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I worked out at the luxury gym where Victoria's Secret models get fit. Here’s what it was like.

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outside of dogpound 2

  • Dogpound is an exclusive Manhattan-based gym where celebrities like Hugh Jackman, Ashley Graham, and numerous Victoria's Secret models work out.
  • I worked out with Dogpound's Chief Experience Officer and founding trainer Rhy Athayde and learned what a routine looks like for his clients.
  • We did a mixture of cardio, weight lifting, and boxing exercises that had my heart racing and my body dripping in sweat.
  • Visit INSIDER's homepage for more.

The workout methods used by buff Hollywood stars might seem mysterious, but at Dogpound, an exclusive Manhattan-based gym, personal trainers and celebrities alike share snippets of their workout routines to give fans a look into how they actually exercise.

Victoria's Secret models and celebrities like Hugh Jackman, Ashley Graham, and Ansel Elgort have exercised at Dogpound, but given the exclusivity and price tag associated with being a member there (one 60-minute personal training session is at least $200), most people don't get a full picture of what goes on behind the scenes.

To find out more about why celebrities love Dogpound, I worked out with Rhy Athayde, the chief experience officer and founding trainer of the gym. Here's what it's like to exercise at Dogpound.

The Dogpound gym located on the bottom level of a corner building in Manhattan.

The exterior of the gym is painted black, and I got mysterious vibes as I approached.

 



Dogpound is located in Manhattan's Soho neighborhood. It's a quiet, upscale area where celebrities can often be found wandering the streets.



Hugh Jackman is just one of many high-profile celebrities who rely on the gym's trainers to get in shape. Ashley Graham, Ansel Elgort, and a host of Victoria's Secret models have also been spotted working out there.

Athayde told me he's trained both Jackman and his son at Dogpound. "What we do depends on [Jackman's] goals or the role he's preparing for," he said of the Wolverine actor.

Dogpound's open-concept gym is perfect for people who have constantly evolving fitness goals (like actors training for a role), since trainers can change up workout routines easily.



You have to enter Dogpound from a somewhat hidden side entrance on Renwick Street.

The second I stepped inside, I was immediately met with ambient hip-hop music and a receptionist checking me in. 

You can't just show up and have free reign of the equipment. Instead, clients are assigned personal trainers who create unique workouts for them.

Trainers are rotated from client to client, so different workout styles and techniques are incorporated into their routines. Athayde said Dogpound clients don't seem to mind the rotation.



Beyond the reception desk, the entire gym floor is on display. It has much of the same weightlifting and cardio you'd see at your run-of-the-mill fitness center.

Unlike my go-to gym, Dogpound only had a select few customers roaming the floor accompanied by their personal trainers. I could see the allure of exercising in a serene and near-empty space like this.

 



In addition to kettle bells, a StairMaster, squat racks, rowing machines, and other popular fitness tools, Dogpound has a boxing ring available.

This detail set Dogpound apart from other well-known gyms. Athayde said that not all clients use the ring during their workouts, but some enjoy finishing their sessions with the extra cardio burst.



When the weather is nice, Dogpound clients can often be found exercising right outside of the building. They'll push massive tires and weight sleds and do drills with medicine balls.

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Dogpound has been rumored to shut down Renwick Street when certain celebrity clients stop by for a session. When I asked the receptionist about this, she neither confirmed nor denied this.

There are plenty of Instagram videos showing Dogpound clients pulling heavy objects and performing drills down the street or on the sidewalk.



Before diving into the session, I did a diagnostic body exam called InBody that analyzed my BMI and muscle-to-fat ratio. Athayde broke down the results for me.

Although the test wasn't a necessary part of the workout, Athayde said clients enjoy getting solid numbers that show their body mass index and muscle composition. "It's a way for them to track their goals and progress," he said.

If a client wants to take advantage of the Inbody reports, they'll take an initial test like I did and then do follow-up tests every few weeks to see how much their fitness has improved. They're included with training sessions.

Personally, I work out for the feeling, not the physical results, so I probably wouldn't do the InBody exam again, but it was a fun added feature for those who are interested.



Outside of the InBody test room is the locker area.

There aren't any dedicated locker rooms at Dogpound, just bathrooms and a wall of lockers hidden in a corner of the facility.

I stowed my work clothes in one of the lockers and headed back to the main area to start my session.



To warm up for what would end up being one of the most challenging workouts of my life, I did 15 side lunges on each leg and about 20 jump squats.

The warm up was just the beginning of the 40-minute exercise circuit I'd complete, but by the end my heart was already racing.



We also did partner exercises, like planks with high fives using alternating hands.

Athayde said this exercise helps with core strength and balance.



We also did sit ups with a high five at the top.

The two-person exercises were difficult, but they motivated me to try my best in order to stay on pace with Athayde. I could see how these exercises could be a fun way to work out with a friend, sibling, or co-worker.



Athayde demonstrated how to use different pieces of equipment around the gym, like the leg press machine.

Before I used the machine, Athayde made sure I maintained the right motion and form.

The one-on-one attention is perfect for anyone who knows little about exercise equipment or weightlifting but wants to incorporate it into their routine.



We made use of the equipment in creative ways, like standing on two benches while doing a deep goblet squat.

I've done goblet squats with my feet planted on the ground before, but Athayde demonstrated a different method that required I focus more on form. He had me plant each of my feet of weight benches that were about a foot apart and then I squatted while holding a 20-pound dumbbell in between my legs.



At this point, I was exhausted, but Athayde said our workout was almost done. We did mountain climbers, rows on the rowing machine, and, to my dismay, side planks.

If I was working out alone, I would probably have called it quits at this point, but having a personal trainer cheering me on helped me push through to the end.



To finish off our session, I channeled my inner Ashley Graham and threw some punches in the ring.

I'm a huge fan of boxing as a workout, so I was more than ready to get into the ring. Athayde called out various combinations, which I threw into mitts he was holding.

After doing countless other strength and cardio exercises, boxing proved pretty exhausting. It was the perfect "finisher" for my session at Dogpound, and I ended feeling accomplished.



Following the workout, Athayde stretched me out on a cushioned table.

At first, it seemed weird to have my legs twisted and stretched by a trainer I just met 40 minutes ago. But the stretching felt amazing, so I quickly forgot I was in the middle of the gym.

Now that I've worked out at Dogpound, I understand why celebrities would choose it as their go-to place for getting in shape. The various types of equipment and the boxing ring allow for nearly endless workout routines, and the personal trainers offer a level of expertise that help clients get the tailored workouts they want.

For average gymgoers like me, the price tag of a single Dogpound training session makes it unsustainable for the long term. Still, I know I can take some of the lessons learned in my session to my slightly more crowded yet less expensive chain fitness center.




Victoria's Secret got whacked by Trump's tariffs. Here's why fashion stocks are suffering.

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Candice swanepoel

  • Stocks plunged on Monday after China announced it would slap tariffs on US goods in response to higher US duties on Chinese goods.
  • Fashion stocks including Victoria's Secret-owner L Brands, Gap, and Abercrombie & Fitch were among the biggest decliners due to their dependence on Chinese suppliers and consumers.
  • Markets Insider looked at the exposure of seven fashion stocks to the US-China trade war.
  • Watch L Brands, Tapestry, Abercrombie & Fitch, Guess?, Ralph Lauren, Tiffany's, and Gap trade live.

US stocks plunged on Monday after China announced it would slap tariffs on $60 billion of US goods starting in June. The move was in retaliation to the Trump administration raising duties to 25% on $200 billion worth of Chinese products last Friday, and threatening to expand tariffs to a further $300 billion of goods within the next month.

Fashion companies including Victoria's Secret-owner L Brands, Tiffany & Co., Abercrombie & Fitch, Guess, Ralph Lauren, Gap, and Tapestry — which owns Kate Spade and Coach — saw their shares plummet more than 5%.

Here's why investors are worried about those companies:

SEE ALSO: Trump's China tariffs could slam American shoppers with an extra $800 in costs a year

L Brands

L Brands stock is under pressure because investors fear higher tariffs will increase the costs of shipping merchandise to and from China, forcing the company to raise prices. The trade war could also hurt consumer confidence and damage the American and Chinese economies, reducing demand for lingerie and bath bombs.

The owner of Victoria's Secret, Pink, and Bath & Body Works has been investing in China and considers it an "extremely important market,"according to a company filing in April. It imports a significant proportion of its products from there too; the Asian nation is one of the five countries where almost all of L Brands' suppliers are based, according to its website.

There were a total of 53 Victoria's Secret and Victoria's Secret Beauty and Accessories stores in Greater China as of February 2, and management planned to open up to 15 more in the region this fiscal year, according to its latest earnings presentation.  

A combination of more stores and strong demand in Greater China lifted net sales in L Brands' international business by 20% to $605 million in the year to February. However, the segment only accounted for 6% of the company's $13.2 billion of revenue, meaning the group isn't too reliant on sales in the region.



