The retailer and its AEO Foundation hosted the 14th annual AEO Foundation Golf Outing at the Valley Brook Country Club in Canonsburg, Pennsylvania, raising an all-time high of $900,000.
The event supports the Community Grants program, which helps fund nonprofits aimed at educating and empowering teenagers and young adults in areas where the Pittsburgh-based retailer has an office or distribution center, including its hometown, New York City; San Francisco; Hazleton, Pennsylvania; Ottawa and Mississauga, Ontario.
This year, the event also put a spotlight on the recently created Aerie Real Foundation, which grew out of American Eagle’s sister brand and looks to build confidence in women, foster inclusive community and protect the planet.
Aly Raisman, Olympic gymnast, advocate and #AerieREAL Role Model, was on hand to present a $100,000 Signature Grant to Special Olympics International at the event.
“Being an #AerieREAL brand partner has been so empowering for me,” Raisman said. “Over the years, I’ve seen a transformation within myself as I continue to work on body acceptance, speaking my truth and being my authentic self, which is an ongoing journey. I’m proud to join Aerie in support of Special Olympics to help create a community that fosters inclusion and inspires fellow athletes to celebrate their unique abilities.”
And Stacey McCormick, Aerie’s chief marketing officer, added, “In our mission to support confidence and inclusion in the Aerie Community, we are proud to partner with Special Olympics year after year and help empower a new generation of athletes.”
Aerie’s foundation was founded in October and has already awarded more than $630,000 to groups such as the National Eating Disorders Association Delivering Good, Period. and Free the Girls.
Pictured from left to right: Krissy Bobryzynski, Special Olympics Pennsylvania athlete; Aly Raisman, Olympic gymnast and advocate; Tommy Kreutzer, Special Olympics Pennsylvania athlete; and Stacey McCormick, Aerie Chief Marketing Officer.
Teen Vogue: The Summer I Turned Pretty Star Lola Tung Talks Back-to-School Fashion and Her New Campaign With American Eagle
There are plenty of different ways to approach back-to-school fashion. We at Teen Vogue like to turn to our favorite celebrities and even TV characters to find outfit inspiration. So when we found out American Eagle was collaborating with the cast of The Summer I Turned Pretty for a back-to-school campaign, we immediately wanted in!
The exclusive collection was inspired by the summer vibes of Cousins Beach (a fictional town in TSITP). And you’ll find plenty of beachy and relaxed ‘fits (this white maxi skirt is perfect for a coastal cowgirl look and a must-have pick for Lola!) plus signature AE denim styles, crochet crop tops, baby tees, and cargo shorts.
There are also versatile button-up shirts you can dress up or down and a variety of cute floral summer dresses that Belly would absolutely go crazy for! Even better? You’ll also get to see your fav love triangle characters from the show styled in the fun new pieces as part of American Eagle’s latest campaign, including Christopher Briney (who plays Conrad), Gavin Casalegno (who plays Jeremiah), and Lola Tung (who plays Belly).
Teen Vogue also got to catch up with Lola over a Zoom interview to chat about her favorite pieces from the collection, iconic first-day-of-school outfit memories, and what she’s most excited for fans to see in season two of The Summer I Turned Pretty.
Teen Vogue:What are you most excited about in this campaign with American Eagle?
Lola Tung: I’m excited about the pieces. There’s a lovely little team Belly shirt that I can’t wait for people to try because I am very much team Belly…and there are some cool summery pieces that I wear a lot. There’s this beautiful white flowy skirt, and I remember playing Fleetwood Mac during the shoot because it was just giving those vibes.
TV:Has fashion always played a major role in your life?
LT: Yeah. I grew up in New York City, so I’ve always been surrounded by creative people who express themselves through fashion. My mom always encouraged me to do that and to wear what I love to wear and what makes me feel confident. And she’s passed down a lot of her clothing that she kept to me, which has definitely influenced my style.
TV: Was your first day of school a big fashion moment for you, or were you more on the chill side and pulled things together the morning of?
LT: It was a big fashion moment for me in middle school. I remember wearing this one shirt, I think my mom got it for me…and it was a black shirt with pink metallic writing on it, and it said, “Dear algebra, please stop asking me to find your x. He’s never going to commit and don’t ask Y,” and I wore that to school multiple times. I think that was a pretty iconic fashion moment. And I was probably wearing American Eagle jeans with it because that was my go-to in middle school.
TV: Can you please share with us what the ideal Lola outfit would look like from the collection?
LT: During the shoot, there were two outfits that I was like, these are super Lola outfits that I would wear all the time. The Chloe skirt was one of my favorite things ever. I wore it to the Taylor Swift Eras concert. And I got this cool denim sort of corset with the buttons up the font. I sometimes wear that with baggy jeans, but I also think it looks pretty with a skirt. And then some little Mary Janes or Doc Martens..that’s a pretty good Lola outfit.
