Amazon isn’t alone in reportedly destroying unsold goods. Nike, Burberry, H&M and others have also come under fire for torching their own products.

Burberry show
Models showcase Burberry’s latest designs during London Fashion Week February 2020.

Amazon is not the only company that has been reportedly destroying unsold goods.

Amazon came under fire this week after a former employee told ITV, a British news channel, that employees at a warehouse in Scotland were instructed to destroy 130,000 unsold and returned items in just one week – totalling more than a million items per year.

But Amazon is far from the only offender.

Brands including Burberry, Urban Outfitters, H&M, Nike, JCPenney, Michael Kors, Eddie Bauer, and Victoria’s Secret have all been accused of doing the same, according to various reports in recent years.

Burberry came clean about burning clothes and said it “used specialist incinerators that harness energy from the process.” The destroyed goods totaled about $37 million, compared to Burberry’s revenue of $3.8 billion that year.

“Burberry has insisted it’s recycling the clothing into energy, except the energy that is recouped from burning clothing doesn’t come anywhere near the energy that was used to create the garments,” Timo Rissanen, an associate dean at Parsons School of Design and a professor of fashion design and sustainability told Vox in a 2018 interview.

The amount of garments that people have been buying annually has been steadily increasing since the early 2000’s. Insider previously reported that the fashion industry makes up “10% of humanity’s carbon emissions, dries up water sources, and pollutes river streams.”

Chanel and Louis Vuitton have also participated in the burning of merchandise. Richemont, the Swiss company behind brands like Cartier and Montblanc, said in 2018 it had destroyed more than $500 million worth of watches to keep them out of the hands of resellers.

In response to ITV’s reporting, an Amazon spokesperson told Insider that no clothes were sent to landfills, but “as a last resort,” some may be sent to “energy recovery.”

“We’re working hard to drive the number of times this happens down to zero,” Amazon said.

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Coty drops 19% as quarterly revenue misses Wall Street expectations

makeup cosmetics eye shadow
  • Coty stock fell as much as 19% on Tuesday after reporting second-quarter earnings.
  • Second-quarter revenue of $1.42 billion missed Wall Street’s estimate of $1.43 billion.
  • Adjusted earnings of $0.17 per share were better than analysts had expected.
  • Visit the Business section of Insider for more stories.

Coty dropped by as much as 19% on Tuesday after quarterly revenue fell shy of Wall Street’s targets as the ongoing COVID-19 pandemic hurt sales of makeup.

The beauty products maker, whose portfolio includes brands such as Cover Girl, Rimmel and Kylie Skin, posted fiscal second-quarter net revenue of $1.42 billion, down 16% from $1.68 billion a year ago. Analysts had expected revenue of $1.43 billion.

Coty’s stock hit an intraday low of $6.47, marking an 19% decline from Monday’s closing price. So far in 2021, the stock has lost more than 7% and has slid by 45% over the past 12 months.

The company said its cosmetics and fragrance categories within its mass-beauty business “remained pressured” during the second quarter as the number of coronavirus cases ramped up in parts of the US, “impacting both store traffic and make-up usage occasions.”

But Coty noted that it saw further strength from its prestige fragrances in the US, with the Marc Jacobs, Gucci, and Burberry brands “delivering robust growth” in the quarter ended December 31.

Adjusted earnings were $0.17 per share, higher than Wall Street’s consensus estimate of $0.07 per share but lower than $0.27 per share in the same period in 2019.

Coty said it will begin raising its commercial investments to bolster improvements ahead of fiscal year 2022 despite “continued disruptions” to its sales channels and short-term orders related to the pandemic.

Read more: An ex-Merrill Lynch ETF maven shares how to construct a portfolio that’s perfect for today’s market landscape – including 4 must-have sectors for sustainable returns

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