Tapestry

Tapestry's stock has dropped because the owner of Kate Spade and Coach is targeting Chinese shoppers and has warned the trade war is a threat to its business.

The group expects "minimal impact" from the tariff hike last Friday, according to its third-quarter earnings. However, it warned that expanded tariffs — which the Trump administration is already preparing — could have a "more significant impact" on its performance. It added that further escalation could hurt its ability to "grow its business with the Chinese consumer globally"— a key part of its current strategy.

Tapestry earned $672 million or about 15% of its revenue in Greater China — which includes mainland China, Hong Kong, Macau, and Taiwan — in the nine months to March 30. The group also acquired its Stuart Weitzman distributors in Southern and Northern China and took control of its Kate Spade joint venture in mainland China, highlighting its current focus on the region.



3. Abercrombie & Fitch

Abercrombie & Fitch stock is suffering because of the company's reliance on Chinese suppliers.

The apparel retailer sourced about 36% of its merchandise through China last fiscal year, and imported 25% of all merchandise to the US from China, according to its latest earnings report. Recognizing its vulnerability to tariffs, management plans to reduce that second figure to below 20% this fiscal year. They also believe they can shift up to half of their production out of China if necessary.

A&F sees growth opportunities in Asia and Europe, but has warned the trade war could hinder its international expansion. The group earned about $487 million — around 14% of total net sales — outside of the US and Europe last fiscal year. The majority of that probably stemmed from China, given 29 of the company's 57 stores outside the US and Europe were located in the Asian nation as of March 27. 



Guess

Guess shares have fallen because higher tariffs threaten to weaken its robust Asia Pacific business.

The apparel retailer expanded from 862 stores and concessions in Asia Pacific to 894 in the year to February, according to its full-year earnings report. More outlets helped to drive sales in the region up 26% to $388 million last fiscal year, outpacing growth of less than 15% in all other regions. Management highlighted accelerating sales and e-commerce momentum in China as key drivers.

"China and Japan are hugely important markets for us with huge white space," CFO Sandeep Reddy said on the group's fourth-quarter earnings call in March. An economic slowdown in China could throw cold water on the group's ambitions.



Ralph Lauren

Ralph Lauren shares have dropped as the US-China trade war threatens to curtail growth in China and Asia more broadly.

The clothing company opened 39 stores in China — its fastest-growing market — last fiscal year, CEO Patrice Louvet said on the full-year earnings call this week. New stores in Shanghai, Beijing, and other Chinese cities drove constant-currency sales in mainland China up more than 30%, sending Greater China revenue up 20%. 

Overall Asia revenues of just over $1 billion represented 16.5% of turnover, up from 15% a year ago, according to Ralph Lauren's full-year earnings report. The rising proportion of revenue earned in the region highlights its growing importance to the group.



Tiffany & Co.

Tiffany & Co. shares are under fire because a prolonged trade war could tarnish sales to Chinese shoppers, some of the company's best customers.

The jeweler generated about 17% of its net sales in Greater China last fiscal year, according to its full-year earnings report. It had 33 stores in China at the end of January, more than in any other Asian country. Strong demand in China drove its Asia-Pacific sales up 13%, and its planned launch of a local e-commerce website this year could fuel further growth.

Unsurprisingly, management has called out the US-China trade war as a risk to the business. An economic slowdown in China could hurt sales and profits at stores in Greater China, as well as stores in other territories that serve Chinese tourists.

Chinese consumers spend more on average than Americans, Europeans, and other shoppers, CEO Alessandro Bogliolo said on the group's full-year earnings call. They are "big lovers of gold and platinum, especially with diamonds," he said, pointing to "very strong" sales of engagement rings to them.

If the Chinese economy weakens, their taste for Tiffany's bling could sour.

 

 

 



Gap

Gap's shares have suffered because of the company's dependence on Chinese vendors.

The owner of Gap, Old Navy, and Banana Republic made around 21% of its purchases last year from factories in China, according to its full-year earnings report. Higher tariffs on Chinese imports to the US could ramp up its costs and reduce its profits.

Gap highlighted China as a growth market on its fourth-quarter earnings call. Although it doesn't break out sales for the country, it increased the number of Gap stores in Asia by 19 to 332 last fiscal year, suggesting it's deepening its footprint in China.

However, Gap's Asia revenues amounted to $1.2 billion last fiscal year, or about 7% of overall turnover, meaning its business in the region remains relatively small.



SEE ALSO:

'Death by Amazon': 20 once thriving companies that find themselves in the e-commerce giant's crosshairs



Shoppers still think Victoria’s Secret is overpriced despite Wall Street’s warnings about heavy discounting

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Victoria's Secret

  • Victoria's Secret has leaned on discounts to drive traffic to its stores. Analysts are concerned that the discounts are eating into profit margins.
  • But a new survey of shoppers from Cowen & Co shows that some customers still think Victoria's Secret is too expensive.
  • The brand has struggled in recent years — sales have slipped, and it has been accused of failing to adapt the brand image to modern times. Its market share in the US has dropped from almost 33% two years ago to around 24% today.
  • Visit Business Insider's homepage for more stories.

Wall Street says Victoria's Secret's heavy discounting is eating away at profit margins, but some customers don't think it's cheap enough.

A new survey from Cowen & Co showed that, of the more than 180 Victoria's Secret shoppers interviewed, 34% felt that prices at Victoria's Secret are too high and that it should run "even more" promotions. 

This is concerning, given that its gross margins have declined 300 basis points over the past three years and are expected to drop further in 2019, according to Cowen & Co.

Victoria's Secret has relied on heavy discounting in its stores to drive traffic in recent years as the business comes under increased pressure. This has raised concern amongst analysts. 

"We believe Pink is on the precipice of collapse," Jefferies analyst Randal Konik wrote in a note to investors in March, commenting on the level of in-store promotions.

And these promotions were not reserved to last season's items but also included its core products, such as panties and bras. 

In a call with investors in February, CFO Stuart Burgdoerfer addressed its discounting problem and said that it will "take a little bit of time" to reduce promotional levels. Burgdoerfer said the company is looking at all aspects of the marketing of the brand. "We are taking a fresh, hard look at everything," he said. "Everything is on the table."

Read more: The rise and fall of Victoria's Secret, America's most famous lingerie retailer

Victoria's Secret has struggled in recent years and been accused of failing to update its brand image to fit with the times. Meanwhile, other more body positive brands such as American Eagle's Aerie, ThirdLove, and Lively have cropped up and taken market share. These brands are focusing on comfort rather than sexiness, and it seems that customers are prepared to pay for this. ThirdLove's bras cost in the range of $70, for example. 

As a result, Victoria's Secret, which is still the leading lingerie retailer in the US, has seen its market share in the US slip from almost 33% two years ago to around 24% today.

But analysts are hoping that they can turn it around under the leadership of new CEO John Mehas, who might bring fresh eyes to the brand.

Earlier this month, L Brands (its parent company) CEO Les Wexner informed employees in an email that it was reconsidering its annual fashion show and would be pulling it from network TV. 

A representative for Victoria's Secret did not provide further comment.

SEE ALSO: Teens are using these shopping apps to get rich

Join the conversation about this story »

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Only one out of 5 women prioritize 'sexiness' when bra shopping — and it reveals a giant problem for Victoria's Secret (LB)

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Victoria's Secret

  • Victoria's Secretis losing relevancy with customers, according to a new survey from Cowen & Co.
  • More than half of Victoria's Secret shoppers (51%) said in a recent survey that the lingerie brand stands for "sexiness."
  • Just 17% of shoppers identified "sexiness" as their top priority when bra shopping. More important priorities included comfort, fit, and quality.
  • Visit Business Insider's homepage for more stories.

Victoria's Secret is losing relevancy with its customers, according to a new survey from Cowen & Co.  

The Wall Street firm asked nearly 200 Victoria's Secret shoppers what the lingerie brand stands for, and more than half of customers' replies highlighted "sexiness."

But only 17% of those customers said "sexiness" is their top priority when shopping for bras and underwear. In fact, customers ranked sexiness fourth behind comfort, fit, and quality in terms of their priorities.

That disconnect is creating problems for Victoria's Secret, according to Cowen & Co. managing director Oliver Chen.

"We think the legacy messaging is not resonating with customers, and Victoria's Secret needs to shift both messaging and assortment toward prioritizing all body types and sizes," Chen wrote in a note to clients on Thursday. "This is not a quick or easy fix."

Read more:Victoria's Secret will no longer air its iconic annual fashion show on network TV as it rethinks 'literally everything' about its business

Victoria's Secret did not immediately respond to a request for comment.

When asked how Victoria's Secret could improve its shopping experience or products, several customers said the company should sell larger sizes and feature more plus-size models.

"VS needs to have more inclusive models and sizing. It really caters for smaller women and the models don't really represent modern women," one customer responded. 

Another said: "More fits, bring back the old swim line!"

