Guess Archives – CULTURE MIX

Guess announces Paul Marciano’s resignation, settlements over sexual harassment claims

June 12, 2018

by Colleen McGregor

https://www.youtube.com/watch?v=TQAw74Bm4xI

Fashion company Guess has announced that co-founder Paul Marciano has resigned as executive chairman, but he will remain on the company’s board of directors. In addition, Guess has revealed in a public filing that the company has reached non-confidential settlements totaling $500,000 with five unidentified individuals who have accused Marciano of inappropriate sexual conduct.

The news comes after Marciano was accused by several women, including supermodel Kate Upton, of sexual harassment, such as unwanted kissing, groping and sexually aggressive verbal and written communications where Marciano allegedly used his power to try to have sexual contact with women who were employed by Guess. Upton went public with her allegations in February 2018, and her claims were corroborated by at least one witness. Marciano denied all the allegations, but he stepped down from day-to-day responsibilities after Upton went public with the allegations. Guess then said that it would conduct an internal investigation. The day that news broke of Upton’s accusation, Guess’ stock fell 18 percent.

According to Reuters: “Guess said its investigation found that Marciano on certain occasions exercised poor judgment in his communications with models and photographers.”

Paul’s brother Maurice Marciano has been named chairman of the board for Guess. Guess was founded in 1981 by brothers Georges, Armand, Maurice and Paul Marciano. Over the years, Guess has had several famous models and entertainers in its ad campaigns, including Claudia Schiffer, Upton, Anna Nicole Smith, Drew Barrymore, Adriana Lima, Paris Hilton, Amber Heard, Gigi Hadid, Jennifer Lopez and Camila Cabello.

Fashion retail in crisis: Top 15 companies that will have the most store closures in 2018

June 7, 2018

by Daphne Sorenson

Shopping habits have radically changed in the past 20 years. Online shopping is a trend that’s not only here to stay, it’s growing. And many retail companies that rely on brick-and-mortar stores for most of their sales have seen their business suffer as a result. The fashion retail business has been hit especially hard. Business Insider recently published a list of retailers that will close the most stores in 2018, and half of the companies on the list are retailers whose core business is fashion.

Trying on clothes and accessories in person and being able to bring home those purchases immediately may seem like the main reasons why people would want to do their fashion shopping in a brick-and-mortar store. But the reality is that many customers have been increasingly turned off by shopping in stores, for various reasons such as lousy customer service and the inconvenience of having to travel to a brick-and-mortar store. With many online retailers offering deep discounts, free shipping and convenient return policies, it’s easy to see why online shopping has become so attractive to consumers.

Here are the fashion retail companies that are facing the most closures in 2018, according to Business Insider and other sources.

1. Ascena Retail Group (Parent company of Ann Taylor, Loft, Lane Bryant, Dress Barn, Catherines and Maurices)

Number of stores expected to close: 667

https://www.youtube.com/watch?v=v247HadJXyM

2. Gap Inc. (Parent company of Gap, Banana Republic, Old Navy, Intermix, Weddington Way and Athleta)

Number of stores expected to close: 200

3. The Children’s Place

Number of stores expected to close: 144

5. Signet Jewelers (Parent company of Sterling Jewelers, Kay Jewelers, Jared and Zales)

Number of stores expected to close: 120

6. Foot Locker

Number of stores expected to close: 110

https://www.youtube.com/watch?v=7lOsE2FBdHE

7. Gymboree

Number of stores expected to close: 102

8. Payless ShoeSource

Number of stores expected to close: 100

9. Abercrombie & Fitch (Parent company of Abercrombie & Fitch, Abercrombie Kids and Hollister Co.)

Number of stores expected to close: 60

10. Michael Kors

Number of stores expected to close: 50

11. Crocs

Number of stores expected to close: 49

https://www.youtube.com/watch?v=S2GPd4LIuz4

12. Bon-Ton

Number of stores expected to close: 42

13. Guess

Number of stores expected to close: 45

14. Henri Bendel

Number of stores expected to close: 23

15. J. Crew (tie)

Number of stores expected to close: 20

15. Victoria’s Secret (tie)

Number of stores expected to close: 20

https://www.youtube.com/watch?v=6gQOi6LeiQo

Kate Upton accuses Guess co-founder Paul Marciano of sexual harassment; Guess stock value plummets

February 1, 2018

by Colleen McGregor

Kate Upton and her dog Harley (Photo courtesy of Link AKC)

The stock value of fashion company Guess sharply declined one day after supermodel Kate Upton accused Guess co-founder/creative director Paul Marciano of sexual harassment. On January 31, 2018, Upton took to social media to post this message: “It’s disappointing that such an iconic women’s brand @GUESS is still empowering Paul Marciano as their creative director. #metoo.” She later wrote in a separate message: “He shouldn’t be allowed to use his power in the industry to sexually and emotionally harass women #metoo,”

Shares in Guess dropped nearly 18% on February 1, 2018, according to MarketWatch. As one of Guess’s biggest shareholders, Marciano owns about 12,367,360 shares, so the sharp decline in the company’s stock has cost him about $40 million on February 1, 2018.

Upton did not give further details in her online accusation but she said in a TMZ paparazzi video that she will eventually tell her full story. Marciano told TMZ in response to Upton’s accusation: “If she has a claim, there’s one place to tell the truth and that’s in court or to the police.”

Marciano co-founded Guess in 1981 with his brothers Georges, Armand, Maurice and Paul. Upton was a Guess model in 2010 and 2011. Other famous women who have been Guess models range from Claudia Schiffer and Anna Nicole Smith in the 1990s to Paris Hilton in the 2000s to more recent models such as Gigi Hadid, singer Camila Cabello and Jennifer Lopez.

Lopez is the star of Guess’ Spring 2018 campaign. She issued this statement to Us Weekly: “My position on these issues is well known, as I have been very vocal about them. I do not condone any acts of sexual harassment, violation, or misconduct. Any accusations should be fully and thoroughly investigated. I will continue to support our rights as women.”

February 9, 2018 UPDATE:

Kate Upton has given interviews to Time magazine and ABC’s “Good Morning America” detailing her allegations against Paul Marciano. She claims that in 2010, when she was 18, Marciano made unwanted sexual advances toward her during a lingerie photo shoot. Upton says that he groped her breasts and told her it was because he wanted to see if her breasts were real. Upton also says that Marciano grabbed the back of her head so she could not move and began kissing her on her neck and lips without her consent. Fashion photographer Yu Tsai says he was an eyewitness to this alleged harassment, and he backs up Upton’s story. Upton also claims that on this occasion and others, Paul Marciano aggressively touched her and tried to get her to be alone with him, but she refused. Paul Marciano is still saying that Upton’s claims are “utterly false.”