Health experts, policy-makers and youth advocates—including AExME Council Gabby Frost unite
On September 23, American Eagle, in partnership with the Global Coalition on Mental Health convened youth advocates, health experts, policy-makers, and other stakeholders in New York City for the second annual “YMentalhealth? Our Future Depends on It.” The event called on global leaders during the United Nations General Assembly (UNGA) to further mental health awareness and support critical mental health initiatives.
“At American Eagle, we work hard to put our customers first, and we believe we have a responsibility to raise awareness for the importance of youth mental health,” commented Chad Kessler, AE Global Brand President. “We are proud to sponsor this event, while helping to amplify the voices of inspiring young leaders who are dedicated to changing the conversation surrounding mental health.”
An incredible group of young leaders, including AExME Council’s Gabby Frost, shared their very personal stories of bullying, eating disorders, depression, drug abuse, anxiety disorders—and stories of hope. The youth speakers emphasized that love, compassion, and support are the keys to understanding mental health issues. “I had people who never gave up on me, and their belief in me is what helped me through my darkest times,” said Peter Lee-Kramer, a student advocate for mental health.
During the event, youth advocates from around the globe joined the conversation and shared their own stories with the #YNow tag on social media.
About Global Coalition on Mental Health
The Global Coalition on Youth Mental Health is an inclusive, multinational, youth-inspired initiative that aims to amplify the many voices on youth mental health. Worldwide, they are engaging with leading mental health organizations, young people experiencing mental illness, and the communities that support them to galvanize awareness, collaboration, and action.
AExMe Council Supports National Voter Registration Day
To help get out the vote, the AExME Council has launched a collection of voter empowerment tees in honor of National Voter Registration Day! Designed by the guys on the AExME Council, 100% of t-shirt sales will benefit HeadCount, a national bi-partisan organization that we’re partnering with to promote participation in democracy.
Fueled by the passion of our customers, we are committed to providing young people with the resources to make the most informed decisions possible as they head to the polls. Over the next year, we’ll be focusing on active participation—voter registration, voter turnout and courageous conversations.
Everyone has a voice, and everyone is equal when we vote! Click here to check out the AE blog where the AExME Council share their inspiration.
To register to vote, get an absentee ballot, find your polling place, verify that you’re registered, or find any other information, visit HeadCount’s website!
Stay up-to-date with our efforts to get out the vote by following along on @American Eagle on Instagram!
About Headcount
Headcount is a non-partisan organization that translates the power of music into real action by staging voter registration drives at concerts across the country. Since 2004, HeadCount has registered over 607,000 voters and has a network of more than 20,000 volunteers across the country. The organization hosts voter registration drives at concerts and online, making registering to vote super easy and accessible for young voters. They partner with more than 100 touring musicians and over 75 festivals, registering people to vote almost daily!
Aerie Celebrates 10 Years with Bright Pink
We’re so proud to celebrate our 10th year partnering with Bright Pink, a non-profit dedicated to prevention & early detection of breast & ovarian cancers in young women.
Bright Pink provides life-saving resources for women, empowering them to be proactive about their health. Take charge of YOUR health with their screenings, genetic testing, annual exam guidance and their Assess Your Risk™ quiz.
Shop to support!
100% of sales of our limited-edition collection benefit Bright Pink.
Maintaining a healthy lifestyle can benefit you now & help prevent breast & ovarian cancers in the future—all that good stuff like eating healthy & getting your sweat on. When monitoring your breast & ovarian health, it’s important to know your normal. Check in with regular (but don’t worry about monthly) breast exams, making sure you cover all of your breast tissue from your collarbone, out to your armpits & down to your breastbone. It can be harder to diagnose the symptoms of ovarian cancer, but stay aware of digestion issues, persistent pain during sex, or pelvic or abdominal pains. Go to your doctor if you have any symptoms.
Most importantly, make sure you know your potential risks & do your part to help the women in your life understand theirs. Join the conversation with #AerieSupports@Aerie & @BeBrightPink
The retailer reported second-quarter earnings Wednesday before the bell, once again improving on top and bottom lines.
