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▲ ▲ ▲ RETAIL: Camilla LETTER LIST: Staerk opens FROM: Gen Y’s her fi rst store, Boston’s favorite page 6. bohemian “green” neighbor, brands, ▲ FASHION: Anna Sui spearheads a page 12. page 16. campaign to “Save the Garment Center,” page 3. WWDWomen’s Wear Daily • TheTHURSDAY Retailers’ Daily Newspaper • August 21, 2008 • $2.00 Rock On By Denim’s always had attitude, and for spring, designers are tuning in to a rockabilly beat. Here, Frankie B.’s studded cotton and elastane denim jacket over Modern Amusement’s cotton shirt and Ksubi’s cotton denim shorts. For more looks from the upcoming Project trade show, running Aug. 26 to 28 in Las Vegas, see Section II. A Reversal of Roles: American Apparel Brings Ts to China

LEN ROBERTSON FOR AT CELESTINEAGENCY.COM; STYLED BY LEILA BABOI STYLED BY CELESTINEAGENCY.COM; FOR CHANEL AT LEN ROBERTSON By Lisa Movius SHANGHAI — American Apparel’s ambitions to buck the conventional wisdom of fashion retailing are now poised for export — to China. The retailer is this weekend expected to open its first store on the Mainland, in the World Trade Center in , after months of delays. American Apparel hopes to open four more stores in the country this year and faces the daunting task of marketing American-made garments to the world’s largest apparel producer. “The bottom line is that China is a different game for [Western] retailers,” Harry Parnass, American Apparel’s director of retail development and operations in Asia, told WWD. “For example, Zara was here with seven people for four years before opening,” See Role, Page 14 PHOTO BY RODOLFO MARTINEZ; : ANGELIKA/PHOTOGENICS; HAIR BY JOHNNY STUNTZ FOR PHOTOGENICS BEAUTY AT SMASHBOX; MAKEUP BY HEL SMASHBOX; MAKEUP BY AT JOHNNY STUNTZ FOR PHOTOGENICS MODEL: ANGELIKA/PHOTOGENICS; BEAUTY HAIR BY RODOLFO MARTINEZ; PHOTO BY WWD.COM WWDTHURSDAY Sportswear GENERAL 1 American Apparel plans to open its fi rst store in ™ Mainland China this weekend, in the World Trade Center in Beijing. A weekly update on consumer attitudes and behavior based Anna Sui is galvanizing the industry to save the ▲ 3 on ongoing research from Cotton Incorporated garment center, with a special T-shirt she hopes will be distributed at the fashion shows. 4 The AFL-CIO sent mailers to 50,000 union THE EASY WAY OUT swing voters in Ohio, Michigan and Pennsylvania For Women, the Fewer the Laundry Hassles, the Better on Wednesday, attacking Sen. John McCain’s pro-trade record. Other than the owner of the neighborhood and there’s the convenience of home laundering.” The List: The Top Eco-Friendly Brands Favored ▲ 16 Laundromat, it’s hard to find someone who doesn’t For most women (77%), if a garment needs by Gen Y. mind washing clothes. Putting in a major effort ironing, it gets pressed at home, according to the Project Preview is included in this issue to remove stains or wrinkles only makes it more Monitor, especially among those 35 to 55 (81%) as a Section II and 56 to 70 (86%). Although nearly 70% of those annoying. That’s why women appreciate all the easy- Classifi ed Advertisements...... 18-19 care apparel they come across, be it 13 to 34 iron a garment at home, TO E-MAIL REPORTERS AND EDITORS AT WWD, THE ADDRESS IS work or casual weekend wear. a quarter of women 13 to 34 wear [email protected], USING THE INDIVIDUAL’S NAME. “We recognize that our wrinkled clothes, while 16% of WWD IS A REGISTERED TRADEMARK OF ADVANCE MAGAZINE PUBLISHERS INC. COPYRIGHT ©2008 consumer lives a layered life – she’s women overall do. If they don’t get FAIRCHILD FASHION GROUP. ALL RIGHTS RESERVED. PRINTED IN THE U.S.A. VOLUME 196, NO. 39. WWD (ISSN 0149–5380) is published daily (except Saturdays, Sundays and holidays, with a wife, mother and is working – so their iron out, only 7% of women one additional issue in January, October and December, two additional issues in March, April, May, June, August and her wardrobe needs to deliver style, take their apparel to the cleaners. November, and three additional issues in February and September) by Fairchild Fashion Group, which is a division of Advance Magazine Publishers Inc. PRINCIPAL OFFICE: 750 Third Avenue, New York, NY 10017. Shared Services versatility and ease of care,” says Of those making $75,000 or more, provided by Condé Nast Publications: S. I. Newhouse, Jr., Chairman; Charles H. Townsend, President/CEO; John W. Barb Gollert, senior vice-president that figure rises to 9%. Bellando, Executive Vice President/COO; Debi Chirichella Sabino, Senior Vice President/CFO; Jill Bright, Executive Vice President/Human Resources. Periodicals postage paid at New York, NY, and at additional mailing offi ces. Canada Post of women’s merchandising and “The less people need to spend Publications Mail Agreement No. 40644503. Canadian Goods and Services Tax Registration No. 886549096-RT0001. sales, Dockers® San Francisco. The on dry cleaning and pressing, the Canada Post: return undeliverable Canadian addresses to: P.O. Box 503, RPO West Beaver Cre, Rich-Hill, ON L4B 4R6 POSTMASTER: SEND ADDRESS CHANGES TO WOMEN’S WEAR DAILY, P.O. Box 15008, North , CA company also has washable cotton better,” Tobe’s Sokolove says. “This 91615–5008. FOR SUBSCRIPTIONS, ADDRESS CHANGES, ADJUSTMENTS, OR BACK ISSUE INQUIRIES: Please cashmere pants, and washable particularly applies to the mass write to WWD, P.O. Box 15008, North Hollywood, CA 91615-5008, call 800-289-0273, or visit www.subnow.com/wd. market and discount chains where Please give both new and old addresses as printed on most recent label. First copy of new subscription will be mailed tummy-control capris. within four weeks after receipt of order. Address all editorial, business, and production correspondence to WOMEN’S “The Dockers collection is “We have expanded our the customer is very price sensitive WEAR DAILY, 750 Third Avenue, New York, NY 10017. For permissions and reprint requests, please call 212-630-4274 nearly 100 percent machine and doesn’t want to buy apparel or fax requests to 212-630-4280. Visit us online at www.wwd.com. To subscribe to other Fairchild magazines on the wrinkle-resistant shirt fits and World Wide Web, visit www.fairchildpub.com. Occasionally, we make our subscriber list available to carefully screened washable and we recently designs dramatically to capture that needs to be dry cleaned.” companies that offer products and services that we believe would interest our readers. If you do not want to receive introduced an Iron-Free pant, L.L. Bean addresses its these offers and/or information, please advise us at P.O. Box 15008, North Hollywood, CA 91615-5008 or call this growing business.” 800-289-0273. WOMEN’S WEAR DAILY IS NOT RESPONSIBLE FOR THE RETURN OR LOSS OF, OR FOR DAMAGE OR ANY skirt and jacket to further address — Claudia Scala, customers’ aversion to ironing OTHER INJURY TO, UNSOLICITED MANUSCRIPTS, UNSOLICITED ART WORK (INCLUDING, BUT NOT LIMITED TO, DRAWINGS, her need for a stylish, low- with both WR and easy-care items, PHOTOGRAPHS, AND TRANSPARENCIES), OR ANY OTHER UNSOLICITED MATERIALS. THOSE SUBMITTING MANUSCRIPTS, Brooks Brothers PHOTOGRAPHS, ART WORK, OR OTHER MATERIALS FOR CONSIDERATION SHOULD NOT SEND ORIGINALS, UNLESS maintenance wardrobe.” including pants, capris and shorts, SPECIFICALLY REQUESTED TO DO SO BY WOMEN’S WEAR DAILY IN WRITING. MANUSCRIPTS, PHOTOGRAPHS, AND Adding more items to the easy-care category makes skirts, oxford shirts and turtlenecks. “WR products OTHER MATERIALS SUBMITTED MUST BE ACCOMPANIED BY A SELF-ADDRESSED STAMPED ENVELOPE. sense, since women have steadily increased their can be worn right from the dryer without ironing,” purchases of them. NPD Fashionworld’s AccuPanel explains Jennifer Maneikis, women’s product line CORRECTIONS reports that in 2007, wrinkle-resistant (WR) woven manager. “Easy-care products significantly reduce • In a story on page 12, Wednesday, an incorrect reason was given shirts accounted for 14% of women’s woven shirt wrinkling, but may require a touch up iron. Ease of for Gucci relocating a store to the corner of Stockton Street and purchases, up from 8% in 2002. In 2007, wrinkle- care is important to our customer.” Maiden Lane in San Francisco. The move is prompted by the need resistant slacks accounted for 18% of the slacks Some of L.L. Bean’s most popular easy-laundering for more space, a better store facade, as well as improved circula- women purchased, up from 13% in 2002. pieces are its WR and easy-care Bayside chinos, WR tion, said Daniella Vitale, president of Gucci America. Increased sales match women’s preference for WR pinpoint oxfords, its “Double L” cotton sweaters apparel. The majority of women (67%) prefer WR and “Carefree Unshrinkable tees.” cotton slacks to regular cotton bottoms, according to The Monitor finds that manufacturers should DAILY I understand that it’s all Cotton Incorporated’s Lifestyle Monitor ™. As women keep a close watch on shrinkage, as 62% of women mature, they lose the desire to pick up an iron: say they would be “very upset” and 32% would “business, but where are fondness for WR pants was highest among women be “somewhat upset” if an item shrunk after they QUOTE 56 to 70 years old (86%), and 35 to 55 (69%). WR followed laundering instructions. “In Spring 2009, we going to go? What are we going to bottoms also got a 69% approval rating from those we will introduce our new premium polo which making more than $75,000. is WR, fade-resistant, pill-resistant – and will not do? In my lifetime, I have seen the area The Tobe Report’s Lori Holliday Banks, shrink,” Maneikis says. senior fashion analyst, says easy-care fabrics were Brooks Brothers also has popular non-iron changing, but I can’t believe New York widely touted 7 to 10 years ago at the height of shirtdresses. “We offer styles as early as resort the business casual and then expand the can’t set aside some building designated phenomenon when What Women Want? No Wrinkles! collection through people were allowed spring/summer. We will to preserving the industry here. to dress down for work By Age soon be offering non- ” and wear less-tailored 13-24 25-34 35-55 56-70 iron, printed shirtdresses — Anna Sui on the continuing erosion of the fashion apparel. Now, she says, Regular cotton for spring ’09.” industry’s presence on New York’s Seventh Avenue. Page 3. demand is probably slacks 42% 42% 31% 14% But it’s Brooks highest in shirtings. Brothers non-iron shirts Wrinkle-resistant 58% 58% 69% 86% that have year-round Tobe’s Alison cotton slacks TODAY ON MOST VIEWED fans at both its retail Sokolove, fashion • All for Andre 3000... By Household and outlet divisions. editor, says shirting Thakoon’s Next... may well be the largest Under “Women like the variety $25K $25-49K $50-74K $75K+ Jeweled World... growth vehicle in easy- of fits and patterns, the • New McCartney... care garments. “Tops Regular cotton 38% 33% 32% 31% convenience of home WWD slacks Bendels Gossip... sold 7:1 to bottoms this laundering and the .COM Armani Futbol Fashions... past spring, and we see Wrinkle-resistant price,” Scala says. “Our cotton slacks 63% 67% 68% 69% • Heist Alarm... Be, Jeweled... these figures continuing non-iron shirt is a great Jewelry inside The Plaza. Speedo Predicts... into fall and holidays,” way to freshen up any • Stop ‘N Shop... Cheap and she reports. wardrobe. With the variety of fits and patterns, our Chic... Coke Goes Green... At Brooks Brothers, the non-iron shirt category customer can look pristine and confident all day • One Side of the Story... “has grown dramatically this past year and has long. It should be a staple in your closet.” Maybe Fashion Will Help... become one of the largest businesses within A Barneys Tale... the women’s collection,” according to Claudia This story is one in a series of articles based on find- Scala, vice-president of women’s and boys. “We MOST E-MAILED have expanded our fits and designs dramatically ings from Cotton Incorporated’s Lifestyle Monitor™ tracking research. Appearing Thursdays in these • Polo to Launch Mobile to capture this growing business,” Scala says. “A Commerce simple white shirt in all silhouettes drives the shirt pages, each story will focus on a specific topic as it • A Twist on Celebrity: business overall. The non-iron shirt properties make relates to the American consumer and her attitudes Kiehl’s Goes Green With it extremely practical as well. The garment looks as and behavior regarding clothing, Brad Pitt Deal appearance, fashion, fiber selection and pristine as when first bought even several times after • More photos of the new-look Plaza • Saks Inc. Reports $31.7M [washing]. There’s no cost of dry cleaning involved, many other timely, relevant subjects. Loss • Global Breaking News • Estée Lauder Profi ts Up • Vote for Fashion’s Defi ning Moments 35.7 Percent • Daily stock prices • SINR Line Goes Luxe WWD, THURSDAY, AUGUST 21, 2008 3 WWD.COM PVH Profi t Falls 25 Percent By Vicki M. Young Total revenues in the quarter rose 1.6 percent to $561 million from $552.4 million. Revenues include a 1.8 per- PHILLIPS-VAN HEUSEN CORP. ON WEDNESDAY cent decline in sales to $480.3 million and a 24.4 percent posted a drop in second-quarter profits due in part to jump in royalty income to $56 million. declines in the wholesale and retail heritage brand For the six months, income fell by 17.5 percent to $76 businesses that were offset by strong growth in its Calvin million, or $1.45 a diluted share, from $92.1 million, or Klein licensing operation. $1.60, a year ago. Total revenues gained 3.7 percent to For the three months ended Aug. 3, income declined $1.19 billion. by 25.3 percent to $29.2 million, or 56 cents a diluted The company said the licensing busi- ness continued its strong performance during the sec- ond quarter and posted revenue and earnings growth of 30 percent and 47 percent, respectively. “This perfor- mance was driven by continued growth across virtually The “Save all product categories and regions of the globe, with the Garment jeans and underwear performing exceptionally well,” Center” the company said. T-shirt. In addition, the company said the Calvin Klein outlet retail business continued to exhibit strong sales perfor- mance. Total outlet comparable-store sales in the quarter fell by 2 percent, with the Calvin Klein outlet business achieving comps growth of 9 percent compared with the heritage brand outlet businesses, which posted a comps decline of 5 percent. A T for a Cause “We are very pleased with our second-quarter results, By Marc Karimzadeh particularly given the current economic environment. Calvin Klein remains a key driver of our growth and prof- NEW YORK — The chicest thing to wear this fashion itability as it continues to outperform our expectations, week may just be a black T-shirt emblazoned with both internationally and domestically. The broad global the words “Save the Garment Center.” presence and continued international growth of Calvin Anna Sui conceived the idea for the T-shirt, which Calvin Klein remains a key growth driver for PVH. Klein has helped to offset the impact of the economic also has e-mail addresses of important New York share, from $39.1 million, or 68 cents, in the same year- downturn in the U.S. on our heritage brand businesses,” City offi cials on the back, to raise awareness of the ago period. Earnings were also negatively impacted by said Emanuel Chirico, PVH chairman and chief execu- shrinking manufacturing and production facilities $5 million in start-up costs associated with the fi rm’s tive offi cer. in the Garment Center. She has teamed with several Timberland wholesale men’s sportswear business and He added the company has been aggressive in taking designers to galvanize members of the Council of Calvin Klein specialty retail stores. action to keep inventory levels clean heading into the sec- Fashion Designers of America to fi nd a way to pre- The company noted the “recent bankruptcy fi lings of ond half and that the company is on track to convert 25 of serve the Garment Center. She specifi cally worked certain of our wholesale customers resulted in a sales the outlet stores into Calvin Klein sites. with Yeohlee Teng, who, on behalf of the CFDA, has shortfall of approximately $6 million in the quarter and The company projected full-year 2008 revenue at $2.56 been spearheading the issue and served as a liaison negatively impacted pretax earnings by approximately $3 billion to $2.58 billion, an increase of 6 percent over 2007. between the CFDA board and City Hall. million, or 3 cents a share, which includes the related It maintained its previous projection for full-year earn- Saving the Garment District is an important issue reserves for uncollectible receivables.” ings per share to be in the range of $3.32 to $3.41. for Sui, who said zoning law changes have resulted in many landlords looking to redevelop factory build- ings in the area into luxury lofts and hotels. “I understand that it’s all business, but where are we going to go?” Sui told WWD. “What are we going Limited Net Drops, Full-Year Guidance Upped to do? In my lifetime, I have seen the area chang- ing, but I can’t believe New York can’t set aside LIMITED BRANDS INC. ON WEDNESDAY POSTED A of inventory and expenses resulted in earnings per share some building designated to preserving the industry significant decline in second-quarter profits, due to an that exceeded our initial expectations…in spite of nega- here. The CFDA and many other people have been increasingly unfriendly economic landscape, but the firm tive same-store sales in the quarter.” working on trying to come up with a solution for the still raised its yearly guidance. Wexner laid out the company’s strategy moving forward. Garment Center. It’s a really diffi cult process but the The Columbus, Ohio-based parent of Victoria’s Secret, “Although we expect that the environment will longer it goes on, the more businesses will have to La Senza, Henri Bendel and Bath & Body Works said in- continue to remain challenging, we will continue to leave because they lost their leases or their land- come fell by 61.4 percent