Supermodel Kate Moss, who lost some big contracts with Chanel, H&M and Burberry because of the drug allegations, apologized yesterday night to her friends, family and business associates.
Moss, 31, said in a statement: "I take full responsibility for my actions. I also accept that there are various personal issues that I need to address and have started taking the difficult, yet necessary, steps to resolve them.
I want to apologize to all of the people I have let down because of my behavior which has reflected badly on my family, friends, co-workers, business associates and others."
It all started when Kate was photographed by Daily Mirror journalists snorting a line of the class A drug on the back of a CD cover in the studio where Babyshambles were recording their album.
A few days later, Swedish-based fashion house Hennes and Mauritz (H&M) canceled the contract with Kate, arguing that most of their clients are young people, and any association with drugs is damaging the chain's image.
Fashion company Burberry is said to have decided to cancel a planned advertising campaign with Kate Moss, due to allegations of drug taking by the supermodel.
And Chanel might be the third firm to ditch the 31-year-old model, announcing that they don't plan to hire Moss again after her contract expires. Moss was supposed to be the face of their Coco Madamemoiselle perfume.
Kate Moss will be investigated by Scotland Yard on the cocaine-taking claims.