When asked what the company stands for, one customer said, "overpriced bras to make people who don't have the perfect body feel bad about themselves."

Another said, "Sexy, young, and feminine. Mainstream and cool. Almost a coming-of-age brand for women."

Victoria's Secret recently revealed that it is rethinking its iconic fashion show, which has been airing on network television since 1999, as it battles falling sales and claims of slipping quality.

The company said in February that it planned to close 53 stores in North America this year, citing a "decline in performance." Victoria's Secret's same-store sales dropped 3% during the holiday quarter.

To reconnect with customers, Victoria's Secret needs to reprioritize fit, comfort, and sizing, and close some stores while investing in others, according to the Cowen & Co. report.

"We think that the Victoria's Secret North American footprint of 1,143 stores is unwieldy, and is constraining levels of service and investment within the store," Chen wrote. "Customers feedback supports this view as store layout [and] in-store experience was the third most common reply on how Victoria's Secret could improve the shopping experience."

SEE ALSO: Victoria's Secret will no longer air its iconic annual fashion show on network TV as it rethinks 'literally everything' about its business

Join the conversation about this story »

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The CEO behind Victoria's Secret designed an entire town in Ohio, and houses there cost as much as $4.5 million (LB)

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New Albany

In parts of Ohio, Les Wexner has status equivalent to a town mayor. 

That's partly because Wexner, the CEO of Victoria's Secret and Pink parent company L Brands, had a hand in designing an entire town there. L Brands is also headquartered in Columbus, Ohio. 

According to a recent Bloomberg report, Wexner bought his first plot of land in New Albany, Ohio, in the late 1980s, in order to build his own mansion there. In 1987, the 90-acre plot was valued at just under $200,000.

Today, the land and house together are worth more than $45.6 million, and he still lives there. 

Wexner ending up buying 10,000 acres of land in the town through his development firm, The New Albany Co., which he cofounded with friend John Kessler. This plot was equal to the entire town and parts of the surrounding area. He then called in a group of the country's top architects and landscapers and spent Saturday mornings designing the town, according to Bloomberg. 

According to The New Albany Co.'s website, the company has developed the town's center, an arts center, parks, a business park, country club, and large residential areas. 

"As the developer of a nationally-renowned master-planned community, The New Albany Company has paid careful attention to the details that enhance its residents' quality of life and protect their long term investment," it writes online

 

The New Albany Company still owns around 20% of the town and according to a New Albany spokesperson, Wexner spends his Saturday mornings driving around to make sure everything is "remaining true to the original vision," Bloomberg reported. Houses in the area are currently selling for as much as $4.5 million

Wexner is often considered one of the most successful businessmen in the US. He is worth more than $6.3 billion and has worked his way up from running a small store in downtown Columbus to owning and founding L Brands, one of the largest retail corporations in the US.

Read more: People slammed Victoria's Secret after its marketing chief made controversial comments about transgender models, but he didn't resign. This could be why, according to former executives.

But Victoria's Secret, the US' longtime lingerie powerhouse has struggled in recent years and been accused of failing to update its brand image to fit with the times. Meanwhile, other more body-positive brands such as American Eagle's Aerie, ThirdLove, and Lively have taken away market share. 

As a result, Victoria's Secret has seen its market share in the US slip from almost 33% two years ago to around 24% today.

SEE ALSO: Shoppers still think Victoria’s Secret is overpriced despite Wall Street’s warnings about heavy discounting

Join the conversation about this story »

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Zac Efron worked out with Victoria's Secret models, and learned they don't play

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zac efron victorias secret models

 

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Former Angel Karlie Kloss reveals why she left Victoria's Secret: 'I didn't feel it was an image that was truly reflective of who I am'

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Karlie Kloss

Karlie Kloss became one of the most famous Victoria's Secret Angels when she joined the lineup in 2013. She ended up leaving the brand in 2015, and now she has revealed what prompted her decision in an interview for British Vogue's August issue.

In the interview, Kloss said the fashion show was not in line with the message she wanted to send to young women.

"The reason I decided to stop working with Victoria's Secret was I didn't feel it was an image that was truly reflective of who I am and the kind of message I want to send to young women around the world about what it means to be beautiful," she told British Vogue. 

karlie kloss victoria's secret

She also said that leaving the brand was a crucial moment that led her to embrace her "power as a feminist."

"I think that was a pivotal moment in me stepping into my power as a feminist, being able to make my own choices and my own narrative, whether through the companies I choose to work with, or through the image I put out to the world," she told British Vogue.

Though Kloss officially hung up her Angel wings in 2015, she did return for the 2017 show held in Shanghai, China. Kloss also had more positive things to say about the brand in an interview with The Telegraph in March 2018.

"There's something really powerful about a woman who owns her sexuality and is in charge," she told The Telegraph. "A show like this celebrates that and allows all of us to be the best versions of ourselves."

karlie kloss victoria's secret 2017

Kloss' new comments come after the brand announced that the annual Victoria's Secret Fashion Show is getting an overhaul and would no longer be broadcast on television, though plans for the future have yet to be revealed.

Read more:The Victoria's Secret Fashion Show will no longer be televised. Here's why the supermodel-filled event should be scrapped altogether.

The brand's parent company's chief marketing officer, Ed Razek, also received criticism for his comments in a November 2018 interview with Vogue. He said that "no one had any interest" in a show featuring plus-size models, and he also said he doesn't think the show should feature transgender women.

"Shouldn't you have transsexuals in the show? No. No, I don't think we should," he told Vogue."Well, why not? Because the show is a fantasy."

Karlie Kloss

Though Kloss' thoughts on the Victoria's Secret brand may have shifted, she told British Vogue that she learned the power of her voice during her time with the brand.

"Looking back at my late teens and early twenties, I think I was fearful that I would lose a job or lose my position if I said I didn't want to do something," she said. "But I did not lose out on jobs. If anything, the more I exercised the power of my voice, the more I earned respect from my peers."

The August issue of British Vogue hits newsstands on July 5. Read the full article on British Vogue.

Representatives for Kloss and Victoria's Secret did not immediately respond to INSIDER's request for comment.

Join the conversation about this story »

NOW WATCH: This Victoria's Secret model has an insane workout routine

Victoria’s Secret's parent company falls after its CEO's ties with Jeffrey Epstein resurface (LB)

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Les Wexner

  • L Brands CEO Les Wexner has ties to Jeffrey Epstein, the financier charged with sex trafficking.
  • While Wexner cut ties with Epstein years ago and has not been accused of any wrongdoing, L Brands shares declined on news of the charge.
  • Victoria's Secret has struggled to stay relevant to consumers in the #MeToo era. 
  • Watch L Brands trade live on Markets Insider.

Shares of L Brands slid as much as 5% on Tuesday as reports of ties between its CEO and Jeffrey Epstein — the financier charged with sex trafficking — came to light. 

Epstein was the money manager for L Brands CEO Les Wexner for years, and even bought his Manhattan mansion,Bloomberg reported on Monday. Court documents unsealed the same day revealed that federal prosecutors have charged Epstein with running a sex-trafficking operation. Wexner has not been accused of any wrongdoing.

Neither Wexner nor L Brands have spoken out about his prior connections with Epstein, with whom he has not been connected for more than a decade. Still, the ties between Epstein and Wexner are proving to be a drag on L Brands as it tries to reinvent its image to appeal to socially conscious consumers. 

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L Brands is the parent company of Bath & Body Works and Pink, as well as Victoria's Secret. The conglomerate has struggled to maintain the popularity of its Victoria's Secret brand, which used to be the most famous lingerie retailer in the US. Sales have plummeted as customers have grown disenchanted with the brand. Analysts have also grown skeptical of the company's future in the #MeToo era. 

It's taken its toll on the company. The lingerie company lost 9% of its market share in the US between 2015 and 2018. This year, Victoria's Secret has had said it will close 53 stores in North America, up from 30 store closings last year.

Pink, the brand focused on a younger demographic, has also struggled to keep its sales numbers afloat. Other brands such as American Eagle's Aerie have boosted their market share by being more inclusive and advocating for body-positivity. ThirdLove, another brand, has also become increasingly critical of Victoria's Secret. 

Shares of L Brands are up roughly 4% year-to-date.

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Jeffrey Epstein reportedly partnered with Victoria's Secret head Les Wexner to build a model town with McMansions costing as much as $4.5 million

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New Albany

The relationship between Jeffrey Epstein and Les Wexner has come under close inspection this week after Epstein was arrested over the weekend on suspicion of sex trafficking minors.

While a spokesperson for Wexner told Business Insider that the CEO of L Brands, Victoria's Secret's parent company, cut ties with Epstein years ago, back in the late '90s and early 2000s Wexner was one of Epstein's only known clients. According to a lawsuit filed in 2002 by the late artist Nelson Shanks, the two men were "close personal friends." 