Total revenues for the three-month period ending Aug. 3, were more than $1 billion, up from $964 million last year. The sales figure included $40 million for licensed royalties from a third-party operator of American Eagle stores in Japan.
Meanwhile, the company posted $64.9 million in profits during the quarter, compared with $60.3 million during 2018’s second quarter. It was also American Eagle Outfitters’ 18th consecutive quarter of positive comparable sales growth.
But the growth might not be fast enough for investors. While the results were good, they were below expectations. The company’s stock, which is down more than 37 percent year-over-year, fell more than 15 percent during Wednesday’s trading session, closing 11.62 percent in the red to $14.38 a share.
“We had a number of wins and accomplishments in the second quarter, yet we were disappointed to report operating results below our expectations,” Jay Schottenstein, chairman and chief executive officer of American Eagle Outfitters, said in his prepared remarks. “We faced challenges largely stemming from underperformance in certain seasonal categories and a delayed start to back-to-school.”
Chad Kessler, global brand president of American Eagle, added that things like shorts and women’s knit tops at American Eagle missed expectations last quarter.
Even so, it’s hard to ignore some of American Eagle Outfitters’ brighter spots — like it’s jean’s business and intimates brand Aerie.
In fact, the demand for denim is so strong that American Eagle had its 24th quarter of consecutive positive jeans sales. In June, the retailer launched its “Curvy Collection.”
“The jeans business is amazing and it continues to grow,” Kessler told analysts on Wednesday’s conference call. “There’s even more demand than what we offer today for the customer. We continue to see the opportunity to expand productivity throughout the assortment with more jeans. Now I think that could lead to some concerns…that jeans can get too big. But four or five years ago when everyone said jeans were dead, we were writing record jeans business and we continue to do so.”
Jen Foyle, Aerie global brand president, said Aerie’s bra business — particularly its bralettes — continue to be “on fire.”
“It’s our business and we own it,” Foyle told analysts on the company conference call. “We’re looking forward to chasing more bralettes actually.”
Comparable same-store sales at Aerie jumped 16 percent last quarter. That’s on top of a 27 percent jump the same time last year. In June, Robert Madore, chief financial officer and executive vice president of American Eagle Outfitters, predicted that Aerie would likely reach billion-dollar status within the next year or year and a half.
“We’re striving for that,” Foyle told WWD, adding that Aerie has some new products coming next year, but was tight-lipped on the details. “We’re really going to try to stretch into this billion-dollar [business] sooner than later.”
That could explain why earlier this year the company said it would open between 60 and 75 new Aerie stores in the coming year, a mix of stand-alone Aerie stores and American Eagle-Aerie side-by-side stores. Last quarter, the company opened 20 new Aerie stores — 13 stand-alone and seven side-by-side locations — all of them model with Aerie’s new store format, including things like added greenery and experience tables.
“You feel a community when you enter our stores,” Foyle said. “That’s what we’re marching toward in every market.”
Madore added that throughout the entire retail fleet, about 95 percent of stores are profitable.
“That 5 percent that isn’t are either new stores that haven’t hit their sales productivity maturity levels, or a flagship in nature have other purposes other than just for profitability,” Madore told analysts on Wednesday.
“We’re just dipping our toe into the water,” Schottenstein told analysts, referring to the upcoming fragrance launch. “We see a lot of opportunity and we’re very gung-ho as far as this year.”
The ceo added that the entire company has taken action to strength the business and is pleased with the third quarter-to-date sales results.
“Let’s put it this way, I feel much better about the future than the analyst feel, watching the stock going down; I’ve got a lot more confidence than the analyst,” Schottenstein said on the conference call. “And I’ll just put it this way: shame on all of the naysayers.”
American Eagle Outfitters Reports Record Second Quarter Revenue
PITTSBURGH — (BUSINESS WIRE) — American Eagle Outfitters, Inc. (NYSE: AEO) today reported EPS of $0.38 for the quarter ended August 3, 2019, compared to $0.34 for the quarter ended August 4, 2018. Excluding restructuring charges of $0.01, the company’s adjusted EPS was $0.39. Second quarter total net revenue included $40 million recognized for license royalties from a third-party operator of AE stores in Japan, which contributed $0.15 of EPS in the second quarter.
