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PHOTO BY STEPHANE FEUGERE Trench Lesson W WWD. Week, see Week, coverage coverage For more beltedcoats, seepages 4and 5. great outerwear. Here, one of Bailey’s beauties in tweed. Burberry Prorsum had plenty of them — along with other Christopher Bailey’s charmingly practical fall collection for The trenchcoat is a house symbol, so it isn’t surprising that of Milan Milan of Fashion Fashion For full full For MILAN — MILAN By WWDStaff materials and deluxe craftsmanship that Italy thatItaly materials anddeluxecraftsmanship Milan. Therewasnoshortageoftheluxurious doesn’t seem to have cast its shadow here in about the season. “Economic doom and gloom budgets and asking fashion houses to do deals. notcuttingtheir that doesn’tmeanthey’re Tuesday, they liked what they saw — although of partyclothesattheshows,whichwoundup director atLaneCrawford,HongKong. through [them],”saidSarahRutson, fashion women will need strong shoulders to carry us and designers have been literal in the fact that backtowomen’swearforfall. sexy andpowerful But StillCutBudgets Buyers PraiseSeason, The Verdict onMilan: com Nonetheless, buyers were generally upbeat Nonetheless, buyersweregenerallyupbeat While retailers were surprised by the glut aredifficultanduncertaintimes, “These

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2 WWD, WEDNESDAY, MARCH 4, 2009 WWD.COM Retail Stocks Continue to Slide By Arnold J. Karr Bankrupt Gottschalks Inc. said it was continuing 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. THOSE SUBMITTING MANUSCRIPTS, PHOTOGRAPHS, ART WORK, OR OTHER like colored denim drove business. The company, MATERIALS FOR CONSIDERATION SHOULD NOT SEND ORIGINALS, UNLESS SPECIFICALLY REQUESTED TO DO SO BY one of the few retailers thriving in recessionary WOMEN’S WEAR DAILY IN WRITING. MANUSCRIPTS, PHOTOGRAPHS, AND OTHER MATERIALS SUBMITTED MUST BE Japan, said 4.1 percent more people visited its ACCOMPANIED BY A SELF-ADDRESSED STAMPED ENVELOPE. stores in the country last month, although average spending per customer was flat year-on-year. The February figures, like those for January, ga DAILY u These are difficult do reflect a slowdown from the double-digit as K sales growth Uniqlo registered at the end of e “ Uniqlo’s new ki and uncertain times, and u QUote 2008. January comps rose 5.7 percent, while retail concept for Y y those in November increased 32.2 percent and b

young women at o December’s climbed 10.3 percent. t designers have been literal in the fact

Tokyo's Marui. ho A Uniqlo spokeswoman said February sales p were still higher than expected for a month with selling space, is located in Tokyo’s lively business that women will need strong shoulders one less business day than February 2008. and shopping district of Shinjuku. Uniqlo’s monthly sales figures exclude rev- In a similarly focused move, Uniqlo opened a to carry us through [them]. enue from stores outside Japan. men’s concept shop in Selfridges in London. ” The chain, known for its affordably priced basics Fast Retailing executives said they have re- — Sarah Rutson, fashion director at Lane Crawford, Hong Kong, and innovative fabrics, has been experimenting with ceived proposals from department stores both in on the season’s big-shoulder trend. Page one. both large- and small-scale retail formats recently. Japan and abroad to open more shop-in-shops Last week Uniqlo opened its first concept store and specialized sales corners. CORRECTION Susanne Klevorick, creative director at Ellen Tracy, was senior vice president of design development for a new concept at AnnTaylor Stores Corp., which was ultimately abandoned. Klevorick’s title at Saks’ Frasch Set to Get $3M Cash Incentive Ann Taylor was incorrect in a story on page 4, Feb. 10. Saks Inc. wants a long-term relation- the SEC document received such a cash incentive. ship with Ron Frasch. In 2007, Frasch was paid $3.82 million — $1.05 TODAY ON Frasch, who joined Saks in 2004 and has been million in salary and the remainder in bonuses its president and chief merchandising officer and other incentives. The total figure was up near- for two years, stands to collect $3 million in cash ly $1 million from the 2006 amount of $2.87 mil- awards if he remains with the company until lion. By contrast, due to an $8.55 million option 2014. The human resources and compensation award in 2006, the total compensation of Stephen committee of Saks’ board voted to give him the I. Sadove, Saks’ chief executive officer, dropped to WWD money, contingent upon his continued employ- $5.8 million from $14.1 million. The corresponding ment, in three equal installments on the third, 2008 figures have not yet been released. .com fourth and fifth anniversaries of the grant, ac- Saks’ compensation committee also estab- • Back in Time: The opening of cording to a Form 8-K filed with the Securities lished the 2009 bonus and incentive terms for Le Palace nightclub in Paris in 1978 and Exchange Commission Monday. its executive officers, which are based on the • More images from the Frasch would receive the full amount if he performance measures of EBITDA and expense Milan accessories roundup were let go due to a change in control of the reduction and include corporate objectives. company. If he is terminated for another reason Frasch owned 474,771 shares of Saks stock • Videos of key Milan collections but without cause, he would receive $1.5 million when the company filed its definitive proxy with • Backstage beauty reports after two years, after Feb. 25, 2011; $2 million the SEC last April. At the time, those holdings and images from Milan after three years, and the full amount for more were worth more than $5.9 million, but their Yves Saint Laurent and • Full runs of show from the Milan, than three years. He would forfeit the cash if he value has since fallen to under $1.1 million Loulou de la Falaise, New York and London collections were to resign or be terminated for cause. based on Saks closing price of $2.25 on Tuesday. March 3, 1978. None of the other executive officers mentioned in — A.J.K. • WWDBlog: Retail Candor WWD, WEDNESDAY, MARCH 4, 2009 3 WWD.COM Concept Stores Multiply in Paris FASHION SCOOPS IN THE RING: Dsquared’s Dan and Dean Caten By Ellen Groves have a featured role in Britney Spears’ new world tour, Circus, which kicked off Tuesday night in PARIS — A wave of innovative concept stores is out to breathe new life into Parisian shopping. New Orleans. The identical twin brothers, who After selling their luxury children’s brand Bonpoint in 2007, Marie-France and Bernard Cohen designed circus-themed costumes for Spears and will on Thursday unveil Merci, a 15,000-square-foot store in a loftlike 18th century building. her dancers, are part of the show’s opener. Dressed Next week, Hôtel Particulier, a concept store in a classical town house offering fashion, fur- in tails and heels, the Catens play ringmasters niture and fragrances for a young clientele, will open its doors in the second arrondissement. in a video sequence projected on stage before Meanwhile, actress Lou Doillon plans to unveil her own English-meets-French style the concert, which also includes Internet blog store, mixing fashion and literature, in the 11th arrondissement later this year, while personality Perez Hilton. French costume jewelry brand Les Néréides recently opened a sprawling two-story concept store in the Marais district. WILL TRAVEL: For those who missed the recent Fronted by The Used Book cafe and the florist Christian Tortu, the Merci complex will Maison Martin Margiela retrospective at Antwerp’s offer men’s, women’s and children’s apparel, plus home decor, fragrances and a restaurant, fashion museum, MoMu, dubbed “Maison Martin over three floors. Margiela (20) The Exhibition,” it may soon be If concept stores are run like magazines, then Marie-France Cohen is Merci’s editor coming to a museum near you. in chief, influencing everything from the store’s charitable raison d’être (profits will go to The show is set to travel to Munich’s Haus der a children’s foundation) to a fragrance bar where fans of Annick Goutal, the scent house Kunst, opening March 19 and set to run through founded by Cohen’s late sister, can refill bottles for 40 percent less than a standard fra- June 1, while MoMu’s “6+. Antwerp Fashion” grance. “I throw away the refills every three weeks and it kills me,” Cohen said. “This is a exhibition is set to open at Tokyo’s Opera City Art time when you just can’t do that any more.” Gallery on April 10, running until June 28. “We’re That blend of eco and luxury resounds throughout, be it through a vintage clothing area in talks with a lot of museums to see where they Dsquared designed costumes or a drapery service where curtains can be run up on the spot. The store’s profits will go will travel next,” said a MoMu spokeswoman. for Britney Spears’ Circus tour. to needy children in Madagascar, one of the world’s poorest countries. That charitable ele- ment helped win support from fashion players who Cohen has tapped to deliver customized SADOVE’S CLOSE CALL: Saks Fifth Avenue’s chief executive officer Stephen I. Sadove looks, such as safari suits from Yves Saint Laurent or a black all-in-one design by Stella escaped having to testify at the grand larceny trial of a former jewelry sales associate, McCartney, to sell exclusively at Merci. Labels will read “Merci Stella,” to thank houses for perhaps in part thanks to his fashion week calendar. A New York State Supreme Court forfeiting profits so that items can be sold between 30 to 40 percent less than elsewhere. judge in Manhattan on Tuesday quashed a subpoena by Cecille Villacorta’s defense Designers have greeted the concept enthusiastically. “Paris really needed new big spac- that would have called for Sadove to appear as a witness. Lead defense attorney Joseph es like Merci,” said Isabel Marant. “We are a big fashion capital yet there aren’t many con- Tacopina argued Sadove took over at Saks in January 2006, two weeks before the retailer cept stores with new ideas. There are many, beautiful multibrand stores and those we’ve fired his client for allegedly giving out roughly $1.4 million of unauthorized discounts. The known for years like Colette and L’Eclaireur, but mainly many, many monobrand stores.” timing of Villacorta’s firing showed at least some relevance, he said. Saks’ counsel argued Designed by architect Valérie Mazérat, Merci has daylight pouring through a glass Sadove had already submitted an affidavit that he had no knowledge of Villacorta and atrium over a central space where works that he’s scheduled to fly to Paris this week to attend shows. Judge Gregory Carro ruled by established and unknown artists he couldn’t see the relevance in Sadove’s proposed testimony, but not before Tacopina plus fashion design students will be ro- provided counterpoint on the fashion week conflict and attempt to give the court a lesson tated. Starting with Parisian doll-maker in retail operations. “I don’t think he’s their buyer,” the lawyer said. Apolline, every season a new designer will select the fabrics for the ground-floor TEXT MESSAGES: Whipping out one’s BlackBerry at a black-tie dinner is typically Merci Mercerie division. considered a no-no, but guests at this year’s Henry Street Settlement Dinner Dance The fashion floor displays contem- should feel free to text away. That’s because the festivities, held on April 1 at the Plaza porary names including Les Prairies de Hotel honoring Tatiana von Furstenberg, will be sponsored by BlackBerry. The unlikely Paris and Forte Forte, plus Merci Merci, partnership is a first for the fund-raiser, which had no backer when it was last held in the retailer’s own Ibiza-themed line 2007. Proceeds from the event benefit the Henry Street Settlement, a community center of bright swimwear and silk dresses. A on the Lower East Side. neighboring men’s wear department includes Paul Smith, Dries Van Noten and Inside Hôtel Particulier. SOUL SEARCHING: “I feel like I want to spend hours here so I can read everything,” Martin Margiela, with children’s wear in Below: Merci decor. said Luella Bartley, gazing at a sea of quotations printed on boards suspended from the an upper balcony space. ceiling at Christie’s in South Kensington Tuesday night. The quotations and photographs Design and antiques selected by on show all came from i-D magazine collaborators including Giorgio Armani, David Jean-Luc Colonna d’Istria and Daniel LaChapelle, Alexander McQueen and Yoko Ono, and formed the “Soul i-D” exhibition, Rozensztroch of Marie Claire Maison which runs through to March 10 in London. The exhibition was previously on display at magazine, including furniture by Fermod the Galerie Azzedine Alaïa in Paris in November and will next show in Milan during the or Tolix and Baccarat crystal, are show- city’s furniture fair in April. Guests including Pam Hogg, Roisin Murphy and DJ Princess cased at Merci Maison on the first floor. A Julia turned up to fete the exhibition and its accompanying tome, edited by i-D publisher gourmet cafe in the basement opens out Tricia Jones. At the party — co-hosted by Diesel — an ultrapopular designer and DJ, to an English-style garden. Hogg caught up with old pals, keen to congratulate her on the collection of Ziggy Rare finds in the vintage section in- Stardust-style metallic cat suits she showed during London Fashion Week. “I’m ecstatic, clude 19th-century lace fabrics and a elated and exhausted,” said Hogg with a smile. Chanel bag from the Fifties. “I want to get French people giving away clothes,” de- DARWIN & DOONAN: Barneys New York’s creative director Simon Doonan thinks the luxury clared Cohen. market is going Darwinian. “Only the designers who have ideas and can really innovate Similarly blending contemporary will survive,” he said at the annual auction for the Bailey House, an organization that design objects and vintage finds, Les serves the homeless living with HIV. “It will be painful, but will be good for consumers in Néréides will also rotate works by vari- the long run.” The same could be said of retail, where stores large and small are fighting ous artists. The brand’s creations come to stay afloat. Questioned about his own employer’s troubles, the Barneys veteran was presented in vast cabinets or under glass sanguine. “I’ve spent my day designing holiday windows,” said Doonan, who cohosted the curiosity domes, in a loft-like setting with auction with Tim Gunn. “I’m full-steam ahead. You know how retail is; it’s onto the next.” teal-colored walls. That night, the creative head put himself on the auction block. “I’m not sure what By opening during the spring collections, kind of wattage I have, but I’m happy to offer,” he said, adding in classic Doonan: “If you both Merci and Hôtel Particulier intend to win, you get a day with me. If you lose, you get two days with me.” show the international fashion set that innovative retailing doesn’t stop at Colette. GIRL ON FILM: Simon and Yasmin Le Bon’s daughter Amber took Amber Hôtel Particulier’s founders, Vanessa in the Moschino Cheap & Chic show, fresh from guest editing Le Bon and Laetitia Roggwiller — whose father the label’s new online boutique — and modeling some of the Philippe founded Soficuir International, spring frocks pictured for sale. “I’m doing a bit of homework,” an exotic leather specialist acquired by said Le Bon, who also recently signed on at Models 1, the Hermès in 2007 — hope to liven up what For more on the Paris same agency that represents her mother. Le Bon said she may they perceive as a general ennui in the scene, see WWD.com. make her catwalk debut next season. Parisian shopping scene. “In terms of retail, brands have told us they are a bit IN THE LONG RUN: Materialists sweating over the state of their bored,” said Vanessa Roggwiller. greenbacks might borrow a page from ultrarunner Serge Roetheli, “In Paris, the designer boutiques dominate and there are not many multibrand bou- who sold all of his personal belongings to run 25,400 miles in tiques,” agreed Carlos Falchi, whose hand-painted crocodile bags will make their Gallic five years. His wife Nicole captured the journey with a camcorder, foray at Hôtel Particulier. riding a Yamaha beside him through 37 countries and across Designed by Dirk Engelen of Antwerp, Belgium-based design studio B-Architecten, the six continents. Without a sponsor of any kind, they soldiered on STEPHANE FEUGERE PHOTO BY 1,700-square-foot store targets 25- to 35-year-olds and will carry 30 different labels, around and raised $400,000 for the Fairbanks, Alaska-based nonprofit 80 percent for women and 20 percent for men, according to buyer Nicolas Domarle. Better- International Vision Quest. All the while, he logged between 25 and 30 miles each day, known designers like Kris Van Assche and Gaspard Yurkievich mix with new names, al- often at a seven-and-a-half-minute mile pace and risking peril. In West Africa, they holed ready established in their native country, such as Alice McCall, an Australian, or Rubin up in the Swiss embassy for 15 days while people were being killed on the streets. His Chapelle and 192 Doves, none of which are yet distributed in France. wife was held with a knife to her throat for more than an hour at the Morocco-Gibraltar There’s also a “Made in France’ offer including Marie-Laure Chamorel python-wrapped border, and later slipped into a malaria-induced coma in Madagascar, from which she necklaces plus an exclusive T-shirt line by new French label Gilles et Meurice. The beauty recovered. “If you don’t want to be scared, you stay at home,” he said. lineup includes fragrance brand Etat Libre D’Orange and YesforLov, a collection of erotic Their trek is featured in a new documentary, “The Epic Run,” which was screened beauty products. Monday night at the Anthology Film Archives in New York. Despite this unfathomable By carrying smaller labels not widely distributed, the Roggwiller sisters aim to carve out feat, Serge, a former Olympic boxer, took away something more intangible than physical a niche. “We know we’re taking a risk by launching in this, not exactly favorable, period,” strength. “You realize you are rich all the time, while [most of] the rest of the world is said Vanessa. poor. You’re rich because you chose this way of life. Most of the millions of people in the — With contributions from Katya Foreman world have no choice. They are just trying to survive,” he said. 4 WWD, WEDNESDAY, MARCH 4, 2009