Read more:Registered sex offender Jeffrey Epstein once tried to gift Les Wexner with a $339,000 portrait of the Victoria's Secret head's family that was so controversial it sparked a lawsuit

It turns out that Epstein also had a hand in helping Wexner build a model town in New Albany, Ohio, through his development firm The New Albany Co. Epstein invested a few million dollars of capital into the project and became a partner in the company, according to a 2002 article in New York magazine. 

Wexner bought 10,000 acres of land in the area through The New Albany Co., and he set about designing his own mansion (where he still lives) and creating a perfectly manicured town with rows of neo-Georgian McMansions, a golf course, and a country club with the help of the country's top architects and landscapers. 

The town and the house together are worth more than $45.6 million, according to a recent Bloomberg report. 

"It's a community where if you drive around, you know what you're getting yourself into," Jim Lenner, manager of neighboring village Johnstown, told Bloomberg. 

"Obviously, it appeals to a lot of people, but there are also people who aren't interested in living there because they don't want their house to look like their neighbor's," he said. 

The New Albany Co. did not return Business Insider's request for comment, but Epstein is no longer listed as a partner on the company's website.

Back in 2002, New York magazine spoke to Bob Fitrakis, a Columbus-based investigative journalist who had written extensively about Wexner, about Epstein's role in the project. Fitrakis said that before Epstein got involved, the financial preparations and groundwork for development were "a total mess."

"Epstein cleaned everything up, as well as serving Wexner in other capacities – such as facilitating visits to Wexner's home of the crew from 'Cats' and organizing a Tony Randall song-and-dance show put on in Columbus," he said. 

The New Albany Co. still owns around 20% of the town, and according to a New Albany spokesperson, Wexner spends his Saturday mornings driving around to make sure everything is "remaining true to the original vision," Bloomberg reported. Houses in the area are currently selling for as much as $4.5 million.

SEE ALSO: The CEO of Victoria's Secret's parent company reportedly had close ties to Jeffrey Epstein

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'I just grabbed the vibrator and threw it at his head': Former model says she escaped Epstein in 2004 after she was told he was 'in charge of Victoria's Secret'

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jeffrey epstein victoria's secret connection

  • Elisabetta Tai, a former Italian model, told the New York Post that she visited the Manhattan residence of Jeffrey Epstein in 2004, when she was 21, and escaped after the wealthy financier stripped naked, laid on a massage table, and handed her a vibrator.
  • Tai said her booker told her that Epstein, who later registered as a sex offender and now faces sex-trafficking charges, was "in charge of Victoria's Secret" and could get her a modeling gig for the lingerie company's catalog.
  • Epstein was close with Lex Wexner, the founder and CEO of L Brands, the parent company of Victoria's Secret.
  • Wexner also gave Epstein his Manhattan residence, estimated to be worth $77 million.
  • Visit INSIDER's homepage for more stories.

A former Italian model said in an interview with the New York Post over the weekend that Jeffrey Epstein tried to coerce her into sex acts in 2004, when she was 21.

The wealthy financier and sex offender is facing federal charges of sex trafficking and conspiracy between 2002 and 2005. His mysterious legacy has begun to unravel in the week since his arrest in New York.

Elisabetta Tai told the Post that her booker gave her the address of Epstein's Manhattan residence and said Epstein was "in charge of Victoria's Secret" and could get her to model for the lingerie company's catalog. Tai said her booker described Epstein as "one of the most important people in modeling" who could change Tai's life.

Read more:Here's how Jeffrey Epstein may have acquired a $77 million Upper East Side townhouse for $0

Tai told the Post that upon arriving at Epstein's Upper East Side townhouse — estimated to be worth $77 million — she saw other models walking around. She said a woman who looked like Ghislaine Maxwell, a British socialite said to have dated Epstein who is accused of recruiting girls for his sex-trafficking operation, took her to Epstein's office.

Tai, who the Post described as speaking "in halting English," said she talked to Epstein about her modeling experience for a while before he stripped naked, laid on a massage table next to his desk, asked her to approach him, and handed her a vibrator.

She said she froze. "I just grabbed the vibrator and threw it at his head," she told the Post.

Tai said that she ran out of the room but that before she could leave the residence the woman grabbed her and told her she "couldn't just leave" because Epstein was "important" and "a friend of President Clinton."

Read more:Meet Jeffrey Epstein, the financier arrested on suspicion of sex trafficking who's rubbed elbows with Donald Trump, Bill Clinton, and Kevin Spacey

jeffrey epstein ghislaine

Tai told the Post that she was too frightened to tell anyone what happened to her until the latest reports emerged from other women who have accused Epstein of harassing, coercing, trafficking, and assaulting them.

Tai said she returned to Italy and took a few more modeling jobs after her run-in with Epstein.

"It changed me for life," Tai told the Post. "I thought I lived in a hateful world. It was shocking to realize that if I wanted to be a model in America, I was expected to work as a prostitute."

Epstein had a long relationship with Les Wexner, the founder and CEO of L Brands, the parent company of Victoria's Secret. Wexner, Epstein's only confirmed client, allowed Epstein to take an active role in his company alongside managing his fortune.

A representative for Wexner has said that the two cut ties. But before then, Epstein lived in the townhouse that Wexner bought for $13.2 million in 1989 and was transferred to Epstein's LLC in the Virgin Islands, where he owned a private island, for $0 in 2011.

The Post said it also talked with a former modeling agent in Manhattan who said Epstein used his role in Wexner's company to traffic girls by portraying himself as "the back door" of Victoria's Secret. The former agent said that "some of those girls got in" with the lingerie company for ad campaigns and catalogs but not the televised fashion show.

Another source, described by the Post as a "Manhattan model entrepreneur," said Epstein and Maxwell were a fixture at Victoria's Secret events.

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ThirdLove, the buzzy online bra startup that publicly slammed Victoria's Secret for its lack of inclusivity, is opening its first pop-up store in New York

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Heidi Zak thirdlove

Heidi Zak set up online underwear brand Thirdlove so that women wouldn't have to go to a store to shop for bras. 

"Nobody wants to go bra shopping," she said in a conversation with Business Insider in September 2018. 

"I believe we can really solve the fit question," she said, adding that stores were not in the pipeline. "My focus is on digital and continuing to iterate and build on it."

ThirdLove solved the "fit question" by offering an online quiz known as a "fit finder," where customers are asked to complete a series of questions to determine their ideal bra shape. To date, more than 12 million women have taken the quiz, according to the brand. Each time a customer does, the algorithm becomes that much smarter.

Now, nearly a year later, ThirdLove is making its first foray into brick and mortar and opening a pop-up store in New York that will stay open until the end of 2019. 

In a statement to announce the store's opening on July 24, Zak explained that the new space will give customers the chance to engage with the brand in real life, something that they have been asking for.

"I started ThirdLove because I thought women deserved a better bra brand and a better shopping experience. We've delivered that online and now a lot of our customers have expressed a desire to connect with our brand in person."

Customers can come into the store for a real-life bra fitting with its "Fit Stylists," and all of ThirdLove's 78 sizes will be available to try on in the store. 

ThirdLove

This new store puts ThirdLove in direct competition with Victoria's Secret in New York, as the lingerie retailer has a store less than a 10 minutes' walk away in Soho. 

While ThirdLove is certainly not at the same scale as Victoria's Secret in the US, it is growing fast. The company would not disclose sales numbers but told Business Insider that its annual sales have a grown at a rate of 180% for the past four years. 

And, increasingly it has come head to head with the US' biggest lingerie retailer as critics say it provides things that Victoria's Secret doesn't, like inclusive sizing and marketing.

This tension came to a head in November when Zak and her husband David Spector, also a cofounder and co-CEO of ThirdLove, took out a full-page ad in The New York Times slamming Victoria's Secret over comments made by a senior executive of its parent company, who is in charge of running the annual Victoria's Secret fashion show.

Read more:ThirdLove founder reveals why the company took out a full-age ad slamming rival Victoria's Secret

In an interview with Vogue that quickly went viral, L Brands' chief marketing officer Ed Razek said that he didn't think the company's annual fashion show should feature "transsexuals" because "the show is a fantasy." He also said that the brand would not be adding larger sizes to its assortment and that it had no plans to feature plus-size models in its runway show.

Zak told Business Insider that she read the Vogue article dozens of times.

"It made us so angry," she said, adding that it was Spector who decided that the company needed to respond.

"We debated it, and we spent a lot of time writing it, but it was absolutely the right move," she said.

"We felt that we needed to make sure that not just the ThirdLove voice was heard, but that it was a rallying call to all women."

The new ThirdLove Soho store opens July 24 at 347 West Broadway in New York City. 

