72 % wage cut for Abercrombie & Fitch CEO | RetailDetail

72 % wage cut for Abercrombie & Fitch CEO

72 % wage cut for Abercrombie & Fitch CEO

Michael Jeffries, Abercrombie & Fitch's CEO, is having a rough time. He had to take a 72 % wage cut compared to 2012, because once again the group saw its profits drop sharply.

'Only' 2.24 million dollars

The 69-year old Jeffries probably will not feel too bad about it, as he still received 2.24 million dollars (some 1.63 million euro). It is however a very large decrease compared to 2012 (5.95 million euro) and especially compared to 2011 (35.06 million euro).


The huge drop is because of the fact that the American concern is going through a rough patch. Both Abercrombie & Fitch and its affiliate brand Hollister are no longer as hip as they used to be and that resulted in a 77 % decrease in profits for its most recent fiscal year, which ended on 1 February 2014.


No longer president

Jeffries took control of Abercrombie & Fitch in 1992 and became president in 1996. Both friend and foe believe he is the architect of the brand's worldwide breakthrough, but he has failed to react to the increasing competition from brands like Forever 21 and other fast fashion brands.


In an attempt to turn the tide and to appease its critical shareholder Engaged Capital LLC, Jeffries relinquished his position as chairman to Arthur Martinez, a former Sears' CEO, who has now become the non-executive chairman. On top of that, 6 independent board members were appointed.

Questions or comments? Please feel free to contact the editors

HelloFresh buys American competitor and achieved strong growth in 2017


HelloFresh’ turnover last year grew 52 %, bringing it closer to profitability. The German meal box delivery service believes it will become profitable before the end of the year.

Spar makes ambitious entry into Greece


Spar International has set its sights on Greece as the next country to conquer and lead as the foremost independent food retail chain. Spar Hellas will cooperate with Asteras and Mesis to develop more than 500 Spar stores over the next four years.

Dr. Oetker buys half of Freixenet


Henkell, which is Dr. Oetker’s drinks division, has acquired slightly more than half of cava brand Freixenet’s shares. Following two years of negotiations, both companies struck a deal, even though the German food giant will not reign supreme at Freixenet.

Picnic confirms German arrival


There had been rumours that Dutch online supermarkets Picnic was trialing in Germany, news its co-founder Michiel Muller has now confirmed.

Délifrance joins FFC's portfolio


Dutch Franchise Friendly ConceptsDélifrance Benelux acquisition is in full swing. The franchise organization will obtain the French sandwich chain’s Benelux master franchisee on 1 April.

IKEA has developed actual "bug burger"


SPACE10, furniture giant Ikea’s innovation lab, will present a healthy alternative to the classic hamburger, where the meat is replaced by red beets and mealworm. It is also working on a “dogless hotdog”;

Back to top