TV: Do you consider yourself to have a similar style to your character Belly on TSITP?
LT: I do think we are a little bit different. She grew up on the beach and that definitely influenced her summer style. She’s always in flip flops, and I learn towards sneakers more. She [Belly] wears a lot of pretty floral outfits and a lot of tank tops and shorts. I feel like I opt for a simpler color palette..neutrals, but I love a fun pop of color.
TV: Back-to-school season is about to kick off, so it’s time to start thinking about homework, projects, and exams. Please share what self-care looks like to you, especially while juggling a packed schedule.
LT: It can be really hard. I was in college for a year before I started filming, and then my schedule was filled with classes constantly. The one thing I learned that was crucial was getting sleep and making sure that I was not staying up on my phone every night. Also, doing something creative that’s not having to do with social media, like reading a book or spending time with friends. That is a form of self-care for me.
TV: Lastly, you know we have to ask…what are you most excited for fans to take away from season two?
LT: I am very excited for them to see a new side of all the characters and to see how much they have grown and how much growth they are still experiencing. It’s a bit of a different tone from season one because just like the actors grow with the characters, the fans are also growing. So, I hope it resonates with people and that they can appreciate the differences between the two seasons.
Lola Tung’s American Eagle x The Summer I Turned Pretty collection will be available for sale online atae.comand onAmazon.com, as well as in select AE stores.
WWD: American Eagle Features Cast of ‘The Summer I Turned Pretty’ in Campaign
School may have just ended for many students, but American Eagle is gearing up for the back-to-school season. On Wednesday it will launch its latest seasonal campaign featuring the stars of Amazon Prime Video’s hit show “The Summer I Turned Pretty,” which stars Christopher Briney, Gavin Casalegno and Lola Tung.
In addition to the campaign, American Eagle will introduce an exclusive collection with the TV show just ahead of the season two launch. The collection will be available on AE.com and in stores starting Wednesday. Consumers can shop The Summer I Turned Pretty collection on Amazon.com/shopthesummeriturnedpretty and directly from season two episodes via Prime Video’s X-Ray feature.
The three castmates will be going live on American Eagle’s TikTok on Wednesday at 5 p.m. EST to show how they will be styling the new AE collection with their favorite #AE Jeans for the season ahead. Consumers can ask questions about the show and the individual actors’ styles.
“American Eagle has been a favorite back-to-school destination for decades,” said Jennifer Foyle, president and executive creative director of American Eagle and Aerie. “This year we are very excited to deliver a collection inspired by the laid-back spirit and carefree vibes of ‘The Summer I Turned Pretty’ and the unmistakable style of the cast.” She also revealed a Prime Video collaboration “that offers a new, unique shopping experience allowing us to connect with our customers’ diverse interests and lifestyles.”
In an interview, Craig Brommers, chief marketing officer of American Eagle, said, “I like to say if you’re Gen X, it was ‘90201,’ if you’re Gen Y it was ‘Dawson’s Creek,’ and quickly ‘The Summer I Turned Pretty’ is becoming Gen Z’s, due to the high school romance.” He said he and his two daughters started watching it last year and it took off with Gen Z, becoming the number-one show last summer on Amazon Prime.
“We’re really excited to work with the cast members on this season. Obviously we have a collaboration, and I think this will definitely be the hottest show of the summer,” Brommers said. He noted that much of Taylor Swift’s music is in the show and in the trailer for season two. “She has been posting about the show on her social media channels as well, which is just turning up the heat for season two,” Brommers said. Season two drops July 14.
According to Brommers, American Eagle has had success partnering with streaming shows before, with probably the biggest success being with Netflix’ show, “Outer Banks.”
“This show, ‘The Summer I Turned Pretty,’ is essentially tailor-made for our brand and tailor-made for our customer base. There’s no bigger adventure in a high school or college student’s life than the summer, it’s the moment that you get out and have these new adventures, and you do it in the brightest, most optimistic time of year. The style for the characters is very much American Eagle — denim shorts, tiny tops, resort shirts, swim trunks,” Brommers said.
Asked how involved the cast was in creating the collection, he said they were very involved. “Talk about great chemistry. These three definitely have great chemistry on screen, and they also have great chemistry off-screen. They’re a fun bunch to be around. They picked their own looks for the shoot,” he said.
The campaign was shot in Southern California over several days, and the creative lead was Keith Keegan. It will run mostly on TikTok, along with Instagram, Facebook and Snapchat over the next four weeks.
“The Summer I Turned Pretty,” is about a girl caught in a love triangle between two brothers as she deals with her first love and first heartbreak during the perfect summer.