Jay Schottenstein, AEO’s Chairman and Chief Executive Officer commented, “We had a number of wins and accomplishments in the second quarter, yet we were disappointed to report operating results below our expectations. We faced challenges largely stemming from underperformance in certain seasonal categories and a delayed start to back-to-school. Despite this, we delivered our 18th consecutive quarter of positive consolidated comparable sales growth. We were also encouraged to see many areas of the business perform well, including continued strong momentum in AE Jeans, Aerie and our digital channel — all major growth priorities. The AE team has taken quick action to strengthen the business and we are pleased to see an improvement in third quarter-to-date sales. Our brands remain strong and we are well-positioned to continue to grow and gain market share.”
Adjusted amounts are based on non-GAAP results, as presented in the accompanying GAAP to non-GAAP reconciliation.
Second Quarter 2019 Results
Total net revenue increased $76 million, or 8% to a record $1.04 billion compared to $965 million last year. Included in total net revenue this year was $40 million for Japan license royalties.
Consolidated comparable sales increased 2%, following a 9% comparable sales increase last year.
By brand, American Eagle’s comparable sales decreased 1%, following a 7% increase last year. Aerie’s comparable sales increased 16%, building on a 27% increase last year and marking the 19th consecutive quarter of double-digit growth.
Gross profit rose 8% to $383 million from $353 million. The gross margin rate of 36.7% compared to 36.6% last year. Flow through from the Japan license royalties drove the increase in margin rate and dollars, which was offset by increased markdowns and delivery expense.
Selling, general and administrative expense of $253 million increased 8% from $234 million last year. The dollar increase reflects compensation expense, primarily due to strategic investments in the stores organization that began midway through 2018, as well as professional services. As a rate to revenue, SG&A was 24.3%, flat to last year.
Depreciation expense increased 5% to $45 million from $43 million last year and decreased 10 basis points as a rate to revenue to 4.3%.
Operating income of $82 million, which included approximately $3 million of restructuring charges, compared to $76 million last year. Excluding the restructuring charges, adjusted operating income was $85 million and the adjusted operating margin of 8.1% compared to 7.9% last year. Both operating income and adjusted operating income included approximately $34 million from the Japan license royalties.
Other income of $4 million compared to $1 million last year. The increase primarily consisted of interest income, as well as foreign currency fluctuations.
EPS of $0.38 compared to $0.34 last year. Excluding restructuring charges of $0.01, the company’s adjusted EPS increased to $0.39. EPS included $0.15 related to the Japan license royalties.
Japan License Royalties
In the quarter, we recognized license royalties from a third party operator in Japan. We plan to terminate the agreement with our license partner and are currently exploring options for our future business model to best serve customers and continue AEO’s growth in Japan.
Restructuring Charges
In the second quarter of 2019, the company incurred corporate restructuring charges, primarily severance, of approximately $3 million, or approximately $0.01 per share.
Inventory
Total ending inventories at cost increased 15% to $535 million. Ending inventory units were up 10%. The increase largely reflects inventory to support strong demand for AE Jeans, including new styles and expanded sizes. New store openings, primarily for Aerie, also contributed to the increase.
Capital Expenditures
In the second quarter, capital expenditures totaled $55 million, primarily related to store remodeling projects and new openings, with the balance primarily in support of the digital business and corporate IT. We continue to expect annual capital expenditures to be in the range of $200 to $215 million.
Shareholder Returns, Cash and Investments
During the second quarter, the company returned $83 million to shareholders through cash dividends and share repurchases. We paid cash dividends of $23 million and repurchased approximately 3.4 million shares for $60 million. Year to date, we have repurchased a total of 4.3 million shares for a total of $80 million. On July 10, 2019, we announced an additional 30 million shares authorized for repurchase, leaving 37.4 million shares under current authorization. We ended the second quarter with total cash and investments of $317 million.
Store Information
During the quarter, the company opened 6 American Eagle stores and closed 3, ending with 939 American Eagle stores, including 158 Aerie side-by-side locations. Additionally, the company opened 13 Aerie stand-alone stores and closed 1, ending with 131 Aerie stand-alone stores. Internationally, the company ended the quarter with 236 licensed stores compared to 223 last year. For additional store information, see the accompanying table.