SEE ALSO: Meet the startup founder challenging the way women shop for bras

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NOW WATCH: An authentication expert at The RealReal showed us how to spot fake designer accessories

Jeffrey Epstein reportedly tried to meddle in selecting Victoria's Secret models, and now the firm is investigating

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Epstein/Wexner

  • Victoria's Secret's parent company, L Brands, has hired an outside law firm to review its relationship with convicted sex offender Jeffrey Epstein.
  • Epstein previously managed the money of L Brands CEO and founder, Les Wexner. The two were reportedly once close friends. Wexner said he has "completely severed" ties with Epstein.
  • Former L Brands executives recently told The Wall Street Journal that Epstein tried to meddle in Victoria's Secret business, offering input on which women should be models.
  • A spokesperson for L Brands told Business Insider that it does "not believe he was ever employed by nor served as an authorized representative of the company."
  • Visit Business Insider's homepage for more stories.

Victoria's Secret's parent company has hired an outside law firm to review its relationship with convicted sex offender Jeffrey Epstein.

Epstein's relationship with Victoria's Secret and Les Wexner – the billionaire businessman behind the lingerie firm's parent company, L Brands – has become a focus of Epstein's unraveling over the past month.

Epstein was this month arrested on suspicion of sex trafficking underage girls in the early 2000s. The indictment alleged that Epstein molested dozens of underage girls between the years of 1999 and 2005, paying them for "massages" that turned into sexual abuse. Epstein pleaded not guilty to the charges.

Since then, Epstein's life and his relationship with high-profile figures such as Wexner have come under the microscope.

Wexner is an important character in the story as he is one of Epstein's only known clients and is considered to be part of the reason that Epstein rose to prominence. In a lawsuit filed in 2002 by the late artist Nelson Shanks, the two men were described as "close personal friends."

Read more:Registered sex offender Jeffrey Epstein once tried to gift Les Wexner with a $339,000 portrait of the Victoria's Secret head's family that was so controversial it sparked a lawsuit

Epstein was responsible for managing Wexner's money and was apparently at one point given the power of fiduciary over all of his private trusts and foundations, a source told Vanity Fair in 2011.

One Wall Streeter described it as a "weird relationship" in an interview with New York Magazine in 2002. "It's just not typical for someone of such enormous wealth to all of a sudden give his money to some guy most people have never heard of. The Wexner-Epstein relationship is indeed a multifaceted one," he said.

Read more: The CEO of Victoria's Secret's parent company was one of Jeffrey Epstein's only known clients, and the 2 were 'close personal friends'

Former L Brands executives told The Journal that Epstein also attempted to meddle in the business, buying a plane from the company for $10 million and trying to offer input on which women should be Victoria's Secret models.

victorias secret angels

There are entries for both Les Wexner and Ed Razek, L Brands' chief marketing officer who runs Victoria's Secret's annual fashion show, in Epstein's little black book. The book was released by Gawker in 2005.

Some of Epstein's victims have come forward saying that he used his connection to Victoria's Secret to coerce them into sexual acts.

In an interview with The New York Post, Italian model Elisabetta Tai said she was told that Epstein was "in charge of Victoria's Secret" and could get her to model for the lingerie company's catalog. Her booker described him as "one of the most important people in modeling," she said.

Earlier this month, Wexner responded to the Epstein news in a memo to employees saying that he was "never aware of the illegal activity charged in the indictment."

"I would never have guessed that a person I employed more than a decade ago could have caused such pain to so many people," he wrote in the memo. "I have searched my soul … reflected … and regretted that my path ever crossed his." He added that he "completely severed" all ties with Epstein 12 years ago.

In a statement to Business Insider, a spokeswoman for L Brands said that while Epstein was Wexner's personal money manager "we do not believe he was ever employed by nor served as an authorized representative of the company." She added: "Mr. Epstein's crimes are abhorrent, and we applaud every effort to bring justice to those harmed."

SEE ALSO: Jeffrey Epstein reportedly partnered with Victoria's Secret head Les Wexner to build a model town with McMansions costing as much as $4.5 million

Join the conversation about this story »

NOW WATCH: How lobster went from the 'poor man's protein' to the delicacy we eat today

Victoria's Secret billionaire Leslie Wexner gave near-total control of his finances to Jeffrey Epstein, according to a stunning new account of their controversial friendship

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Les Wexner

  • The Victoria's Secret billionaire Leslie Wexner handed Jeffrey Epstein power of attorney in 1991, giving him sweeping control over his financial affairs, The New York Times reported Thursday.
  • Friends and associates of Wexner were mystified by the trust Wexner placed in Epstein, according to the report.
  • A woman told The Times that Epstein once posed as a Victoria's Secret talent scout in 1997 and tried to "manhandle" her in a Santa Monica, California, hotel room.
  • During the time he was close to Wexner, Epstein acquired two luxury properties and a private jet previously owned by Wexner or his companies.
  • Epstein was arrested in July on federal charges of sex trafficking and sex-trafficking conspiracy, to which he has pleaded not guilty.
  • Visit Business Insider's homepage for more stories.

Leslie Wexner, the billionaire CEO of Victoria's Secret's parent company, L Brands, mysteriously handed almost total control of his financial affairs to Jeffrey Epstein for more than a decade, The New York Times reported Thursday.

Wexner gave Epstein power of attorney in 1991, according to a three-page legal document acquired by The Times.

This would have made him able to hire people, sign checks, buy and sell properties, and borrow money on Wexner's behalf. The Times said Wexner did not cut ties with Epstein until 2007, the year before Epstein pleaded guilty to prostitution charges. The plea deal was the focus of a November exposé by the Miami Herald that ultimately led Epstein to be arrested in July on federal charges of sex trafficking and sex-trafficking conspiracy, to which he has pleaded not guilty.

Friends and colleagues were mystified that Wexner had handed such sweeping control of his affairs to Epstein, who at the time he was made power of attorney was working as Wexner's personal financial adviser, The Times said.

The newspaper detailed how Epstein took a central role in Wexner's financial, philanthropic and personal affairs. It reported that:

  • From 1991 to 2007, Epstein took control or possession of valuable assets previously owned by Wexner or his companies. These included a New York mansion, a luxury Ohio property, and a private jet. According to The Times, there are no publicly filed documents showing the purchases.
  • Epstein acquired a leadership role in two of Wexner's foundations and was named as a trustee in entities with millions of dollars in shares, including one for Wexner's children, according to public filings.
  • He was given control over designing Wexner's personal yacht, Limitless.
  • Well before Wexner cut ties with him, Epstein was accused of posing as a Victoria's Secret talent scout. A California model named Alicia Arden told The Times that in 1997 Epstein assaulted her after luring her back to a Santa Monica hotel room.
  • Maria Farmer, in an affidavit filed in April, accused Epstein of sexually assaulting her in Wexner's Ohio mansion in 1996.

Two former executives for Victoria's Secret told The Times they were concerned by Epstein's apparent attempts to introduce himself into the model-auditioning processes and informed Wexner, who said he would take care of it.

jeffrey epstein ny state sex offender photo

Epstein served 13 months in jail from 2008 to 2009 after pleading guilty to the prostitution charges.

Representatives of Wexner and L Brands, the Victoria's Secret's parent company, which is owned by Wexner, declined to provide The Times details of the work Epstein performed for Wexner.

"While Mr. Epstein served as Mr. Wexner's personal money manager for a period that ended nearly 12 years ago, we do not believe he was ever employed by nor served as an authorized representative of the company," Tammy Roberts Myers, a company spokeswoman, told The Times.

She told the publication that at the request of the company's board, L Brands had recently hired a team of lawyers to review the relationship between Epstein and Wexner.

L Brands did not immediately respond to a request from Business Insider for further comment.

Epstein's attorney, Martin Weinberg, did not respond to requests for comment from The Times or Business Insider.

Wexner declined to comment to The Times on its report.

In a letter earlier in July to employees, Wexner wrote he was "NEVER aware of the illegal activity charged in the indictment" of Epstein.

"I would never have guessed that a person I employed more than a decade ago could have caused such pain to so many people," he wrote.

Join the conversation about this story »

NOW WATCH: Nxivm leader Keith Raniere has been convicted. Here's what happened inside his sex-slave ring that recruited actresses and two billionaire heiresses.

Victoria's Secret's Pink brand is 'without fans and rudderless' (LB)

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  • Pink is the next sore spot for L Brands' Victoria's Secret, according to Jefferies analyst Randal Konik. 
  • He says sales for the brand fell by low double digits in the fourth quarter and are set to keep sliding.  
  • Konik went to a Pink event at Rutgers University that he says proved the brand is "without fans and rudderless."
  • Watch L Brands trade live

Pink is the next trouble spot at Victoria's Secret, according to longtime L Brands skeptic Randal Konik, who last week visited a brand event at Rutgers University. 

"Our visit to Rutgers University on 3/29 shows the PINK brand without fans and rudderless," he wrote in a note sent out to clients on Monday. "We believe PINK sales may be cut in half or more within the next 12-24 months creating further EPS cuts for LB so sell shares."

The problems at Victoria's Secret are nothing new, but what is new is that the Pink brand is struggling. Comp sales for Pink fell by low double digits during the fourth quarter, and Konik says that decline is set to continue. He added that the brand can't rely on heavy promos to keep driving traffic, and that the slowdown is coming as the Bath & Body Works brand also begins to wane. Bath & Body Works' comp sales weren't positive for just the second time in 24 months in February.   

