthouse – not the media,” Bieber said.

The longtime retailer was ousted from Abercrombie in 2014 following a long sales decline. Under the direction of its new CEO Fran Horowitz, Abercrombie is now one of the best performing apparel companies in the industry. It’s introduced inclusive sizing and jeans that are designed for curvier bodies, and has made it clear in its marketing that it’s no longer after a single customer from one type of racial background. 

In its statement, Abercrombie said that it supports the victims who’ve come forward. 

“Speaking up and coming forward is not easy,” the spokesperson said. “Our thoughts remain with those who have bravely raised their voices as part of the federal investigation.”