to $102 million for the three conservatively manage the fi nancial aspects of the lords are raising rents.” months ended Aug. 2, or 30 cents a diluted share, from business, while at the same time provide compelling Sui herself has been experiencing these changes $264.4 million, or 67 cents, in the same period a year assortments and exciting store experiences to build fi rsthand. Three of her contractors recently lost their ago. Sales for the quarter fell 12.9 percent to $2.28 bil- our brands,” he said. leases. While one was able to renegotiate the lease, lion from $2.62 billion, while comparable-store sales fell The company raised its yearly earnings per share the other two are still looking for new spaces. “There 7 percent. guidance, expecting EPS at $1.45 to $1.60 a share for used to be the little guy who would hand-cut zip- For the six months, the company reported a 37 per- 2008, excluding fi rst-half items of 20 cents a share. The pers, or who sharpened scissors, and down the line, cent drop in income to $199.8 million, or 58 cents a share, new fi gure is up from the $1.38 to $1.58 a share it expect- there were many embroidery people,” Sui said. “But from $317.3 million, or 79 cents a share, a year ago. Sales ed following the announcement of its fi rst-quarter results now, only a handful of people are left because they fell 14.7 percent to $4.21 billion from $4.93 billion. in May. Analysts polled by Yahoo Finance expect EPS of couldn’t afford the spaces.” Company chairman and chief executive offi cer Leslie $1.48 a share. On Wednesday, several CFDA members sent out Wexner said Limited Brands was “pleased with its per- Gross profi t for the second quarter accounted for 33.3 a letter raising awareness of the Save the Garment formance in this challenging economic environment.” percent of net sales. Center campaign and T-shirt. The letter was signed The ceo also boasted: “Our disciplined management — Matthew Lynch by Sui, Teng, Calvin Klein Collection’s Francisco Costa, CFDA executive director Steven Kolb, Lambertson Truex’s Richard Lambertson, Nicole A look by Miller, , Rag & Bone’s Marcus Antik Batik. Wainwright and . They are asking other Antik Batik Founders CFDA members to circulate the T-shirt at fashion shows and through their Web sites. Sui is also working with design schools such as Sell 34.2 Percent Stake Parsons for Design, Pratt Institute and the Fashion Institute of Technology to get stu- By Natasha Montrose dents involved and raise further awareness of the campaign. “I keep thinking that the enrollment in PARIS — Antik Batik, a French contemporary apparel firm, plans design schools is up, but where are these kids going to ramp up its retail expansion thanks to a capital increase. to work?” Sui said. “Will they go to China to work?” The founder and owners of the company, Gabrielle Cortese Kolb concurred, calling this a “grassroots” cam- and her husband Marc Rioufol, said Wednesday they have sold a paign. “The current zoning that is many years old 34.2 percent stake to Frédéric Biousse and Elie Kouby who were, isn’t working,” he said. ”There has been little or no respectively, until last year, the general director and commercial enforcement or penalty to those forcing the facto- director of fashion chain Comptoir des Cotonniers. ries out.” The company said the investors would bring their know-how Kolb noted that while the city is keen to preserve in terms of strategy, organization, commercial development and a core of production and manufacturing here, “All we retail. hear is talking and nobody is taking ideas and turn- Founded 15 years ago, Antik Batik has made a name for it- ing them into action. After many meetings with City self with its ethnic-infl uenced collection and “artisanal” prints. Hall, the CFDA is trying to push them to action. Also, Revenues are projected to reach 15 million euros this year, or Mayor Bloomberg’s term in offi ce will soon be over,” about $22 million at current exchange rates. Kolb added. “If nothing happens while he is mayor, Antik Batik said the infl ux of capital would be used to expand we’re afraid nothing ever will.” its workshops and develop new concept stores. The fi rm oper- The T-shirts will cost designers $6 each to cover ates three boutiques in Paris and wholesales to about 1,500 doors the printing and material costs, and orders for the worldwide. shirts must be submitted to Thomas Miller at Anna The brand recently launched a line of boys’ wear, and further Sui by Friday to secure production in time for fash- product expansions are planned, possibly men’s wear. ion week. 4 WWD, THURSDAY, AUGUST 21, 2008 WWD.COM Unity Key for Success of the Americas MEMO PAD MAN DOWN AT ALPHA MEDIA: Could it be Alpha Media Group’s Kent By Georgia Lee Congress to expand CAFTA cumulation provisions, Brownridge underestimated the herculean effort it would take to turn which kicked in for CAFTA countries and Mexico around fi rst three — and then two — fl edgling men’s magazines? ATLANTA — The only way for the Americas to com- on Aug. 15, to other countries, especially Colombia Or did Alpha Media owner Quadrangle Group decide the company, pete with Asia is to join together and stop compet- and Peru. Cumulation allows raw materials from now home to Maxim and Blender after the closure of Stuff, would be ing with each other. specifi ed countries to be exported tax-free. best served if Brownridge stepped aside? Just a week after he told The message of unity over division was ham- He also said that “we are not pleased” with the WWD his fi rst year in business was “harder than I thought it would mered home at the second annual Competitiveness current economic picture in the U.S., but predict- be,” Brownridge on Wednesday relinquished his position as chief Forum of the Americas, sponsored by the U.S. ed improvement and called for perspective. executive offi cer. Stephen Duggan Department of Commerce this week at the Hyatt “We’ve had fi rst-quarter growth of 0.9 percent, and Glenn Rosenbloom will become Regency hotel here. Offi cials stressed the need to second-quarter growth of 1.9 percent. We’ve lost co-ceo’s of Alpha Media. Duggan act fast to shore up U.S. trade given rising fuel and 460,000 jobs this year, and we should be creating was the publisher’s chief fi nancial labor costs in Asia that are creating opportunities 55,000 per month. It will take three to four months and operating offi cer, joining the for sourcing close to home. to work through the excess inventory in hous- company in June from Publishing Convened by Commerce Secretary ing. The back half of the year and next Group of America, where he held the Carlos M. Gutierrez, and spon- year will be stronger, but maybe not same position. Rosenbloom joined in sored by the City of Atlanta and the kind of growth we have had,” February as Alpha Media’s president. the Department of Economic he said. He was previously senior vice Development of Georgia, the In a textile-apparel forum, president/group publishing director event drew 900 attendees. Department of Commerce for the U.S. consumer magazine Among them were three offi cials echoed Gutierrez’s division of Disney Publishing. heads of state — Colombian calls for Congress to pass Brownridge will remain as President Alvaro Uribe free trade agreements chairman. “I’m going to be a fully Velez; President Elias with Colombia and involved chairman, but I’m not going Kent Antonio Saca Gonzalez of Panama, extend cumula- to be coming home at 10 o’clock El Salvador, and Alvaro tion provisions, update every night,” he said. “I’m going to Brownridge Uribe Velez, president NAFTA, create more free take summer Fridays, not go into the of Guatemala, as well as trade zones and eliminate offi ce every day, and I’m not going to stay past 5 p.m.” more than 25 senior level barriers that slow down Many were surprised Brownridge was stepping aside, considering officials from 30 coun- transportation, including the former Wenner Media executive is known for his addiction to work tries in Central and South Customs regulations. and hands-on style. Brownridge told WWD last Friday that he came out America and the Caribbean. David Spooner, assistant of retirement in 2007 because “I got down to my beloved 200-acre They gathered for speeches, secretary for import admin- farm…and after a day and a half I discovered that I hated it.” But the workshops and roundtable Carlos M. istration, acknowledged resis- frenzied pace of relaunching a company seemed to have taken a toll discussions on trade, tourism Gutierrez tance in the U.S. textile industry on the 68-year-old executive. Between working late and time spent on and economic development in the and a protectionist climate, espe- his BlackBerry outside of the offi ce, “I was doing 100-hour workweeks. Western Hemisphere. cially during the election year. Even though my health is excellent, I don’t think that would have “We aren’t here to negotiate or sign “The U.S. textile industry is obsessed continued. And I have a new wife who is not happy. There’s been no treaties, but for a unique opportunity to take away with China, but they need to…integrate the hemi- honeymoon, I’ve had no vacation,” said Brownridge on Wednesday. ideas that can help tourism and business,” said sphere as a region to compete with China,” he said. Though he claims the long hours were the reason he’s stepping Gutierrez. “We have to move away from isolation- Jerry Cook, vice president of government and down, others wondered if confl ict between him and Quadrangle Partners ism to a united competitive spirit.” trade relations for Hanesbrands Inc., painted a over the direction of the business was the real reason behind the Latin American government offi cials said trade bleak picture of the current problems for manu- change. Some close to the company said the partners at Quadrangle, agreements and democratization had boosted eco- facturers sourcing in the Americas. Citing archaic who were described as hands-on owners, were one of the many sending nomic development, but called for more public and trade rules, Customs bottlenecks, and security a steady fl ow of e-mails at all hours to Brownridge’s BlackBerry. private investment and support for future growth. regulations that can cause products to take up to Brownridge denied there was confl ict between him and Quadrangle. “The history of [El Salvador] and Central 11 days to get into the U.S., and result in penalties Sources close to Quadrangle and Brownridge also believe Alpha’s America has been one of confl ict, 20 years of wars and charges from retailers, he called for infra- founding ceo could have been pushed aside as Quadrangle looks for and trade fights,” said El Salvador President structure improvements, development of human a faster return on its investment. During the fi rst year in business, Gonzalez. “We were the last scene of the Cold War. capital and cooperation and exchange of human Brownridge folded Stuff into Maxim and hired a slew of staffers, Now we are a country of democracy and com- resources in the region. including new editors and publishers at Blender and Maxim and top merce, and economic growth has been up every Cook stressed two-way trade with Latin America, executives Rosenbloom and Duggan. But business at the magazines year since 2004.” especially as Hanes’ sales in China are growing be- still hasn’t gained traction. And while a traditional publisher may take At an opening event Sunday night, Gregory tween 15 and 45 percent a year. He also cited the a wait-and-see approach to the industry, private equity fi rms have less Meeks (D., N.Y.) promised bipartisan support for need for textile development in the region, espe- patience. “Loyalty, sentiment, commitment, they don’t care about any expanding free trade in the Western Hemisphere. cially of high-performance fabrics for the compa- of that stuff. It’s all about performance,” remarked one publishing “If Latin American economies don’t thrive, our ny’s fast-growing women’s athleticwear divisions. insider. Through the fi rst half, Blender carried just 233 ad pages, or economies don’t thrive,” he said. “We need a free “We need to focus on global trade, not just 23.5 percent less than in 2007. Maxim reported fl at ad page growth, trade agreement of the Americas.” north to south or regional,” he said. “We need to carrying 388 pages, according to Publishers Information Bureau. In an interview Tuesday, Gutierrez said the acknowledge the elephant in the room. Asia is not Circulation for Maxim declined 1 percent to 2.5 million, although number-one priority for apparel-textile trade is for killing us, we’re killing ourselves.” Blender’s circulation was up 15 percent to about 952,000. “Quadrangle may want more hands-on urgency in terms of taking the business to the next level,” said Reed Phillips, managing partner at DeSilva + Phillips. “They may feel that Kent’s at the stage in his career where he’s better off providing the vision, and working with board level AFL-CIO Sends Message to Swing Voters on strategy, not being the person that implements the strategy.” Some analysts also believed that in his new role, Brownridge may search for By Kristi Ellis job losses in America on the trade imbalance, and other deals for Quadrangle. — Stephanie D. Smith calls into question that nation’s workers’ rights re- WASHINGTON — The AFL-CIO sent mailers to cord, noting a laborer in China makes 50 cents a NO LONGER HOME: The shelter category lost another title Wednesday 50,000 union swing voters in Ohio, Michigan and day and works 15 hours a day, seven days a week. with the closing of Hachette Filipacchi Media’s Home magazine with Pennsylvania on Wednesday, attacking Sen. John McCain has called for more free trade deals, ar- its October issue, a move long predicted. A spokeswoman for Hachette McCain, the Republicans’ presumptive presiden- guing they boost employment in the U.S. through ex- said about a dozen employees were affected on both the business and tial nominee, on his pro-trade record and tying ports and labeling Democrats as “protectionists.” the editorial sides, and that the company was searching for positions job losses in the hard-hit industrial states to “un- While his campaign did not return a telephone for at least some of them, including publisher John H. Grant. fair trade” with China. call Wednesday seeking comment on the AFL- Though the title had largely slipped off the media radar, the symptoms The mailers were the latest shot across the bow CIO’s mailer, in a separate interview with WWD of decline were stark for anyone paying attention: editor in chief Olivia by organized labor, which intends to keep trade and two weeks ago, a campaign spokesman acknowl- Monjo died in May, but Hachette had not yet moved to replace her; the its negative impact on communities in the spotlight edged McCain is aware of the downside of trade. company reorganized its shelter group to cross-sell luxury advertising as thousands of delegates head into the Democrats’ “We have to recognize that while trade is ben- with Elle Decor and Metropolitan Home, leaving Home out in the cold; national convention next week in Denver. efi cial broadly, there are localized dislocations ad pages were down 30.9 percent in the fi rst half of the year, to 206 Democrats will nominate Sen. Barack Obama as a result of trade,” the spokesman said. “Sen. pages, a signifi cant decline even in a challenged category, and Home’s (D., Ill.), who has been skeptical of trade on the McCain would provide extra help for people who circulation shrank from over a million fi ve years ago to about 800,000. campaign trail, as the challenger to McCain (R., are dislocated because of trade.” And in an increasingly niche-oriented magazine industry, Home never Ariz.) in the race for the White House and the But he stressed McCain will continue to pursue quite established a strong brand presence. A company statement unions hope to capitalize on the two candidates’ free trade policies because 20 to 25 percent of U.S. Wednesday, attributed the move to a “steep decline in the middle market different trade positions. jobs are linked to trade. for the shelter category.” Hachette president and chief executive offi cer The AFL-CIO’s mailer, featuring a photo of a Obama has called for a review and stronger en- Jack Kliger made the decision at the end of his tenure in that position. rank-and-fi le union member representing electri- forcement of existing trade agreements and has Overall, the shelter category has seen the exits of Condé Nast’s House cal workers, cites the loss of three million manu- indicated he would summon Canada and Mexico & Garden and Martha Stewart Living Omnimedia’s Blueprint, as well as the facturing jobs since President Bush took offi ce back to the negotiating table to add stronger scaling back of Vogue Living. But major shelter titles’ ad business hasn’t and infers job losses will continue if McCain wins labor and environmental protections in the North been totally undermined by the housing bust and the overall grim economy. the election. American Free Trade Agreement. He has also Pages in the fi rst half of 2008 were up for Architectural Digest (up 3.9 It questions McCain’s stance on free trade in called for scrutiny of China’s undervalued cur- percent, to 816 pages), House Beautiful (up 13.4 percent, to 374.5 light of the massive job losses in manufacturing rency and contaminated imports. Obama hasn’t pages), and Home’s still-extant sister titles at Hachette (Elle Decor was up as well as his support for China joining the World ruled out negotiated similar accords, but he op- 2.1 percent, to 578 pages, and Metropolitan Home was up 3.9 percent, Trade Organization. posed pending trade deals with South and to 494 pages). Domino was fl at at 307 pages. A more mass-market and The labor group also highlights the $262 bil- Colombia, which are also vigorously opposed by probably more comparable title, Better Homes & Gardens, still pulled in lion trade defi cit the U.S. has with China, blaming the AFL-CIO and other labor groups. 840 pages in the fi rst half, but was down 12.7 percent. — Irin Carmon