But at least one investor thinks there's still hope at L Brands. Last month, in a letter to Leslie Wexner, the chairman and CEO of L Brands, the activist investor Barington Capital called on the company to quickly improve the performance of Victoria's Secret by "correcting past merchandising mistakes and ensuring that it communicates a compelling, up-to-date brand image that resonates with today's consumers."

Barington asked the company to unlock Bath & Body Works' value by launching an initial public offering for the brand or by spinning off Victoria's Secret. Barington also seeks a shakeup of the L Brands board of directors.

And while Konik thinks that an activist investor is a good thing, he disagrees on the value of L Brands. 

"The leverage is high, the VS brand is broken and they are not calculating the risk of PINK sales being cut in half which is real," Konik wrote. 

"Their view is BBW has all this value and to be fair BBW is a good biz for now but it’s cyclical and mall dependent which means the distribution model is flawed and business momentum not sustainable. Furthermore if the company were to be split all the debt has to be put on BBW not VS where losses are going to mount and cash flows can’t cover interest payments."

Konik has a $16 price target for L Brands — about 41% below where shares were trading on Monday — and "underperform" rating for the stock. 

L Brands was up about 6% this year, including Monday's 1.1% loss. 

L Brands

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Victoria's Secret billionaire Leslie Wexner gave near-total control of his finances to Jeffrey Epstein, according to a stunning new account of their controversial friendship

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Les Wexner

  • The Victoria's Secret billionaire Leslie Wexner handed Jeffrey Epstein power of attorney in 1991, giving him sweeping control over his financial affairs, The New York Times reported Thursday.
  • Friends and associates of Wexner were mystified by the trust Wexner placed in Epstein, according to the report.
  • A woman told The Times that Epstein once posed as a Victoria's Secret talent scout in 1997 and tried to "manhandle" her in a Santa Monica, California, hotel room.
  • During the time he was close to Wexner, Epstein acquired two luxury properties and a private jet previously owned by Wexner or his companies.
  • Epstein was arrested in July on federal charges of sex trafficking and sex-trafficking conspiracy, to which he has pleaded not guilty.
  • Visit Business Insider's homepage for more stories.

Leslie Wexner, the billionaire CEO of Victoria's Secret's parent company, L Brands, mysteriously handed almost total control of his financial affairs to Jeffrey Epstein for more than a decade, The New York Times reported Thursday.

Wexner gave Epstein power of attorney in 1991, according to a three-page legal document acquired by The Times.

This would have made him able to hire people, sign checks, buy and sell properties, and borrow money on Wexner's behalf. The Times said Wexner did not cut ties with Epstein until 2007, the year before Epstein pleaded guilty to prostitution charges. The plea deal was the focus of a November exposé by the Miami Herald that ultimately led Epstein to be arrested in July on federal charges of sex trafficking and sex-trafficking conspiracy, to which he has pleaded not guilty.

Friends and colleagues were mystified that Wexner had handed such sweeping control of his affairs to Epstein, who at the time he was made power of attorney was working as Wexner's personal financial adviser, The Times said.

The newspaper detailed how Epstein took a central role in Wexner's financial, philanthropic and personal affairs. It reported that:

  • From 1991 to 2007, Epstein took control or possession of valuable assets previously owned by Wexner or his companies. These included a New York mansion, a luxury Ohio property, and a private jet. According to The Times, there are no publicly filed documents showing the purchases.
  • Epstein acquired a leadership role in two of Wexner's foundations and was named as a trustee in entities with millions of dollars in shares, including one for Wexner's children, according to public filings.
  • He was given control over designing Wexner's personal yacht, Limitless.
  • Well before Wexner cut ties with him, Epstein was accused of posing as a Victoria's Secret talent scout. A California model named Alicia Arden told The Times that in 1997 Epstein assaulted her after luring her back to a Santa Monica hotel room.
  • Maria Farmer, in an affidavit filed in April, accused Epstein of sexually assaulting her in Wexner's Ohio mansion in 1996.

Two former executives for Victoria's Secret told The Times they were concerned by Epstein's apparent attempts to introduce himself into the model-auditioning processes and informed Wexner, who said he would take care of it.

jeffrey epstein ny state sex offender photo

Epstein served 13 months in jail from 2008 to 2009 after pleading guilty to the prostitution charges.

Representatives of Wexner and L Brands, the Victoria's Secret's parent company, which is owned by Wexner, declined to provide The Times details of the work Epstein performed for Wexner.

"While Mr. Epstein served as Mr. Wexner's personal money manager for a period that ended nearly 12 years ago, we do not believe he was ever employed by nor served as an authorized representative of the company," Tammy Roberts Myers, a company spokeswoman, told The Times.

She told the publication that at the request of the company's board, L Brands had recently hired a team of lawyers to review the relationship between Epstein and Wexner.

L Brands did not immediately respond to a request from Business Insider for further comment.

Epstein's attorney, Martin Weinberg, did not respond to requests for comment from The Times or Business Insider.

Wexner declined to comment to The Times on its report.

In a letter earlier in July to employees, Wexner wrote he was "NEVER aware of the illegal activity charged in the indictment" of Epstein.

"I would never have guessed that a person I employed more than a decade ago could have caused such pain to so many people," he wrote.

Join the conversation about this story »

NOW WATCH: Nxivm leader Keith Raniere has been convicted. Here's what happened inside his sex-slave ring that recruited actresses and two billionaire heiresses.


Jeffrey Epstein reportedly lived the life of a billionaire thanks to hand-me-downs from Victoria's Secret head Les Wexner (LB)

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Epstein/Wexner

  • Jeffrey Epstein was relatively unknown until he started managing Les Wexner's money.
  • Wexner, the CEO of Victoria's Secret's parent company, L Brands, became Epstein's early ticket to the billionaire lifestyle. Epstein flew around in Wexner's private jet and attended his exclusive parties, according to The New York Times. 
  • Wexner reportedly gave Epstein complete control of his financial affairs and passed on some of his major assets, including a Manhattan mansion, a private plane, and a luxury estate in Ohio. 
  • Visit Business Insider's homepage for more stories.

L Brands CEO Les Wexner was one of Jeffrey Epstein's only known clients and his early ticket to the billionaire lifestyle.

Epstein was relatively unknown until he met Wexner. He started out as a math teacher, spent a brief stint at the New York-based investment bank Bear Stearns, and then left to set up his own firm to manage other people's money, Vanity Fair reported in 2011. 

While Epstein denied that Wexner "made him," Wexner was one of his first clients. The two men came into contact in the mid-to-late 1980s, when Wexner was already a well-established retail leader and had built up a $3 billion business. 

In a lawsuit filed in 2002 by the artist Nelson Shanks, the two men were described as "close personal friends." Epstein attended Wexner's exclusive birthday parties, flew in and out of Columbus, Ohio, (Wexner's hometown) in the billionaire's private jet, and was given complete control of Wexner's private affairs, according to a report from The New York Times published on Thursday.

Read more: Victoria's Secret billionaire Leslie Wexner gave near-total control of his finances to Jeffrey Epstein, according to a stunning new account of their controversial friendship

One Wall Streeter described it as a "weird relationship" in an interview with New York magazine in 2002.

"It's just not typical for someone of such enormous wealth to all of a sudden give his money to some guy most people have never heard of," he said.

The details of how exactly Epstein made his fortune are somewhat cloudy, but according to The Times, "what is clear is that during the period in which he worked closely with Mr. Wexner, Mr. Epstein became extraordinarily rich."

2 mansions and a private plane

Epstein was arrested earlier this month and charged with sex trafficking underage girls. He pleaded not guilty to the charges.  

The Times report dug further into the relationship between these two men.

According to The Times, Epstein was an important part of Wexner's world. Wexner gave Epstein power of attorney, which meant he could hire people, sign checks, buy and sell properties, and borrow money on Wexner's behalf. Wexner also passed on several of his major assets to Epstein, including his Manhattan mansion, a private plane, and a luxury estate in Ohio, The Times said. 

The New York mansion, which is believed to be the largest private residence in Manhattan and was recently valued at $77 million by prosecutors, was bought by Wexner through one of his trusts for $13.2 million in 1989.

Epstein later moved in after Wexner and his wife, Abigail, moved to Ohio, where L Brands' headquarters are. A person with knowledge of Wexner's finances told The Times that Epstein paid $20 million for the property, but there are no publicly filed documents that recorded the transaction. 

Around the late 1990s, an Epstein-controlled company obtained a Boeing 727 plane that was previously owned by Wexner's company, according to The Times. Again, there don't appear to be any public records of the transaction; a source told The Times that Epstein paid $10 million for it. 

In 1992, Epstein acquired a 23-room mansion and estate in Ohio from Wexner for $3.5 million, The Times reported. The property was part of Wexner's real-estate development in New Albany, where he built an entire town through his development firm The New Albany Co. Epstein also had a hand in this, investing a few million dollars into the project and becoming a partner in the company, according to New York magazine.