Third Quarter Outlook
Based on an anticipated comparable sales increase in the low to mid single digits, management expects third quarter 2019 EPS to be approximately $0.47 to $0.49. This guidance excludes potential asset impairment and restructuring charges. Last year the company reported EPS of $0.48 for the third quarter.
Conference Call and Supplemental Financial Information
Today, management will host a conference call and real time webcast at 9:00 a.m. Eastern Time. To listen to the call, dial 1-877-407-0789 or 1-201-689-8562 (international) and provide the Conference ID 13692447 or go to http://investors.ae.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 earnings per share information and the consolidated results of operations 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. 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 financial statements. These amounts are not determined in accordance with GAAP and therefore, should not be used exclusively in evaluating the company’s business and operations.
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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. The company operates more than 1,000 stores in the United States, Canada, Mexico and Hong Kong, and ships to 81 countries worldwide through its websites. American Eagle and Aerie merchandise also is available at more than 200 international locations operated by licensees in 24 countries. For more information, please visit www.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 third quarter 2019 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 the company’s Annual Report on Form 10-K for the fiscal year ended February 2, 2019 and in any subsequently-filed Quarterly Reports on Form 10-Q filed 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 third quarter 2019 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 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 changes in global economic 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.
Business of Fashion: Todd Snyder Builds a Direct-to-Consumer Brand
Countless labels see e-commerce as an alternative to faltering department stores. Here’s how the ex-J.Crew designer built a fashion brand for the digital age.
Amid the assortment of Timex watches, Champion sweatshirts and tailored chinos available on Todd Snyder’s website there is a more unusual offering: a Toyota Land Cruiser.
For a mere $185,000, shoppers can build their vehicle from the tyres up, complete with a paint finish from the designer’s personal colour palette (including “military olive” and “oxblood red”). The winch and jerry-can are optional.
The car is a bit of a gimmick. But it speaks to Snyder’s approach to retail: pique consumers’ curiosity to get them in the door, then trust that his design sensibility will keep them coming back. And — unusually for a menswear brand selling $1,000 suede jackets and $90 T-shirts (and the occasional car) — chances are the whole process takes place online.
“That’s really the goal of the brand, is really to be the ultimate curator, the ultimate arbiter of taste and style,” Snyder said. “And that’s where I see white space for us to live, is in between a digitally native brand and a designer [brand].”
Snyder didn’t set out to build a digital brand. After leaving J.Crew, where his slim suits revived the retailer’s menswear division, Snyder initially followed the traditional path of the independent designer. He launched with a plumb wholesale
account at Bergdorf Goodman in 2011, followed swiftly by Barneys, Neiman Marcus and Nordstrom. His preppy, workwear-inspired looks won favourable write-ups in GQ, and he staged well-received shows at New York Fashion Week.
But like other designers coming up around that time, he quickly learned that having a rack at Barneys and support from traditional fashion media wasn’t going to make him rich. To build the sort of loyal following he’d developed for J.Crew, he had to take his case directly to consumers where they were spending more of their time and money: online.
Up to that point, Snyder’s story is similar to countless other brands that saw e-commerce as an escape hatch from faltering department stores. The difference is, he actually made the leap. Today, 85 percent of Todd Snyder sales take place on the brand’s website, with most of the rest coming from his sole brick-and-mortar store, a flagship in Manhattan’s Flatiron District that opened in 2017.
Snyder has transformed his label into a digital brand.Now, he’s going to see if he can scale like one. The designer declined to reveal current revenue but said he expects sales to increase by 55 percent this year, with a goal of hitting $100 million in 2022. Like Allbirds or Warby Parker before him, opening stores is key to maintaining the momentum he’s built online. His second location, in J.Crew’s “Liquor Store” space in Tribeca that he had designed for the brand back in 2008, opens later this month. More locations are planned next year, starting in Los Angeles and then potentially expanding to other major American cities.
“We want Todd to be one of the leading menswear brands in North America,” said Chad Kessler, global brand president at American Eagle, which acquired Snyder’s brand as well as Tailgate, his graphic t-shirt label, for $11 million in 2015. “I think Todd’s business can be a $300 million business with a nice operating margin.”
