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G-Stars bullshit press release is here:
http://www.g-star.com/flash/content.html

They claim:
... Consequently, G-Star has (now for 2 years) on its own strength, taken actions to investigate the working conditions on the one hand, and to set in motion a dialogue between the manufacturer and activists on the other hand. Several independent and authoritative investigations have meanwhile confirmed that in any case the labour conditions are in accordance with all international accepted standards such as OECD and ILO.

...G-Star now finds itself in an impossible position due to both the attitude of the activists and of FFI. On the one side, there is no evidence of unacceptable labour conditions and a lack of substantiation of the original very serious accusations. On the other side, FFI gags its accusers and even insinuates fraud.

G-Star must and wants to dissociate itself from this. In the past two years, the company has done everything to clear up the alleged abuses in a constructive way and to start a dialogue between parties. One can now conclude this has been in vain. As opposed to having the activists substantiate their accusations, G-Star is continuously badly spoken about and being accused of an insincere position. G-Star is not supposed to withdraw from the factory as this would lead to unacceptable social effects and hence G-Star is a hostage of parties who themselves are the cause of the current situation. G-Star is not prepared to continue this impossible prisoner’s dilemma and therefore has decided to end the business relationship with FFI.