Abercrombie & Fitch Co., a multi-channel apparel and accessories retailer, has reached an agreement with its top executive that will keep Michael S. Jeffries as chairman and CEO until early 2014.
Jeffries had been expected to retire on Dec. 31 under the terms of his former contract, but his new employment agreement puts him in the retailer’s top job until Feb. 1, 2014. He will continue to receive his base annual salary of $1.5 million, plus be eligible for a maximum bonus of 240% of his base salary in addition to stock options, the company says in a recent filing with the Securities and Exchange Commission.
Jeffries, whose former employment contract had started in August 2005, has overseen strong growth in e-commerce at Abercrombie & Fitch. The retailer is No. 54 in the 2008 edition of the Internet Retailer Top 500 Guide, with $260 million in 2007 online sales, up from $175 million in 2006 and $120 million in 2005.