Snyder said his “secret sauce” is maintaining a direct line of communication with customers, however they discover the brand. And then once they’re hooked, giving them the freedom to shop any way they want.
Most find Todd Snyder online, via paid ads and social media campaigns straight out of the DTC playbook (Snyder said one of the first moves he made when he decided to pivot to digital was to hire veterans of hot consumer start-ups like Casper).
A print catalogue has proven essential to turning those first clicks into loyal customers, Snyder said. The catalogues typically feature themed photo spreads, as well as interviews with “guest curators.” These subjects can be unconventional — rather than the actors or models, recent editions have featured a Glendale, Calif. vintage car restorer and former J.Crew menswear designer Frank Muytjens at his newly opened inn in the Berkshires.
The purpose is to translate Snyder’s overall vibe beyond his New York base. Catalogues have become a popular tool with digital start-ups like Bonobos, but the designer
said his decision to produce one for his brand was a holdover from his J.Crew days, when he said they were the retailer’s “bread and butter.”
“J.Crew walked away from it, which I think was a huge mistake on their part,” he said. “But it’s part of the customer journey. They may have found you on Instagram or Facebook, but a lot of times that’s kind of fleeting. It’s important to keep that engagement.”
Then there’s the store — soon to be stores. The flagship lends credibility (“People take you a lot more seriously when you have a store,” Snyder said). Snyder, who initially studied architecture at Iowa State University, said he designed the store so that “all your senses are firing.” The space is divided into small “departments,” where customers can look at vintage watches, get fitted for a tuxedo or browse the latest Red Wing collaboration. A tailor occupies a space in the back, and alcoves house a cafe and a barber shop.
Almost everything is for sale at the shop, including some of the furniture. Pinterest is a frequent source of design inspiration for the store and the merchandise — it’s where the initial idea for the Land Cruiser collaboration came form.
“I’m a huge Pinner,” Snyder said. “When I saw the truck on Pinterest, I was just like, oh my god, this would be so cool.”
An entire section of the store is devoted to
Champion, the collaboration that started in 2013 and to which Snyder credits his initial ability to scale. He said an ideal collaboration for his label involves a heritage brand that invented its category, even if it has seen better days. His most successful partnerships — Timex, Red Wing, Champion — all fit that mould. Today, collaborations make up about one-third of sales.
Snyder has outfitted the store to bridge the divide between online and brick-and-mortar. Customers can return online orders to the shop, or make a purchase online from the store and have it shipped.
The Tribeca store will be a further step in that direction, stocking a narrower set of merchandise. It will also serve as the base for his private shopper service, where stylists select clothes and accessories and ship them to customers. The service launched early last year and accounts for about 15 percent of sales.
“It’s really kind of a holistic approach on how we surround the customer with us,” Snyder said. “Because you can’t always count on them coming to the store. And you can’t always count on them finding you online, so you have to find different ways to get to them.”
He shares that faith in brick and mortar with his corporate parent, American Eagle. The mall retailer has largely left him alone to manage his personal label (Snyder said after working at Ralph Lauren, Gap and J.Crew he prefers being under the umbrella of a larger company). The
two brands’ customer bases don’t have much overlap, with Todd Snyder targeting men in their 30s and 40s, while American Eagle focuses on men and women in their teens and early 20s.
But the chain is also one of the few mainstream retailers opening stores, including dozens of new locations for its wildly successful lingerie sub-brand, Aerie. Todd Snyder has the potential to serve a similar role for its owner, filling a niche the main American Eagle brand can’t, said Rebecca Duval, an analyst with Bluefin Research.
“You can have American Eagle as a casual brand and then have Todd to refer to as a little more dressed up, a little more sophisticated,” she said. “It’s that next step up, when you have a little bit more spending money.”
Snyder knows what makes his brand work, down to the Red Wing leather interiors on his custom Land Cruisers. Whether he can scale comes down to his ability to connect with customers, no matter how they discover his brand.
“The audience right now has their own way of finding you,” he said. “I knew I wasn’t just going to be digital, I knew I needed to also have great retail, and I need to have experience… because I don’t think you can survive just on one channel, you have to be really well-rounded.”