The AE + The Summer I Turned Pretty collection is inspired by the summer feels of Cousins Beach, a fictional town in the show. For women, there are floral flare jeans, baby T-shirt, crochet crop top and a mini. For men, there are trekker and cargo shorts, swim trunk, pocket boxer, poolside shirt and graphic tee. Retail prices range from $19.95 to $69.95.
The seasonal mix features cargo, relaxed straight jeans, shirts, polos and T-shirt for men, and midi skirts, baggy wide-leg jeans, denim tube top, lace trim cami and seamless cropped tee for women.
Briney, Casalegno and Tung will also showcase the seasonal assortment on their social channels, along with their must-haves from AE + The Summer I Turned Pretty collection.
He said the cast doesn’t wear the collaboration in the show, but AE’s seasonal products are integrated into the wardrobes on the show.
“Summer fashion plays such a big role in ‘The Summer I Turned Pretty’ and we couldn’t be more excited to collaborate with American Eagle to create a collection inspired by the show,” said Jamie Kampel, head of licensing and merchandising at Amazon Studios. “The brand alignment here is spot on and we know fans of the show love AE.”
Whether this collaboration continues into the future is yet to be seen. “Let’s see what develops,” Brommers said. “If you watch the show, the viewer can actually buy the collaboration on something called X-Ray. The X-Ray feature you can toggle for additional content and you can also shop the AE collaboration as you watch the show.”
It’s the first time AE has had this feature for people to watch the show and actually buy the collaboration.
Asked how he expects the collaboration will perform, Brommers said, “Because it’s a cultural phenomenon for Gen Z we have high expectations. It’s a collaboration drop, it will be limited edition, people will be very excited about it, and we have a lot of high hopes for it.”
He expects graphic T-shirts will be bestsellers. “We’re having a lot of success in the marketplace right now with graphic Ts, and these ones are quite clever with some fun graphics.…I think they’ll be particularly popular for us,” he said.
American Eagle Launches New Campaign With Gen Z Starpower Christopher Briney, Gavin Casalegno and Lola Tung From the Prime Video Series The Summer I Turned Pretty
The leader in jeans debuts an exclusive collaboration with the Prime Video hit show, The Summer I Turned Pretty, ahead of the Season Two premiere
06.28.23 NEW YORK – American Eagle Outfitters, Inc. (NYSE: AEO) kicks off today the American Eagle (AE) back-to-school season with the brand’s latest campaign, featuring the stars of the Prime Video hit series The Summer I Turned Pretty, Christopher Briney, Gavin Casalegno and Lola Tung. The brand also debuts the AE + The Summer I Turned Pretty collection, available in stores and online today. Fans can shop The Summer I Turned Pretty collection on Amazon.com/shopthesummeriturnedpretty and directly from Season Two episodes via Prime Video’s X-Ray feature.
The real life friends and castmates showcase the versatility of AE’s seasonal assortment, which highlights the notion that AE can take you anywhere you want to go – and that wherever you may find yourself is the best place to be.
“American Eagle has been a favorite back-to-school destination for decades,” said Jennifer Foyle, President & Executive Creative Director – AE and Aerie. “This year we are very excited to deliver a collection inspired by the laid back spirit and carefree vibes of The Summer I Turned Pretty and the unmistakable style of the cast. AE continues to be at the forefront of youth culture, so we are thrilled to announce a Prime Video collaboration that offers a new, unique shopping experience, allowing us to connect with our customers’ diverse interests and lifestyles.”
AE + The Summer I Turned Pretty Collection: Inspired by the summer feels of Cousins Beach.
For him, Trekker and Cargo Shorts, Swim Trunk, Pocket Boxer, Poolside Shirt and Graphic Tee.
For her, Floral Flare Jeans and Baby Tee, Crochet Crop Top, and a Mini.
“Summer fashion plays such a big role in The Summer I Turned Pretty and we couldn’t be more excited to collaborate with American Eagle to create a collection inspired by the show,” said Jamie Kampel, Head of Licensing and Merchandising at Amazon Studios. “The brand alignment here is spot on and we know fans of the show love AE.”
Seasonal Collection Newness: Everything necessary for a life on the go.
For him, Lived In Cargo, Relaxed Straight Jean, Lived In Khaki Short, Lived in Cargo Short, The Everyday Shirt, Button Through Polo, and Super Soft Legend Tee.
And for her, Jean Shorts, Denim Maxi Skirt, Baggy Wide Leg Jean, Denim Tube Top, Lace Trim Cami, and Seamless Cropped Tee.
The brand’s latest campaign can be seen on ae.com, in-stores and across owned social including Instagram and TikTok. Additionally, Briney, Casalegno and Tung will showcase the seasonal assortment on their social channels, along with their must-haves from the AE + The Summer I Turned Pretty Collection.