Gucci Versace s

The Belt Way Chalk it up to the cold winter, but for fall, belted coats were all over the Milan runways, in versions ranging from Bottega Veneta’s classic leather trench to Versace’s chic tinsel dégradé topper. WWD, WEDNESDAY, MARCH 4, 2009 5 WWD.COM

Bottega Veneta Salvatore Ferragamo Moschino

Max Mara miranda mauricio and maestri davide giannoni, giovanni by photos 6 WWD, WEDNESDAY, MARCH 4, 2009 Milan Buyers Upbeat, but Thrifty

Continued from page one t is famous for, freshened up with new ideas and plenty Missoni of attitude,” said Linda Fargo, senior vice president and fashion director, Bergdorf Goodman. For all “We are leaving Milan with collections that delivered collections’ clear, strong messages with new, powerful silhouettes complete run and enough glitter and emotion to light up our custom- of shows, see ers’ wardrobes,” said Barbara Atkin, vice president, fashion direction, at Holt Renfrew, Toronto. WWD.com. Still, in exchange for loyalty this season, buyers said they expected brands to reduce their margins going forward. “We look at this from a community perspective. We are all feeling the pinch. There are a lot of hard de- cisions to make, but we remain positive that we can manage through this well with good discussions with our partners,” said Julie Gilhart, senior vice president and fashion director at Barneys New York. “We are working alongside the designers, who are sensitive to the moment and focused on management, distribution and commercial conditions. A number of brands have expanded their product and price range to cooperate with retailers,” said Tiziana Cardini, fashion director, La Rinascente. “Designers need to think very hard about their pricing strategy next year. We are very optimistic and hopeful and believe the situation will improve in the next six months to a year,” said Erin Mullaney, women’s wear buying director at Browns, London. The exaggerated shoulder was a key trend for the season, with tailored jackets making a comeback and skinny pants and leggings continuing. Meanwhile, leather, fur, an abundance of textured fabrics, jewelry and bags aplenty were featured in many collections. In terms of color, black and gray dominated, much to the chagrin of some buyers, although reds, purples, greens and metallics acted as foils. Almost all buyers said they were working on tighter budgets this season — “who isn’t?” one said — with some leaner by as much as 20 percent, and so they were seeking bang for their buck. “This season we need to be relentless editors in order to offer our customers the best the market has to offer,” said Jennifer Wheeler, vice Giorgio Armani Ferré president, designer apparel, at Nordstrom. In the main, retailers said that meant sticking to brands they and their customers know and trust. Stephanie Solomon, vice president of fashion direction, Bloomingdale’s to his new snug-fitting silhouette and casually glamor- “We’ll keep looking at new people, but we’re continu- “Milan put us in a good mood….There were a lot of refer- ous long dresses. His dresses in velvet with crystal em- ing to work with our current assortment of vendors,” ences to the Eighties, and when you reflect back on that bellishment were must-haves. We don’t believe in ‘de- said Joseph Boitano, group senior vice president, gen- period, it was a time of great self-assurance. It was a time signing down’ to accommodate conservative spending, eral merchandising manager at Saks Fifth Avenue. when women dressed to be noticed. The power suit, the but we are looking for things that a customer can wear Standout collections included Jil Sander, Prada, big shoulders, lots of shine and glitter, neon colors: they more year-round. We feel there is more perceived value Marni, Bottega Veneta, Giorgio Armani, Gucci, Pucci, are all trends that exude self-belief. If there’s one thing a in these types of pieces….It’s not a question of sexy or Roberto Cavalli and Gianfranco Ferré, retailers said. woman needs in fall ’09, it’s confidence….Armani returned classic, it’s more about what will drive a customer to Meanwhile, they tipped Christopher Kane at Versus to his roots with short skirts and strong jackets with de- buy. There are all types of different customers who as- and, for next season, Vionnet, the historic French fined shoulders….As for Gucci, it takes guts to dress in a pire to different ‘wants’ for their wardrobes overall, but house recently acquired by Matteo Marzotto and Gianni sequin jacket and leggings. You have to like yourself. And what will drive them to consume is shifting. There is Castiglioni, as ones to watch in the future. that is good news for women. Pucci, Cavalli and Versace more consumer consciousness developing….No doubt it The following is a rundown of what buyers had to say: were also strong. They were simply fun. [Burberry’s] will be tough, but it will also be a time of creativity. It’s Christopher Bailey took a romantic approach, and his an amazing time to incubate new ideas.” Linda Fargo, senior vice president and fashion director, soft dresses with oversize coats exuded confidence. Raf Bergdorf Goodman Simons’ neon and sculptural shapes [at Jil Sander] were Sarah Rutson, fashion director, Lane Crawford, Hong Kong “The prevailing look suggests women in power, whether all about getting noticed when you walk into a room. “There has been a huge amount of ‘going-out dressing,’ they’re glamorous and strong with important shoulders Prada was the same, with the slightly exaggerated hips. which to some has given rise to criticism. However, we and suits applied to hourglass silhouettes or they’re Tommaso Aquilano and Roberto Rimondi continue to have to put it in the context of pre-collections that were ready to rock. The Eighties were clearly the decade du show the promise of world-class design for the future — very sedate and daywear-driven. Runway deliveries jour, though the Forties were also present: think large both in their own line and at Gianfranco Ferré.” will have to be a ‘wow.’ What is selling for us are the fox fur sleeves and ruby red lips….Raf Simons deliv- special pieces, the point of difference. There was a lot ered big-time by expressing both the DNA of classic Jil Ken Downing, senior vice president and fashion director, of metal embellishment and grommets, animal prints, Sander as well as a masterful series of sculptural pieces Neiman Marcus thigh-high boots, skinny leather and python-skin pants, playing off the feminine curve. Pucci surprised us favor- “The fashion customer has closets full of clothes, and tight and sexy Eighties dresses. A cape is the new coat ably by truly making a collection relevant to the desire newness is going to be paramount in getting her into the silhouette. Fur has been about mixing pelts and having for clothes with attitude. Gucci will appeal to the heart stores to shop. Customers want specialness. We love all a full furry sleeve or shoulder different to the body of of the Gucci girl with a shimmering collection, which this shoulder action we’re seeing in Milan, even if some the coat. Highlights were Jil Sander, Marni and Prada, makes every day a party. Cavalli took a fiercer tone, on the runway are extreme. And there’s the return of the which summed up a season of pragmatic strength and which we loved — grommets, angles and all. For muted jacket. We saw great jackets at Giorgio Armani and pago- optimism. Also, Neil Barrett’s women’s wear continues beauties, there’s Tomas Maier at Bottega [Veneta]. It’s a da sleeves at Aquilino & Rimondi. The shoulder story is to maintain a strong following. His sparkled leather Versace moment, and Donatella seized it. We hope the going to be a reason to buy. And we saw the continuation pieces and printed python and stretch jersey dresses dust settles favorably on [Gianfranco] Ferré as the two of the legging and narrow pants. Jil Sander’s sculptural and pants are going to fly out of the store.” designers are hitting the right notes.” shapes and color were a standout, and we loved the closer-to-the-body Marni, Bottega Veneta’s superchic dresses Barbara Atkin, vice president, fashion direction, Holt Renfrew, Toronto Joseph Boitano, group senior vice president, and the red leather coat at Prada was outstanding. In “Our budgets are conservative and in line with a busi- general merchandising manager, Saks Fifth Avenue general, there was too much black and gray, and it con- ness model that challenges us to be uncompromising in “Overall, we are very pleased. There were two different tinues to surprise us how designers love heavy fabrics. our selections with a strong point of view. There were trends: First of all, the sophisticated, dressed-up, tailored Our customers don’t respond to it. A lot of the revved-up many highs and lots of surprises…. Bold-shouldered collections such as Prada, Versace, Armani and even sexiness is runway styling. It’s going to be interesting in jackets look new and will make past season’s jackets Marni, which was beautifully pulled together, then the the showrooms to see what the prices are. The customer look passé. The message was strong for coats and suits 1980s sexy, harder-edged collections, like Gucci, Cavalli is looking for price-value when she’s shopping.” as important investment pieces. The big surprise was and Pucci. It’s not either-or. Both elements are exciting. the amount of emphasis on sexy, flashy club and late- Diversity is great for our customers….One collection Julie Gilhart, senior vice president and fashion director, evening clothes: a strong signal that the Milanese de- stood out: Jil Sander. It was exquisitely done. The clas- Barneys New York signers believe in the luxury customer continuing their sic tailoring moving into geometric shapes was beautiful “[Jil Sander’s] Raf Simons gave us a fantastic show in zest for maintaining the ‘good life.’ We will invest in and so relevant for today….We are also pleased to see two parts. First he showed us beautifully tailored keep- great coats, suits and bold-shouldered jackets. Knitwear, cocktail dresses in so many of the collections. It’s a big forever items. The second part was filled with sculptural especially sweater coats and cardigans, sexy dresses, opportunity. Versace’s were great, and Dolce [& Gabbana] modern pieces. Everything looked rich…. Tomas Maier’s leather — from biker jackets to skinny pants — fur and did some beautiful cocktail dresses.” collection [for Bottega Veneta] was sexy and strong due sequined pieces add to the mix.” WWD, WEDNESDAY, MARCH 4, 2009 7 WWD.COM Jennifer Wheeler, vice president, designer apparel, Nordstrom “Milan gave us a futuristic take on the historical female Bottega Veneta Jil Sander Prada warrior: a Joan of Arc meets ‘Mad Max’ meets Xena. The collections offered some great items. These will be our focus, as that is how our customers will be buying from us, more so than ever in this climate. We are all looking for the formula to stimulate the consumer. The customer wants to feel she is making smart investment choices in her wardrobe. However, what she will be compelled to buy is something new that she falls in love with and has to have. We do believe that sexy will retail and resonate with our customer. The most compelling fashion messages, trends and items were skinny pants, miniskirts and tunics, strong shoulder details, floral brocades, future warrior looks, leather and disco-nightlife apparel.”

