Calvin Klein Shuts Down Its Luxury Collection

American fashion house Calvin Klein is shutting down its luxury collection and plans to focus on its other lines, such as denim, underwear, and perfume. Calvin Klein is closing down its high-end men’s and womenswear line, three months after the resignation of the company’s creative director Raf Simons. Simons’ departure came after Emanuel Chirico, the CEO of Calvin Klein’s parent company, expressed his disappointment in the lack of investment return on Simons’ project. In fact, Calvin Klein’s profit declined to $121 million from the $142 million that it made during the third quarter of last year. Aside from the decline in sales, Chirico criticized Calvin Klein’s product direction, saying that it was partial to high fashion. The company also failed to deliver expected profits despite the high-profile endorsement from the famous Kardashian family. After Simons’ resignation, the company initially planned to rebrand the high-end collection but decided to scrap it entirely. Instead, the company will prioritize its denim line. Calvin Klein believes that this new strategy will not dent sales because denim and underwear products are already the brand’s biggest sellers. Calvin Klein’s decision to close down the high-end collection led to the decision of dismissing about 100 employees. The company is also planning to shut down its New York and Milan offices as it moves forward into a new direction. With this, Calvin Klein is working on proper dismissal measures for employees while also searching for a new creative director for the company.