Fashionista: With Aerie, Jennifer Foyle Has Revolutionized the Lingerie Industry
The company’s global brand president launched photoshop-free campaigns five years ago and created a movement in the process.
In January, Aerie threw an intimate dinner at a cozy New York City restaurant to celebrate its latest class of Role Models, something that it’s turned into an annual tradition. It was a big night for the lingerie brand, especially for Global Brand President Jennifer Foyle, who first took Aerie’s campaigns photoshop-free five years ago. But she missed a large chunk of it — the photocall with stars like Jameela Jamil and Aly Raisman, the cocktails with members of the fashion press — slipping in just at the start of dinner. When she gave a brief speech welcoming her guests, she shared that she had a good reason for being late: Her teenage daughter had come home from school that day having a crisis about body image, the very reason for that fancy dinner and the subject that has motivated Foyle since 2014.
“I have a 12-year-old — she was younger back then, but even back then, she would look in the mirror and said to me, ‘Mom, am I beautiful?’ and I thought, ‘What are we doing to women today?’” Foyle explains over a breakfast later in the summer. “We are not sex symbols; we are real human beings. I just knew that was perfect timing, and it really was.”
Foyle had been at Aerie since 2010 and was drawn to the opportunity that the nascent intimate apparel side of the business presented to her. She saw a chance to reach a different customer than the more established, sexed-up lingerie brands had been courting previously, so she says she hit the reset button at Aerie, tweaking the platform and firming up the creative and marketing teams. Still, though, something felt like it was missing. It wasn’t until her then-head of creative asked about an as-yet un-photoshopped shot of a model on set that it clicked.
“I think my first reaction was that I started to laugh; I’m like, ‘This is ridiculous. They are professional models for a living and we’re airbrushing them,’” Foyle says. “Why would anyone even think about doing that? It had never occurred to me.”
Aerie Global Brand President Jennifer Foyle at the brand’s Soho store. Photo: BriAnne Wills/Fashionista
#AerieReal was officially born with an unretouched ad campaign that went live in April 2014. If Foyle thought it would take some time for the public to adjust to Aerie’s bold move, she was mistaken. Not only did the campaign garner impressive amounts of press, but within a year, Aerie was single-handedly rescuing once-flagging American Eagle sales. Customers, it seemed, had been waiting for a brand like this for a long time.
Things only took off from there. Quickly off the heels of the #AerieReal launch, Foyle’s team realized they needed a brand spokesperson. Enter Iskra Lawrence, who signed on as the very first Aerie Real Role Model. “It was perfection with her,” Foyle says. “We struck such a chord with her — I mean, she went through so many struggles herself. She couldn’t get a job in the modeling industry because she was five pounds overweight or she was too thin.”
When Aerie signed with Lawrence, she had fewer than 100,000 Instagram followers; today, she’s a bona-fide superstar with 4.5 million., but she’s still as committed to Aerie as she was when she first started working with the brand. “She’ll go by a store if she’s off duty and be like, ‘I’m here,’” Foyle explains. “She really means business, and that’s who we look for. We don’t want just a pretty girl — that’s not what we’re doing here. We’re looking for somebody who believes in our mission.”
Aerie Real Role Models Iskra Lawrence, Brenna Huckaby, Busy Philipps, Jameela Jamil, Cleo Wade, Aly Raisman, Samira Wiley and Molly Burke. Photo: Courtesy of Aerie
The brand is doing work behind the scenes, too. The team responds to customers on social media, reaching out to them personally for feedback. They redesigned every single bra frame and extended sizing to cover up to a 42 DDD and a size XXL. (Foyle acknowledges there is more work to be done there and promises they are working hard at improving it even further.) They’re talking about the possibilities of adaptive clothing. There are always ways, according to Foyle, that the Aerie team can challenge themselves, a part of the job she finds most satisfying.
“It took time. It’s not like I came in and got rid of people; I came in and developed people,” Foyle says, choking up. “It is about, as a leader, listening to people and seeing what their needs are, not just giving up on a team. To me, it was like building a family almost, and that has been something that I’ll never forget in Aerie. It gets me emotional because it’s been a work of love, this team.”