a Averyl Oates, buying director, Harvey Nichols d iran

“Waists have been defined: sex is clearly back — not just M seen in thigh-high boots and punk-rock Balmain-ish references (as in the display of chain mail and grommets at auricio M

the strong but pared-down Cavalli show, and the energetic d Pucci show with motorcycle jackets and skinny leather jeans), but some looks have even been alluring and co- aitre an quettish….[At Jil Sander], the series of sculptural jackets, M dresses and cocoon shapes…gave us a futuristic couture show unlike any other seen this season. Tomas Maier showed a very sensual collection for Bottega Veneta…. Gucci presented a gorgeous glittery collection of time- less tops with sparkling spandex leggings, very Studio 54 or Eighties disco. Miuccia Prada, on the other hand, ’09 presented a show…with references to the early Forties in MILAN both style and mood, when women presented their feminine side against all the odds; what should have been per- Giannoni, Dominique Giovanni fectly groomed chignons were mussed up, heels were high collections/fall and silhouettes voluminous with the deepest V necklines. photos by Marni was cool and even more sophisticated than before, showing every kind of desirable jewelry, from rock crystals Erin Mullaney, women’s wear buying director, Browns, London inspiration appears to be strained. It could work for a to chunky flower necklaces shown over rich jacquards and “We were most moved by highly individual and not so young customer or in the fast-fashion industry, but not brocade fabrics, all exquisitely embellished.” trend-driven collections. Marni was one of our favorites, in the high-end range of the market. I loved Prada, the combining colors, patterns and accessories to create a image of a sophisticated woman who doesn’t shy away Cindy Ho, fashion and merchandising director, Villa Moda, Kuwait unique look….Jil Sander was a fabulous collection…. from being eccentric. It’s sexy yet cultivated, wicked yet Ho said she was “very happy” with Milan Fashion Week, It was very forward thinking and modern and there was upper class. It was one of the best, directional and inspir- which delivers a “strong and important message” with something for everyone….Bottega Veneta also stood out ing.” Cardini also praised Jil Sander because Raf Simons lightness of colors and materials. “This helps the mood of from the rest of the mix, which drove the high-sex, broad- “evolves the brand, respecting its DNA, creating a strong those buying goods in September.” She said there was “a lot shoulders, Eighties theme to almost too far. It was beauti- tie between the creativity of the original Sander designer of creativity and a strong image, with unique and very spe- fully understated, pretty, soft and feminine in a week that and his own.” She said Marni was “the most British of cial pieces.” She said Jil Sander was “amazing.” Ho liked was so hard. Pucci had a new energy and new vitality. It the Italian brands, with its college eccentricity, combined the layered look at Missoni, with light and deconstructed was right on trend, very sexy and very strong. Christopher with practicality.” Cardini praised the balance, this sea- knitwear…Bottega Veneta’s “beautifully structured, fitted Kane for Versus had amazing accessories, which will be son especially, “between Marni’s two souls: the eccentric, clothing” and color palette ranging from peach and apricot commercially successful, and we’re picking that up for poetic and odd and its Milanese functionality.” to beige. Marni was “very special” with “beautiful embel- fall. We also felt Pollini was strong…. We noticed interest- lishments and colors.” Prada was “so strong,” especially the ing developments in knitwear, especially at Missoni. Sex Marigay McKee, fashion and beauty director, Harrods embellishments on leather. Meanwhile, Dolce & Gabbana’s always sells, but it doesn’t have to be overtly sexy; it can be “My favorite shows were Bottega Veneta and Marni. They renewed focus on head and shoulders was “special” com- understated like at Prada. We have to give women a rea- were both absolutely stunning. Bottega for its clean lines, pared to the previous season. Ho liked the reds, khakis and son to buy; we have to work harder so that they feel like beautiful color palette and the romanticism of the cock- bottle pink where used, and said they looked beautiful to- they get value for money, something sexy and unique that tail dresses; Marni for being fun and playful while captur- gether. She also praised the new suit, its cut and the very is going to make them feel like a different person.” ing the mood with some of the best outerwear I’ve seen special slits. In terms of budgets, Ho said that “if the price this season. Pucci and Cavalli stood out as they departed is correct for the piece and not overrated, then there is no Katerina Moseeva, commercial director, Bosco di Ciliegi, Russia from their usual formula and showed much edgier collec- problem.” She trimmed her budget “by 10 or 15 percent,” “Sportmax reinterpreted many strong trends the right tions than usual….The use of leather and fur was also a and noted some designers had lowered their prices by 10 way, which makes the collection very sellable, also given stunning enhancement that added sophistication to the percent for their pre-collections. the quality-price ratio.” She also liked Etro, which she edginess….Gucci certainly broke the gloom factor with described as “very rich,” with golden details on skirts and sequins, sparkles and embellishments that rocked with clutches, “beautiful knits and coats.” “You feel like buying bling despite the crisis. Blumarine also was a splash of Marni these clothes. In times of crisis, you shouldn’t offer basic exotic color….Versace put on high-octane glamour that pieces, but strong, beautiful collections that trigger a desire was gladiatorlike, whilst Cavalli sent out warriors to fight to buy.” Moseeva was particularly impressed by Jil Sander. the climate, in neutral tones (blacks, navies and grays) — “There are trends at Jil Sander that we’ll see in two or the antithesis to the usual Cavalli prints. We have not cut three years.” The second part, with the black dresses lined our budgets, but are being cautiously optimistic, as we are in yellow and asymmetrical, were “strong and well con- trading up on last year and business is healthy. We are structed.” She also described Moschino and Moschino not dropping any brands due to the economic situation…. Cheap & Chic, as “very beautiful, feminine and sell- Overall Milan was very good for us with the right mix of able,” citing coats, knits and dresses. Moseeva said she commercial content versus aesthetic-newness content.” based her budget on the performance of the fall-winter collections’ sell-out. She didn’t cut her budget and in Linda Dresner, owner, Linda Dresner, Birmingham, Mich. some cases, she bought more because some companies “We’re being very careful and we’re choosing particular expanded their collections with different price points, pieces rather than collections. It’s not the moment to such as Moschino. have quantities of the same label. It’s the moment to be original in your choices. I’m buying clothes that have a Tancrède de Lalun, men’s and women’s buying director, Printemps strong personality, and we bought from artisanal people, “There were two distinct extremes, either very calm like Daniela Gregis. I loved the coats from Capucci, and or very sexy. Leather, fur, leggings, thigh-highs, sequins, I liked very much the new collection by Romeo Gigli.” studs and short dresses made a visible statement. Compared to last season, styles were not as risky, there Anita Barr, director of women’s wear, Selfridges were fewer prints and less color. Brands stayed true to Jil Sander was definitely my highlight of the week. It their style and didn’t venture into the unknown. This is was a fantastic show and a really inspirational collec- not the moment to ignore one’s heritage. Both sex and tion that focused on a modern silhouette is a paired- classic will sell as long as brands stay true to their down classic color palette. You could see the impact that DNA. Gucci, Pucci and Dolce & Gabbana are likely to the likes of Balmain and Martin Margiela have had re- rise above the gloomy economy for their sexy and fes- cently. Power dressing with exaggerated shoulders and tive flare. Pucci has completely changed its course to- nipped-in waists was prevalent, combined with Eighties- wards sexiness, which is very on trend. The best brands inspired hair and makeup. Jil Sander, Pucci, Marni and are those with a strong identity and they will be the Burberry all certainly broke through the gloom, but for most successful. More than ever before clients pay close very different reasons. Pucci’s aesthetic was so different attention to value, each product must justify its price.” to what we have come to expect that it made a real impact, and Marni, as always, used a brilliant and idiosyn- Tiziana Cardini, fashion director, La Rinascente cratic color palette. Burberry also showed some beauti- “Designers presented well-defined, creative and strong ful pieces, particularly the tweeds and coats. We didn’t collections, which shows they are reacting to the moment.” really see any outstanding newcomers, but historically However, Cardini expressed doubts about the 1980s-disco that’s what we usually expect from London and Paris. mood on the catwalks. “Nobody wishes in times of auster- Right now, customers want to buy exceptional invest-