6 WWD, THURSDAY, AUGUST 21, 2008 Staerk Passage

THE FIRST THING THAT STRIKES YOU WHEN YOU Karen Blixen vase. “She’s my all-time hero,” says Staerk walk into Camilla Staerk’s new downtown store is a of the “Out of Africa” author, who used the pen name framed image by artist Hans Henrik Lerfeldt. It’s one Isak Dinesen. Even the off-white paint on the walls has of his more subdued works — he’s famous for his erot- a story. “It’s the shade of my nail polish,” she explains. ic, blue art — and features a pretty, veiled face with a “Blanc Ceramic by Chanel.” giant fly planted over her forehead. “There’s something But it’s not just her Scandinavian heritage at play very sexy and mysterious about her,” says Staerk. “His here; the store is outfi tted with a number of equestrian women are always portrayed to be chic and powerful.” motifs. Case in point: the riding helmet encased near the It doesn’t take a genius to figure out the appeal in hav- front of the shop. The topper is actually Staerk’s own, ing a strong, stylish muse greet the visitor at Staerk’s from her teenage days as a competitive equestrian. first boutique. But the underlying reason for Henrik It’s signifi cant that Staerk has planted her retail roots Lerfeldt’s presence here is far more straightforward: in New York rather than in Denmark or , where Staerk’s Danish, he’s Danish. And he happens to be a she launched her label in 2000. , and her friend of her father’s. Mulberry Street store, marks a new stage in her career. Indeed, every single element in the 500-square-foot She moved here two years ago after she had a falling out store has a personal tale behind it. The elegant leather with her London backers and lost the rights to the Camilla and walnut wood chair, also by a fellow Dane, Finn Juhl, Staerk moniker — and renamed her company Staerk. comes courtesy of Staerk’s dad, who owns a furniture “I combined the relaunch with the move here,” she company back in their native Denmark. That undulating says. “I’ve always wanted to move to New York. When Holmegaard ceramic vase right beside it? It’s called the I decided to unfortunately leave my label, I thought,

Camilla Staerk PHOTOS BY JOHN AQUINO PHOTOS BY ‘OK, this is the time to start over.’” Though her work skewed more colorful and sportif as a result of her Big Apple relocation, Staerk’s currently revisiting her early design vibes in dark and slightly Gothic fare. Fall 2008 was the fi rst move back in that direction. “I’m going back to my roots in leather and tex- ture,” she says. “It’s been fun to go back to my starting point with a different perspective.” There may be a good reason for all these retro glances. She’s been negotiat- ing with her previous backers and might very well get her Camilla Staerk name back. Also new for the designer: a capsule collection of lac- quered black wood jewelry, exclusive to her boutique. She will also feature reissues of her classic leather crochet clutches and the she has developed with Selima Salaun of Selima Optique. To celebrate the shop’s opening today, Staerk is launching an e-com- merce site as well. Perhaps the most exciting part about the brick-and-mor- tar venue, for Staerk at least, is the 1000-square-foot design studio in the back. A curtain, cut from her signature liquid jersey fabric, separates this from the sales fl oor. “I’m not paying additional rent so this is good,” says Staerk, add- ing that surplus denim scraps are being remade into shop- ping bags for the store. Though that’s not the only recycling going on here. The designer points to the pin in the signa- ture head wrap she sports. “This is from a cravat I used to wear in riding competitions,” she remarks. Staerk’s Mulberry Street shop. — Venessa Lau

Assouline, the Warren-Tricomi salon and Vertu Shopping The Plaza at The Plaza.

By Sharon Edelson pact [wealthy] clientele,” said Meyer Assouline, owner of Maurice Fine NEW YORK — The Plaza’s recent $400 Jewelry (who is no relation to Prosper million renovation, which brings Assouline of Assouline Books). the landmarked building’s interiors Assouline was referring to the fact closer to their 1907 origins, is rela- the reconfi gured Plaza has only 130 tively understated compared with hotel rooms compared with the for- the previous incarnation and Ivana mer 800, with the other 670 being con- Trump’s gold accents, yards of red verted to residences. Maurice’s aver- brocade fabric and Oriental carpets age sale since opening is signifi cantly on steroids. higher, Assouline said, adding the jew- The restrained approach extends eler already sold a $675,000 ruby ring. to The Plaza’s shops, which will need “I’m showing a 28-carat vivid yellow all the traffi c they can get to justify diamond ring today that’s priced at a the rents that retail brokers put in couple of million dollars. The people the $1,500-a-square-foot range. who have money, have money.” Assouline, which occupies a When the Plaza Retail Collection 800-square-foot perch on the mezza- has a soft opening next month, its nine above the new hotel lobby, could Fine jewelry at The Plaza. dedicated entrance on West 58th easily be missed with its restrained Street should be fi nished. The mul- exterior. During a tour of The Plaza on Wednesday, tilevel mini-mall has white fl oors and crystal chande- Anthony Nicola, general manager of The Plaza Retail liers. So far, the only retailer operating in the mall is Collection, acknowledged the shop may be too discreet. Vertu, the luxury company with prices “We wanted to make sure it blended into the lobby,” he ranging from $5,100 for the Constellation to $75,000 said. “We might add a little red [to the logo].” for a phone with black-and-white diamonds. With Down a short hall past the registration desk is a $310,000 model designed in collaboration with Maurice Fine Jewelry, which bowed last month. The Boucheron and decorated with a ruby snake with em- jeweler operated a store at The Plaza prior to the reno- erald eyes, and two 2-carat diamonds, Vertu is count- vation, but completely changed its merchandise assort- ing on the wealthy residents of The Plaza’s apartments, ment when it reopened in a new location. “We went a which sold for $5.8 million to $50 million each. lot more upscale. We’re now catering to a more com- One of the bigger shops, at 1,500 square feet, will Character Studies Character PHOTO BY KYLE ERICKSEN fi brand’s Korean Web sitefurtherpromotesthecompany’s sound asuniquetotheAmericanear. Andwhilethe Briniéis.” want toknowwhoEryn way togetpeopleinterestedinthebrandbecausethey a bitofmysteriousnesstothename,whichwasgood it’s beenreallywell-receivedin[South]Korea. There’s of thecollection’s somewhatgimmickyconcept.“Sofar Brinié’sU.S.managingdirector,says KrisJeon,Eryn a bigtrendtowardanythingrelatedtoFrench chic,” . “IntheKorean market,therehasbeen Tankus andKai-Aakmann, withatotalof212storesin apparel groupthatoperatesthreeotherbrands,BNX, company waslaunchedlastfallbyAvista, aSeoul-based label’s SouthKorean designandmarketingteam.The her fashionslouchyandchic.She’salsopurefiction. the 2,700-square-footshopreflectherpersonalstyle,likes designer livinginNewYork, who,iftheclothesthatline about thenamebehindstore.ItbelongstoaFrench Broadway inSoHotoday, shoppersmightwonder WHEN ERYN BRINIEOPENSITSDOORSON ctional designerbywayofanonlinediary, similarsteps Eryn Brinié’sSoHostore. Eryn Of course,JeonandCo.realizethatthenamewon’t Briniéisacharacterdreamedupbythe Eryn

PHOTOS BY KYLE ERICKSEN The Plaza for distinctive brands.” The Plazafordistinctive brands.” space andonemen’s [remaining].[People] willcome to percent leased.We haveonlyonewomen’s fashion tenants andadjacencies,” Nicolasaid.“We’re over95 obscure tomanyconsumers. the innerdownofCanadianArcticmusk ox, maybe Fine andQiviuk,aknitwearbrandthatuses Jewelry may betooeclectic,however. IradjMoini,AnnaHu ists andPlazaresidentsalike.Ifanything, theresult that couldbecomeadestinationforNew Yorkers, tour- Retail Collectionistocreateaneclectic groupofstores leasing twoadjacentspacesonthelowerconcourse. and Ghurkahasdecidedtoopenalargerstoreis studsandcufflinks. shirt withdiamond-encrusted and Eton,aSwedishshirtmakerthatdesigned$40,000 and swimwearlabelMarliseDekkers,Pat AreaisSterling for 10,000Things,SeizeSurVingt, Arthur, Dutchlingerie , accessoriesandtoolssuchascurlingirons. include afragrancebar, browbar, skincareandcolor foot open-sellbeautyspaceonthelowerconcoursewill the salonwasbuzzing.Warren-Tricomi’s 1,200-square- granite fl second fl July unveileda6,100-square-footsalononThePlaza’s beauty conceptdevelopedbyWarren-Tricomi, whichin the fl er oftheoriginalSachertorterecipe.Thecenter Demel, theViennese thatclaimstobethekeep- bakery have anopen-sellshop. Morgenthal Frederics, ManricoandMCM,whichwill Breast Cancer. Alsoontheupperlevelconcourseare Johnson-designed T-shirt benefi elry, andhomeproducts,aswellaBetsey crystal be ThePlazaBoutique,sellingprivatelabeljew- one busygirl. in thenextyear. Briniéisgoingtobe LookslikeEryn to openeight10morestoresintheNewYork area Blue inLosAngelesandLoungeNewYork), plans just beginningtowholesale(accountsincludePlanet grow there,”saysJeon,notingthattheline,whichis biggest marketsintheworld,sowe’rereallylookingto and saturatedforretailers,theU.S.isoneof potential. “TheKorean fragmented marketisvery U.S. market,wherethecompanyseesmajorgrowth Brinié’sfi side ofmodern,isEryn Studios Architectureandworksthemainstream China, theNewYork store,whichwasdesignedby skinny pantsaveragebetween$85and$90. pastels, ruffl says Jeon.Thus,fall’sombréknitcardigansinsoft higher-end reasonableprice,” designaestheticatavery brandsbyprovidinga H&M andZara,contemporary “We tofi aretrying Brinié’ssnappyfashionandaccessibleprices. lie inEryn do notyetexisthere,wheretheappealwillmorelikely “We reallyhave beenextremelycarefulselecting Nicola hasrepeatedlysaidhisgoalfor thePlaza Domenico Vacca isopeningawomen’s-only shop Along theperimeteroffl The lowerconcoursewillhaveakoipondnear With 37storesinSouthKorea andtwoinShanghai, oor willbeoccupiedbyKenneth JayLaneanda oor. Astrikingspacewithstonewalls,black oors andahigh-techentertainmentsystem, ed ,jeans,leatherjacketsand ll the gap between mass retailers, like ll thegapbetweenmassretailers,like oor therewillbeshops ting Fashion Targets rst forayintothe —JessicaIredale FASHION SCOOPS CFDA/Vogue FashionFund. $500,000 donationAmericanExpresswillmakethisyeartothe to theevent.Proceedsfromticketsaleswillcontribute today, AmericanExpresscardholderscanpurchasetickets members havetodesigners,”addedIgoe.Beginningat10a.m. “This programisourwayofenhancingtheaccesscard tent. Afterward,Posenwilltakequestionsfromthecrowd. followed byarepriseofthedesigner’s springshowinthemain clients thisopportunity.” Theeventwillbeginwithareception, a cardmemberfavorite,sowe’reveryexcitedtopresentour sponsorships forAmericanExpress.“Atretail,he’s defi designers around,”said show featuringPosen’s designs.“Zacisoneofthemostcreative over thetentsatBryantParkforaprivatecard-members-only Sept. 12at9:30p.m.,thefi will havethefi POSEN’S ENDNOTE: followed theJapanesemasters’quirkyandavant-gardetradition. Styles rangedfromknitstooutwear, andthecollectiveethos such asYlangYlang,Mercibeaucoup,Atoand downtown typessaid“aloha”tolooksbyemergingTokyo talent, York, bastionofthosenever-heard-of-labels. There,acrowdof organizers heldapartyatAlohaRagonGreenwichStreetinNew that asthenextroundofshowsapproachSept.1to7.The radars. OnTuesday, JapanFashionWeek aimed tochangeall kicking —albeitfeaturingdesignersfl Fashion Week longago,buttheJapanese runwaysarealiveand CALLING: stations fromNewYork restaurants. Vanity Fairmagazine’s anniversary. Thestorewillfeaturetasting raise awarenessonSept.15atapartyitwillhosttocelebrate necklace salewillgototheorganization.DKNYplansfurther York storesaswellDKNY.com. Allnetprofi “Make aWish” necklace,whichwillbesoldatDKNY’s New also collaboratedwithDog-Earedjewelry, andcreatedaspecial green, teal,purpleandcobalt.To benefi colors fromDKNY’s fallcampaign,includingsplashesofapple City Harvestthisfall,andwilltransform15ofitstrucksin The brandisteamingupwithnonprofi of inspiration. constant source York, itsbaseand back toNew special togive up something year, iscooking anniversary this fetes its20th DKNY, which ON THEROAD: Lutz &Patmos Lures Birkin already feelthepart, thankstoyou,”shetoldLutz. is preparingtoplay the roleofafashioneditor. “I wrapped upherlatestalbum,“Winter Children,”she need forinhernextfi most covetedhandbag—somethingshe mayhave and LouDoillon,Birkinisthenamesake ofHermès’ being themotherofKate Barry, CharlotteGainsbourg Patmos’ Sept.9presentationinNewYork. Asidefrom that, it’sunclearifshewillmakeacameo atLutz& Birkin isnotbigonpublicappearances. Given her formerstatusasSergeGainsbourg’s sidekick, pointshaven’tPrice beenset. That’s probablyhowJanewouldwearit,”Lutzsaid. a coollittlesweaterthatcanfalloveroneshoulder. with slightlyfl There isalsoawideV-neck witharawedgeneckline elongated tankwithcrochetdetailsshedesigned. organic cashmereforthescoopneck,slim-fi Amnesty International,BirkinchoseanItalian-made being overtlysexy, sexy,” whichisvery Lutzsaid. has thisreallyrelaxed, nonchalantstylewithout 61-year-old embodiesthelabel’slow-keystyle.“She cashmere sweaterandConversesneakers,the and discussdesignideas.DressedinLevi’s,aslouch Birkin inherParis apartment Paris inMaytohangoutwith with MarciaPatmos, fl who designsthecollection unoffi time, sinceshehasbeenits brand’s wishlistforsome chanteuse hasbeenonthe who lastheldthattitle. from theAmtrakconductor guest designer—quitealeap up JaneBirkinasitsnewest LUTZ &PATMOS HASLINED Despite her movie roles, including “Blowup,” and Despite hermovieroles,including“Blowup,”and Well-known forherhumanitarianactivismwith The Britishactressand cial muse. Tina Lutz, cial muse.TinaLutz,

nal wordoftheNewYork springcollections.On ared three-quarter-length sleeves.“It’s Rei, Yohji andJunyamayhavedefectedtoParis truck. City Harvest A DKNY-colored Thanks toAmericanExpress, WWD, THURSDAY, AUGUST21,2008 Jessica Igoe lm project. Now that she has lm project.Nowthat shehas ew to nancial andtravelgiantwilltake , director of marketing and , directorofmarketingand ying wayunderAmerican t foodrescueprogram — Rosemary Feitelberg— Rosemary Birkin Jane t CityHarvest,DKNY ts from each each from ts Mikio Sakabe Zac Posen tting, tting, nitely nitely WWD.COM

