Abercrombie & Fitch has retained Goldman Sachs as an adviser as the troubled clothier assesses potential responses to moves by one of its investors, the activist hedge fund Relational Investors, a person briefed on the matter said on Wednesday.
Relational, which is headed by Ralph V. Whitworth and is considered one of the top activist shareholders around, currently holds a roughly 3.8 percent stake in Abercrombie & Fitch, according to its most recent regulatory filing.
Mr. Whitworth's firm, which is based in San Diego, has established a reputation as an investor that companies listen to. He gained a seat on the board of Hewlett-Packard in November as emerging as a major shareholder. (The technology pioneer had also hired Goldman as an adviser in that instance.)
Known for its racy image - scantily clad models feature prominently in its advertising and make appearances at its stores - Abercrombie has struggled. Its profits have fallen over the last three ye ars, and its stock has tumbled precipitously over the last 12 months.
Last month, the retailer reported that its second-quarter income had slumped more than 50 percent from the year-ago period, to $15.5 million, as its retail stores both in the United States and abroad turned in weak performance. It added that it expects comparable-store sales to fall 10 percent in the second half of the year.
The company has already announced some strategic moves aimed at assuaging unhappy shareholders, including a pause in opening new flagship stores and a slowdown in the opening of new Hollister shops.
A spokesman for Abercrombie declined to comment. Mr. Whitworth was not immediately available for comment.
Shares of Abercrombie leaped 5.4 percent on Wednesday after CNBC reported the company's hiring of Goldman.