Gucci t ity to see collections that are severe, but the overtly sexy ment pieces, whether they’re sexy or classic.” 8 WWD, WEDNESDAY, MARCH 4, 2009 WWD.COM

Valextra Gianvito Rossi

Roberta Di Camerino Fratelli Rossetti

Borsalino

Giuseppe Zanotti The Glamorous Life Furla During the Milan presentations, certain leading indicators — accessories — showed no signs of the economic slowdown. The fall bounty still featured plenty of glamour, flourish and even glitz, as these beautiful shoes and bags prove. — Roxanne Robinson-Escriout

Jimmy Choo

Zoraide

Trussardi 1911 Church’s René Caovilla

Lorenzo Banfi Cesare Paciotti Brian Atwood

Baldinini MIRANDA MAESTRI AND MAURICIO GIANNONI, DAVIDE GIOVANNI

Bulgari PHOTOS BY 3x7 (right)

WWD, WEDNESDAY, MARCH 4, 2009 9 WWD.COM

Charlotte Sparre’s silk Bright, Dark Colors Mix at D&A dress. By Marc Karimzadeh sey silk Carnaby dress for $115 and a herringbone wool Oxford jacket for $185. Charlotte Sparre’s top-selling items were a dress made NEW YORK — Fashion seems to be a tale of two cities for fall: all of four silk scarves for $182 wholesale, a peace scarf for $53 and a black and basic or bursting with color. silk dress emblazoned with the words “Love Hope Faith,” for $118. The two approaches marked many collections on the New York Jenny Ha, owner and designer of the Loyale line, said, “I came and Milan runways, and the story extended to the fall edition of the to the show expecting immediate orders, but people are actually Designers & Agents show, where collections that were mostly gray buying for fall. It would appear they are looking to be ready for a or black stood side by side with booths bursting with brights and fall comeback.” textures. Hanno Wessel, designer of the Hannoh line, added that many Many agreed that despite the constant barrage of doom-and-gloom stores were looking for pieces that customers can easily build into news, an unexpected sense of optimism permeated the air at D&A, their existing wardrobes. Bestsellers included a Harris Tweed coat which ended its three-day run at the Starrett-Lehigh Building and the for $315 wholesale, a plaid cotton and wool coat for $135 and a me- Chelsea Arts Museum on Feb. 23. Retailers and vendors noted that rino cardigan for $160 wholesale. business may be tough, but there is still business to be had, particu- According to organizers, the show’s attendance was on par with the larly for collections that offer special pieces at a good price. last February edition, which brought in some 2,077 retailers. This show “The price-value relationship is more important than ever,” said had 202 exhibitor booths and 300 companies. Ed Mandelbaum, who Mikki Thomas Brown, owner of The Browns, a specialty store in produces the show with Barbara Kramer, said that while expectations Williamstown, Mass. “I am looking for things that look like they war- were lower due to the global economy, he was surprised by the traf- rant the price.” fic and overall sense of optimism. “There are a lot more international For more images, see WWD.com. Brown conceded her open-to-buy was slightly lower than in pre- buyers, leading with Japan,” he said. vious seasons, but added, “That’s why you have to be more focused and take educated risks.” Ruth Bridgeman, owner of the Ruth Cross label and the L’Usine boutique in Salisbury, England, said, “Color is very important. I have seen a lot of neutral tones and a lot of grays, but with little flashes of color.” Ling Chinn, owner of Planet Blue, a Santa Monica, Calif.- based specialty store chain with five units, said business was picking up again. “I am looking for eclectic items that are well priced,” she said. “People are being conservative with their money. Whether it’s $50 or $500, it should look like so much more, so that they feel they are getting a lot for their money. “Nobody wants to buy black in times like this,” she added. “They need to feel good about themselves, and color can brighten them up.” D&A also featured booths for Trovata and Tenthousandthings as part of the show’s collabo- ration with the Council of Fashion Designers of America. CORPORATE HEADQUARTERS COLLECTION CONRAD C Elsewhere, the show offered a 9320 St. Laurent Blvd. Suite 200, Montreal, QC H2N 1N7 Canada crop of noteworthy new talent. Harvey Faircloth, for instance, was started by Mara Papa, Katie Tel: 514.385.9599 Hatch and Abby Clawson Low. Canada Toll-Free: 1.888.561.4416 The label sets out to offer “func- US Toll-Free: 1.800.561.4416 tional clothes for women, clothes that will fit women, with a unique [email protected] conradc.com detail on each piece,” Papa said. Best-selling looks include a wool and cashmere wrap coat made of one piece of fabric for $126 wholesale and a Serapé hand-wrapped dress for $148 wholesale. Overall, NEW YORK SOUTHWEST the 25-piece line wholesales from $50 to $250. Elizabeth Giebel Ray Rak Tanya Sarne, who started the 485–7th Ave. Suite 906 World Trade Center Ghost label in 1984 and sold it in New York, NY 10018 Tel: 972.386.6298 2006, is behind the one-year-old line Handwritten. Sarne took a Tel: 212.967.8181 collective approach for her new NEW ENGLAND venture, collaborating with designers like Gary Graham and SOUTHEAST Reza Khoyi Robert Cary Williams for roman- Jeffrey Schechter Tel: 781.376.0002 tic pieces with a Victorian, bohe- Atlanta Apparel Mart mian flavor at wholesale price Tel: 404.577.4717 points from $66 to $550. “The MID ATLANTIC show was fantastic,” Sarne said. Myron Kerbel “It’s obviously a tough time, but MID-WEST Tel: 215.518.2350 there’s also a certain optimism.” Dina Gardner, owner of the Philip Kafoure Height showroom, which show- Tel: 1.800.882.8337 WEST COAST cased the Charlotte Sparre and Irwin & Jordan lines, concurred. Nancy Hopkins Hank Remboldt “I think there is an optimism Tel: 1.800.929.1969 California Market Center and a new confidence that I Cell: 760.409.1874 didn’t feel at the last show, especially from American buyers,” she said. “Business still needs to be conducted. Price points are important.” Bestsellers at Irwin & Jordan included a Jermyn jersey satin dress for $155 wholesale, a jer- 10 WWD, WEDNESDAY, MARCH 4, 2009 WWD.COM In the Mainstream Retailers Scour for Unique Items, Prints at Train By Whitney Beckett “My open-to-buy will be down about 10 percent, Cacharel’s vintage print collection, mostly because I’m not finding the stuff I want,” NEW YORK — With retailers at the Train show here which launched for spring, sold well at Hamrah said. “To make the store attractive, we’re saying they reduced their open-to-buys by 10 to 33 the French brand’s Train debut. spending a lot of time on our buy — thinking about or- percent for fall, only special items made the cut. ders is more important now than ever. With the depart- Buyers reported they are scouring harder and ment stores going on sale 20 minutes after they get ship- waiting longer to place orders. Printed dresses, ments, you don’t have the luxury of over-ordering.” novelty outerwear and statement scarves were This season, Prêt à Porter dropped the sidekick best-selling items at the show, which is owned by trade show Platform 2, instead importing The Box, Paris-based Prêt à Porter and ran from Feb. 21-23 an accessories exhibition that accompanies its Paris at the Terminal Stores. exhibition. The organizers brought about 30 of the “I was looking for something really special — 120 accessories designers that show at The Box in that’s all I left orders for,” said Roz Connolly, owner Paris, being careful to keep the wholesale price of Coco an Experience, a primarily women’s appar- range between $40 and $300, said Muriel Piaser, el and accessories boutique in Montclair, N.J. fashion manager of The Box. Train absorbed about With fall merchandise still on sale in her store 25 exhibitors from Platform 2, housing them in the and factors holding out on granting credit, Connolly contemporary subsection of the show — a new divi- said the 11-year-old retailer is decreasing its open- sion, with designer as the other part. to-buy for fall by 30 percent. “Train is now established as a big showroom for “I’m waiting for the last minute to really place international designers, and Platform was a more my orders, so I can see how business is,” Connolly commercial alternative that was more of a confusion said. “This is one of the only times I haven’t left a for me,” said Piaser. “This was the right moment to lot of paper. Only if I feel it’s special and I can’t go launch The Box in New York — ready-to-wear is to a showroom to buy it did I leave paper. I’m going very affected with the economy, but accessories are to hold out until the end of April.” a good alternative.” TriBeCa retailer A Uno is closing sister store A Vancouver-based sportswear firm Mara Gottler, Uno Walk on April 1, and is cutting its open-to-buy which wholesales from $200 to $400, reported traffic by a third for fall. Manager Ruth Byers said she was “definitely down” at its second Train appear- came to Train looking for the European designers ance. “People are being cautious — still networking, the retailer specializes in, picking up three new but pondering instead of writing,” said managing vendors at the show. “We are really looking at price director Amanda Gutmanis. “It will be a matter of points, things people can actually afford to buy in whether they follow up after the show.” these times,” Byers said. BGN, a Paris-based line that wholesales from Cary Weekes, co-owner of e-tailer mickmar- $80 to $240, picked up two new stores and its orders go.com, which also has a store here in the West from existing accounts held flat, with print dresses Village, said she comes to Train to find emerging and coats in grays and purples as bestsellers, ac- designers. Mick Margo lowered its spring open-to- cording to Geoffrey Payton, North American sales buy by 15 percent and maintained that reduced director. “It helps that the collection is 20 percent level for fall. cheaper here than it is in Europe,” Payton said. “We used to go to Paris, but we don’t anymore Paris-based Cacharel attended Train for the first because the euro is so crazy,” Weekes said. “Train time and picked up 10 new accounts for its vintage tri

is great because we can find European designers s floral print collection, which wholesales from about here without having to travel.” $50 to $110, that it brought back for its 50th anniver- Lilli Hamrah, co-owner of Hamrah’s, a 52-year- Silve sary, according to Marcello Rodio, women’s wear de- old women’s boutique in Cresskill, N.J., said she velopment executive. was disappointed with the February trade shows, “Even if it’s not the best time for the economy where she couldn’t find the modern jackets she was — not just in the U.S. market, but for the world —

looking for. Simone photo by sometimes there are surprises,” said Rodio.