The cast mates will go live on the @americaneagle TikTok handle on Wednesday, June 28 at 5:00 PM EST to show how they will be styling the new AE collection with their favorite #AEJeans for the season ahead.
About American Eagle
Since 1977, American Eagle has offered an assortment of specialty apparel and accessories for everyone that enables self-expression and empowers our customers to celebrate their individuality. The brand has broadened its leadership in jeans by producing innovative fabric with options for all styles and fits for all at a value. We aren’t just passionate about making great clothing, we’re passionate about making real connections with the people who wear them. Visit www.ae.com to find your perfect pair of #AEJeans.
About American Eagle Outfitters, Inc.
American Eagle Outfitters, Inc. (NYSE: AEO) is a leading global specialty retailer offering high-quality, on-trend clothing, accessories and personal care products at affordable prices under its American Eagle® and Aerie® brands. Our purpose is to show the world that there’s REAL power in the optimism of youth. The company operates stores in the United States, Canada, Mexico, Hong Kong and Japan, and ships to approximately 80 countries worldwide through its websites. American Eagle and Aerie merchandise also is available at more than 260 international locations operated by licensees in approximately 30 countries. In 2022, AEO released its first annual Building a Better World report, which outlines two decades of ESG achievements through the company’s Planet, People and Practices initiatives. For more information, please visit www.aeo-inc.com.
About The Summer I Turned Pretty Season Two
Belly used to count down the days until she could return to Cousins Beach, but with Conrad and Jeremiah fighting over her heart and the return of Susannah’s cancer, she’s not sure summer will ever be the same. When an unexpected visitor threatens the future of Susannah’s beloved house, Belly has to rally the gang to come together—and to decide once and for all where her heart lies.
About Prime Video
Prime Video offers customers a vast collection of movies, series, and sports—all available to watch on hundreds of compatible devices.
Included with Prime Video: Watch movies, series, and sports, including Thursday Night Football. Enjoy series and films including Emmy winners The Marvelous Mrs. Maisel and Lizzo’s Watch Out for the Big Grrrls, Emmy-nominated satirical superhero drama The Boys, and the smash hits AIR, The Lord of The Rings: The Rings of Power, Citadel, Tom Clancy’s Jack Ryan, Creed III, Shotgun Wedding, Samaritan, Thirteen Lives, Being the Ricardos, The Tomorrow War, Reacher, and Coming 2 America. Prime members also get access to licensed content.
Prime Video Channels: Prime members can add channels like Max, discovery+, Paramount+, BET+, MGM+, ViX+, PBS KIDS, NBA League Pass, MLB.TV, STARZ, and SHOWTIME—no extra apps to download, and no cable required. Only pay for the ones you want, and cancel anytime. View the full list of channels available atamazon.com/channels.
Rent or Buy: Enjoy new-release movies to rent or buy, entire seasons of current TV shows available to buy, and special deals just for Prime members.
Instant access: Watch at home or on the go with your choice of hundreds of compatible devices. Stream from the web or using the Prime Video app on your smartphone, tablet, set-top box, game console, or select smart TV.
Enhanced experiences: Make the most of every viewing with 4K Ultra HD- and High Dynamic Range (HDR)-compatible content. Go behind the scenes of your favorite movies and TV shows with exclusive X-Ray access, powered by IMDb. Save it for later with select mobile downloads for offline viewing.
Prime Video is just one of the savings, convenience, and entertainment benefits included in a Prime membership. More than 200 million Prime members in 25 countries around the world enjoy access to Amazon’s enormous selection, exceptional value, and fast delivery. In the U.S., anyone can join Prime for $14.99 per month or $139 per year, or start a free 30-day trial if eligible at amazon.com/prime. For more information about Prime, including discounted memberships, visit aboutamazon.com/prime.
AEO Building a Better World Volunteer of the Month: Jessica, American Eagle Store Team Leader
AEO associates share our commitment to doing better, being better and building a better world. We’re proud to spotlight our people who are making a real and lasting impact in their communities.
Meet Jessica, American Eagle Store Team Leader and AEO’s June Volunteer of the Month – recognized for her passion of fostering special needs animals through a local rescue organization. She’s sharing the benefits of giving back to her community, what she’s learned from helping cats and dogs in need and how volunteering has become a true family affair.
Tell us about your volunteer service at your favorite organization!
