This announcement comes only two weeks after the CEO Claus-Dietrich Lahrs has announced he is leaving the company after eight years.

The worldwide recognized fashion house is expecting its adjusted operating profit to fall in the low double digit percentage rate this year, which is being attributable to the tumbling sales in Greater China and the US.

Now the company is announcing measures to address the external and company-specific challenges impacting the company’s results. While it announced the closure of 20 stores in China, Hugo Boss is also planning several initiatives with an aim to improve the company’s “brand perception” in China and the US.

According to several sources, Hugo Boss is planning to reduce prices across Asia to more closely mirror German levels and limit distribution through wholesale channels to reduce discounting from overstocks.