Launching for fall, Dora Landa offered Moda Buyers Take Careful Notes, Wait to Order vendors 15 percent off orders made NEW YORK — Retailers shopping Moda Manhattan were tail) and less expensive (cotton coats for $300 at retail). while at Moda. still determining how much lower their fall open-to-buys Ethnic prints and Eighties-inspired looks appealed to will be, and a lot of the decision was based on whether the stores’ buyers. they were able to find the special, colorful pieces they There was another important qualification for items: were looking for — plus flexibility from designers. “I wanted nothing that could be in the majors or on Special was the buzzword at Moda Manhattan, which sale too soon, so I was concentrating on little lines took place from Feb. 22 to 24 at the Jacob K. Javits that cater to boutiques,” Schwartz said. “Buyers Center here, as buyers finally began dabbling in fall all around are saying, ‘Are you selling this to orders, albeit somewhat timidly. But instead of leaving Saks? Because if you are, I’m not interested.’” paper, retailers took their detailed notes home, care- Buyers reported that vendors were more fully reviewing each item to make sure it will sell. flexible than ever. For example, Dora Landa, Buyers said they were looking for dresses, jackets and a Shanghai-based contemporary line whole- outerwear, all in bright colors and new shapes that their saling for $49 to $115 that launched for fall, of- customer doesn’t already own. Vendors reported their fered vendors 15 percent off orders made while best-selling items included print dresses, black-and- at the show — not after — “for stores to cover white color schemes, plaids and novelty outerwear. losses in the current financial crisis,” according David A. Schwartz, vice president of women’s bou- to a card it handed out. tique Sophy Curson, said his Philadelphia store is still Valrie McKenzie, buyer for Coco, an upscale determining its open-to-buy — largely based on if the women’s boutique in Nashville, said vendors product at the European trade shows stands out — but were lowering their price points and giving buy- regardless will cut back at least 25 percent. ers incentives to order. “Vendors are looking to help with It’s going to be another rough year, and special ordering,” McKenzie said. “They are allowing you to cherry-pick some

“ things, ordering just ones or twos.” t the only way we can get through this is by McKenzie found three new lines, in- Buyers looked for colorful print dresses for fall, like cluding two at a higher price point than this one from Jane Wang. not overbuying. Our strategy is get in and the store usually stocks. “We’re near a Business Journals Inc., which owns Moda. really high-end shop, and we hope we Democracy, a better-priced dress line in get out — buy one and reorder. will get run off when their customers look Kellwood Co.’s portfolio that wholesales from $50 to — David A. Schwartz,” Sophy Curson for less expensive lines,” she said. $70, showed at Moda for the first time. “We wanted to After shrinking its open-to-buy signif- reach out to more specialty stores, and this show at- “It’s going to be another rough year, and the only way we icantly for spring, McKenzie said the store was still tracts a lot of specialty stores,” said Denise Miller, can get through this is by not overbuying,” said Schwartz. finalizing its fall budget, but she predicted it would president of better dresses at Kellwood. “Our strategy is get in and get out — buy one and reorder. be down only by a single-digit percentage. She looked “Buyers aren’t really writing, but they are taking But there’s no formula. We didn’t leave many orders — for “really special and different” dresses for fall and very serious notes,” said Harald Jonassen, president we took our detailed notes, pictures and swatches, so we “pops of color.” But she said she was writing smaller or- and co-owner of Jane Wang, a silk jersey-dress line that can move our budget around based on what we find.” ders and waiting longer to write, welcoming input from launched for spring and wholesales from $98 to $128. Looking primarily for immediates, Schwartz said Coco’s sales staff more than ever. “It’s been a tough economy, but now buyers seem to have he was attracted to special cocktail dresses and coats Exhibitor attendance was down more than 12 per- a plan. Last time they just wanted cheap, but this time in bright colors or with a “little bit of sparkle” in two cent to just over 300 exhibitors this Moda, but buyer there’s a group that wants value.” prices ranges: very expensive (dresses for $2,500 at re- attendance was up, according to Britton Jones, ceo of — W.B. WWD, WEDNESDAY, MARCH 4, 2009 11 WWD.COM Marketing Core Customers Key for Luxury Players By Valerie Seckler experts said. It’s starting to manifest in a growing desire HIGH-END CONSUMPTION MAY REVERT TO BEING A MILLIONAIRE’S CLUB. to know more about brands, With consumers determined to save and their view of the American Dream in ﬂux, such as how products are growth in the luxury sector will increasingly stem from households with liquid assets of at sourced or what a company is least $10 million in the U.S. and $3 million in other countries, marketing experts said. doing as a corporate citizen. “The luxury business is the toughest I’ve seen it in 20 years,” said Greg Furman, The home is becoming a chairman and founder of The Luxury Marketing Council, whose 675 member compa- focal point for luxury con- nies include Baccarat, Baume et Mercier, Bergdorf Goodman, Blue Star Jets, Cartier, sumption as people spend Montblanc, Movado and Neiman Marcus. more time there. The rising

