Fashion house Christian Dior has sacked British designer John Galliano after allegations he made anti-Semitic remarks.
Footage of the designer emerged after his arrest in Paris on suspicion of assault and anti-Semitism.
The fashion house's chairman Sidney Toledano said: "I unequivocally condemn the statements made by John Galliano which are in total contradiction to the long-standing core values of Christian Dior."
A spokesman for the designer refused to comment.
Galliano was suspended last week after he allegedly launched an attack on a couple sitting on a cafe terrace following a late-night drinking session in the upmarket Marais district.
But further footage, which appeared to show him abusing drinkers in a bar and telling them "I love Hitler", has since emerged.
A statement released by Dior today said it had "commenced termination proceedings" in the light of the "deeply offensive statements and conduct by John Galliano in a video made public yesterday".
Police said Galliano, who has been Dior's creative director for 14 years, had drunk the equivalent of up to two bottles of wine when he was arrested.
He was later released to return to his home in the same district.
In France, making anti-Semitic remarks is punishable by up to six months in prison or with a fine of up to 22,500 euro (£19,200).
The Marais has historic associations with the Parisian Jewish community and has experienced a growing gay presence in more recent years.
The quarter boasts an array of luxury boutiques, art galleries and high-end restaurants which line its cobbled streets.
It is also home to a host of fashion houses and continues to draw tourists in droves.
Oscar-winning actress Natalie Portman, who promotes a Dior perfume range, criticised the designer earlier this week.
She released a statement saying that "as an individual who is proud to be Jewish, I will not be associated with Mr Galliano in any way".