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PHOTO BY PABLO PORCIUNCULA/AFP/GETTY IMAGES 7 8 WWD, THURSDAY, AUGUST 21, 2008 WWD.COM Denim Report New Owners Look to Revive French Dressing By Brian Dunn Beach, N.C., has also been car- rying the line for about 10 years. MONTREAL — French Dressing Jeans is According to Holden, the line “fi ts getting a second chance at life. everyone’s purse and their body.” As the label approached its 100th Beyond the product, Holden anniversary last year, management was also praised the company’s long- busy contemplating the pending bank- standing involvement with chari- ruptcy of parent company FDJ Monde table causes. Inc. rather than planning a celebration “We had an event called Cure by of its history. In December, the company Design, which raised over $140,000 fi led for bankruptcy protection, throw- for breast cancer and they were a ing the future of the line in doubt. major sponsor,” said Holden. Six months later in June, a group Michelle Kesten of Casual Way of local apparel industry executives in Toronto has been a long-time cus- picked up the brand for an undisclosed tomer because she said FDJ “make amount and formed a new company, a great pair of pants that really fi t dubbed FDJ French Dressing Inc. The women. Now we carry tops and jack- group was headed by Canadian appar- ets to complement the line.” el conglomerate Groupe Corwik Inc. “Once you know you’re a Suzanne and claims annual revenues of more or a Kylie, you know the jeans will than $100 million. With new manage- always fi t,” she added. “I also like ment in place and a return to a focus the company’s community involve- on denim product, the company is Len Miller, Noah Stern, Glen Eisenberg and Ayal Twik. ment with breast cancer.” in the midst of relaunching French As part of a marketing program Dressing Jeans for fall. about 2,000 boutiques and specialty stores designed by Precision Advertising “One of the main reasons we bought throughout Canada and the United States. & Promotions, FDJ donates $1 to breast cancer research the company was the strength of the The 10-oz. jeans are made from 96 percent every time a person tries on a pair of their jeans. brand and it also complements our denim and 4 percent Lycra. Retail prices “As part of our co-op advertising program, we also existing lines,” said Noah Stern, range from $79 to $89. send a CD to retailers containing visuals to use in-store president of Levy Canada Fashion, The jeans come in four styles accord- or to put in their local newspaper. All they have to do who rescued FDJ along with Corwik ing to body type. The Peggy is a regular rise is drop in the store’s name in the ad,” said Precision and its senior managers. with a waistband that sits at the body’s natu- president Glen Eisenberg. Levy and Corwik are the Canadian li- ral waistline. The Olivia, a midrise style, sits Island Breeze has used the material from FDJ for print censees for a number of lines, including an inch below the body’s natural waistline. ads, billboards and a newsletter, according to Holden. Liz Claiborne, , Perry Ellis, The Suzanne features a regular rise with tai- The new owners plan to spend $2 million on market- Dalia, Boca Authentic and Studio London. lored hips and slimmer thighs, while the Kylie is ing and promotional initiatives this year to put the focus FDJ started in 1908 as Keystone Overall a lower rise jean with a waistband that sits two back on FDJ’s roots. & Pants Manufacturing Ltd. and gradually inches below the body’s natural waistline. FDJ only sells to boutiques and specialty stores, said added jeans and jackets. The company did “When we were doing our due diligence, we Stern. He said the company has been approached by de- well from the Seventies through the Nineties, visited customers and they all told us to go back to partment stores, but won’t go that route. but efforts to expand beyond core denim of- doing what we do best, which is to make denim for a “We don’t want to play the high-low promotion game. ferings into sportswear were rushed and coin- 40-year-old body and not for a 40-year-old trying to fi t It’s part of our four pillars of success — fi t, quality, cus- cided with a declining economy in the U.S. into jeans made for an 18-year-old,” explained Stern. tomer service and a commitment to the independent or “It’s a more focused line now than in the “And once a woman knows what style is right for her, specialty store market.” past,” said Len Miller, former president of FDJ she knows it will fi t her season after season.” Stern noted that 89 percent of merchandise in Canada Monde, who briefl y retired from the company be- Early response from customers has been positive. was sold on sale last year. But boutiques are built on ser- fore the new partners installed him as president “Once you know your style, the jeans fi t every sea- vice and usually only go on sale at the end of the season. of the renamed FDJ French Dressing Inc. “We got son,” said Janice Burns, who has been carrying the Ayal Twik, vice president of FDJ, said bookings for lost by going casual and adding dressy bot- line for the last 10 years at her 3 Generations spring are 25 percent ahead of last year, while repeats toms, then tops. We’re now taking a rifl e ap- boutique in Simpsonville, S.C. “It’s a good sell- for fall are also up. proach rather than a shotgun approach.” The Kylie, a er and the only jean line we carry.” “The number-one reason is the strength of the FDJ targets the 35-plus age group through low-rise style. Clarice Holden of Island Breeze in Sunset brand,” said Twik. “It has a cult following.” Seven For All Mankind Ramps Up Asian Expansion By Ross Tucker , Mainland China, and and counts NEW YORK — Seven For All Mankind is stepping up its expan- brands such as Jean Paul sion efforts in Asia. Gaultier, MaxMara and Kookai The Los Angeles-based premium denim label, owned among its client list. by manufacturing giant VF Corp., said this week that it The China partnership was had reached a distribution agreement quick to bear fruit. On July 3, with South Korea’s Cheil Industries Inc. Seven opened its fi rst interna- Terms of the agreement were not dis- Mike Egeck tional store in Hong Kong’s IFC closed, but include the planned opening mall. Seven and Fairton have of six shops-in-shops in major depart- targeted Beijing, Shenzhen, ment stores this year. Guangzhou, Macau and Taipei, “[Cheil Industries] has over 50 years Taiwan, for future store loca- of experience in the fashion and tex- tions in the region. tiles industry, as well as the motivation Mike Egeck, chief executive to build a strong retail business for us in offi cer of Seven and president Korea,” said Giuliano Sartori, vice presi- of VF’s contemporary brands dent and general manager of Seven’s division, told WWD in May that Asia-Pacifi c division. The label’s fi rst international store at the growth in Asia would center on Cheil was founded in 1954 and entered IFC mall in Hong Kong opened on July 3. company-owned retail as the the fashion business in the Eighties. The ERICKSEN KYLE PHOTO BY primary avenue of distribution. company currently holds sportswear and Ultimately Egeck believes the accessories distribution agreements for a number of leading fashion labels, including Asian market has the potential for more than 100 stores. Theory, Issey Miyake, Givenchy, Nine West, Easy Spirit and Fubu. “If you want to build a great consumer brand in today’s world, you need these Seven’s South Korea deal comes a little more than a month after the brand said it showcase stores to speak directly to the consumer,” he said. had found a distribution partner to expand its presence in Hong Kong and China. On Meanwhile, the brand is moving forward on the goal of opening between 100 and June 25, Seven revealed it had reached an agreement with Fairton International Group 120 stores in the U.S. On Aug. 7, the label opened the doors of its fi rst New York fl ag- Ltd. to open between 30 and 40 stores throughout the region over the next fi ve years. ship. The 3,000-square-foot store at 394 West Broadway in SoHo is Seven’s fourth Like the South Korea agreement, Seven partnered with an established fi rm han- full-price domestic unit — joining stores in Los Angeles, Dallas and Malibu, Calif. dling a long list of established labels. Fairton, founded in 1955, operates stores in — and also its largest.

Amount of global cotton supply used by the denim industry. 15% SOURCE: COTTON INC. DEFINING moments in FASHION TELL US YOURS!

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WWD, THURSDAY, AUGUST 21, 2008 11 WWD.COM The Beat Retailers Remain Upbeat at Dallas Market Ball Skirts and Slim Gowns: By Holly Haber Prom Trends Aplenty COME NEXT SPRING, HIGH SCHOOL STUDENTS DALLAS — Caution was the theme of the day at the four-day fashion market at at their proms are likely to be decked out in slim FashionCenterDallas here. gowns with open, jeweled backs; short cocktail While retailers in Texas and nearby states said business remained good because their dresses, animal prints and Cinderella ballgowns areas so far have escaped the economic downturn, buyers generally were watching their dol- with pintucked taffeta or tulle skirts. lars and looking for items that would excite their customers. These were the main trends at the prom show “Attendance was slightly down over last year; however, we were pleased with the overall that ran Aug. 11 to 13 at the Dallas Market Center. numbers and good attendance from our region,” said Cindy Morris, chief operating offi cer The magic retail price for prom dresses was about of the Dallas Market Center and FCD, of the show, which closed Aug. 18. “We’re fortunate $300, according to retailers and vendors. to be in an area of the country that is faring better than the rest of the United States, and Meanwhile, white, ivory and pale pink quin- Dallas continues to be a cost-effi cient travel choice for buyers.” cenera ballgowns, which are worn for lavish 15th Because market spanned Texas’ annual three-day tax holiday for clothing priced under birthday celebrations among Hispanics, were also $100, some retailers kept to their stores to capitalize on the traditionally busy weekend. a focal point as a growing business, retailers said. Traffi c may also have been affected by the overlapping show at AmericasMart in “Business was up from last year,” said Ron Calk, Atlanta. The Dallas Market Center hosted a prom show the three days preceding the sales representative for PC Mary’s, a Houston vendor. fashion market to avoid confl ict with Atlanta. (See sidebar, this page.) “There was a lot more excitement about prom and “Some very good stores were there, but everyone was very cautious — some ex- optimism about the economy. The stores are buying pressed downright fear about the current slowdown in business,” said designer Carol deeper and lower-priced goods. Girls are still going to Peretz, speaking after market ended. “I heard negative comments about the sameness prom, but they are not spending as much money.” of lines and the multitude of markets — New York, Dallas, Las Vegas, New York again “Attendance was not what we expected, but the — in the space of fi ve or six weeks. But at the same time, they were fi guring out how to people who were here bought extremely well,” survive until things improved or how to make things improve.” said Marty Boikess, sales representative for Mori Still, there were bright spots. Lee. “It was across the board — ballgowns, slinky, “Overall when I talk to accounts I hear more positives than negatives,” observed animal prints and short.” Brad Ritz, owner of Ritz Group multiline showroom. “Traffi c was off a little bit, but we While this show was held largely in temporary ended up fl at to ’07 and considering these economic times, I’m very happy with that.” space on the fi rst fl oor of the World Trade Center, “We had a good show,” said Allison Lee Cooke, owner of Launch contemporary showroom. the DMC plans to establish a cluster of prom and “The maxidress was the single biggest trend. They all wanted that — and bright colors.” bridal showrooms on the 14th fl oor that open at Retailers have been buying more selectively all year, and at this show they responded the Oct. 23 to 26 show. A dress to fl oral and leaf prints, both fi tted and easy silhouettes, slim jeans, safari jackets and jew- by Yoana elry with turquoise and other semiprecious stones. Most said their budgets were fl at as they Baraschi. sought to fi nish holiday or check out resort and spring deliveries. Business has been “phenomenal” at Tina’s in Galveston, Tex., said Tina LeCornu, owner. The coastal city benefi ted this summer from a greater number of visitors from Houston, Louisiana and Oklahoma as people vacationed closer to home, LeCornu noted. As store manager Boyce Pryor ordered Sandra Ling’s goldplated and semiprecious ban- gles, she noted their customer “doesn’t mind spending the money if it looks good.” At the same $1,048 time, however, she was seeking well-priced accessories that offered a greater markup to coun- ter rising fees for freight and handling. THE AVERAGE AMOUNT THAT TEENS “Elite metallic python-print totes are an incredible price — $39,” she said. SPEND ON PROM INCLUDING FASHION, Pryor was also enthusiastic about AM Alberto Makali’s printed tunics and dresses plus a TRANSPORTATION, BEAUTY, TICKETS, DINNER AND DATE’S EXPENSES. We’re fortunate to be in an area of the country SOURCE: YOUR PROM MAGAZINE “that is faring better than the rest of the United ““TheThe strong response to the prom market is exciting as we look forward to opening the new States, and Dallas continues to be a cost-effi cient home of prom and bridal on the 14th fl oor,” said Robbin Wells, executive vice president of leasing travel choice for buyers. at the DMC. “The specially branded neighborhood furthers our commitment to the prom and bridal ” — Cindy Morris, Dallas Market Center industry and its presence here in Dallas.” Prom and quincenera dresses were strong last new line of easy linen and cotton sportswear called Cannise. spring and are dependable businesses, retailers said. “It has a beautiful hand and a rich look,” she said. “Our customer wants to feel “Wedding, prom or quincenera is such a signifi - good about herself. We don’t buy trendy.” cant event that it’s something that people will contin- Debbie Downs was fi nishing her holiday buy and picking up accessories for ue to do,” observed Tina Loyd, owner of Terry Costa, My Secret Closet in Dallas. The store presents new contemporary merchandise a leading special occasion store in Dallas. “My prom in the front and resale at the rear, and both areas are posting double-digit in- business was up this year — we had a record April. I creases, she said. will spend about the same for next spring.” “My customers are not caring about prices, but I have a wide range — tops Loyd came to see what was new but planned to from $42 to $150,” she said. order in October when she knew what would be For younger clients, Downs picked up colorful printed dresses and tunics advertised and cut. She is also developing a quin- with touches of beading from Blissitude and Joyous & Free. She also invested cenera business through a bilingual saleswoman. more heavily in Eva Varro’s printed knit tunics that can be worn as dresses or Quincenera has been increasing for the last fi ve tops because they appeal to women over 40. years at J. Saunders, a 38-year-old specialty store “Eva Varro retails around $110 to $130, and we sell out of it,” Downs noted. in Fort Worth, said owner Melanie Saunders. “We never seem to have enough for the mid-40-plus who want something hip “A lot of the girls used to have everything done with a bit of a sleeve.” in Mexico, and now it’s local,” she said. “Many Downs also bought Nakamol’s goldplated and semiprecious jewelry featuring of the wedding dresses in white, ivory and pink circles lined with semiprecious stones and peace-sign necklaces by Funky Junque. translate to quincenera, and Tiffany and Mori Lee Maxidresses caught the eye of Alice Winders, buyer for Susan Marie’s have quincenera divisions.” misses’ and contemporary store in Salado, Tex., the picturesque village where J. Saunders had its biggest year ever in 2007, and Jenna Bush held the rehearsal dinner for her wedding in May. sales are matching that this year, Saunders said. “We are really trying to fi nd new and different things for 10/30 and 11/30 deliv- “We are keeping our budget the same for eries,” Winder said. “I love the patio dresses — they are very fl attering on people. spring,” she said. “We are going after it aggres- Joyous & Free has great ones.” sively in terms of getting merchandise early. We’re She also praised Dolce Cabo’s lavish fur-trimmed cashmere wraps. getting some in November for homecoming.” Business has also been solid for Miriam Garvey, whose namesake contemporary Saunders, who was searching for Audrey Hepburn- A Cynthia store is in Fairway, Kan., a suburb of Kansas City. “Business is good,” Garvey said. inspired dresses, praised an elegant black halter gown Steffe “Kansas City has one of the most stable economies in the country.” with a pale pink two-tier tulle skirt by Juan Carlos look. Garvey said she was shopping for more recognizable brands as she wrote an order Pinera. She also planned to order liquid sequined for JW LA’s black embroidered three-quarter sleeve blouse and mixed print drawstring gowns by Maggie Sottero that sold well last spring. Empire tiered dress in rayon georgette. She also checked out new washes from Seven Christopher Nevarez, owner of Christopher’s For All Mankind, noting the label’s “Ginger” jean with a narrow leg and fl are was a best- Bridal in Hot Springs, Ark., expects a strong sea- seller. son. He’s pushing business by hosting fashion It has been a little challenging at Polly Adams, an upscale store in the border city of shows and workshops and catering to the three Laredo, Tex. pageants held in Hot Springs — Miss Arkansas, “Every sale takes a lot of energy,” noted Lisa Miller, buyer. “It has to be very special Miss Teen Arkansas and Mrs. Arkansas. these days, but not so trendy that you can’t wear it more than one season. It has to be worth “Short, trendy dresses is what they’re ask- their money.” ing for, and more fi tted looks but not that much Shoppers from Mexico are spending more freely, she added. “Our fi rst customer yester- sparkle,” Nevarez observed, citing Juan Carlos day [from Mexico] spent $2,000,” she said. Pinera’s cream jersey cocktail dress with a plunge As she ordered a crosshatch denim jean from Cambio, Miller noted, “My customer neckline and silver beading. wants things to the body. She does not want the baby doll.” NAN COULTER PHOTOS BY — H.H. 12 WWD, THURSDAY, AUGUST 21, 2008 WWD.COM

Out of Town News in Harvard Square. FROM ER T T E L SCENE

8 0 0 , 2 AUG. 21 CAMBRIDGE With shoppers from around the world, Harvard Square offers a potpourri of noteworthy spots to eat and shop. Here are a few.

