Trench Lesson W WWD
Total Page：16
File Type：pdf, Size：1020Kb
s MARKETING: s RETAIL: Paris For full As recession sees wave of coverage bites, luxury new concept of Milan stores, page 3. Fashion returns to its Week, see core customer, WWD.com page 11. s RETAIL: Retail shares fall hard again, page 2. Women’s Wear Daily • The Retailers’ Daily Newspaper • March 4, 2009 • $3.00 WwDWEdNESdAYSportswear Trench Lesson The trenchcoat is a house symbol, so it isn’t surprising that Christopher Bailey’s charmingly practical fall collection for Burberry Prorsum had plenty of them — along with other great outerwear. Here, one of Bailey’s beauties in tweed. For more belted coats, see pages 4 and 5. The Verdict on Milan: Buyers Praise Season, But Still Cut Budgets By WWD Staff MILAN — Financial crisis or not, Milan brought sexy and powerful back to women’s wear for fall. “These are difficult and uncertain times, and designers have been literal in the fact that women will need strong shoulders to carry us through [them],” said Sarah Rutson, fashion director at Lane Crawford, Hong Kong. While retailers were surprised by the glut of party clothes at the shows, which wound up Tuesday, they liked what they saw — although that doesn’t mean they’re not cutting their budgets and asking fashion houses to do deals. Nonetheless, buyers were generally upbeat about the season. “Economic doom and gloom doesn’t seem to have cast its shadow here in Milan. There was no shortage of the luxurious materials and deluxe craftsmanship that Italy See Milan, Page6 PHOTO BY STEPHANE FEUGERE PHOTO BY 2 WWD, WEDNESDAY, MARCH 4, 2009 WWD.COM Retail Stocks Continue to Slide By Arnold J. Karr Bankrupt Gottschalks Inc. said it was continu- ing talks regarding “going concern offers” and THE MAJOR INDICES TRIED, BUT ULTIMATELY had extended its auction date to March 30. WWDWEDNESDSportswearAY failed, to make back some of the ground surren- In the world of apparel retailing, Chico’s FAS FASHION dered on Monday, but retail shares spent virtu- Inc. and Cache Inc. both reported fourth-quarter ally the entire day in negative territory and fin- losses, although both firms delivered better EPS 4 Belted coats were all over the Milan runways, ished down more than 2 percent. results than had been expected. (See related story ranging from Bottega Veneta’s classic leather The S&P Retail Index ended Tuesday trading and more stock information, page 14.) Included in trench to Versace’s chic tinsel dégradé topper. at 235.29, down 5.76 or 2.4 percent, enduring a the weakest performers among the stocks tracked far greater slump than the broader, more close- by WWD Tuesday was another misses’ specialist, GENERAL ly watched indices. The Dow Jones Industrial Charming Shoppes Inc., whose shares fell 20 per- Retailers liked Milan’s sexy and powerful take on s 1 Average was off 0.6 percent to 6,726.02, and the cent to close the day at 52 cents. fall, but that doesn’t mean buyers aren’t cutting S&P 500 shed 0.6 percent to 696.33. Like the Among broadline retailers, declines were the budgets and asking firms for deals. Dow’s historic sub-7,000 finish on Monday, the rule. Saks Inc. declined 6.3 percent to $2.25, Target Ron Frasch, Saks Inc.’s president and chief S&P 500’s fall below the 700 mark turned back Corp. 5.2 percent to $25.95, J.C. Penney Co. Inc. 3.9 2 merchandising officer, stands to collect $3 million the clock in a most unfortunate way for investors, percent to $14.18, Macy’s Inc. 2.6 percent to $7.18 putting it at a level not seen since October 1996. and Wal-Mart Stores Inc. 1.4 percent to $47.38. if he remains with the firm until 2014. The markets were again faced with the formi- Liz Claiborne Inc., which reports fourth- MAINSTREAM: With retailers at the Train show dable task of mounting a comeback — after four quarter results today, saw its shares advance 5.6 10 saying they reduced their budgets by 10 to 33 consecutive losing sessions — without the benefit percent to $2.82, and Jones Apparel Group Inc. percent for fall, only special items made the cut. of a catalyst. While Federal Reserve chairman Ben was up 4.1 percent to $2.81. However, decliners MARKETING: With consumers determined to Bernanke and Treasury Secretary Tim Geithner included Oxford Industries Inc., off 12.9 percent 11 both faced Congressional scrutiny on Tuesday, to $3.70; VF Corp., 3.2 percent to $47.88, and save, high-end consumption may revert to being troubling economic news came virtually without Phillips-Van Heusen Corp., 2.6 percent to $15.54. a millionaire’s club. interruption, from word of still-deteriorating sales But retail stocks have so far avoided the his- Sir Paul Smith, who has long held an affinity for of existing homes and U.S. automobiles to reports toric lows suffered by firms on the Dow and S&P 13 San Francisco, is set to open his first signature that Blockbuster had hired bankruptcy counsel. 