I volunteer with All Creatures Big and Small (ACBS), which is a foster-based animal rescue. I started volunteering with ACBS during the pandemic when rescues were struggling to place pets in need. My first foster was a kitty, roughly a year old that had been found shot in the leg. It required an amputation of her leg and an extensive recovery. This was a huge learning process for me regarding the need of fosters and the work veterinary professionals do everyday. This cat became a foster fail (we ended up keeping it!), and we started to foster special needs cases from then on! While we foster many cats, we have also fostered dogs that needed special attention. I also volunteer to clean and take care of medical cases that are in clinical boarding until they can move into a foster home.
It became apparent to me that there is a great need in this space, and I started to plan fundraising events and speak with groups about the importance of fostering.
How do you think that being an active participant in your community helps to Build a Better World?
No matter where we volunteer, we make a difference in our community. I have actually volunteered my whole life. When I lived in Germany, I volunteered in youth services and with a senior citizen program. You build partnership with your community, friendships and regardless where you volunteer you impact lives. Why not give back and be a better version of yourself?
What are some of the benefits you have found in volunteering? What have you learned?
I become calm and relaxed when I am with our fosters, both at home and at the clinic. They need me to be as calm and relaxed as possible to help their healing process, physically or mentally. I have learned the real importance around the trap-neuter-return process for animals and how there never seems to be enough support in rescue and foster communities. I have also learned that as hard as it is to finalize adoptions and let your foster go, seeing them flourish in their new life is a beautiful feeling! This experience has now become somewhat of a family affair, and my husband and children participate without hesitation in their free time because they see the need and the impact they make.
Marketing Dive: Inside American Eagle’s tie-up with ‘The Summer I Turned Pretty’
CMO Craig Brommers details why the retailer partnered with stars of the Prime Video series and how it’s experimenting with Reels and Lemon8.
American Eagle is channeling sunshine and coastal vibes for its latest campaign and clothing collection, teaming up with the cast of coming-of-age drama “The Summer I Turned Pretty” to get Gen Z warm-weather ready ahead of the Amazon Prime Video series’ second season.
Aptly titled “The Summer of Us,” the campaign launched May 23 and boasts partnerships with actors Christopher Briney, Gavin Casalegno and Lola Tung, the three stars of the Prime Video romance. The campaign is meant to promote human connection and will span in-store, American Eagle’s digital properties, including its website and mobile app, and the brand and talent’s social media channels through the end of the summer. The speciality retailer will also share custom content promoting its summer collection across TikTok, Instagram and Snap, along with experiments on Lemon8, which the brand recently joined.
The choice to partner with “The Summer I Turned Pretty” cast was a no-brainer, according to American Eagle CMO Craig Brommers, who took notice of the series’ cultural impact on the younger generation when it debuted last year. The show, which will release its second season on July 14, tells the story of a girl who finds herself in a love triangle with two brothers during what was supposed to be a perfect summer.
“(The show) has the spirit of the summer season, it has a spirit of getting outside and living out loud,” Brommers said. “The style of the show made it an obvious choice for AE.”
More specifically, the series possesses a sense of optimism — and a convenient appreciation for denim — that the retailer instills in its branding, the exec said. The campaign was designed with the goal of boosting the mood for Gen Z as the cohort continues to recover from feelings of loneliness and isolation spurred from pandemic restrictions.
“It’s about ‘us’ again, it’s about getting together again, it’s about that human connection that we’re all craving, but certainly Gen Z is craving,” Brommers continued.
American Eagle in the past has partnered with other shows popular among the younger generation, including Netflix’s “Stranger Things,” “Outer Banks” and “Never Have I Ever.” The brand also teamed up with “The Summer I Turned Pretty” last year around the holiday season to release two limited-edition garments. A focus on streaming falls under what Brommers describes as Gen Z “passion pillars,” with other focuses including music, gaming and community impact.
“I’m not sure if Gen Z knows what linear television is outside of maybe a live sporting event, but we do know they’re still heavy consumers of video, and not just TikTok, definitely heavy consumers of video on Netflix on Prime, Hulu and Disney,” Brommers said.
The brand is also doubling down on its use of nano-creators, or those that command smaller followings, to promote products from its best-selling categories. When it comes to American Eagle’s creator strategy, Brommers describes a “top down, bottom up” approach, which includes partnering with larger creators at the top level for reach and utilizing those with mid-size and smaller followings to up the odds of more personal, values-driven introductions.
On Snapchat, the retailer will launch two augmented reality experiences. The first, called Selfie Mode, utilizes a randomizer technology to match consumers with a variety of outfit pairings that users can sport in their selfies. Another experience, called World View, pairs summer occasion backdrops with styled virtual mannequins to help provide users with outfit inspiration.
“The insight behind that is that kids are really also wanting versatility in their outfitting today, so from the beach to the bar or from day to night, we’re trying to showcase some of that versatility,” Brommers said.