Even many of the nation’s WRIGHT/CORBIS ALISON BY PHOTO HOTEL value of moderation recalls rich are pruning spending TELL US WHAT YOU THINK: the post 9/11 “remorse fac- on prestige goods. A new GO TO WWD.COM TO COMMENT ON THIS ARTICLE tor” Americans experienced snapshot of 16,000 affluent during 2001 and 2002, al- Americans, who are among though this time it extends the wealthiest 10 percent beyond the public’s psyche with average assets of $3.1 to their personal finances, million, shows about half said Tom Julian, president will slash their budgets this of Tom Julian Group. year, repeating a pattern Brands gaining in strength from 2008. This group also and stature, based on the has average annual income Tom Julian/Y&R sample of of $315,000, according to 16,000 Americans whose an- “Luxury in a Recession,” nual income ranges between the study by marketing about $100,000 and $500,000 agencies Young & Rubicam include Viking appliances, W Hotels, Tag Heuer, Bulgari and Four and the Tom Julian Group, Seasons Hotels. The potential of the goods and services of such which was conducted na- brands to bring people together or enable a sense of escape figured tionwide in the third and into consumers’ view of them as “relevant” and worthy of “esteem,” fourth quarters of 2008. according to the luxury study. “Luxury is evolving into For now, it appears the country’s top wage earners are draw- exclusivity of experience; ing much of luxury’s meaning from the word’s Latin root, luxus, or The Four Seasons Hotel (Maui), a Bulgari ring and Viking it is not only a product, it excess. Marketing consultant Richard Baker, chief executive officer appliances are brands consumers found relevant for their is a lifestyle,” said Claudia of Premium Knowledge Group, which tracks residents of the 600 most ability to bring people together or enable a sense of escape. D’Arpizio, a Bain & Co. part- affluent U.S. zip-code areas, where households have average annual in- ner in Milan. That’s one reason top names like Giorgio Armani, Versace, Salvatore come of $546,000 and assets of $6.5 million, said the wealthy are becom- Ferragamo and Bulgari have been developing luxury hotels and restaurants, added ing “socially sensitive about how they’re being seen.” D’Arpizio, the lead author of Bain’s “Luxury Goods: Worldwide Marketing Study 2008.” Recalling a conversation with a financier in February, Baker said: “He At the same time, the ranks of customers for accessible and aspirational luxury was considering a purchase — a Bentley — and he avoided buying it, as he’s in a goods and services are thinning fast. company that just laid off people.” The picture isn’t expected to brighten until there is a sharp upturn in home values, which lost $3.3 trillion in the U.S. last year, about half the value since peaking at $6.1 trillion in 2006, according to Zillow.com, a real estate marketplace. Bain & Co. last month lowered its outlook for global luxury consumption, forecasting a falloff this year that could go as deep as 15 percent compared with 2008. “What happened in the fourth quarter — 70 percent off isn’t even enough anymore — is a lesson,” said Pamela Danziger, president of Unity Marketing. Prestige brands, she added, “will have to go back to targeting rich people and give up the people [who were] trading up.” In this environment, Americans whose annual household incomes of $100,000 to $250,000 make them comfortable, but not rich, “will probably adjust their spending to the point where” less pricy, upscale brands “will benefit,” Danziger said, citing J. Crew, Coach, DKNY and Furla. As a result, premium goods and services from jewels to designer apparel to luxury hotels to private jets are becoming the province of a more rarified group of consumers. When John Gerzema, a trend forecaster and chief marketing officer at Young & Rubicam, met up with his former investment banker friends in February, he learned they were giving up their New York Yankees seats, selling their wine collections and taking their kids out of private schools. They were also drinking beer. “We usually would have been drinking first-growth Bordeaux,” Gerzema recalled. “This time, I was drinking Belvedere and grape- fruit juice, and had the most upscale drink.” These lifestyle changes and beer budgets have been prompted by a sudden loss of income, which is being experienced by a rising number of Americans, including the 11.6 million, or 7.6 percent, unemployed in January. That’s 4.1 million more people than there were without steady work in 2007. Unemployment is expected to climb in February. Gerzema’s ex-banker friends derived 80 percent of their income from bonuses, which last year were just 10 percent the size of those they received in 2007. “Lower confidence is affecting everyone, not just the aspirational shopper,” he said. Even as the economy is unraveling, the Luxury Council’s Furman said “connoisseurship” is on the rise, particularly among wealthy Baby Boomers who are becoming more “inquisitive” and “authorita- tive” about what makes high-end products superior and distinctive. “What keeps luxury ceo’s up at night?” said Furman, a former marketing executive at Bergdorf Goodman and the New York Stock Exchange. “Educating their best customers: Why does good stuff cost so much?” This year, their best customers in the U.S. are to be found in the 2.25 million households with annual incomes of $250,000 or more, experts said. That’s about 2 percent of the country’s 117 million households. Brand and product image, the traditional basis of luxury goods marketing, aren’t as likely to trigger many purchases. “Image alone is a canard,” Furman said. “It’s a fake promise and it will be found out by the consumer.” The well-heeled are seeking a sense of connection between the world in which they live and the premium brands they consume, marking a departure from the longtime sensibility of detachment and superiority to which many luxury brands have played, marketing 12 WWD, WEDNESDAY, MARCH 4, 2009 WWD.COM Body Shop Said Cutting 275 Jobs MEMO PAD LONDON — The Body Shop is aiming to get in shape by potentially ARNAULT AND MORE: WSJ., to 180, according to shedding almost 300 jobs. the Wall Street Journal’s Media Industry Newsletter. The L’Oréal-owned beauty manufacturer and retailer said follow- glossy magazine, is back Circulation for the magazine ing a worldwide survey of employees last year, it plans a reorgani- with a fashion-themed remained flat at 2 million, zation of its business, which may involve cutting about 275 from its March issue, this time with but newsstand sales 9,200-strong staff. The company also said it plans to make “improve- a cover subject that delivers declined 17 percent. ments” in three areas. on several of its promises In addition to the new, “First, [The Body Shop] will refocus the business to the front end at once: access courtesy of there also are some familiar to better support the 2,500 retail outlets worldwide. Operational de- the Journal’s resources (an things in the April issue — cision making will shift to be closer to the customer,” the company interview with LVMH Moët Martha’s Calendar, which stated. “Secondly, it plans to create a more efficient organization by Hennessy Louis Vuitton chief includes Stewart’s daily to-dos streamlining operations in certain office-based functions. Thirdly, it Bernard Arnault), a lifestyle (yoga, remove burlap from has confirmed it will strengthen its product innovation.” cast to hard news (the article boxwood hedges) with her A Body Shop spokeswoman declined to provide further details explores how LVMH might public appearances has been on the plan. The proposed reorganization will not impact stores or fare in the downturn, but also reinstated. Then there’s a their staff, according to the company, which added 150 of the job depicts Arnault’s family life Bernard Arnault on the cover of WSJ. 10-page spread on the Upper cuts may be U.K.-based. by visiting his home), and East Side apartment of former “In line with previous organizational changes at The Body Shop, glossy photography (a cover shot and inside portfolio chief executive officer Susan Lyne. The apartment was the company has confirmed that as it starts consultation, it will of Arnault by Mario Testino). decorated by Kevin Sharkey, MSLO executive editorial make every effort to redeploy affected employees in suitable new What it delivers significantly less of are ad pages: director for decorating. — Stephanie D. Smith positions within the revised structure,” the firm stated. “Where this there are 27 of them, out of 92 total pages in the is not possible, those leaving the company will be generously sup- national edition, and four additional ones in a New ARENA SHUTTERS: Bauer Media on Tuesday closed ported to help secure their future.” York version. By contrast, September’s premiere men’s style title Arena, which set the template for — Brid Costello issue had 51 ad pages out of a total of 104. The contemporary British men’s magazines when it was third issue, unlike the first two, is saddle-stitched launched 22 years ago. But Arena had been in rather than perfect-bound. trouble for a while and was the only Bauer title that Though the original plan was to go monthly this was losing money, according to industry sources. BEAUTY BEAT year, WSJ. is remaining a quarterly in response to When its last editor, Giles Hattersley, left in March market conditions. Publisher Ellen Asmodeo-Giglio put 2008 for London’s Sunday Times newspaper, Bauer it bluntly: “The commitment is there, the investment struggled — and failed — to fill the job. Anthony Items marketed is there, but the advertising is not. We’re still going full Noguera, editorial director across Bauer Media’s by Beiersdorf. force, but the ad climate is extremely challenging.” men’s lifestyle brands, managed Arena’s editorial Asmodeo-Giglio emphasized that News Corp. team. In the last six months of 2008, Arena’s primary chairman Rupert Murdoch remains committed to the circulation was 29,374, although the number of magazine, despite the deep losses at the Dow Jones actively purchased copies was 17,071, according operation recently reported by News Corp. “I know to the latest ABC figures. Competitor title GQ boasts that the magazine is a priority for him to maintain and almost five times that primary circulation, and to grow eventually,” she said, adding the initiative has Esquire has more than double. “It had been allowed brought in new advertisers that are often bundled with to drift for a few years, and Bauer wasn’t showing it newspaper and digital buys at the Journal. much love. It had lost a lot of talent because of this,” As for Arnault, in the story he hints LVMH might said one industry source. “The premium men’s mag be looking to acquire more companies. “We’re about sector is challenging, but I think Bauer could have to enter a market of buyers over the next six-to-eight held its nerve for another year.” Bauer Media, which months,” he said. “There will be opportunities, publishes titles such as FHM, Grazia and celebrity and we will be looking at them.” According to the magazine Closer, said Arena Homme Plus, the twice- magazine, Arnault was at time of writing “in talks yearly style magazine, will not be affected. The six to invest in a fashion company with ecological international editions, all of which are published and ethical goals founded by a global celebrity.” under license, will also continue, according to the (Neither WSJ. nor Arnault elaborated, but could it company. Arena’s April issue, which goes on sale be Edun, Bono’s green clothing line?) March 12, will be its last. — Samantha Conti Tina Gaudoin, the editor of WSJ., said the Beauty Brands Help Lift Beiersdorf ’08 Sales magazine will soon become even more “style- NO BIG NUMBERS: Marie Claire made its reality BERLIN — Beiersdorf AG confirmed preliminary reports of a strong oriented.” WSJ. has yet to replace Sasha Wilkins, television debut on Sunday with “Running in Heels,” 2008 in its annual report, which was released Tuesday, and predict- formerly executive style editor, though former Men’s which aired on the Style Network and featured ed the company will again outperform the market in 2009. Vogue fashion news editor Sara James has been editor in chief Joanna Coles and fashion director Its consumer, or beauty, segment, which includes the Nivea, acting as style editor. “We are working on the style Nina Garcia. But if the magazine was hoping for Florena, Labello, Eucerin and La Prairie brands, had a solid year editor position,” said a spokesman. — Irin Carmon a megahit, it’s got a long way to go: According to with a 10 percent boost in sales to 5.13 billion euros, or $7.54 billion Nielsen, the hour-long show had an average of at average exchange. Earnings before interest and taxes, excluding AGINS STAYS, SORT OF: Speaking of the Journal, Teri 156,000 viewers. While it’s not an apples to apples special factors, of 615 million euros, or $904 million, had a 3 percent Agins — who has her first WSJ. magazine byline, comparison, “Project Runway” — the program Marie gain. Three of Beiersdorf ’s major beauty brands boasted double- on Rodarte, in the March issue — will continue to Claire hopes to become involved with in its much- digit revenues increases — Nivea, 10 percent; La Prairie, 12.3 per- write her “Ask Teri” column and possibly additional delayed sixth season and which also features Garcia cent, and Eucerin, 12.6 percent. freelance articles for the paper. Agins, a nearly — had 354,000 viewers during its premiere episode Among regions posting strong sales growth for Beiersdorf beauty 25-year Journal veteran, is going to be a contract on Bravo, a larger cable network. — Amy Wicks products were Eastern Europe, which registered an 18.5 percent employee in the wake of the elimination of the gain; Africa, Asia and Australia, with 28.6 percent, and China, with fashion and retail bureau, said a spokesman for ONLINE WINNERS: The Magazine Publishers of 40.7 percent, all at rates adjusted for currency-exchange effects. the newspaper. Other projects may be ahead as America on Tuesday unveiled its third annual Digital “In the cosmetics business, Beiersdorf again outperformed the well: “I will not disappear,” she told WWD. Some Awards, with winners including Wired, SI.com, market significantly last year,” stated Thomas-B. Quaas, the com- of the staffers who formed the now-defunct bureau Architectural Record, Epicurious, National Geographic pany’s chairman of the executive board, citing the selling of equity have been reassigned to other parts of the paper, and In Style Mobile. The winners were revealed as the interests, restructuring of the consumer supply chain and global where they will continue to cover similar topics, but MPA reported some good news for the beleaguered Nivea growth as contributing factors. Francine Schwadel, Cheryl Lu-Lien Tan and Jennifer magazine sector: traffic to consumer magazine Web Group profit after tax for 2008 jumped 28.3 percent to 567 million Saranow have left the company. — I.C. sites rose 11.1 percent in the fourth quarter over euros, or $833.5 million. The company’s sales rose 7.5 percent to 5.97 the same period a year earlier, averaging 75 million billion euros, or $8.78 billion. Looking ahead, Quaas is optimistic but NEW LOOK: Aside from information on cooking and uniques versus 67.5 million the previous year. cautious, stating: “It is not possible to make reliable forecasts in the crafts, the 100,000 monthly visitors to Martha At the fifth annual Digital Conference Tuesday present economic environment. Nevertheless, Beiersdorf will again Stewart’s blog on marthastewart.com are especially in Manhattan, during a session on “Three Digital outperform the market this year, and we remain committed to our tuned in to her posts on fashion, beauty and travel. Things You Need to Know Now,” Domenic Venuto, goal of achieving a global market share of 5.5 percent next year.” So the editors of Living decided to incorporate Razorfish’s senior vice president media and — Susan Stone more of that content into the magazine. “Our entertainment, said publishers need to focus on reader who cares about her home and entertaining aggregation, data and social influence marketing in Paris Hilton, Parlux Extend Scent Deal is also the kind of person who also cares about creating more effective online content. The union of Paris Hilton and Parlux Fragrances Inc. will continue themselves,” said Gael Towey, chief creative officer During a session on “What Advertisers Want,” for another five years. of Martha Stewart Living Omnimedia, who is also panelists advised publishers to use their smaller online The Ft. Lauderdale, Fla.-based fragrance producer, which is the Living’s acting editor in chief — although for the brands as incubators for innovative ideas. “It’s no licensee for the hotel heiress’ fragrance business, announced this time being there’s no search to find a permanent longer about advertising — it’s now about content,” week it has renewed the license, which was originally signed in one. Beginning with the April issue, the magazine said Stacy Deziel, managing partner, director of client 2004, until 2014. will cover beauty in a new Apothecary section, service MediaCom Interaction. James Kiernan, vice Hilton is also to accept the Fragrance Foundation’s new Female and will have a dedicated fashion section. Living president, group client director, MediaVest Worldwide, Celebrity of the Year award during the foundation’s FiFi Awards on doesn’t have any beauty or fashion editors, relying said publishers need to become more comfortable with May 27, a foundation spokeswoman confirmed. on freelancers and executive editor Vicky Lowry, the idea of working with social networking sites and, in “We are extremely pleased that Paris has been selected for this who has worked for Vogue and Women’s Sports and some cases, partnering with competitors. The key with initial prestigious award,” stated Neil Katz, chairman and chief ex- Fitness and oversees coverage on both subjects. advertising is to integrate it with what consumers are ecutive officer of Parlux, adding, “We look forward to the continued Living will also run travel coverage in the front of already using. As for the long-running argument over success of this brand.” the book about four times a year, including a service whether paying for content is good strategy, Kiernan Industry sources estimate that annual retail sales volume of the column with travel and destination information to said there is so much free content already online, that Hilton fragrance brand exceeds $200 million worldwide. She plans be called Black Book. The moves could help lure “your content better be pretty darn good if you are to launch her ninth fragrance, Siren, this summer. advertisers in the challenging economic climate. going to charge for it. But I think there are pockets out — Matthew W. Evans Through March, pages have dropped 37 percent, there that are justified to sell.” — A.W. and S.D.S. WWD, WEDNESDAY, MARCH 4, 2009 13 WWD.COM Sir Paul Smith Lands in San Francisco By Marc Karimzadeh It’s a 1950s facade that is very graphic. I suppose you call it an English football goalpost…a cheerful opti Sir Paul Smith has long held an af mistic series of pinks and reds.” finity for San Francisco, certainly since his hip For more Paul Smith beauty and The interior space, at over 4,000 square feet, was pie days when he would travel to the City by the runway looks, see WWD.com. designed by Smith and his team, who took many of Bay to sample the music scene around the Haight- their cues from the architectural character of the Ashbury district. building, which runs from Geary Street through Since then, the designer built a fashion empire to Maiden Lane. Smith created a series of smaller with stores in such cities as London, Paris, Milan, rooms for various departments, and each has a dif New York, Hong Kong and Singapore. Next Monday, ferent feel. The shoe and accessories room, for in Smith’s first freestanding store in San Francisco is stance, is inspired by American designers like Karl scheduled to open its doors at 46-50 Geary Street. Springer, Donald Judd and Paul Evans, and features mounted color panels, and chairs and stools by the Pace Collection. The suit room, meanwhile, has original mahogany panels by Pottier and Stymus Although San Francisco Co., which were taken from a 19th-century bank. It “ also features mid-century Vaclav Trefil paintings is a huge city, it has more and a late 19th-century table with dragons on its legs. At the Maiden Lane entrance, visitors will find of a village feel to it.…It’s a selection of Smith’s art collection and a large il luminated globe. probably a bit like London “I actually really hate the idea of the corporate rollout, and so many of the shops around the world, in a way, a bit more hilly and which have a similar appearance,” Smith said. “All my shops have their own character. Inside, as with more foggy. the New York shop and the Paris shop, it’s a series ” — Sir Paul Smith of rooms, and a bit of an adventure. We are also sell ing books and objects, some old antique pieces and some new pieces, as well as the entire collection for “We have the two stores in New York and one in men and women.” Los Angeles, so this was a natural number four,” Smith is planning an opening party on April 2. the Nottingham, England, native said. “Although The company declined to give sales projections for San Francisco is a huge city, it has more of a village the store, and the designer said that while plans for feel to it. I suppose it’s because it’s located on hills this store were made long before the global financial and has trams and various little areas, which feel very homey. It’s probably a bit like meltdown, he never had any second thoughts about opening. London in a way, a bit more hilly and more foggy.” “We started it before [the downturn], but that doesn’t mean we are not still confi Smith said he was particularly attracted to the location’s proximity to the city’s dent about it,” he said. “We are sure that it will be a slow start, but we are a very solid iconic Union Square, as well as the actual building he was able to secure. company. We wanted to have a shop in San Francisco, so we are delighted to have it. “If you came to London as a visitor, you would easily know certain areas like I think people in San Francisco will just be pleased to find a shop, which has a very Chelsea, Covent Garden, Bond Street or the King’s Road,” he said. “Union Square is happy and lively spirit. It’s a shop that gives you a nice feeling when you walk in. We obviously [the area] visitors know. It was the building that attracted me to the street. need that at the moment, don’t we?” Badgley Mischka Goes Hollywood in Latest Ad Campaign NEW YORK — For its 20th anniversary, Badgley Mischka come in trenchcoats and a car service,” said Mischka, Annie Leibovitz’s ad campaign has rolled out the red carpet with a celebrity-focused referring to the then-questionable neighborhood. for Badgley Mischka. ad campaign shot by Annie Leibovitz. The new campaign shows no trace of those lean Anjelica Huston, Lauren Hutton, Eva Longoria times. Badgley said, “Obviously it shows we believe in Parker, Brooke Shields, Carrie Underwood and de glamour more than ever. It’s what we do and what we signers Mark Badgley and James Mischka posed at love to do.” Paramount Studios in Los Angeles with the tag line, Mischka added, “It’s about the fact that Badgley “Two Decades of Glamour.” The Iconix Brand Group- Mischka isn’t about an age. It’s about tradition and owned label aims to open stores in Beverly Hills and modernity at the same time.” New York later this year. Prepping for hours with a crew worthy of “Gone The Hollywood-heavy campaign, which breaks in With the Wind,” Leibovitz was ready to shoot once all April magazines and will be featured on a billboard seven were accounted for. “Signs read Mark’s left foot, outside the pair’s Seventh Avenue showroom, is a James’ right elbow, Anjelica’s right toe — it was like stark contrast to the designers’ early days of working Twister,” said Badgley. “You just put yourself in there in a Hell’s Kitchen space. “The first season the buyers and it’s boom, boom, boom. It’s fast because she does would be coming over from Seventh Avenue in mini all the work ahead of time.” skirts and high heels, and the second season they would — Rosemary Feitelberg OBITUARieS Fritzi of California’s Ernest Benesch, 95 Designer Claudie Pierlot, 61 By Joanna Ramey flexible wing collar you could shape. PARIS — French contemporary designer Claudie Pierlot died last week after a “We sold so many at Macy’s that they were long battle with cancer. SAN FRANCISCO — Ernest “Ernie” Benesch, bailing them out, as they used to say,” she said. “With much sadness, we have learned about the death of Claudie Pierlot, who founded San Francisco young-women’s Born in Reichenberg, Czechoslovakia, on at 61, barely 18 days after selling her business,” stated fashion company René sportswear label Fritzi of California with his Dec. 23, 1913, Ernest Benesch immigrated to Derhy, Pierlot’s former business partner with whom she worked for more wife, died of heart and kidney failure on Feb. San Francisco in 1938. He had been held in than 10 years. 15. He was 95. a concentration camp but managed to flee, Pierlot and Derhy sold their shares in the Claudie Pierlot label, which The company, bought in 1998 by Kellwood thanks to being a recipient of a so-called includes ready-to-wear, accessories and fragrances, to fellow contemporary Co., got its start making blouses with manu “Capitalist Visa,” his wife said. The docu players Sandro and Maje just last month. facturing in San Francisco’s Chinatown and ments were surreptitiously given to Jews by Passionate about her work, Pierlot began her career in knitting factories in grew to a national brand known for its style sympathetic Germans who would allow their the south of France before joining French knitwear specialist Dorothée Bis. She at affordable prices, said Benesch’s wife, freedom in exchange for a promissory note went on to design junior lines for Printemps department store prior to joining Fritzi Lehmann Benesch, who was the origi that would never be cashed. Benesch’s par design agency Mafia. nal designer. ents, younger brother and many other rela In Paris in the early Eighties, she founded her own brand, with backing from The couple went into business soon after tives died in the Holocaust. Derhy, with the goal of offering chic, yet affordable designs for feminine young marrying in 1948 and three months after meet Fritzi of California became known for em women. Highlights of this summer’s sailor-themed collection include striped ing on the job at Benesch’s cousin’s children’s ploying many European refugees, and Jewish dresses and tops, a leopard-print coat and a wide belt, worn high on the waist. wear company, Trude of California. Family and Children’s Services presented the Outside of France, the brand’s main market, Claudie Pierlot is sold in some 13 Fritzi Lehmann Benesch said merchan company with an award for its commitment to countries, including China and the U.S. The label, which operates three stores dise was slow to move until they decided to the immigrant population. in Paris, has been developing its own-store network and recently opened a bou lower prices so that even a teenage babysitter During World War II, Benesch served as tique in Taiwan. The company’s sales last year were reported to be 5 million could afford the fashions. That meant blouses a radio operator in the Army’s 1st Cavalry euros, or $7.4 million at average exchange. were priced $1.99 to $3.99. One bestseller was Division, fighting in the Pacific. He was Funeral services were held last Saturday. the designer’s namesake Fritzi blouse with a awarded the Bronze Star. — Ellen Groves 14 WWD, wednesday, march 4, 2009 WWD.COM Financial For full daily stock changes, see WWD.com.