500, although the recalibration of the S&P Retail store in the city Monday at 46-50 Geary Street. Underlying the market’s softness, however, is Index in June 2002 make such long-range com- Kenneth Cole Productions widened its fourth- ongoing fear that, hundreds of billions of dollars parisons impossible. 14 into the government’s bailout of financial insti- Still, the index hit its all-time low of 207.49 quarter loss, due in part to a reduction in gross margin that included the holiday selling season. tutions, there are still no viable signs of stabili- during intra-day trading on Nov. 21, and, al- Gucci zation. In fact, speaking of the latest bailout of though that trough could easily be tested in the Classified Advertisements...........................................................................................14-15 American International Group, its fourth rescue days ahead, this year hasn’t dipped below the parcel, Bernanke told members of the Senate 240.36 low it hit on Feb. 23. Additionally, retail TO E-MAIL REPORTERS AND EDITORS AT WWD, THE ADDRESS IS Budget Committee Tuesday, “It’s a terrible situ- shares tend to be a leading, rather than lagging, [email protected], USING THE INDIVIDUAL’s NAME. WWD IS A REGISTERED TRADEMARK OF ADVANCE MAGAZINE PUBLISHERS INC. COPYRIGHT ©2009 ation, but we’re not doing this to bail out AIG or indicator of market activity, so exposure to ad- FAIRCHILD FASHION GROUP. ALL RIGHTS RESERVED. PRINTED IN THE U.S.A. their shareholders. We’re doing this to protect ditional downturns may be limited. VOLUME 197, NO. 46. WWD (ISSN 0149–5380) is published daily (except Saturdays, Sundays and holidays, with our financial system and to avoid a much more In fact, the S&P Retail Index hit its all-time high one additional issue in January, May, October, November and December, two additional issues in March, April, June and August, and three additional issues in February and September) by Fairchild Fashion Group, which is a division severe crisis in our global economy.” of 538.50 more than two years ago, on Feb. 20, 2007. of Advance Magazine Publishers Inc. PRINCIPAL OFFICE: 750 Third Avenue, New York, NY 10017. Shared Services provided by Condé Nast Publications: S. I. Newhouse, Jr., Chairman; Charles H. Townsend, President/CEO; John W. Bellando, Executive Vice President/COO; Jill Bright, Executive Vice President/Human Resources. Periodicals postage paid at New York, NY, and at additional mailing offices. Canada Post Publications Mail Agreement No. 40644503. Canadian Goods and Services Tax Registration No. 886549096-RT0001. 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 Hollywood, CA 91615–5008. FOR SUBSCRIPTIONS, ADDRESS Uniqlo Feb. Same-Store Sales Up 4.2% CHANGES, ADJUSTMENTS, OR BACK ISSUE INQUIRIES: Please write to WWD, P.O. Box 15008, North Hollywood, CA 91615-5008, call 800-289-0273, or visit www.subnow.com/wd. Please give both new and old addresses as printed By Koji Hirano and Kumi Matsushita targeting young female shoppers in their late teens on most recent label. First copy of new subscription will be mailed within four weeks after receipt of order. Address all and early 20s. The new store, which stocks color- editorial, business, and production correspondence to WOMEN’S WEAR DAILY, 750 Third Avenue, New York, NY 10017. For permissions and reprint requests, please call 212-630-4274 or fax requests to 212-630-4280. Visit us online TOKYO — Uniqlo’s same-store sales in February ful hoodies, denim, tiered skirts and other items, at www.wwd.com. To subscribe to other Fairchild magazines on the World Wide Web, visit www.fairchildpub.com. rose 4.2 percent, advancing for the fourth con- is located in Marui department store’s new Curren Occasionally, we make our subscriber list available to carefully screened companies that offer products and services that we believe would interest our readers. If you do not want to receive these offers and/or information, please secutive month. building dedicated to young female shoppers. The advise us at P.O. Box 15008, North Hollywood, CA 91615-5008 or call 800-289-0273. WOMEN’S WEAR DAILY IS NOT Fast Retailing Co. Ltd., which owns the casual- corner, which has more than 1,000 square feet of RESPONSIBLE FOR THE RETURN OR LOSS OF, OR FOR DAMAGE OR ANY OTHER INJURY TO, UNSOLICITED MANUSCRIPTS, wear chain, said Tuesday that new Uniqlo items UNSOLICITED ART WORK (INCLUDING, BUT NOT LIMITED TO, DRAWINGS, PHOTOGRAPHS, AND TRANSPARENCIES), OR ANY OTHER UNSOLICITED MATERIALS.