Curated by The Tannery: This specialty retailer opened in 2007, but its mix of contemporary labels got even stronger with the addition of women’s buyer Brittany Rothweiler. She’s brought in more clean-lined, feminine labels like Shipley & Halmos, Cloak & Dagger and Lorick (the line used as “Gossip Girls” character Eleanor Waldorf’s own label). Tarek Hassan, co-owner with uncle Sam Hassan, used industry leverage to score exclusives like the Jeffrey Kalinsky- Sperry Top-Sider collaboration that produced neon Top-Siders. Rothweiler says the store draws students not just from Harvard and MIT, but from throughout the metropolitan area. Average transactions are $200 to $300. “Being surrounded by colleges and in the heart of Harvard Square means students are a constant fl ow,” said Hassan. “The area also draws an international student population. To them, America is ‘on sale,’ which drives a lot of business.” The store gives students with valid ID 10 percent off denim purchases. Dresses are also a backbone of the business. “Dresses are huge,” said Rothweiler. “There are formals all the time.” Marimekko: Touring Finland in the late Sixties, architect Ben Thompson fell in love with Marimekko designs and brought them to sell at Design Research Headquarters, an iconic glass- and-steel furnishings store he designed in Harvard Square. The bright, childlike designs — different from the era’s stodgy fl orals — were a huge hit with students. Forty years later, Cambridge merchants Jonathan and

PHOTOS BY MEGHAN JONES PHOTOS BY Judy deMont discovered Baby Boomers still hold a torch for Marimekko. With the blessing of Marimekko brass, she opened the fi rst U.S. concept store in Huron Village, following the design company’s specs about color science and lighting. Fabric by the yard has taken off, said deMont. “We’re Boston’s Bohemian Neighbor getting calls from New York designers wanting to order,” she confi rmed. The fashion, with its distinctive layering of tonal By Katherine Bowers small ethnic restaurants and serves as unoffi cial cam- prints, is also going strong. pus for Lesley University; Inman Square has become With so many students stuffed into Cambridge, sandwich CAMBRIDGE, MASS., SITS JUST ACROSS THE CHARLES a draw for the young married-with-children set with joints also stand out. A few to bite into are: River from Boston, yet this city of about 100,000 peo- its upscale toy shops, children’s wear boutiques and • High-Rise Bakery: With two Cambridge outposts, it offers ple — home to Harvard University and Massachusetts brunch spots, and Kendall Square, near MIT, has sandwiches named for an odd cast of regulars. Whether they Institute of Technology — has a rhythm unlike its neigh- added new glamour (and the nickname Genetown) know the story or not, customers order Bill’s Show (grilled bor’s urban churn. thanks to the booming biotech sector, which ushered chicken, bacon and tarragon mayo on corn bread). An intellectual town with an earthy, liberal bent, in thousands of square feet of new lab space, luxury • Darwin’s Ltd.: The retro Busch beer sign out front Cambridge has as many bookstores as fashion retailers. condos and development of a new mixed-use transit and sammies with street names (like the chicken-pesto People walk and bike in all seasons, pairing loose, bo- hub, North Point. Fayerweather) make it a Harvard student fave. hemian garb with backpacks and comfort shoes. Grocers Governor Deval Patrick’s life sciences initiative, signed • Formaggio Kitchen: Located in Huron Village, this foodie’s here sold wheat germ in bulk decades before Whole into law in June, will invest $1 billion over a decade to paradise (umpteen kinds of honey, a cheese cave) often sells Foods arrived. In 2006, Cambridge City Hall issued the foster start-ups. No doubt the ripple effect will help es- out of sandwiches before the afternoon ends. fi rst same-sex marriage licenses in America. tablished players like Amgen, Genzyme, Wyeth Research, • All Star Sandwich Bar: Fittingly named, this Inman Square “I’ve seen more ‘Eve Was Framed’ bumper stickers and Biogen IDEC and others calling Cambridge home. spot sports a glass jar of help-yourself Oreos on the counter, posters counting down [President George W.] Bush’s last But the hub of Cambridge remains Harvard Square, crispy fries (offered poutine, with gravy and cheese curd, days here than anywhere,” says James Burnett, editor of which throngs with suburban high school kids and tour- Canadian style) and sandwich specials like “funky” (pork loin Boston magazine and a Cambridge resident. “At the end of ists in the months when students aren’t in session. Retail with peach salsa) and “extra funky” (grilled chicken topped the day, though, there is also a fair amount of money here, anchors there include the Harvard Coop, a massive stu- with jack cheese creamed spinach). so these are hippies with Champagne tastes.” dent emporium selling books and household goods; the Case in point: Harvard Square fi ne jeweler Baak Curious George bookstore; urban mall The Garage; eso- Gallery may sell hefty diamonds, but promotes them as teric beauty pharmacy Colonial Drug, and The Tannery, confl ict-free from Canada. a family footwear and jeanswear store that spun off two People travel from across the globe to study here, with fashionable subbrands in recent years: Concept Shoes an estimated 13,200 students in Cambridge driving the and Curated by The Tannery. economy with the money they spend and jobs they create. In September, Cambridge native Jessica Good will Harvard and MIT are the city’s biggest employers, ac- open Passport, a travel-inspired apparel and accesso- cording to the Cambridge Chamber of Commerce, creat- ries boutique in Harvard Square. She’ll carry labels ing a stable employment base that’s helped cushion the like White + Warren cashmere and LnA T-shirts, fi g- city against recession. uring that with a fl ow of students, tech entrepreneurs, Additionally, the weak dollar has boosted European researchers and academics passing through there’s a tourism and sales, said several shop owners. need for packable, versatile clothing and a decent roll- In personal dress, students range from style-agnostic er bag. (Statistics favor her proposition — 26 percent of to J. Crew prep to sophisticated international appeal. Cambridge residents in 2000 were foreign-born, accord- The Harvard Business School set — particularly after ing to U.S. Census data.) collecting a couple of years of postgrad salary — is “I’ve always loved about Cambridge that you can lit- known to be “comfortable with fashion,” said retailers. erally walk down the street and not hear one word of As for the undergrads, boutique owners agree a true English,” Good said. “And the fashion scene is as varied. bonanza comes during the semiannual parents’ week- There will be guys with 12-inch Mohawks walking next Judy deMont, owner of Marimekko in Huron Village. ends, when family shopping visits fl ourish. to professors in tweed.” Cambridge Local First, a business advocacy organization, has more than 250 members promoting local shopping through door decals and neighborhood VITAL STATS events. When an Abercrombie & Fitch HISTORY: City founded in 1630 by Puritan colonists and opened in Harvard Square in the late named Cambridge in 1638 with founding of Harvard College. Nineties, there was much hand-wring- POPULATION: 101,365 ing over a feared “mall-ization” of the RESIDENT STUDENTS (EST.): 13,200 square. Abercrombie eventually closed TOTAL STUDENT ENROLLMENT, ALL CAMBRIDGE after a brief run. COLLEGES/UNIVERSITIES: 29,936 Cambridge’s loose organization into SIZE: 6.5 square miles “Squares” — which are essentially mini MEDIAN HOUSEHOLD INCOME: $51,625 (2006 Census) communities tucked around separate MEDIAN SINGLE-FAMILY HOME PRICE: $610,000 commercial hubs — gives the city a hand- EDUCATION LEVEL: 69 percent have bachelor’s degree or ful of distinct neighborhoods. The major higher (U.S. average: 27 percent) squares — Porter, Central, Kendall and NUMBER OF MILLION-DOLLAR-PLUS HOMES: 2,483 Harvard — are located along the axis of COLLEGES/UNIVERSITIES WITHIN 12 MILES: Harvard, MIT, the Red Line T line, but there are other Lesley University, Cambridge College, Boston University, Boston squares as well. College, Tufts University, Emerson College, Berklee College Each has its own identity: Gritty of Music, Northeastern, Suffolk University, Simmons College, Central Square is famous for Middle The Red Line T links School of the Museum of Fine Arts and the Massachusetts Eastern and other music clubs; Porter Cambridge’s major squares. College of Art and Design. Square has bookstores, lounges and SOURCES: U.S. CENSUS BUREAU, CAMBRIDGE CITY HALL

14 WWD, THURSDAY, AUGUST 21, 2008 WWD.COM Role Reversal: American Apparel Heads to China Continued from page one to 24 percent of a store’s sales before they will agree to American Apparel was originally expected to open he said, adding American Apparel is working diligently a lease. “They are very hands-on, and get their noses in in the street’s new Nali Mall in June, but delays in get- to cut through China’s notorious bureaucracy, find appro- everything, which is very typical of China.” ting bureaucratic approval have caused numerous post- priate retail space and maintain its ethical approach. Low name recognition is also a problem, Su added. ponements. As a result, the unit in the basement of the American Apparel has plans to open stores in “We’re new, so our development is different, and the Chinese China World Trade Center in a location formerly held Shanghai, Chengdu and Suzhou, as well as the one open- don’t know us. We have no catalogue, no Chinese stores, and by Azona was the fi rst to open. That store originally was ing in Beijing. The hope is to have all fi ve stores open different landlords have different requirements.” expected to open last month. — including a second unit in Beijing — by the end of She also mentioned China’s high rents and the risk “We’re afraid of the malls. We’re not mall people, September. But the long drawn-out process of opening the that entails. “In China, they’re mostly huge spaces, but that is the way China is structured,” Parnass added. stores shows the challenges of doing business in China. which means huge investment, and then the lease is “The problem for us now is how to keep our street cred American Apparel was supposed to open its fi rst only three years. We need a high effi ciency rate. The lo- within a mall. On [Shanghai’s] Huaihai Lu, you have boutique in China in May in the Shanghai creative zone cations we’ve picked were about the landlord, and not to rent the above four stories to get the ground space. project 1933. The project has been postponed as it awaits so much about the cities,” Su said. That’s fi ne if you’re a Louis Vuitton or a Cartier, and can fi nal government approval, although inventory has been Launching in the lower-profi le, second-tier cities of afford to use it as a billboard.” shipped from the U.S. “We signed the contract with 1933 Suzhou and Chengdu marks an unusual strategy since Even after the retail hassles are behind it, American last November, and started setting up the company here,” most Western fashion brands tend to enter China in the Apparel will face the dilemma of positioning the brand in said Wei Su, manager of the company’s retail develop- fi rst-tier cities of Beijing, Shanghai and Guangzhou or China’s complex, competitive market. “A big challenge is ment for China. “The building used to be a slaughter- in prosperous, coastal second-tier cities like Hangzhou, that we have no logo,” admitted Parnass. “China is the land house, and is a project with the government, so the land- Dalian and Wenzhou. of logo frenzy; it is fi ve years behind the rest of the world. lord does not have ownership. Then, as a ‘creative space,’ Chengdu is the capital of the inland and now earth- We’re not going in the logo direction.” retail is limited to only 15 to 20 percent of the project.” quake-stricken Sichuan Province. Suzhou, a tourist Parnass said he expects that American Apparel’s cus- Despite the diffi culties, the company remains enthu- haven for its traditional gardens, canals and temples, tomer base in China will prove as loosely defi ned as it siastic about the location. “Shanghai does not yet is internationally. The company is also hoping to have such a hybrid retail and creative space. It is appeal to the growing club scene here. “Everyone the heart of what quality city living is all about. A new American Apparel unit in China. asks what our target demographic is, especially That is: brainpower, creativity-based. It will be landlords, but we have no answers,” he said. “We the launch point for American Apparel,” Parnass mean a lot to a lot of different people.” said. “It is the nature of American Apparel to be Marketing in China is proving to be another controversial, to go against the grain.” challenge, and only in part because activism and It remains to be seen how that controversial as- public discourse on social issues remain sensi- pect of the retailer — its use of sexually provoca- tive in the country. “We cannot aggressively mar- tive imagery and the wild man reputation of its ket and still be seen as cool. So, usually we par- founder and chief executive offi cer Dov Charney — ticipate with the music world and city scenes, but translates in China, where state control of media is here that is more diffi cult,” Parnass said. “In the rampant. The retailer has generated endless con- U.S., we advertise on the back pages of the free troversy even in the more relaxed U.S. for its ads, magazines, the ones that tell where the cool raves and for Charney’s outlandishness. It hit the head- are and such. That does not exist in China.” lines earlier this week for its new Afrika collection American Apparel isn’t just shipping its sig- inspired by the continent, which it promoted with- nature T-shirts and tube dresses to China; it also out using any African-American models. hopes to export its socially responsible ethos. As for the postponed opening, Su said recently The company has decided not to source from via e-mail, “The simple answer from me is ‘That’s China and has vowed to pay its Chinese sales China.’ We are defi nitely going to open the store staff no less than the U.S. minimum wage. It also in 1933 Shanghai as our people in L.A. and on the plans to sell some of the socially outspoken mer- ground are working hard for the opening. But the chandise it sells in the U.S.; for example, earlier date is not fi xed due to the bureaucratic problems.” this summer the fi rm planned to ship its “Legalize L.A.” American Apparel’s list of diffi culties in China is long. They are very hands-on, and T-shirt to China, which supports a relaxation of U.S. im- “For example, we imported our lighting fi xtures, and “ migration rules. they got stuck at the Pudong Airport in Customs because get their noses in everything, “It would be very easy to shift our production to we couldn’t fi nd the right person to sign them through, China, but [Charney] will not manufacture in a pollut- and we thus lost three days,” Parnass explained. which is very typical of China. ing factory, and we cannot guarantee that in China,” More signifi cantly, the company cannot register as ” Parnass explained. “By making it all in L.A., we can “American Apparel” in Chinese. “The bureaucratic — Harry Parnass, American Apparel control the conditions.” regime here doesn’t allow a direct translation of our The company is also eager to attract a high-quality name, because their copyright laws do not allow using a is located in the eastern Jiangsu Province and an hour sales force. “We were told that paying U.S. rates means country name in a brand name — so it is some unintel- away from Shanghai. getting very high-level, multilingual, college-educat- ligible transliteration,” he said. “Chengdu is a city of 17 million people that no one in the ed staff. And we said, ‘Great, we want that!’” Parnass Although many brands claim that fi nding appropri- U.S. has heard of, but with so many [Louis Vuitton] stores laughed. Formerly a director of Montreal’s LaSalle, he ate retail space in China has ceased being the challenge and such,” explained Parnass, speaking before the earth- has been recruiting graduates from the Raffl es LaSalle it was a few years ago, it remains a headache for com- quake that has since put the city on the global map. Plans fashion institute in Shanghai. panies that are comparatively small or lack much local for a Chengdu store have not been called off by the quake, Parnass did not think the company’s all-American name recognition. “A lot of cities we went to told us it Su said, noting natural disasters, while a tragedy, are a part image will backfi re in a period of extreme nationalism was too late, that their leases were all taken for three of life and business as well as of the history of China. in China. Still, the company is treading carefully on years. For others, leasing to us would mean taking a American Apparel considered Suzhou for its tourist some issues. To wit, it is carefully considering whether risk,” Parnass said. appeal, Su said. The store, which for now is slated to to recruit Chinese, Korean or white celebrities for its “We are two years away from the next wave of re- open in September, is part of a big new outdoor, water- local advertising campaigns. tail spaces opening, and there are 20 candidates for front entertainment project expanding the city limits. “The sense we are getting from Chinese journalists each spot. The price is never discussed. It goes beyond “Suzhou is expanding, but not too fast, and trying to re- is the feeling that the xenophobia is artifi cially created, business: the owner wants to tell his golf buddy on the tain its street image, to remain streetlike,” she said. for political reasons,” said Parnass, adding “Made in course, ‘I just signed American Apparel,’ and not be “We’re a street company, not a mall company, so in America” still has a cachet. one-upped by a ‘Well, I got such-and-such,’” he said, China we go for compromises like [Beijing’s] Sanlitun “The Chinese consumer is not convinced about Made mentioning some landlords’ demands for as much as 22 Bar Street,” she said. in China.”