Chico’s, Caché Take Hit in 4th Qtr. 10 Best Performers By Alexandra Steigrad cents a share, in 2007. Excluding items, it lost 3 cents a share. Net sales decreased DAILY COMPANIES P/E Volume Amt Double-digit slides in same- 7.7 percent to $1.58 billion from $1.71 bil- store sales, coupled with special charg- lion, a year earlier. Comps slid 15.1 per- High Low Last %Change es, drove two misses’ retailers, Chico’s cent — 19 percent at Chico’s and 8 per- FAS Inc. and Caché Inc., to fourth-quar- cent at White House|Black Market. ter losses. For the quarter ended Dec. 27, Caché, 10.83 8.61 Orchids Paper (TIS) 15.0 20115 10.55 +20.85 The misses retail market has been based in New York, posted a net loss of hurt not only by the recession but also $5.5 million, or 42 cents a diluted share, 3.22 2.64 Penn Real Estate (PEI) - 1698928 3.01 +14.89 by a lack of clear fashion direction compared with a profit of $4.9 million, and confusion about the demograph- or 32 cents a share, for the year-ago pe- ics of the increasingly mercurial Baby riod. Excluding impairment charges, 2.53 2.19 Talbots (TLB) - 397662 2.38 +14.42 Boomer customer. the loss was $4.2 million, or 32 cents, 6 Chico’s fourth-quarter loss nearly cents worse than the analyst consensus 2.24 1.41 Tandy Brands (TBAC) - 5123 1.71 +10.23 doubled on impairment and sever- estimate from Yahoo Finance. ance costs and particular softness at its Sales dropped 16 percent to $65.9 1.79 1.57 Retail Ventures (RVI) 1.2 203058 1.70 +8.28 namesake stores. million from $78.5 million, in 2007. For the three months ended Jan. 31, Same-store sales fell 17 percent and 1.20 1.07 Quiksilver (ZQK) - 1161560 1.09 +6.86 the Ft. Myers, Fla.-based Chico’s regis- gross margin slid to 32.6 percent of sales tered a net loss of $40.5 million, or 23 from 46.4 percent a year earlier on high- cents a diluted share, from a deficit of er markdowns. 1.75 1.56 American Apparel (APP) 4.6 484841 1.70 +6.25 $20.5 million, or 12 cents, in the year-ago quarter. Excluding 2.82 2.45 Liz Claiborne (LIZ) - 1441216 2.82 +5.62 store impairment and severance charges, the loss was $24.8 1.24 1.13 Crocs (CROX) - 1237843 1.20 +5.26 million, or 14 cents a share, 3 cents less than expected by an- 2.00 1.81 Tandy Leather Factory (TLF) 7.3 4650 2.00 +5.26 alysts polled by Yahoo Finance. Chico’s, which had originally anticipated a goodwill charge, said that, upon review, one was not required. 10 Worst Performers Quarterly revenue declined 8.8 percent to $373.4 million, DAILY COMPANIES P/E Volume Amt from $409.3 million, as comparable-store sales fell 13 percent. High Low Last %Change Gross margin dipped 330 basis points to 44.4 percent of sales. At its Chico’s nameplate 0.32 0.14 Sport-Haley (SPOR) - 245564 0.20 -46.19 stores, sales dropped 13.5 percent to $242.9 million from $280.8 million, while comps 0.37 0.27 Charles & Colvard (CTHR) - 63228 0.28 -24.27 declined 17 percent. The White House|Black Market chain saw Chico’s White House|Black Market unit saw sales rise 0.68 0.52 Charming Shoppes (CHRS) - 541361 0.52 -19.99 sales inch up 0.2 percent to 0.2 percent to $108.2 million, while comps fell 5 percent. $108.2 million from $108 mil- 0.21 0.14 Frederick’s of Hollywood (FOH) - 37544 0.14 -17.65 lion as comps fell 5 percent. Thomas Reinckens, chairman and Chico’s said a lack of unique mer- ceo, said on the company earnings call 0.60 0.37 General Growth (GGP) 4.6 10726096 0.38 -17.39 chandise might have attributed to the that Caché will “increase financial flex- lagging sales at its nameplate. ibility” into 2009 and will try to attract 2.78 1.81 Developers Diversified (DDR) - 11573212 1.94 -17.09 At the direct-to-consumer channel, new customers with a new merchandise which accounts for about 4 percent of line that focuses more on casualwear. the business, sales grew 8.8 percent For the year, the firm posted a net 5.30 4.36 Elizabeth Arden (RDEN) - 236334 4.45 -13.42 to $22.3 million from $20.5 million loss of $7.1 million, or 53 cents a share, across all three brands — Chico’s, compared with a profit of $6.5 million, 4.47 3.66 Oxford (OXM) 4.3 353303 3.70 -12.94 White House|Black Market and Soma or 40 cents a share, in 2007. Stripping Intimates. Chico’s said it hopes to out charges, the net loss was $3.7 mil- 1.32 1.05 Glimcher (GRT) - 557510 1.12 -12.50 grow its direct business to 10 percent lion, or 28 cents a share. Net sales for in the near term. 2008 contracted 3.2 percent to $265.7 13.28 11.95 Genesco (GCO) 2.7 1208862 12.28 -12.47 Chief financial officer Kent million from $274.5 million in 2007, as Kleeberger reported recent improve- comps slid 4 percent. ment in Chico’s comp trends, a 15 per- For the first quarter, the missy re- * Editor’s note: European stocks are quoted in the currency of their principal exchanges. Shares on cent reduction in inventory on a per tailer said that, excluding charges of 11 the London Stock Exchange are quoted in pence, Richemont and The Swatch Group are quoted in Swiss square foot basis from a year ago and a cents a share, it expects to lose between francs and Hennes & Mauritz is quoted in Swedish kronor. All other European stocks are in euros. 5 percent increase in its cash and mar- 12 cents and 16 cents a share. Revenue ketable securities balance since the is predicted to be in the range of $53 third quarter to nearly $269 million. million and $55 million. In January, Chico’s named David Also on Tuesday, Bebe Stores Inc. Kenneth Cole Loss Expands to $12M in Qtr. Dyer to succeed Scott Edmonds as chief said Erin Stern, president of Bebe executive officer. Sport, had left the company. Gregory By Vicki M. Young 50.3 percent a year ago. For the year, Chico’s recorded a net Scott resigned as ceo in January and his The company’s cost-cutting initia- loss of $19.1 million, or 11 cents a share, expansion of the Bebe Sport division Kenneth Cole Productions Inc. tives since last year have resulted in versus a profit of $88.9 million, or 50 had been widely criticized by analysts. widened its fourth-quarter loss, partly $20 million in annualized savings. Chief because of a reduction in gross margin executive officer Jill Granoff said most during the period that included the holi- of the recent reductions “are part of a day season. comprehensive plan to create a more For the three months ended Dec. 31, efficient and effective company that will Puma CFO to Exit Company the loss grew to $12 million, or 67 cents drive increased value to our consumers, PARIS — Puma AG said chief financial current senior executive vice president a diluted share, from $3.1 million, or 16 our partners, our customers and our officer Dieter Bock is leaving the com- Klaus Bauer, who will take up the newly cents, in the year-ago quarter. Stripping shareholders.” pany for personal reasons. created post of chief operating officer. out charges for asset impairment, invest- Chairman Kenneth Cole said, “Our Bock’s departure, to spend more time Bauer, who has worked at the ment write-downs and severance, the new organization will be leaner and more with his family, is effective from July 31. German activewear firm for 20 years, loss was 27 cents a share, 5 cents less responsive to ensure we are a viable, vi- “We regret that Dieter Bock has made will take up his new role, oversee- than analysts’ consensus estimate. Total brant company regardless of the external the decision to leave the company and ing finance, management accounting, revenues fell 4.2 percent to $126.6 mil- environment.” are grateful for his successful work at legal affairs, operations, logistics, IT lion from $132.1 million. Included in rev- For the year, the loss was $14.8 mil- Puma for many years,” stated chairman and human resources, and join Puma’s enues was a 3.9 percent decline in sales lion, or 80 cents, against net income of and chief executive officer Jochen Zeitz. board of management on Aug. 1. to $114.9 million from $119.6 million and $7.1 million, or 35 cents, in 2007. Total “In more than 30 years that he has been In a possible reaction to the news, a comparable-store sales decrease of revenues fell 3.6 percent to $492.3 million with the company, he achieved a great Puma’s share price fell 4 percent in 10.7 percent. from $510.7 million. track record and contributed signifi- Tuesday morning’s trading on the Kenneth Cole said it “proactively con- Separately, the company’s board sus- cantly to the company’s financial per- Frankfurt Bourse but recovered in the verted inventory to cash during the peak pended the quarterly dividend to “pre- formance in the last years and Puma’s afternoon to close down 1.61 percent holiday shopping season to increase li- serve and manage liquidity.” current solid financial position.” to 114.1 euros, or $143.70 at current quidity.” However, that also meant a re- The firm’s shares closed at $5.84, down Replacing Bock on Puma’s board of exchange. duction in gross margins during the quar- 6 cents or 1 percent, Tuesday before the management and in charge of finance is — Ellen Groves ter, which fell to 42 percent of sales from earnings announcement. WWD, WEDNESDAY, MARCH 4, 2009 15 WWD.COM/CLASSIFIEDS