Her hard work has paid off internally. When we visit the Aerie store in Soho to get in a quick photo shoot with Foyle before the store opens, the employees are excited to have her there. They’re just as passionate about the product and the messaging as she is. “It’s not just about putting marketing out there, it’s about believing it, and that’s what I think we do really well,” she explains. “There’s not a day without tears, some happy, some emotional, but we all really feel it and believe it.”
Aerie Global Brand President Jennifer Foyle at the brand’s Soho store. Photo: BriAnne Wills/Fashionista
It’s paying off externally as well. Aerie’s sales are still rising, there are plans to grow its store base by 65 doors and it’s regularly name-checked as serious competition to the struggling lingerie giant Victoria’s Secret. Foyle notes that there are now plenty of up-and-coming brands that are following the Aerie playbook, something she says makes it stronger as a brand.
At the end of the day, though, much of Foyle’s mission comes back home. She gets emotional recounting a story about the time the mothers of two other girls in her daughter’s class reached out because their daughters were struggling with body image. Despite the fact that there was what Foyle calls “friction” between her daughter and her classmates, she invited the two and their mothers to accompany Foyle and her daughter to an in-store event where Aerie Real Role Models Huckaby and Wiley were set to speak. Hearing from them, and listening to the two be honest about their struggles, opened up an avenue for the young women to find a path to self-confidence.
“I’m not saying that it happens overnight, but we had dinner afterwards, and the girls were laughing,” Foyle recalls, tearing up. “One of the mothers called me and said, ‘This was game changing for my little girl.’ It’s powerful stuff; I have seen my little girl growing up, and I want her to have that ability to reach out to me or to reach out to people and just share their fears.”
“It’s unbelievable, in fact, just what’s happening out there today,” she cautions. “Kindness counts.”
Through her journey taking Aerie photoshop-free, Foyle has done more than just shake up the lingerie industry; she’s made her kindness available to the world. And that definitely counts.
AEO Foundation Golf Classic Raises $520,000 For Charities
11th Annual Event Sets New Fundraising Record for Foundation
Every year, associates, vendors and sponsors gather from across the globe to participate in AEO Foundation’s Golf Classic. This year, over 140 associates and sponsors participated and we raised an incredible $520,000, setting a brand new record!
Since 1999, the AEO Foundation has been giving back and enriching the lives of those in our communities where we operate. Over the past 20 years, we’ve raised $7 million for hundreds of worthy organizations and are always looking for new ways to help out. Last year, the Foundation supported 58 non-profits and 22 of our very own AEO associates.
To highlight one of the causes we support, Megs Yunn of the Pittsburgh non-profit Beverley’s Birthdays spoke after the tournament of the impact the AEO Foundation’s grant had on her organization. Beverly’s Birthdays works to provide birthday parties to children from low-income families, including those in foster care, a shelter, or experiencing homelessness.
Megs was proud to show guests the Birthday Boutique, a mobile clothing truck that lets kids go “shopping” for their own very special outfits. The day ended with the AEO Foundation Board of Directors surprising Megs with a $25,000 donation.
We want to thank all of our sponsors and participants for their incredible support!
AE Makes An ‘Uproar’ For Fall ’19 With Lil Wayne Collaboration And Unrivaled New Jeans Collections
Brand Listens to What Its Customers Want, Introduces Extended Sizing and New Styles
NEW YORK – (Business Wire) – American Eagle Outfitters, Inc. (NYSE: AEO) announced today that the American Eagle (AE) brand will debut a collaboration with Grammy® Award-winning and multi-platinum selling hip hop music superstar, Lil Wayne, with the launch of the AE x Young Money collection. The brand introduces the partnership as part of its Fall ’19 Campaign, which merges jeans, streetwear, youth culture and music. This season, the brand will also lead with its most innovative assortment of jeans including the Curvy, AirFlex and Stacked fits, and the expansion of sizing within its jean’s assortment.