16 WWD, THURSDAY, AUGUST 21, 2008 WWD.COM A green business is a good business — or so it would seem these days, as the pressure to rev up environmentally friendly and sustainable policies increases. Outlaw Consulting, a San Francisco-based fi rm that researches the Gen Y culture, TheWWDList surveyed its “trendsetter” respondent base on its favorite green brands. From this data, the fi rm developed its “Green Brands Index,” released in July. “The top contenders on the list are seen as trailblazers, having been the fi rst in their category to go green,” the study stated. “Gen Y is very motivated toward green,” said Barbara Bylenga, president of the fi rm. “They want to buy with their values, they want to support companies that have green practices. It can be the way you run your company, or it can be the products you sell.” Additional brands that Green Giants earned green mentions aside from those in the top 12 included MAC Cosmetics The top 12 eco-friendly brands favored by Gen Y. and . — Cecily Hall, with contributions from Vanessa Weber WHOLE FOODS MARKET Green Brands Index score (out of 10): 8 Founded in 1980 in Austin, Tex., the food retailer has about 270 stores in North America and the United Kingdom. Whole Foods has a list of 80 ingredients it refuses to sell in stores, for ethical and health reasons. Among them: artifi cial colors and fl avors, bleached fl our and fois gras. Whole Foods Market has reportedly installed solar panels on roofs of some of its stores to generate electricity on a larger scale. But green can have its 1 limits: Whole Foods recently has stumbled fi nancially in the economic downturn and, while sticking to its organic and natural mantra, has begun to emphasize price and value more. TRADER JOE’S Score: 7 The Monrovia, Calif.-based retailer, which operates over 280 stores in 23 states, has several green initiatives in place, beginning with the Trader Joe’s in-house label — which contains no artifi cial fl avors, colors or preservatives, no MSG and no added trans fats — and it features vegan and 2 gluten-free products, as well. The company also sells fabric NYC grocery bags to reduce paper and plastic waste, and tries to buy directly from producers rather than food distributors.

TOYOTA Score: 6.9 It’s all about the Prius for the Japanese auto brand. In 2007, Toyota sold half a million hybrid cars — the fi rm now has six variations of the hybrid, though the Toyota Prius (left) remains the most fuel-effi cient passenger car in the U.S., according to the Environmental Protection Agency 3 — increasingly important in these days of spiralling gas prices. Steve Sturm, group vice president of communications for Toyota Motor North America, noted at the American Apparel & Footwear Association’s sustainability conference in June, “The Prius is now Toyota’s third-best-selling auto. About 11 percent of sales are hybrids and Toyota claims an 80 percent share of the U.S. hybrid market.” HONDA Score: 6.4 Honda ranked second, behind the aforementioned Toyota Prius, on the Environmental Protection Agency’s list of most fuel-effi cient cars with the Honda Civic Hybrid (left). In July, Honda released its fi rst zero-emission sedan, the FCX Clarity, and in 2009, the fi rm is planning to launch a more affordable hybrid model. In addition to its cars, Honda has developed a line of railcars (on which Hondas are shipped) that are more fuel-effi cient. 4 The brand is also constructing two of its U.S. building facilities to be “greener” by featuring more energy-effi cient lighting, heat-preserving roofi ng and utilizing steel made from recycled materials. Score: 5.9 In 2007, Google announced it would begin its efforts to become “carbon neutral.” In corporate buildings, for example, the company is replacing incandescent bulbs with higher-effi ciency lighting, and at the Mountain View, Calif., headquarters, Google is using one of the largest corporate 5 solar panel installations in the U.S. — at left is a shot of the company’s headquarters and the building’s solar panels. Last winter, the computer search engine giant launched RE

10 BEST PERFORMERS 10 WORST PERFORMERS

DAILY COMPANIES P/E VOLUME AMT DAILY COMPANIES P/E VOLUME AMT HIGH LOW LAST %CHANGE HIGH LOW LAST %CHANGE

6.99 6.15 Delta Apparel (DLA) - 7400 6.94 +11.94 1.15 1.01 Phoenix Footwear (PXG) 1.2 12500 1.02 -14.29

0.50 0.41 NexCen (NEXC) - 303082 0.47 +9.05 20.92 17.63 Citi Trends (CTRN) 21.8 1212916 18.45 -10.74

0.76 0.67 Tarrant Apparel (TAGS) 8.6 49135 0.74 +8.03 4.80 4.30 Crocs (CROX) 4.3 6593857 4.36 -8.02

16.17 15.14 G-III Apparel (GIII) 14.9 279930 16.03 +7.58 38.98 37.11 BJs (BJ) 20.5 4375427 37.71 -7.30

8.50 7.75 Hampshire (HAMP) - 2592 7.99 +6.53 7.70 7.52 R.G. Barry (DFZ) 12.3 3432 7.56 -6.66

6.38 5.92 Parlux Fragrances (PARL) 24.9 232758 6.37 +6.52 1.44 1.36 Joe’s Jeans (JOEZ) 17.9 43492 1.37 -4.20

10.73 9.60 Tween Brands (TWB) 7.7 1896725 10.33 +5.84 4.26 3.96 Retail Ventures (RVI) 1.1 248971 4.03 -4.05

2.19 2.02 Bluefl y (BFLY) - 23084 2.11 +5.50 29.50 28.07 Coach (COH) 267.3 5699538 28.31 -3.71

1.31 1.20 Revlon (REV) 31.0 2054702 1.30 +4.84 10.38 9.87 Saks (SKS) 28.6 3454427 9.92 -3.60

11.24 10.70 New York & Co. (NWY) 106.7 783265 11.13 +4.31 2.58 2.38 Hartmarx (HMX) - 96093 2.47 -3.52 IN BRIEF $1.03 WWD • STEVE & BARRY’S DELAYED: Another day, have the case tried out of federal another delay for the sale of bankrupt court instead of having it stay under retail chain Steve & Barry’s. The hear- bankruptcy court jurisdiction. INDEX ing for bankruptcy court approval of the impending sale was postponed for • ADIDAS RATING CUT: With the Olympics trillion COMPOSITE a third time Wednesday. A source with in full swing, one of its high-visibility Second-quarter U.S. retail sales. knowledge of the negotiations said sponsors, Adidas AG, saw its stock 976.86 Bay Harbour Management is still the downgraded by investment firm HSBC. likely buyer, but that delays were re- In a research note published Monday, quired to allow the parties extra time HSBC said the German activewear to hammer out the deal’s finer points. giant has bright short-term prospects, The New York investment firm was but the outlook darkens after 2009. +0.9% announced as the stalking horse bid- “We believe Adidas will feel pressure der earlier this month with an offer both on gross margins, from limited Change in second-quarter sales of $163 million. A hearing for court pricing power and rising input costs, approval of the planned sale to Bay and on EBIT, from rising advertising compared with the fi rst quarter. Harbour is now set for 11 a.m. today and promotion spending,” the report -1.80 in a Manhattan bankruptcy court. said. “We expect Asian sales growth to SOURCE: CENSUS BUREAU Meanwhile, lawyers for professional moderate in 2009, growth in to basketball player Stephon Marbury’s halve and see no reason why the U.S. Starbury brand filed legal papers al- market should not remain more or leging Steve & Barry’s owed it more less flat for the foreseeable future.” that $2.1 million in unpaid royal- The bank cut its rating on Adidas to ties, according to documents filed in “underweight” from “neutral.” The Ross Stores Earnings Spike in Qtr. Manhattan federal court on Monday. change in rating follows a downgrade The Starbury lawyers are trying to of Nike Inc. last month. By Evan Clark A down economy can be a boon for off-pricers. Not only do they sell ROSS STORES INC. PROVED IT’S A branded goods at a discount, but they good time to be an off-pricer, on Wednesday pick up better deals when their full- Hot Topic Posts Loss, Lowers Guidance posting double-digit earnings and sales price competitors are trying to thin growth in the second quarter while boost- inventories. The TJX Cos., an off-price MALL-BASED RETAILER HOT TOPIC a loss of $2.5 million, or 6 cents, in the ing expectations for the year. competitor, also posted strong second- Inc. lowered its guidance Wednesday same half a year ago. Sales increased Net income for the quarter shot up quarter results last week, with earn- after reporting a second-quarter loss, 2.1 percent to $325.8 million from $319 40.2 percent to $71.3 million, or 54 cents ings up 239 percent. due in part to expenses related to an on- million. a diluted share, compared with $50.9 “During these times, we benefi t from line music project. Projecting a comparable-store sales million, or 37 cents, a year ago. Sales ad- the increased supply of great brands at For the period ended Aug. 2, the decline in the low-single digits, Hot vanced 13.6 percent to $1.64 billion from signifi cant discounts like we continue to company posted a net loss of $450,000, Topic forecasted third-quarter guid- $1.44 billion as comparable-store sales see today,” said Michael Balmuth, vice or 1 cent a share, compared with a net ance of earnings per diluted share in the rose 6 percent. chairman, president and chief executive loss of $1.7 million, or 4 cents, for the range of 12 to 15 cents. The company also For the six months, earnings jumped offi cer, on a conference call with analysts. same year-ago period. According to Hot said it expected fourth-quarter EPS to 27.9 percent to $150.8 million, or $1.13 Despite the strong results so far Topic, the second quarter included ap- be in the 25 to 28 cents range. Included a diluted share, on a 12 percent rise in this year, the retailer, which operates proximately 1 cent a share of expense in the guidance for both quarters was sales to $3.2 billion. 817 Ross and 45 dd’s Discounts stores, related to the company’s online music the expense related to the launch of an Ross managed to push comps up 4 said it is taking a cautious approach initiative. Sales grew 3.2 percent to online music site. percent in California and Florida, two of and maintaining plans for a 2 to 3 per- $166.8 million, versus $161.7 million for Analysts polled by Yahoo Finance the markets hit hardest by the fallout in cent comp-sales gain in the back half the year-ago quarter. The company said predict the company will report earnings the housing market. given uncertainty in the economy. The same-store sales declined 0.9 percent of 16 cents a share in the third quarter, Dresses, accessories and shoes were Pleasanton, Calif.-based Ross is looking for the three months. and 37 cents in the fourth. the strongest sellers at the chain, which for earnings of $2.33 to $2.38 a share for For the six months, the California- Hot Topic operates 158 Torrid stores said it benefi ted from the $600 tax rebate the full year, up from previous projec- based retailer posted a $1.9 million in addition to 684 Hot Topic units. checks sent to consumers and the favor- tions of $2.19 to $2.29. Last year, Ross loss, or 4 cents a share, compared with — Alexandra Steigrad able weather during the quarter. had profi ts of $1.90 a share. 18 WWD, THURSDAY, AUGUST 21, 2008 WWD.COM Lauder Taps Polcer for Supply Chain Post Brown Goes to Bat for Dems. THE NEW JERSEY DELEGATION TO THE THE ESTÉE LAUDER COS. INC. HAS RECRUITED pruning stockkeeping units and more closely linking em- Democratic National Convention, to be held in Gregory Polcer as executive vice president-global supply ployee compensation with performance goals. Denver Aug. 25 to 28, will chain in a bid to sharpen the beauty conglomerate’s ex- During the same call, Rick Kunes, Lauder’s executive vice include at least one make- ecution capabilities. president and chief fi nancial offi cer, said, “There are certain- up artist: . It also is the fi rst key personnel addition ly opportunities that will manifest themselves Brown, a longtime made since the offi cial arrival of Fabrizio in improved gross margin by being better at Democrat, said she hosted Freda as president and chief operating of- what we do, by being more effi cient in our two fund-raisers earlier fi cer in early March. supply chain, by having less points of distribu- this year for presump- Polcer, 53, who previously was senior tion, therefore less inventory, therefore more tive Democratic nominee vice president of supply chain at Unilever, effi cient and less waste in the process.” Sen. Barack Obama (D., will oversee Lauder’s “end-to-end supply Kunes also said, “We are developing the Ill.), and at the second of chain,” according to the company, including capabilities and the incentives to reduce them, New Jersey Gov. Jon procurement, manufacturing, quality assur- inventory and sku’s in the years to come. Corzine asked her to serve ance and logistics. His appointment was ef- Our goal is to increase inventory turns in the delegation. fective July 31 and he reports to Freda. from twice to three times per year over the “I was an early Barack Polcer is succeeding Malcolm Bond, who course of the next several years.” Bobbi Brown supporter and I’ve done joined Lauder in 1995 and, as previously an- Freda was not available for comment Michelle’s makeup,” said Brown in a tele- nounced, is beginning a process leading to Wednesday, but in announcing the appoint- phone interview from her Montclair, N.J., his eventual retirement as executive vice ment, he stated: “Greg’s unique combination home, adding that her oldest son will be a president of global operations. Polcer is of supply chain, fi nance and category man- page at the convention. “Barack is incred- also assuming some of the duties previously Gregory Polcer agement experience will be invaluable as we ibly smart and he is the guy who will make performed by the late Roger Caracappa, who died a month increase effi ciencies and enhance our operating effective- the changes that need to be made.” ago. Caracappa’s title was executive vice president of global ness. I am confi dent that Greg will be a key contributor in Despite her veer into politics, Brown isn’t packaging, quality assurance, store development, design and improving our global processes to help [Lauder] execute its forgetting about her day job as head of her merchandising for the Estée Lauder Cos. long-term strategy to deliver sustained, profi table growth.” eponymous makeup line. “We’re inviting all In announcing Polcer’s appointment, Lauder credited In a letter to employees, Freda said that Polcer will sit on Democratic delegates to the Bobbi Brown Polcer with having spearheaded a corporate initiative at Lauder’s executive committee and “will be responsible for counter at the Nordstrom at Park Meadows Unilever to defi ne the process and project plan for creating the Global Direct and Indirect Procurement functions and Mall for a complimentary makeup lesson with a corporate-wide procurement capability. Prior to Unilever, ultimately develop the role of global chief procurement of- one of my artists,” said Brown, noting that the Polcer was with Playtex Inc. and J.C. Penney. fi cer reporting directly to him.” appointments will be held Aug. 27 and 28. She During an earnings call to Wall Street analysts last After identifying six top executives who will report will also teach a master class to makeup artists week, Freda, who is expected to move up to chief execu- to Polcer, Freda continued: “A seasoned business leader at the store. As well, each Democratic delegate tive offi cer within two years, said the company’s goal is with deep and broad supply chain expertise, Greg also has will be given a goodie bag of Bobbi Brown to generate sustainable and profi table growth by taking proven his ability to create and develop strong teams.” products upon checking into their hotels.

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For more career opportunities log on to fashioncareers.com. Call 1.800.423.3314 or e-mail [email protected] to advertise.