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DIRECTOR OF MEN’S DESIGN TUMI, the leading international brand of luxury travel, business and lifestyle accessories, has an outstanding career opportunity available in our Manhat- ACCESSORY JOBS 2009!! tan location for a Director of Men’s Design. A/P, A/R, Chargeback’s – Exp!!! - 40’S Hosiery Sales Pro Needed Exp!!!100K+ Private Label Sales Belts/Handbags$$$ Candidates must demonstrate an understanding of market/fashion trends ACCESSORY EXECUTIVES, INC as they relate to products, styles and color as well as create and develop Director of Sales - Girls (4/6x - 7/16) Call for details on jobs@ (212)213-6386 Email to: [email protected] concepts and specs that optimize the function, value and appearance of REBELETTE, located in the L.A. area, looking for a Sales Direc- products. You will be responsible for the design and development of new tor w/ a min of 7 yrs exp. Experience w/ Kids knit brands and product lines and styles, as well as extending current collections. You will possess solid, current buyer relationships. CAD DESIGNER be expected to communicate concepts and details through verbal and written Established intimate apparel co. is presentations and drawings. To qualify for this position you must have a Contact: E-mail or fax cover letter and resume to: looking for CAD artist/print designer [email protected] / fax 626-448-9989 w/strong fashion illustration skills. proven track record in men’s accessory design and a minimum 8-10 Will work closely w/our merchandise & years experience. design staff, integrating concepts & ideas to create & develop prints, color- Sales Exec. $200 +++ Min ways, presentation boards, etc. Domestic and international travel required. Tumi offers a competitive salary 5 yrs current exp in young Working knowledge of NedGraphics / and a comprehensive benefits program. Interested candidates should Fashion Studio software a plus. send resumes to: [email protected] or fax: 908-756-8590. EOE mens accessories or young Please fax resume w/salary require- mens casual sprtswr req’d. ment to: (212)-798-4771. Priv label. Popular priced. Los Angeles based req’d. Credit Assist. to $35K. Min 1-2 yrs cur- Company will not relo. Will rent exp in credit dealing w/ factor disputes, returns, PODS, etc. Middlesex County, NJ . lead to CEO position for ag- [email protected] 973-564-9236 gressive indiv w/ desire to become CEO in 3-4 years. Production Coordinator DATA ENTRY/CLERICAL Fast paced Childrens Importer seeks Korean/English bilingual pre- Modern Corp/Office - Well-Organized, indiv. with 5+ years garment importing ferred. 65 mill vol company. Computer Proficient, Detail Oriented - expr. from Asia. Must have good com- [email protected] Reports, Production, Warehouse, Data munication skills, be detail oriented & Input - Excel/Access Spreadsheets. organized. Daily order follow up with 973-564-9236 Email res: [email protected] overseas suppliers on all order details. Wal-Mart experience a plus. FASHION CAREER OPPORTUNITIES Fax or e-mail resume to: 212-658-9149 / [email protected] DESIGN ASSISTANT Ileen Raskin, Apparel 212-213-6381 Nancy Bottali, Accessories 212-213-6386 Tumi, the leading international brand Ed Kret, Textiles/Apparel 212-213-6384 Production Sourcing Mgr $125K. Spaces of luxury travel, business and lifestyle Current exp in imported Jr. & missy [email protected] FLORIDA SALES REP accessories, currently has an outstanding swimwear required. Planning, timing, New York based womens sportswear career opportunity available at our www.raskinexecsearch.com etc. Mdtn established swimwear co. and dress manufacturer seeks a Florida Manhattan location for a Design Assistant. [email protected] 973-564-9236 based commissioned sales representa- COMMERCIAL tive with customer base in Florida, Candidates must demonstrate an under- islands, South and Central America. REAL ESTATE standing of the product design and devel- SALES/PLANNER Please email resume to: opment cycle. You will be responsible ELECTRONIC SALES RETAILOR [email protected] for the organization/processing of key INVENTORY CONTROL MANAGER Luxury Golf Apparel Company seeks Resp. inc forecasting based on sales or fax to 201-866-6563. design and development documents and inventory; analyze weekly sales and samples, as well as collaborating experienced Inventory Manager for CAD-GRAPHICS-FABRIC PRINTING our Manhattan based office. Responsi- reports; create & manage inventory U4ia-Photoshp-Illustr: 212 679 6400 with the design team on administration levels; responsible for working w/ ex- SALESPERSON needs. To qualify for this position you bilities include: Forecasting seasonal Experienced Sales Person needed. www.sanodesignservices.com buy plans, monitoring and isting accts & building new accts must be organized, with an understanding Send resume to: [email protected] GM/Apparel Company. 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EOE tion, pricing, review of weekly reports Top L.I. retail real estate firm SHOWROOM TO SHARE Thermal: Men and Women from QC Managers and overseas facto- (thegreenberggroup.com) seeks senior 1407 Braodway. 800 sq. ft. Importers/Chain Stores: Bulk produc- ries, analyzing of freight and duty analyst to provide mkt reports and site available email: tion, quick delivery and competitive TUMI, INC. expenditures. The ideal candidate will selection expertise for clients. Re- [email protected] prices. Please contact: be a motivated team player with 5+ sumes to: [email protected] [email protected] years experience. Familiarity with Blue Cherry or similar, Escape, Excel and MS windows app.’s a plus. Some TECH DESIGNER $70-75K travel required. Forward resume with RELO TO SHEN ZHEN, CHINA PATTERN/SAMPLES salary requirements to: Sweaters, Cut & Sew Knits, Wovens Garment center location. Professional [email protected] [email protected] or 212-947-3400 /Reliable Quality. Men & women all style. 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