But six years later, a company linked to Wexner bought this property back from Epstein for $8 million — a $4.5 million premium on what it was originally sold for, according to The Times. And it was around that time that Epstein, through a separate company, spent $7.95 million buying a private island in the US Virgin Islands. This would become one of his most luxurious residences. 

"While Mr. Epstein served as Mr. Wexner's personal money manager for a period that ended nearly 12 years ago, we do not believe he was ever employed by nor served as an authorized representative of the company," the L Brands spokesperson Tammy Roberts Myers said in a statement to Business Insider in response to an earlier story, adding that the company had recently hired an outside law firm to review its relationship with Epstein. 

Representatives for L Brands and Epstein did not immediately return Business Insider's request for further comment. 

Earlier this month, Wexner responded to the reports around his relationship with Epstein in a memo to employees. He said he was "never aware of the illegal activity charged in the indictment."

"I would never have guessed that a person I employed more than a decade ago could have caused such pain to so many people," he wrote in the memo, which was viewed by The Wall Street Journal. "I have searched my soul … reflected … and regretted that my path ever crossed his," adding that he "completely severed" all ties with Epstein 12 years ago.

SEE ALSO: Jeffrey Epstein reportedly partnered with Victoria's Secret head Les Wexner to build a model town with McMansions costing as much as $4.5 million

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NOW WATCH: These melons can sell for as much as $22,500 each in Japan

Dylan Sprouse and Barbara Palvin have been dating for over a year. Here's a timeline of their relationship.

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barbara palvin dylan sprouse

  • Dylan Sprouse and Barbara Palvin reportedly started dating in the summer of 2018.
  • The couple said they met at a party and, after it, Sprouse sent Palvin a direct message on Instagram.
  • They reportedly moved in together in January and recently celebrated their one-year anniversary.
  • Visit INSIDER's homepage for more stories.

 

Back in the summer of 2018, former Disney-Channel star Dylan Sprouse and Victoria's Secret Angel Barbara Palvin began dating — and the couple is still going strong one year later.

From meeting at a party to seemingly moving in together, here's how the first year of their relationship has unfolded.

In June 2018, Palvin and Sprouse reportedly began quietly dating.

Earlier this year, Palvin posted on Instagram that the couple's anniversary is on June 16, meaning they likely began dating during the summer of 2018. 

She told People magazine that she knew "the first minute" she met him that she wanted to be exclusive with Sprouse.

The couple told W magazine that they initially started talking after Palvin followed Sprouse on Instagram and he sent her a direct message. She didn't answer him for a while, but, once she did, they struck up a conversation. She then went to visit him in China where he was filming a movie that summer.



By July 2018, the media had noticed they were hanging out.

The couple hadn't yet publicly commented on their relationship by mid-summer. But according to Cosmopolitan, Sprouse posted a now-deleted Instagram of he and Palvin at the World Cup in Russia.

Notably, Sprouse recently deleted almost all of the photos off of his Instagram — not just the ones with Palvin in them. 



On August 4, 2018, Palvin wished Sprouse a happy birthday.

Palvin seemed to make her relationship with Sprouse Instagram-official when he turned 26.

On his birthday, she posted a selfie of the two of them, captioning it, "Even though it's your birthday I feel I just got the biggest present of all. Happy birthday Boss Baby." 



In August 2018, they visited Hungary, where Palvin was born.

In August of 2018, Palvin and Sprouse were spotted traveling around Budapest together. Sprouse later told W magazine that during the trip he was trying to pick up some Hungarian to better communicate with Palvin's parents.

"I wasn't nervous to meet her parents, but the truth is that there is a language barrier, obviously," Sprouse told the publication. "Her mother speaks a very tiny bit [of English], and I am not proficient in Hungarian. I'm trying, but learning is definitely an overstatement."

 

 

 



In September 2018, the couple attended several events together during New York Fashion Week.

Their red-carpet debut came on September 6, 2018 at the "Angels" book launch and exhibit.

And they appeared together many other times that week — the next day, they were photographed at the Harper's Bazaar Icons party. They attended as many as five events together in that week, per J-14 magazine.



In October 2018, the couple showed off their love of anime with their Halloween costumes.

The two attended Heidi Klum's Halloween party together in 2018. According to Just Jared, Palvin went as Gaara from "Naruto" and Sprouse as Future Trunks from "Dragon Ball Z."

Palvin told W magazinethat their mutual love for anime is a big plus for their relationship. 

"In high school, I had a friend who would watch 'Naruto' with me, but that faded away. When [Dylan] came into my life, I was like, I'm home, baby," she said.



In November 2018, Sprouse supported Palvin from the audience of the Victoria's Secret Fashion Show.

While watching Palvin walk the Victoria's Secret runway, Sprouse had his hand over his heart and he couldn't stop cheering for her. He also memorably brought her Shake-Shack burgers to eat after the show.

Palvin later posted a photo of them kissingon Instagram, writing that Sprouse is even "better than burgers."



By January 2019, it seems they had moved in together in New York City.

"Two worms officially in the big apple," Palvin wrote in the caption of a photo of them standing in a room filled with moving boxes.



In February 2019, Palvin finally met Dylan's twin brother Cole Sprouse.

The two brothers were photographed with Palvin at the Vanity Fair Oscars after-party looking chic as ever. Prior to this event, Dylan told W magazine that Palvin hadn't met his brother yet because Cole was "a very busy guy" shooting "Riverdale" up in Canada.



In March 2019, Sprouse celebrated Palvin's Victoria's Secret promotion.

Palvin was officially made a Victoria's Secret Angel in March of 2019. Per Harper's Bazaar, Sprouse commented on Instagram to congratulate her, writing, "Here's to the people who tried to drag her down, cheers!"



On June 16, the couple celebrated their one-year anniversary.

"One whole year with smoogie," Dylan captioned a now-deleted photo of them at an event. "From China to NYC to the rest of the world. I'll save the sappiness for private, but my life is better now."

Palvin also posted an anniversary tribute on Instagram, captioning a series of photos of the her and Sprouse with, "Happy anniversary I love you," with a heart emoji.



How Victoria’s Secret head Les Wexner went from small-town Ohio shopkeeper to facing scrutiny for his ties to convicted sex offender Jeffrey Epstein (LB)

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Les Wexner

Les Wexner is the founder and CEO of L Brands, the company that owns Victoria's Secret.

With an estimated net worth of $4.7 billion, he is one of America's longest-serving CEOs, according to Forbes

Recently Wexner has come under scrutiny for his relationship with convicted sex offender Jeffrey Epstein, his former financial advisor. The two were described as "close personal friends" in a 2002 lawsuit.

Read more: The CEO of Victoria's Secret's parent company was one of Jeffrey Epstein's only known clients, and the 2 were 'close personal friends'

Wexner's relationship with Epstein was deep-rooted and problematic, a Wall Street Journal report said. Throughout the two-decades-long relationship, Wexner reportedly paid Epstein millions of dollars in fees and involved the financier in his family matters.

Epstein also reportedly meddled in the model selection process for Victoria's Secret, The New York Times reported.  Though Wexner has said he regrets any association with Epstein, the two have an entangled past. The question of Wexner's relationship with Epstein has been heightened in the wake of Epstein's sex-trafficking charges. 

Wexner wasn't always a billionaire, however. He was born in Dayton, Ohio, to Russian immigrants, attended The Ohio State University, and served in the Air National Guard. He then went to work in his parents' business, a small store called Leslie's, starting him on the path to retail.

This is the story of how Wexner went from his first serious go at retail with The Limited to his leap to billionaire CEO of L Brands — and ultimately to his entanglement with Epstein:

SEE ALSO: Jeffrey Epstein reportedly tried to meddle in selecting Victoria's Secret models, and now the firm is investigating

Leslie "Les" Wexner was born in Dayton, Ohio, in 1937 to Russian immigrants. Wexner attended The Ohio State University and served in the Air National Guard. He then went to work in his parents' business, a small store called Leslie's.

Source: L Brands



In 2013, Wexner donated $100 million to his alma mater. He would serve on the university's Board of Trustees for two terms throughout his life.

Source: Jewish Business News



Though Wexner initially planned to pursue a career in law, he decided to enter the field of fashion retail. In 1963, he took a $5,000 loan from his aunt to open his own store called The Limited, which focused on selling only a few types of inexpensive clothing and competed with his parents' store.

Source: Jewish Business News,Town and Country



Wexner made $20,000 in profit in his first year running the store. In the next decade, Wexner opened 41 stores, and he was selling $26 million worth of merchandise by 1973. He decided to focus on the female customer and launched Express in 1980.

Source: Forbes



In 1982, Wexner became interested in a small lingerie chain, Victoria's Secret. He bought the failing chain of San Francisco shops for $1 million and began to revitalize the chain into what it is today.