Users on both Snapchat experiences can click-through to shop various styles on the brand’s website. American Eagle often utilizes Snap’s AR for its marketing, including through a recent partnership with ThredUp in April to launch RE/AE, an online resale shop, supplemented by a shoppable lens featuring styles from the collection. The brand also used the technology around its holiday promotional efforts in the past, with one such effort generating over $2 million in revenue.
Betting big on Meta
American Eagle is expanding its marketing muscle on Instagram for its summer collection promotion, utilizing Meta’s Creator Marketplace to produce a larger quantity of relevant Reels. Meta launched the Instagram Creator Marketplace last year to help brands connect more easily with talent. The retailer will also share content from its “The Summer I Turned Pretty” partnerships.
The concept for the brand’s Reels will draw inspiration from Apple’s AirDrop feature, which allows phone users in close proximity to drop files to one another. In the videos, creators receive an “AirDrop” of summer products. Once they’ve accepted the drop, they will quickly appear in the clothing within an on-theme destination.
The brand is leaning heavier into Reels than ever before, a decision encouraged by recent success, per Brommers.
“For us, the Meta performance over the last two quarters has been increasingly strong,” Brommers said. “I do wonder out loud if they’ve been refocusing on what they do best for specialty retailers like ourselves, and that’s really to drive business.”
Specifically, the team at American Eagle has observed that Reels are being fed into Instagram’s algorithm at a more elevated rate than still content, the exec continued. Meta’s revenue in the first quarter returned to positive growth following several quarters of declines, which chief executive Mark Zuckerberg credited to increased investments in artificial intelligence that boosted performance, including the monetization efficiency of Reels. People now reshare Reels posts more than 2 billion times daily.
Enter Lemon8
Aside from more concrete strategies across Instagram, TikTok and Snap, American Eagle last week officially made its foray on Lemon8, a budding social media platform owned by ByteDance, which also owns TikTok, that Brommers describes as “if Instagram and Pinterest had a baby.”
Only days in, American Eagle hasn’t yet identified an ideal strategy for the platform, though it will use it as an additional avenue to share content from its “Summer of Us” campaign. So far, the team has gathered that the platform is heavily skewed toward women, and will likely market to that audience accordingly, Brommers said, while counting on avenues like YouTube and gaming to reach its male audience.
American Eagle has often been quick to join new Gen Z social platforms. Last year, for example, it became one of the first to join “anti-Instagram” app BeReal. When it comes to Lemon8, Brommers said the team is taking a similar approach.
“Some of that humor and some of that honesty is something that seems to be connecting with Gen Z on some of these newer platforms,” Brommers said.
The exec is quick to admit that American Eagle doesn’t have it all figured out, especially when it comes to keeping up with whichever innovative social media platform comes next. However, as long as Gen Z stays curious, the brand will continue seeking out what’s new, next and unique.
“There’s such a sea of sameness out there and in economic times that are trickier to navigate, we’re finding out that if we stand out in a memorable way, we’re top of mind when that customer is ready to buy their shorts, buy their denim, whatever it is,” Brommers said.
AEO ICON Finalist: Jason, Sr Director – Distribution Operations
Each year, AEO honors one associate who has achieved significant accomplishments, personifies our values and who has left an indelible impact on our company and people. We are proud to spotlight the top three finalists for the 2022 AEO ICON.
Meet Jason Bruno, Sr Director – Distribution Operations and 2022 ICON nominee.
Jason stumbled into the Supply Chain industry by accident 24 years ago when he took a part-time job loading trailers in-between Youth Pastor roles. His passion to make change in the DC environment has kept him at AEO for more than 16 years.
Jason joined AEO in 2006 as a Retail Packing Supervisor. Throughout his career, he has continually led transformational projects that evolve our Distribution Center (DC) operations while increasingly taking on responsibility and making a positive impact on the company.
In his current role as Sr Director – Ottawa Distribution Operations, Jason leads a team of more than 700 associates, shipping out nearly 90 million units annually to our customers and stores. He was promoted into the leadership role of the Ottawa DC in 2019 and shortly thereafter was put to the test in March of 2020 due to the COVID-19 pandemic. Our DCs were the heart of our company during those early months of the pandemic, and Jason never hesitated to lead his team, ensuring goods were received and orders were shipped to our customers. He and his team delivered their targets while ensuring the safety of associates.
His natural curiosity to continually improve the efficiency of the operation speaks volumes to his strength of innovation.
Congratulations, Jason!
AEO ICON Finalist: Andy, Sr Director – Global Inbound Logistics
Each year, AEO honors one associate who has achieved significant accomplishments, personifies our values and who has left an indelible impact on our company and people. We are proud to spotlight the top three finalists for the 2022 AEO ICON.
Meet Andy, Sr Director – Global Inbound Logistics and 2022 ICON nominee.