GRAPHIC DESIGNER Seeking a creative & motivated Graphic Designer able to design graphics, trims & hardware for young Men’s and Ladies’ gar- ments. Candidates must be MAC proficient in Illustrator and Photoshop. Excellent salary & benefits! Fax resume to:(212) 768-4615 Email: [email protected]

Order Entry Customer Service Great opportunity w/ fast growing babywear/layette importer. Exp a must MAS90 experience a +. Data entry speed/accuracy important. Must be able to communicate effectively w/ sales staff, reps & customers. Fast pace but pleasant work environment. E-mail: [email protected] Showrooms & Lofts PATTERNMAKER BWAY 7TH AVE SIDE STREETS Contemporary sportswear company Great ’New’ Office Space Avail seeks experienced pro for catalog and ADAMS & CO. 212-679-5500 private label division. Mostly related separates woven/knits, lined and un- lined. Moderate through better priced PATTERN/SAMPLES PATTERNS, SAMPLES, merchandise. Part time or full time ok. Garment center location. Professional Fax resume 212-869-2320 or email: /Reliable Quality. Men & women all style. PRODUCTIONS [email protected] Low Cost. Small production. 212-629-4808 All lines, Any styles. Fine Fast Service. Call Sherry 212-719-0622. Penthouse Office Share PATTERNMAKER $3,575 24/7 Drmn, Ave Bldg, Patterns/Samples/Production PATTERNS, SAMPLES, Upscale contemporary brand looking for Up to 6 people, Conf Rm, Patio, Full Service, Fine, Fast Work. a person with experience. You must Alarm, Util add. 212-398-3809 Any Style PRODUCTIONS be able to sketch and contribute to de- Call Casey: 212-560-8998 / 212-560-8999 Full service shop to the trade. sign as well as interpret design ideas Fine fast work. 212-869-2699. and details. You must understand the contemporary market and better fab- rics. We are looking for a team player who wants to be part of a fast growing co. Email resumes: [email protected]

PR COORDINATOR/SHOW ROOM ASSISTANT For High end European designer line. This position requires someone with strong knowledge of the fashion press and excellent verbal and written com- BELT PRODUCTION FASHION FACULTY munication skills. Must have 1-2 years Private four year college seeks faculty experience in high end fashion PR Immediate opening in northern NJ for firms or have worked in a similar Account Executive individuals with 2-3 years exp. working for fashion and marketing program. Fast growing designer womenswear Doctorate degree preferred, Master’s capacity for another high end compa- with overseas vendors, negotiating ny. Established contacts with editors brand seeks an energetic account exec. prices & delivery for ladies belt division. degree required, along with significant Should have existing client relationship industry experience. EOE. Applicants and celebrity stylists are a major plus. Generous Salary & Benefits! To apply, please e-mail your resume with North America and international. Email: [email protected] should email a letter of application and Must be hardworking, organized & eager a current resume to: Dr. Guy Adamo, with cover letter to: to actively seek new business. Computer Chair, Fashion and Marketing Depart- [email protected] skills a must. Email [email protected] ment, at [email protected] For information about the college: Product Development Assistant APPAREL/HOME FASHION COLLECTION SWEATER DES $$$$$$ www.BerkeleyCollege.edu Individual with at least 1-2 years prod- SRI SEARCH INC Runway. Must be Technical. uct development or design experience. WWW.SRISEARCH.COM [email protected] 212-947-3400 Good communication skills with 212-465-8300 Graphic Designer Seeking a creative & motivated Graphic designer. Independent and well organ- Allen Platt /Jennifer Glenn ized. Must have professional training [email protected] Designer able to design graphics, trims & hardware for all sizes of a girls in /textile education. [email protected] COOGI - SALES Good computer skills in Word & Excel. Very Hot Urban Brand expanding into and boys children’s line. Candidates must be MAC proficient in Illustrator Please send resumes w/ salary require- AR COLLECTIONS COORD. INTIMATES & SLEEPWEAR is seek- ment: [email protected] ing an experienced Sales Manager & Photoshop. Must be able to produce Apparel Co. seeks individual for A/R , original artwork, be detail oriented, credit and collections. Competitive with established contacts and experi- ence with Urban Specialty and Dept have great sense of color, pattern & Production Coordinator salary/good benefits. Email resume and layout, and have excellent time man- salary reqs: [email protected] Store chains. Please email resume to: w/Private Label Exp [email protected] agement skills. Please email resume to SALES EXECUTIVE [email protected] or Fax 212-382-3047 Children’s clothing line seeks detailed individual with strong follow up and Established apparel agent from Asia offers attractive package for ASSISTANT DESIGNER organizational skills. Responsible for an energetic, creative, experienced (8+ yrs), smart professional Major apparel company seeks an assis- HEAD DESIGNER coordinating & managing all aspects tant designer. Candidate needs to have Established company has immediate of the production process from incep- with strong knowledge in design & product development, off- 1-2 yrs experience, must be organized DESIGNER opening for a head Girls fashion designer, tion thru completion. Oversee all facto- shore production and industry contacts. Proven track record of and have good communication skills. Apollo Jeans seeking designer to create a with focus on print and color direction ry approval/production tracking and Illustrator and Photoshop a must. line for denim and non-denim bottoms with min.10 yrs exp. Candidate must seasonal timelines. Must have knowl- opening new accounts and growing business a must. Send resumes: [email protected] area. Experience with a major denim have extensive knowledge of Mass edge of Private Label for Wal-Mart, JC or fax to Joseph: 212.768.3588 company is a must. Ideal candidate market as well as the ability to direct a Penney’s & Kohl’s. Microsoft Outlook Our attractive remuneration package includes 5-DAY WEEK, medical will be able to take projects from concept staff and work within a structured Word & Excel req’d. Please email re- sume [email protected] or Fax 212-382-3047 benefit, and year-end bonus. Please e-mail full resume with Avalon Eyewear, Inc., Northern NJ. through production, multi-task, meet timeline: Please fax resumes to: HR Established, multi-branded eyewear & deadlines, and communicate daily 212-967-4369 present and expected salary to: [email protected] accessories distributor seeks fashion with overseas factories. Strong Adobe Production Coord. conscious, detail oriented & creative Illustrator, Photoshop and MS Office Seeking organized, detailed team player individuals for the following two key required. Email your resume to: to join growing women’s knitwear co. positions; Marketing Coordinator; To [email protected] OFFICE ASSISTANT Resp. for coord. & mnging prod. process from inception thru completion. Will coordinate marketing & PR, from con- Fast Paced Sportswear Import Company- cept development to implementation seeks a high energy & motivated individ oversee factory approval, prod. tracking ACCOUNT EXECUTIVE of initiatives. Product Development ual to fill immediate entry level position. & seasonal timelines. Must have knowl. High end European designer line is Coordinator; To assist in product DESIGNER Responsibilities include organising of knitwr, must spk Mandarin/Cantonese. currently seeking an Account Execu- sourcing & development, styling & de- Jrs/Girl’s Jeanswear co. seeking designer showroom, assisting sales people, E-mail res to: [email protected] tive. The right candidate should be a sign. Ideal candidates will be hands with the ability to work in fast paced sending /receiving couriers, analytical high spirited, team oriented individual with strong selling skills. Must have on, self starters well versed in design environment. Must be creative & able & computer skills req. Must be organized- Sales Assistant trends. Experience and proven track re- to handle multi-tasked projects. Experi- & good follow up. Ground level opportuni Children’s line seeks a self-motivated, minimum.1-2 yrs showroom sales exp. cord required. ence working with overseas office & ty for growth. Send resume in confidence enthusiastic team player. Candidate Established relationships with clients Fax/email resume: 201-767-8161, factories a must. Fax or email resume to: to: [email protected] must have strong computer skills. Mi- in the fashion industry are a must, but [email protected] 212-629-7918 or [email protected] crosoft Outlook ,Word and Excel re- should also be eager to actively seek quired. Must have strong organization- new business. To apply, please e-mail al skills, great follow through & strong your resume with cover letter to: Accessories Exec sense of urgency. Please email resume [email protected] Top Corporate Connections: to [email protected] or Fax 212-382-3047 Majors Only: Please Call: Brian Weathers @ 856 761 8134 SALES REPS Better Sportswear (knit tops & bottoms) . ECO-FASHION YOGA LINE SEEKS Calling on better specialty stores, SALES REP beach shops, surf shops, gift shops/ High end yoga fashion & active wear. boutiques representing a worldwide Seeking exp East Coast Sales Rep with brand name. Top commissions paid. solid account base. Min. 7 yrs exp. Don Schmidt 917-599-7253 E-mail resume, ref & account base to: [email protected] [email protected] Will be at Magic Booth # JR12833 The textile supply chain: stacking up to be a whole lot greener.

All around the world, companies that comprise the textile supply chain are actively adopting new AMERICA’S COTTON PRODUCERS AND IMPORTERS. mark/trademark of Cotton Incorporated. ™ Service © 2008. Cotton Incorporated. technologies that reduce the industry’s use of water, energy, chemicals, and waste materials. The result is a dramatically reduced environmental footprint for the textile industry and a story worth telling.

Cotton Incorporated has just completed a DVD, Textiles: The Sustainability Revolution, which features representatives from over a dozen major companies, all actively involved in finding and implementing new processes to make the industry a little greener today and a whole lot greener tomorrow. Innovations in dyeing, finishing, water treatment, factory design, foam technology, and waste disposal all play a part in this rapidly evolving story.

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Cotton Incorporated: Cary, NC • New York • Mexico City • Los Angeles • • Shanghai • Hong Kong WWDPROJECTPREVIEW SECTION II FASHION ASSISTANTS: TANYA BROWN AND EUNICE LEE; STYLED BY LEILA BABOI BROWN AND EUNICE LEE; STYLED BY TANYA ASSISTANTS: FASHION BY HELLEN ROBERTSON FOR CHANEL AT CELESTINEAGENCY.COM; MANICURE BY MARSHA BIALO FOR CHINA GLAZE AT ARTISTSBYTIMOTHYPRIANO.COM; FOR CHINA GLAZE AT MARSHA BIALO MANICURE BY CELESTINEAGENCY.COM; FOR CHANEL AT HELLEN ROBERTSON BY ROCKABILLY Denim takes a spin on the tougher BABY side of retro.

Literature Noir’s cotton jacket and Ksubi’s cotton playsuit. Hagar Satat belt. PHOTOGRAPHED BY RODOLFO MARTINEZ; MODEL: ANGELIKA/PHOTOGENICS; HAIR BY JOHNNY STUNTZ FOR PHOTOGENICS BEAUTY AT SMASHBOX; MAKEUP AT JOHNNY STUNTZ FOR PHOTOGENICS MODEL: ANGELIKA/PHOTOGENICS; BEAUTY HAIR BY RODOLFO MARTINEZ; BY PHOTOGRAPHED 2 WWD, THURSDAY, AUGUST 21, 2008

SECTION II WWD.COM

PROJECT PREVIEW Growing Up Over the past five years, Project has morphed from a men’s wear show into a must-attend women’s contemporary event.

By Nola Sarkisian-Miller year, welcoming more footwear, handbag and jewel- ry brands, such as Matt Bernson, Gorjana & Griffi n, A LARGER WOMEN’S CATEGORY, MORE ACCES- Muxo and Sienna Ray. The show will interweave the sories lines, a growing contingent of foreign vendors accessories with apparel, merchandising casual, and exhibitors and a multitude of sponsors, includ- dressy and sportswear categories together. ing Microsoft, are a few of the highlights of the up- “It’s the way it’s merchandised in stores, so it will coming Project Global Tradeshow touching down at give the women’s area a nice fl ow,” Ben-Avraham the Sands Expo and Convention Center in Las Vegas, said. Aug. 26 to 28. Exhibitors are also hoping to court international The show that began fi ve years ago mainly as a business, especially with a dollar whose plummet- province for men’s wear has morphed over the years ing value has favored overseas markets. The show into the go-to event for directional women’s contem- expects to attract about 25,000 buyers, including porary wear, and along the way took on a new owner Bloomingdale’s and Lord & Taylor, whose women’s in the form of Advanstar Communications Inc. team is attending the show for the fi rst time. Ben- In spite of the show’s explosive growth, now span- Avraham said the show attracted 25 percent of its ning about 1,300 vendors (an 8 percent increase com- buyers from overseas in its February installment and pared with last year) that occupy 550,000 square feet projects the number will increase. of convention space, its goal continues to be focus- Overseas vendors also will be in attendance look- ing on brands that help elevate and maintain the in- ing for new world markets, including Iro from Paris tegrity of the show, creating synergies with outside and Alessandro Dell’Acqua footwear from . partners and staving off the competition, such as “We expect to see lots of Asian buyers and more ENK International Inc., which is marking its return importers who realize where the margins are,” he to Las Vegas with a new concept called ENK Vegas. said. “Europeans can buy jeans for $50 wholesale That means pruning brands that don’t fi t in with the here compared to $90 in Europe, so it’s a very attrac- show’s fashion vibe, reaching out to key partners and tive deal for them and for our vendors.” traveling to European shows to scout out fresh new To keep spirits high in a challenging economy, lines and trade show strategies. Project will host a party at Tao Nightclub at the “My job is to offer buyers the best of what’s out Venetian Resort Hotel Casino on Wednesday, Aug. there,” said Sam Ben-Avraham, president of Project. 27, at 10 p.m. and keep the tunes spinning at the “I can’t show them stuff from fi ve years ago. Just be- show courtesy of Tao’s DJs. Show organizers will cause you showed fi ve years ago doesn’t mean you’re There will be 658 continue to pour on the sponsorships and perks as relevant.” lines showing well. Microsoft is making its second — and a larger — One notable company that won’t be appearing this looks for women appearance at the show with a slate of new fashion year is Ed Hardy. “Ed Hardy created too much noise, at Project. PCs from its original equipment manufacturing, or they weren’t about the merchandise and respecting OEM, partners, including Acer, Asus, Ego, Flybook, others while doing business,” Ben-Abraham said. Gateway, Hewlett-Packard and Sony. Also, the win- “They had a humongous space so it’s a big loss in ner of Microsoft and Sony’s PC design contest, which revenue for us. But, I can’t afford to have one person challenged consumers to create designs for the lids taking over the show.” of a new line of Vaio Graphic Splash notebooks, will Ed Hardy designer Christian Audigier had a dif- be revealed at Project. ferent perspective on the matter. “We chose not to Microsoft is also looking to designers, including join Project this season because we simply outgrew Chester Bennington from Linkin Park, to outfi t the it,” he said in a statement. Instead, he will launch an- staff at the show. “This is the place where the most other trade show called When I Move You Move, run- innovative designers go, where trends are set for the ning Aug. 25 to 28 at Caesars Palace. year,” said Rob Poznanski, senior marketing man- “I decided to launch When I Move You Move, to ager for Microsoft. “There’s no better place for us create a world where my retailers can actively expe- to go to.” rience the lifestyle and the excitement of my brands,” Other crowd-pleasers will be a lounge for mani- he said. cures and eyebrow threading, the Nudie lounge where Even without Ed Hardy, there will be 658 lines Nudie will give away pairs of women’s jeans to every- devoted to women’s-only and dual-gender labels at one donating a pair, a portrait lounge where guests Project. The show has hit its stride with women’s can receive black-and-white photos, a Swarovski contemporary clothing, drawing coveted labels such lounge and a gallery/lounge sponsored by Chronicle as Trina Turk, Corey Lynn Calter and Vince, and is Books featuring a showcase of 25 illustrations from continuing to attract key showrooms and lines. the book “Fashion Illustration by Fashion Designers,” Los Angeles-based EM Productions, a showroom by Laird Borrelli, senior fashion editor at Style.com. known for introducing new lines to the public like Project began Also in effect is the show’s VIP buyer program at Mike & Chris, will be bringing fi ve lines to the show, fi ve years ago the Wynn Las Vegas hotel, giving the red-carpet treat- up from one on its last visit, including Mara Hoffman, as a primarily ment to a select group of buyers who will receive a New York-based line of fl irty dresses with uncon- men’s wear special rates, complimentary breakfasts and happy ventional shapes and swimsuits, along with L.A.- show. hours and transportation to the shows. based Corpus, which is launching a bigger women’s Even with those conveniences, however, buyers collection wholesale priced from $40 to $250. may spend extra time at the shows but they’ll be “There’s a demand by our stores for us to be different body types with details such as surface keeping budgets fl at. at Project,” said Lisa Elliott-Rosas, owner of EM abrasion, rips and grinding. Wholesale prices range “Our sales are down about 10 to 15 percent this Productions. “Especially with the economy, stores from $27 to $52. year, so we’ll be keeping the budget the same,” said are picking and choosing where they’re going and the “The denim market is oversaturated and we think Tobi Blatt, owner of two eponymous boutiques in the stores we cater to are going to Project. “ the best place to squeeze in is with a ‘masspirational’ Del Mar and Encinitas communities in California. “I Denim’s sales’ slide the past two years has meant approach, one that offers aspirational style at a price don’t think the economy is supporting newness. I’ll be fewer newcomers to the fashion scene. At Project, they can afford,” said Kelli Delaney, creative director shopping for great basics — denim, layering pieces, there will be a handful of debuts from names familiar of Earl Jean. shorts and dresses, which is a huge category.” to the style cognoscenti, but with more scaled-down Even though price is a ubiquitous concern, Agave Longtime Project vendors, which rely on new busi- prices. Grey Ant will be launching a new denim line Nectar has seen a steady increase in sales — dou- ness from the show, are staying optimistic. French separate from the line’s collection, featuring low- bling its women’s business — in spite of its past 10 Connection said about 20 percent of the business it waisted to fl ared styles, with novel details such as percent price hike. “We’re [delighted] with our sales generates at the show comes from new accounts. front-leg darting and intricate braiding. Wholesale given the environment,” said Jeff Shafer, Agave “The French Connection business has continued prices for the line range from $60 to $150. Nectar owner and designer. “Some premium denim to improve from year to year, despite the somber eco- Earl Jean is banking that its name, which companies are taking product to Third World coun- nomic environment,” said Andrea Hyde, president launched premium denim fever more than a decade tries to chase price down, but to get cachet and ex- and chief executive offi cer of French Connection U.S., ago, will help it to reclaim its turf. The line, which port to Europe, you need to make denim here.” in an e-mail. “We have always made an effort to keep hasn’t shipped for two years and is now under the Accessories continues to be a sales driver for re- price points competitive. Our basic premise of quality ownership of Designer License Holding Co., is of- tailers and Project plans to devote about 20 percent and affordability gives us a point of distinction within fering a product made of Japanese fabrics geared to of its space to the category, up from 10 percent last the crowded, contemporary marketplace.”