Source: Forbes



Victoria's Secret was soaring by the early 1990s. It had over 350 stores, and its sales were more than $1 billion.

Source: The Telegraph



In the 1980s, Wexner was looking to expand his interests beyond retail. He was specifically interested in developing luxury homes in New Albany, Ohio. He bought land for his own mansion there in the late 1980s and eventually designed the entire 10,000-acre town through his development firm, The New Albany Co.

Source: The New York Times, Business Insider, Bloomberg



In the mid-to-late-1980s, a mutual acquaintance introduced Wexner to Jeffrey Epstein, a financial advisor, to assist Wexner in his new business ventures. After they met, the two reportedly began to spend a lot of time together.

Source: The New York Times



Wexner married Abigail S. Koppel on January 23, 1993 in New Albany. Koppel, a lawyer, graduated from Barnard College and New York University's law school. By this time, Epstein was already enmeshed in Wexner's personal and financial affairs, according to The New York Times.

Source: The New York Times



In July 1991, Wexner signed a document that gave Epstein power of attorney, which granted Epstein the "full power and authority to do and perform every act necessary” on behalf of Wexner, The New York Times reported.

Source: The New York Times



Over the next 16 years, Epstein proceeded to meddle in various aspects of Wexner's business and personal affairs. In these years, Epstein acquired mansions in New York and Ohio, as well as a private plane that had been owned by Wexner or his companies previously. Wexner is one of Epstein's only known clients.

Source: The New York Times,Business Insider,Vanity Fair



In 2002, Epstein attempted to give Wexner a $339,000 portrait — a move that led to a lawsuit. In the lawsuit over payment for the painting, between Epstein and the artist, Wexner and his wife were described as Epstein's "clients and close personal friends."

Source: Business Insider



In 2018, Wexner began to vocalize criticism against President Donald Trump. In January of that year, Wexner criticized the president's rhetoric on immigration via an online video.

Source: Business Insider



Eventually, Wexner announced he no longer considered himself a Republican, claiming he had experienced enough of the "nonsense" of that party.

Source: Business Insider



Meanwhile, Victoria's Secret has been criticized by people both inside and outside the fashion industry for its lack of diversity and unrealistic portrayals of women.

Source: Business Insider



Everything came to a head in July. Epstein was arrested and charged with sex trafficking of minors. He pleaded not guilty to the charges.

Source: Business Insider



After Epstein was arrested, Wexner came under scrutiny for his close relationship with the financier. The Wall Street Journal reported that Epstein had an unusual amount of influence in matters that should have been considered outside of his jurisdiction, such as his attempts to meddle in the selection of Victoria's Secret models.

Source: The Wall Street Journal, Business Insider



Wexner wrote in a company memo after Epstein's arrest that he had been unaware of the charges that were being brought against his former financier. He also said he regretted that his "path ever crossed" Epstein's, and that he cut all ties with Epstein 12 years ago.

Source: The Wall Street Journal,Business Insider



L Brands hired an outside law firm to investigate Epstein's ties to the company. A spokeswoman for L Brands told Business Insider that the company does not believe that Epstein ever "served as an authorized representative of the company."

Source: Business Insider



Victoria's Secret reportedly continued to work with a modeling agency after it was accused of supplying underage girls to Jeffrey Epstein (LB)

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Epstein/Wexner

  • Les Wexner, CEO of Victoria's Secret parent company L Brands, said he "completely severed" ties with Jeffrey Epstein 12 years ago. 
  • However, according to Bloomberg, the lingerie giant continued to work with a modeling agency that was once accused of supplying Epstein with underage girls.
  • In 2015, Epstein accuser victim Virginia Roberts (now Giuffre) said in court filings that Jean-Luc Brunel, an international modeling scout and the owner of MC2 Model Management, had supplied Epstein with dozens of underage girls.
  • According to Bloomberg, three MC2 models walked in Victoria's Secret's 2015 fashion show, and the agency's models were at auditions in 2017 and 2018.
  • Representatives for L Brands and MC2 Model Management did not immediately respond to Business Insider's requests for comment.
  • L Brands recently hired an outside law firm to review its relationship with Epstein.
  • Visit Business Insider's homepage for more stories.

Les Wexner may have cut ties with Jeffrey Epstein 12 years ago, but Victoria's Secret reportedly continued to work with a modeling agency for years after it was accused of supplying Epstein with underage girls. Epstein is currently facing sex-trafficking charges. 

In 2015, Epstein accuser Virginia Roberts (now Giuffre) said in court filings that Jean-Luc Brunel, an international modeling scout and the owner of MC2 Model Management, had supplied Epstein with dozens of underage girls to feed his and Ghislaine Maxwell's "strong appetite for sex with minors." Maxwell has been accused of acting as Epstein's madame, recruiting underage girls and abusing them alongside him.

"[Brunel] appeared to have an arrangement with the U.S. Government where he could get passports or other travel documents for young girls. He would then bring these young girls (girls ranging in age from 12 to 24) to the United States for sexual purposes and farm them out to his friends, including Epstein," Giuffre said in the lawsuit. 

According to Bloomberg, Epstein also once had a $1 million investment in MC2 Model Management. 

Giuffre said in court filings that she had sexual intercourse with Brunel on several occasions, when she was between the ages of 16 and 18.

"He was another of Epstein's powerful friends who had many contacts with young girls throughout the world," she said.

Brunel later tried to sue Epstein, alleging that he had been unfairly caught up in his legal troubles, but the case was dismissed.

Victoria's Secret continued to work with MC2-represented models after Wexner severed ties with Epstein, Bloomberg reported.

Read more: How Victoria's Secret head Les Wexner went from small-town Ohio shopkeeper to facing scrutiny for his ties to convicted sex offender Jeffrey Epstein

"Three MC2 models walked in Victoria's Secret's 2015 fashion show, and the agency's models were at auditions in 2017 and 2018. They've also posed for its catalogs and website," Bloomberg wrote.

Representatives for L Brands and MC2 Model Management did not immediately respond to Business Insider's requests for comment. 

Last week, L Brands confirmed to Business Insider that its board of directors had hired an outside law firm to review its relationship with Epstein.

An L Brands spokeswoman said that while Epstein was Wexner's personal money manager, "we do not believe he was ever employed by nor served as an authorized representative of the company."

"Mr. Epstein's crimes are abhorrent, and we applaud every effort to bring justice to those harmed," she said.

If you are a current or former employee of Victoria's Secret and have a story to share, contact this reporter at mhanbury@businessinsider.com or securely via encrypted messaging appSignal at +1 (646) 768-4716 using a non-work phone.

SEE ALSO: Jeffrey Epstein reportedly lived the life of a billionaire thanks to hand-me-downs from Victoria's Secret head Les Wexner

Join the conversation about this story »

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The fate of Victoria's Secret's iconic fashion show is uncertain after model reportedly says it's canceled

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Shanina Shaik 2015 Victoria's Secret

  • Victoria's Secret model Shanina Shaik reportedly said this week that the lingerie brand has cancelled this year's annual fashion show
  • "Unfortunately the Victoria's Secret show won't be happening this year," she told The Daily Telegraph. "It's something I'm not used to because every year around this time I'm training like an Angel."
  • Victoria's Secret and its parent company, L Brands, did not respond to multiple requests for comment. 
  • L Brands revealed in May that it was thinking about making changes to the annual fashion show.

The fate of the Victoria's Secret fashion show is uncertain after a model said this week that lingerie brand has cancelled the iconic event.

Shanina Shaik, who has walked in several previous Victoria's Secret fashion shows, told The Daily Telegraph on Tuesday that the annual show is off.

"Unfortunately the Victoria's Secret show won't be happening this year," she said. "It's something I'm not used to because every year around this time I'm training like an Angel."

Victoria's Secret and its parent company, L Brands, have not responded to emails and phone calls requesting comment on Shaik's remarks. 

Shaik said the show, which typically airs in the fall, could be resurrected in the future.

"I'm sure they're trying to work on branding and new ways to do the show because it's the best show in the world," she told the Telegraph. A representative for Shaik did not respond to a request for comment.

Read more:Victoria's Secret will no longer air its iconic annual fashion show on network TV as it rethinks 'literally everything' about its business

L Brands revealed in May that it was thinking about making changes to the annual fashion show.

L Brands CEO Les Wexner said in a memo to employees that the company didn't think "network television is the right fit" for the show.

He said the company is rethinking "literally everything" about its business and is focusing on "developing exciting and dynamic content and a new kind of event — delivered to our customers on platforms that she's glued to."

Wexner didn't say anything at the time about an outright cancellation of the event.

Victoria's Secret's annual fashion show, which features top models called "angels" wearing lingerie, has seen a severe decline in viewership over the last several years.

Last year, 3.3 million people tuned in to watch the show, down from 9.7 million viewers in 2013.

SEE ALSO: Victoria's Secret is closing dozens of stores — see if yours is on the list

Join the conversation about this story »

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