In Andy’s four years with AEO, he has demonstrated exceptional leadership in his role, driving his team to achieve remarkable results. He has worked to reduce transits by over two weeks, helping the company stay ahead of the competition, meet customer demand quickly, and improve internal customer satisfaction. His accomplishments in improving inbound delivery speed, reducing variability, and reducing costs have made a substantial impact on the success of our organization.
Andy’s achievements are even more impressive when considering the challenges he faced in achieving them. The logistics industry is notoriously complex, with a vast number of moving parts and challenges that can make it difficult to achieve success. Andy’s dedication, hard work, and determination have enabled him to overcome these challenges and achieve remarkable results.
Each year, AEO honors one associate who has achieved significant accomplishments, personifies our values and who has left an indelible impact on our company and people. We are proud to spotlight the top three finalists for the 2022 AEO ICON.
Torrey was part of the team that created the DNA for the Aerie brand and the #AerieREAL movement. He is the force behind the Aerie brand’s “voice” and narrative, which is the emotional connection we have with our community and customers. There is not a tagline, email, sign, mailer, social media post, brand campaign or even Aerie product equity that Torrey Acri has not touched. In 2022, Torrey helped to further support the Aerie mission and legacy by helping to launch the Aerie Real Foundation.
Torrey’s strategic passion, partnership, vision and clarity has built a brand on values, style and quality, and he’s also helped create a purpose that positively impacts the lives of our customers everywhere. To bring this to life, Aerie does not rely on creative agencies, but has built our own creative power in-house and Torrey plays a key role in the ability to do this.
Congratulations, Torrey!
American Eagle Outfitters Reports First Quarter Results
AEO Inc. Reports First Quarter Results In Line with Plan
Delivered record first quarter revenue of $1.1 billion, reflecting 2% growth to last year
Adjusted operating profit of $44 million, up to last year
Aerie posted all-time high first quarter revenue and profitability, with positive comp growth
American Eagle continued to see a sequential improvement in revenue trends with year-over-year growth in operating income
May 24, 2023
PITTSBURGH — (BUSINESS WIRE) – American Eagle Outfitters, Inc. (NYSE: AEO) today announced financial results for the first quarter ended April 29, 2023.
“We entered 2023 with a cautious plan, balancing continued optimism for our brands with the flexibility to navigate uncertainty in the macro environment. I am pleased to note that this strategy delivered for us, as we successfully managed through the first quarter and achieved results in-line with plan. Both Aerie and American Eagle saw solid improvement during the quarter and maintained strength in their categories,” commented Jay Schottenstein, AEO’s Executive Chairman of the Board and Chief Executive Officer.
“With ongoing macro challenges, we are maintaining a clear focus on inventory discipline, cost savings and efficiencies across the business. Looking forward, our priority is to rebuild operating margins, while also seeking opportunities for profitable growth and to deliver more consistent shareholder returns.”
First Quarter 2023 Results:
Total net revenue of $1.1 billion was up 2% to the first quarter of 2022. Store revenue was up 5%. Digital revenue declined 4%.
Aerie revenue of $359 million rose 12% versus first quarter 2022. Comp sales increased 2%. American Eagle revenue of $671 million declined 2% versus first quarter 2022. Comp sales declined 4%.
Gross profit of $413 million increased approximately 6% compared to $388 million in the first quarter of 2022 and reflected a gross margin rate of 38.2% compared to 36.8% last year. Merchandise margin expansion was driven by lower transportation costs with a partial offset from higher markdowns. Lower compensation and delivery costs also had a positive impact on margins offset by higher rent linked to new store openings.
Selling, general and administrative expense of $312 million was up 5% to last year. Higher corporate compensation and advertising were partially offset by lower store compensation and professional service expenses. SG&A increased 60 basis points as a rate to sales versus first quarter 2022.
GAAP operating income was $23 million. Non-GAAP operating income of $44 million, reflected a 4.1% margin. This excluded $21 million of impairment, restructuring and other charges related to Quiet Platforms as the company repositions for improved profitability.
GAAP diluted EPS of $0.09. Non-GAAP diluted EPS of $0.17 excludes $0.08 of impairment and restructuring charges.
Average diluted shares outstanding were 197 million including less than 1 million average shares of unrealized dilution associated with the company’s convertible notes for the period prior to redemption.
Inventory
Total ending inventory declined 8% to $625 million compared to $682 million last year, with units down 9%. Inventory is current, with AE and Aerie inventory across the US and Canada down in the double-digits to last year. The company is maintaining inventory discipline with the second quarter planned below the sales trend.
Capital Expenditures
Capital expenditures totaled $46 million in the first quarter. For 2023, management now expects capital expenditures to approximate $150 to $175 million, compared to prior guidance of $150 to $190 million.