“American Eagle is the authority in jeans innovation, quality, fit and value, and we are excited to launch even more fit offerings and expanded sizes across all stores and online. AE is unleashing the power of inclusivity, and we’re throwing a party this back-school-season for everybody,” commented Chad Kessler, American Eagle Global Brand President. “Our collaboration with Lil Wayne and the AE x Young Money collection has brought together a diverse cast of creatives who are expressing themselves through music, dance, skateboarding and live performances, while highlighting the true comfort and flexibility of AE jeans.”
Collaboration
American Eagle tapped music icon Lil Wayne to co-create the AE x Young Money collection. The 25-piece men’s clothing and accessories assortment features Young Money graphics and includes AE’s signature Stacked jeans, hoodies, t-shirts, shorts, boxers, socks, hats and more. The collection officially drops in-store and online on August 10, 2019 and ranges in price from $8 to $100. Loyal fans can be the first to shop the collection by signing up here: ae.com/youngmoney.
“I define my own style, on my own terms, and created a collection with American Eagle that is unapologetically me,” said Lil Wayne. “The AE x Young Money collection brings together music and fashion, two of the most powerful forms of self-expression that have allowed me to always live my truth.”
Campaign
The Fall ’19 storyline and imagery stays true to the #AExME brand platform, celebrating freedom, inclusion, empowerment and difference. Set in a gymnasium to the theme of homecoming, the campaign imagery was shot by Mayan Toledano. The campaign video created by cinematographer, Mathieu Plainfossé, celebrates individuality as the brand’s cast of Gen Z creatives express themselves through dance and a live performance of Lil Wayne rapping his hit single “Uproar.”
Innovation in Jeans
American Eagle’s fall collection delivers an unrivaled assortment of jeans designed to give customers three fresh and innovative fits and styles. The newly launched Curvy jean collection, available in 12 new washes, gives a little more space in the thigh and hip to hug her curves and eliminate waistband gap with the new hip-to-waist ratio. AirFlex utilizes air in the yarn spinning to make the fabric softer; and Stacked features a longer inseam that stacks at the ankle to show off his shoes.
Dedicated to offering customers the best fitting jeans, American Eagle is expanding its jean sizing for all styles in stores and online with the women’s collection now ranging from 00 to 24 and the men’s from 26 to 48. This fall, AE will introduce size 4, 8 and 16 mannequins in- stores nationwide that represent the diversity of its product ranges.
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About American Eagle
Since 1977, American Eagle has offered an assortment of specialty apparel and accessories for men and women 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. The company operates more than 1,000 stores in the United States, Canada, Mexico, China and Hong Kong, and ships to 81 countries worldwide through its websites. American Eagle and Aerie merchandise also is available at more than 200 international locations operated by licensees in 25 countries. For more information, please visit www.aeo-inc.com.
Follow along @americaneagle, #AExME and #AExYoungMoney.
Smashes records and amplifies the message of acceptance and love
We are beyond excited to share that the 2019 American Eagle Pride campaign raised more than $1.2 million for It Gets Better Project through the sales of Pride merchandise and customer donations at the register! For the last three years, 100% of sales of our annual Pride collection has been donated to the It Gets Better Project, which uplifts, empowers and connects LGBTQ+ youth around the world.
With American Eagle’s support, It Gets Better Project has amplified stories of hope and encouragement all over the world. AE Pride merch was also sold in our international stores and supported It Gets Better in Mexico and Greece as well as Israeli Gay Youth in Israel.
Through the month of June, American Eagle hosted several customer-facing activations to celebrate Pride. On World Pride Day in NYC, we hosted an AE x Aerie co-branded panel discussion at our Union Square store. Guests included actor and #AerieReal Role Model Samira Wiley, actor Nico Tortorella, DJs Coco and Breezy, and AExME Council member Edith Cruz. The panel was also livestreamed on both brands’ social channels for all our customers around the world. For more info on how our associates celebrated pride and how we did our part to promote the LGBTQ+ community’s stories of hope, check out our AE blog, including a powerful message from Chad Kessler, AE Global Brand President.
We believe that inclusion and diversity starts from the inside out—and equality should be celebrated all year long. By giving our customers a platform beyond style and fashion, we are creating deeper, more meaningful conversations with each other. It’s about more than simply bringing together people who are different, it’s about celebrating what makes us REAL.
