For the humanitarian saint that Steve tries to show himself as, that's low.
The Gap is doing basically the same thing.
The Gap's Red line costs far more than its other clothes lines. They will give half the cost to charity and half for profit. Which ultimately means they will make the same profit as their regularly priced clothes.
These are publicly traded companies who have great pressure to meet Wall Street expectations. They give to charity but they are not going to risk a decrease in profit.