Balance Sheet
The company continues to take steps to strengthen the balance sheet. In the first quarter, the remaining $9 million of outstanding principal related to the senior convertible notes due 2025 was redeemed.
Outlook
For the second quarter, management’s outlook reflects revenue down low-single digits to last year with operating income in the range of $25 to $35 million. This assumes gross margin recovery year-over-year as the company cycles pressure from end of season sell-offs and elevated freight costs. SG&A is expected to increase in the low-to-mid-single digits. Depreciation is expected to be similar to the first quarter.
For the year, management expects revenue in the range of flat to down low-single digits to last year with operating income in the range of $250 to $270 million.
Conference Call and Supplemental Financial Information
Management will host a conference call and real time webcast today at 4:30 p.m. Eastern Time. To listen to the call, dial 1-877-407-0789 or internationally dial 1-201-689-8562 or go to www.aeo-inc.com to access the webcast and audio replay. Additionally, a financial results presentation is posted on the company’s website.
Non-GAAP Measures
This press release includes information on non-GAAP financial measures (“non-GAAP” or “adjusted”), including consolidated adjusted operating income, net income and net income per diluted share, excluding non-GAAP items. These financial measures are not based on any standardized methodology prescribed by U.S. generally accepted accounting principles (“GAAP”) and are not necessarily comparable to similar measures presented by other companies. Non-GAAP information is provided as a supplement to, not as a substitute for, or as superior to, measures of financial performance prepared in accordance with GAAP. Management believes that this non-GAAP information is useful for an alternate presentation of the company’s performance, when reviewed in conjunction with the company’s GAAP consolidated financial statements and provides a higher degree of transparency.
These amounts are not determined in accordance with GAAP and therefore, should not be used exclusively in evaluating the company’s business and operations. We encourage investors and others to review our financial information in its entirety, not to rely on any single financial measure and to view these non-GAAP financial measures in conjunction with the related GAAP financial measures.
The tables included in this press release reconcile the GAAP financial measures to the non-GAAP financial measures discussed above.
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About American Eagle Outfitters, Inc.
American Eagle Outfitters, Inc. (NYSE: AEO) is a leading global specialty retailer offering high-quality, on-trend clothing, accessories and personal care products at affordable prices under its American Eagle® and Aerie® brands. Our purpose is to show the world that there’s REAL power in the optimism of youth. The company operates stores in the United States, Canada, Mexico, Hong Kong and Japan, and ships to approximately 80 countries worldwide through its websites. American Eagle and Aerie merchandise also is available at more than 260 international locations operated by licensees in approximately 30 countries. In 2022, AEO released its first annual Building a Better World report, which outlines two decades of ESG achievements through the company’s Planet, People and Practices initiatives. For more information, please visitwww.aeo-inc.com.
SAFE HARBOR STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995
This release and related statements by management contain forward-looking statements (as such term is defined in the Private Securities Litigation Reform Act of 1995), which represent our expectations or beliefs concerning future events, including second quarter and annual fiscal 2023 results. All forward-looking statements made by the company involve material risks and uncertainties and are subject to change based on many important factors, some of which may be beyond the company’s control. Words such as “estimate,” “project,” “plan,” “believe,” “expect,” “anticipate,” “intend,” “potential,” and similar expressions may identify forward-looking statements. Except as may be required by applicable law, we undertake no obligation to publicly update or revise any forward-looking statements whether as a result of new information, future events or otherwise and even if experience or future changes make it clear that any projected results expressed or implied therein will not be realized. The following factors, in addition to the risks disclosed in Item 1A., Risk Factors, of our Annual Report on Form 10-K for the fiscal year ended January 28, 2023 and in any other filings that we may make with the Securities and Exchange Commission in some cases have affected, and in the future could affect, the company’s financial performance and could cause actual results for fiscal 2023 and beyond to differ materially from those expressed or implied in any of the forward-looking statements included in this release or otherwise made by management: the negative impacts of the COVID-19 pandemic and related operational disruptions; the risk that the company’s operating, financial and capital plans may not be achieved; our inability to anticipate customer demand and changing fashion trends and to manage our inventory commensurately; seasonality of our business; our inability to achieve planned store financial performance; our inability to react to raw material cost, labor and energy cost increases; our inability to gain market share in the face of declining shopping center traffic; our inability to respond to changes in e-commerce and leverage omni-channel demands; our inability to expand internationally; difficulty with our international merchandise sourcing strategies; challenges with information technology systems, including safeguarding against security breaches; and global economic, public health, social, political and financial conditions, and the resulting impact on consumer confidence and consumer spending, as well as other changes in consumer discretionary spending habits, which could have a material adverse effect on our business, results of operations and liquidity.
