Victoria's Secret’s Stock Problems Continue In Light Of CEO'S Epstein Ties

The hits keep coming for Victoria’s Secret, as shares of the lingerie company’s parent company L Brands slid more than 5% on Tuesday. Les Misérables Les Wexner is the CEO of L Brands, which also owns beauty and fashion companies such as the Limited and Bath & Body Works. Les was also once tight with the financier Jeffrey Epstein, who was recently indicted on a number of horrific sex crimes; he was charged with sex trafficing after a collection of lewd photographs of children was found in his mansion. Epstein had ties to everyone from our current President to former President Bill Clinton, as well as to Wexner. Epstein was the money manager for Wexner for years, and Wexner even gave him his mansion for free in 2011. Wexner has tried to distance himself from Epstein in recent years, which is a bit tough because for a time he was known as Epstein’s only client. Fallen Angels The former lingerie giant has had difficulties adjusting to a more progressive time, in which body positivity and diversity are now de riguer for most fashion brands. Victoria’s Secret has seen its market share drop 9% since 2015, and it is set to close 53 stores in North America, up from 30 closings last year. It doesn’t help that Victoria’s Secret CMO Ed Razek attacked positivity-focused competitor ThirdLove in a Vogue interview last year, claiming Victoria’s Secret’s fashion show lacked plus-size and transgender models because, “No one had any interest in it, still don’t.” While the Victoria Secret fashion show was once a pop culture event, it had its lowest ratings ever last year. Changing Times The sharp blowback against Wexner and L Brands’ stock is yet more proof of a recent cultural shift that shareholders and the public (or at least a certain segment of social media) are now very aware of the behavior of CEOs, and bad press can now potentially be more harmful than ever before, particularly for a brand that markets itself to young women. -Michael Tedder Photo: Brendan McDermid / REUTERS