4 WWD, THURSDAY, AUGUST 21, 2008

SECTION II

PROJECT PREVIEW BLUE ATTITUDE Get all shook up this season with curve-hugging denim. — Leila Baboi

PRPS’ cotton denim jacket paired Diesel’s cotton with Agave Nectar’s rayon linen tank denim shirt top and Denim of Virtue’s cotton and AG Adriano and spandex denim skirt. Goldschmied’s cotton and elastane denim shorts. 55 DSL belt. WWD, THURSDAY, AUGUST 21, 2008 5

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10 Feet’s cotton jacket over Endovanera’s bamboo and cotton tank top and Rock & Republic’s cotton denim skirt. Skinny ring. 6 WWD, THURSDAY, AUGUST 21, 2008

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PROJECT PREVIEW

Nolita’s cotton and James Jeans’ cotton and elastane jumpsuit. Lycra denim shirt over Kill Cesare Paciotti pumps. City’s cotton shirt and Grey Ant’s cotton and Lycra denim shorts. FASHION ASSISTANTS: TANYA BROWN AND EUNICE LEE TANYA ASSISTANTS: FASHION

Sass & Bide’s cotton denim vest and Colcci’s cotton and elastane denim shorts. BY HELLEN ROBERTSON FOR CHANEL AT CELESTINEAGENCY.COM; MANICURE BY MARSHA BIALO FOR CHINA GLAZE AT ARTISTSBYTIMOTHYPRIANO.COM; FOR CHINA GLAZE AT MARSHA BIALO MANICURE BY CELESTINEAGENCY.COM; FOR CHANEL AT HELLEN ROBERTSON BY PHOTOGRAPHED BY RODOLFO MARTINEZ; MODEL: ANGELIKA/PHOTOGENICS; HAIR BY JOHNNY STUNTZ FOR PHOTOGENICS BEAUTY AT SMASHBOX; MAKEUP AT JOHNNY STUNTZ FOR PHOTOGENICS MODEL: ANGELIKA/PHOTOGENICS; BEAUTY HAIR BY RODOLFO MARTINEZ; BY PHOTOGRAPHED

8 WWD, THURSDAY, AUGUST 21, 2008

SECTION II WWD.COM

PROJECT PREVIEW Bigger Is Better Project’s large visitor roles offer vendors the opportunity to reach retailers of all shapes and sizes.

By Khanh T.L. Tran trimmed with white piping and gold buttons. The spring collection, to be deliv- ered between February and May, will integrate 7.5-oz. Japanese denim in a dark PROJECT’S SHOW IN LAS VEGAS AIMS BIG — AND THAT’S HOW THE VENDORS fi nish with red stitching. focusing on premium denim and contemporary sportswear like it. After creating every single shade of blue imaginable, David Lim, creative di- The prospect of meeting with more than 25,000 visitors representing high-end rector and owner of Los Angeles’ Kasil, said it’s time to play with novel treat- department stores, better boutiques and a corps of journalists has lured a number ments such as chambray, striped denim and a rainbow of colors, ranging from of companies to exhibit at Project for the fi rst time. Among those that will make overdyed black to pink and green. Kasil also will introduce a line of woven tops their debuts at the Sands Expo & Convention Center are international labels such and knits costing around $35 for spring, while lowering prices on the jeans by 10 as London’s Radcliffe and LifeWithBird from Melbourne, Australia, as well as percent to hit a wholesale price range of $82 to $88. “We want to have a little fun Southern California-based Grey Ant and Quiksilver. In addition, casualwear spe- for spring and summer,” Lim said. cialist Royal Plush chose to unveil its new activewear line at the show. Tadd Zarubica, designer of Los Angeles’ Denim of Virtue, is adding novelty “Although we’re a British brand, the U.S. is our most important market. We’ve with tie-dying, studs, shreds ravaging the entire front of jeans and an updated got to think like an American brand,” said Suzy Radcliffe, the founder and cre- cotton-Tencel fabric that can withstand distressing. “As the economy tightens, ative director of Radcliffe. “This is the fi rst time we’re doing Project. And we’re things get more glitzy or sexy,” he noted. really excited.” The slowing economy also affects the way retailers place orders, often mov- In tune with Project’s reputation for featuring directional looks in denim, ing them closer to the delivery date. To accommodate as many as 40 percent of Radcliffe will introduce denim dresses, including one whose corset top accentu- customers who are still ordering merchandise from the holiday collection that ated with big buttons fl ares into a full skirt, as part of some two dozen styles in starts shipping Nov. 30, Zarubica said he will display key holiday pieces along its new fashion division. Other statement-making pieces are skinny jeans mottled with the new spring collection at Project. “It’s a catch-up,” he said of the last- with a yellow acid wash and sailor pants enhanced with dark khaki piping against minute orders. blue denim. Receiving orders closer to season and lowering prices are also commonplace LifeWithBird also will add denim for the fi rst time to its six-year-old dress- with contemporary designers such as Jenny Han, who dropped prices by about 5 oriented contemporary line. In contrast to the trend steering waistbands percent to between $68 and $98. Though she’s ready to show the safari-inspired higher to the navel, the company is going low with hipster jeans. Another skirts, walking shorts and tribal looks drenched in mauve, burnt orange and fuch- highlight from the spring lineup is a mini shirtdress with silver-foiled black sia from her spring collection, she also will display a smattering of holiday pieces lace forming the skirt and a silk georgette on top. “A lot of our appeal has that are available for immediate delivery. Still, her design philosophy remains been in going from day to night,” said Nick Messner, LifeWithBird’s co-direc- constant no matter what the season is: “It is a must-have so that stores can’t turn tor and co-designer. it down,” she said. Several Project vendors ac- knowledge the diffi culty in selling a premium product amid escalat- ing infl ation, sinking home values, lofty gas prices and rising unem- Everybody is a little tight on ployment. David Hwang, president “ of Los Angeles’ Pierce Jeans, their budget. They want more stressed that cautious retailers want quality. “Everybody is a lit- for their money. tle tight on their budget,” he said. ” “They want more for their money. — David Hwang, Pierce Jeans Overall, they are tightening down on their inventory.” To appeal to buyers, Pierce In the case of Quiksilver, which will display the third Jeans will offer lightweight denim collection for its new young contemporary line, price for its resort and spring collec- sensitivity can be worked to its advantage. “We’re at- tions. With its first shipment tracting consumers who still want to shop but are being scheduled for Dec. 30, the resort more discriminating in how they shop,” said Steve lineup will emphasize a faded Ellingson, a vice president of sales at the Huntington Japanese denim weighing 6.25 oz., Beach, Calif.-based company. Quiksilver’s wholesale cut into fl irty styles like a prices run from $20 to $68. For spring, the company will offer stretch denim with contrast paneling, a funnel neck laser-cut eyelet top and Here and a slip dress in striped silk crepe de chine. It also col- above: Tight laborated with Lesa Wallace, a Los Angeles-based con- budgets for temporary handbag designer, to craft patent leather and retailers burlap into duffel bags, shoulder bags, small totes and mean messenger bags, all wholesaling from $34 to $68. customer Unconventional details such as heavy canvas and service will rubber buttons fi gure prominently in Corpus’ full wom- have to be a en’s line bowing for the spring selling season. While the priority for Los Angeles company previously offered unisex cloth- vendors. ing or rescaled men’s garments for women’s bodies, this is the fi rst time that it made a concerted effort to design dresses and skirts. Riffi ng on a Fifties theme transport- ed through Japan with a nautical palette of army green, cream and French blue, Corpus will show a mid-thigh denim pencil skirt with acorn pockets, a trapeze jacket with rubber closures and a tulip skirt in heavy canvas, according to Olympia Bermann, who is co-designing the women’s line. Comfort is key for Royal Plush’s new activewear line, which integrates more stretch than the fl agship casual- wear line manufactured by the Torrance, Calif.-based company. With wholesale prices between $20 and $45, bottoms will be available in a boot leg, cropped version and shorts. Tanks will have built-in bras and cover-up options come in a funnel neck zip-up and a fashion wrap jacket with a hood. What’s more, gym rats can also sport trendy fi nishes like dip dyes. “In the activewear market, there isn’t a lot of fash- ion,” said Michelle Waller, who owns Royal Plush with her husband, Steve. “Our customers really want to look pretty cute when they go to the gym.”

10 WWD, THURSDAY, AUGUST 21, 2008

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Boutiques are paying careful attention to what they buy.

Accessories are expected to be The Hillary popular sells in the The M. Frederic Rush boutique tough market. boutique in Malibu. in Los Angeles. PHOTOS BY STEFANIE KEENAN PHOTOGRAPHY STEFANIE PHOTOS BY Close to Home In a rough economy, some retailers are rethinking their trade show trips.

By Anne Riley-Katz Coast and about a third coming from the East Coast. Forty percent of the buyers attending shopped for men’s wear, with 46 percent buying women’s wear and an- IN ADDITION TO HITTING LAS VEGAS’ RETAIL AND HOTEL BUSINESSES, other 12 percent buying kids’ wear. the ongoing U.S. economic slump is expected to impact Sin City’s trade shows. Those who attend said they will be on the hunt for new brands and items that With gas and food prices continuing to rise, home values still falling, consumer set them apart from other retailers in the marketplace. credit woes persisting and retail sales plummeting nationwide, Las Vegas’ ap- Fred Levine, who owns the Southern California chain M. Frederic, said he and parel trade shows this month could be feeling the economic pinch in the form of his wife would do virtually all of the stores’ buying at Project this month, calling lower than usual buyer attendance and decreased order volume. As stores scale the show a “godsend” because he can shop for men’s, women’s and kids’ wear all back inventory and take a cautious approach to buying, trade shows, including in one place. Project, are bound to see some impact. “Your merchandise has to be outstanding, has to be exhilarating. Times are While show parent Advanstar Communications Inc. hasn’t released attendance pro- so, so hard now that you have to have irresistibles, your buying has to be sharper jections, retail industry analysts said traffi c is more than likely to be down this year. than ever before, so you have to work for it at the big shows and not go in with More than 60 percent of the show’s attendees are from specialty stores, smaller a preconceived notion of what you’ll fi nd,” Levine said. “You need to have great boutiques or operations that tend to be hit harder by the economic downturn than things in the store for people to lay out those dollars.” larger chains. Even chain retailers have struggled of late, with a number of bank- Value is another big driver for the retailers planning to attend the show late ruptcies — Steve & Barry’s, Mervyn’s and Boscov’s among the most recent — in this month, especially in women’s apparel. the past 12 months. Still, Project should command a large turnout. According to “Wholesale, if I can fi nd things under a hundred bucks I’m so happy; that’s my organizers, the show continues to see growth in the women’s sector, drawing thou- goal,” said Heather Martin, the manager and buyer for actress Lisa Rinna’s Belle sands of buyers each August among some 25,000 visitors to the three-day event, Gray boutique in Los Angeles. “Retail-wise, anything under $200 tends to sell re- which will run Aug. 26 to 28 at the Sands Expo and Convention Center. ally well here. These days people are willing to spend money on a great pair of Erin Armendinger, managing director of the Jay H. Baker Retailing Initiative shoes and boots but want to spend less on clothing items.” at the University of Pennsylvania’s Wharton School, said that the big national Mandy Krewson has owned her Scottsdale, Ariz., boutique Mandy’s for seven shows this year have drawn noticeably fewer retailers than in the past, some- years and said she typically sees a 5 to 10 percent increase in sales year-over- thing that’s a clear result of the depressed economy. Last month, vacancies at year. This year, she said she’ll be happy just to keep sales fl at, and will be buying U.S. neighborhood and community shopping centers rose to a 13-year high, while at Project more cautiously than usual, keeping an eye on her inventory levels. vacancies at larger, regional malls were at their highest level since 2002, accord- “Shoppers are defi nitely more budget-conscious, people are spending less. There ing to research fi rm Reis Inc. are so many stores around here that love to carry collections, which are very “Retailers are doing things online or buying locally, we’re just not seeing them nice, but we like separates, mainly, something that works for us in the current go to as many shows, in large part because of the cost,” Armendinger said. “If you economy,” Krewson said. “Project is a great place to pick those up — shorts, a are paying for hotels, fl ight, gas and registration it gets to be very costly, especial- fun dress or a top. A lot of great new lines have launched and you can get a great ly for smaller or struggling businesses these days. Times are not good in stores, value without having to spend $200.” and for retail in general.” Categories that are likely to be popular, retailers predicted, are long dresses, Some store owners echoed the sentiment, saying that instead of going to cashmeres and midprice accessories. Project or MAGIC this summer, they were staying closer to home. For example, Tie-ups, an Italian line of brightly colored, recycled rubber belts, “We’re not doing the Vegas shows, just doing the Dallas market this time will make its North American debut at Project this month, something Canada- around; we’ve been able to fi nd a lot more vendors nearby in the last year or so based distributor Throat Threads is hoping will gain traction with the retailers that have new and different things, and we don’t have to travel so far to do the who come to buy. buying,” said Denise Manoy, owner of the Indigo 1745 boutique in Dallas. “We are “Accessories will do well at the shows, it’s a category that people will spend on not a real trend-driven shop anyway, so we’re looking for unique pieces you might because these are smaller items with a big impact, like jewelry, bags and belts,” not fi nd at shows like that.” said Jay H. Baker’s Armendinger. “You can change what you already have with a According to 2007 data from Advanstar, more than 85 percent of Project Las small number of items. Change your belt, for instance, and you’ve got on a whole Vegas attendees are from the U.S., with more than half coming from the West new outfi t. That’s the kind of market this is and that’s how people will buy.”