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s BEAUTY: Kiehl’s FASHION: RETAIL: gives flagship a Valentino Over the makeover, page 7. gets Rodeo top with Drive Walk Topshop, FINANCIAL: G-20 of Style pages statement gives Award, 12 and 13. retail shares a s s page 11. boost, page 2.

Women’s Wear Daily • The Retailers’ Daily Newspaper • April 3, 2009 • $3.00

WwDFRIdayBeauty A Touch of Scarlet Carolina Herrera is seeing red — but in a good way. The designer and her namesake daughter teamed up on CH Carolina Herrera, intended to be the newest pillar of the Herrera fragrance franchise. The scent will launch in the U.S. in July at Nordstrom before rolling out to its full U.S. distribution of 220 specialty stores. For more, see page 7.

Dressing Michelle O: Major Designers Wait For First Lady’s Call By Bridget Foley Where in the world are Donna, Ralph and Calvin? Certainly not on the spousal circuit at the G-20 summit in London. In fact, as President Barack Obama and 19 other global leaders huddle to ponder the world’s economic woes, Michelle Obama has reaffirmed with gusto her fashion support of America’s new and niche, and given anecdotal support as well to antiprotectionism via cardigans by Azzedine Alaïa and Junya Watanabe. Yet, save for a recent digression to Michael Kors, Obama continues to show zero interest in the big guns of American fashion, those whose names resonate around the world, and who collectively employ thousands of people. Obama’s early appearances in the likes of See Where, Page 4 tz a nilo M nilo Da Photo by John Aquino; Styled by John Aquino; Styled by Photo by 2 WWD, FRIDAY, APRIL 3, 2009 WWD.COM Retail Stocks Rise 4.3 Percent By Evan Clark weeks, coming off of depths that were more or less unimaginable a year ago — a state of af- RETAIL SHARES RALLIED A STRONG 4.3 fairs that might well be contributing to their WwDfridayBeauty percent Thursday as the G-20 meeting of world comeback as investors reevaluate how retailers FASHION leaders in London produced signs of at least should be valued and their chances of survival. As 20 global leaders ponder the world’s economic temporary unity and a Deutsche Bank report “They’ve priced all these companies down 1 said Kohl’s Corp., J.C. Penney Co. Inc., Macy’s for extinction; they’re not dead yet,” said Bill woes, Michelle Obama has reaffirmed her fashion Inc., Target Corp. and Wal-Mart Stores Inc. Rhodes, chief investment strategist at Rhodes support of America’s new and niche. would pick up sales from failing competitors. Analytics, who noted stocks are bouncing off a GENERAL President Obama and other leaders of global bottom, but wouldn’t go as far as to say the mar- powerhouses spoke forthrightly about the finan- kets’ longer-term bottom had been reached. 2 Retail shares rallied a strong 4.3 percent Thursday cial crisis and, to the surprise of some, managed to “The market is at a point where it could very as the G-20 meeting of world leaders in London boost support for the International Monetary Fund well roll over [and start back down],” he said. produced signs of at least temporary unity. by $1.1 trillion to help stabilize the global economy. It could also continue upward. 2 Ittierre SpA may have secured the Just Cavalli “We face the greatest challenge to the world “There’s a lot of cash on the sidelines,” Rhodes license for another five years, and perhaps its economy in modern times,” said the leaders in a said. “It doesn’t take a lot of movement for that cash future as well, it was learned. joint communiqué. “A to come in and move global crisis requires a the market higher.” 6 Victoria’s Secret Beauty is overhauling its Very global solution.” The recession, Sexy color cosmetics with the first project by The S&P Retail which has already “Project Runway” winner Christian Siriano. Index jumped 12.78 claimed nearly 4.4 7 With new scent CH Carolina Herrera, the designer, points to 310.43 million jobs in the her daughter and licensee Puig are aiming to add Thursday, outperform- U.S. and is expected a third pillar to their large U.S. business. ing the Dow Jones to continue to cut into Industrial Average’s employment rolls for 7 Kiehl’s Third Avenue flagship in Manhattan has advance of 2.8 percent, months to come, has undergone a 21st-century overhaul, with a new or 216.48 points, to radically changed gifting counter and exclusive products. 7,978.08. The Dow re- what counts as reas- Valentino stood at the base of the cobblestone Via visited the 8,000 mark suring to Wall Street. 11 Rodeo in Beverly Hills on Thursday to receive a The Dow reached the 8,000 mark for the first time since The Dow reached the 8,000 mark “There are at least Rodeo Drive Walk of Style Award. Feb. 13 but was unable forfor thethe firstfirst timetime sincesince Feb.Feb. 13.13. hints of modestly bad to close above it. news now, as opposed 14 FINANCIAL: Belk Inc. took heavy fourth-quarter Among the retail gainers were the compa- to horrifically horrible news, and the markets losses, but the chain said it’s poised to emerge nies singled out by Deutsche Bank analyst Bill may be attaching to that,” said Andrew Bernard, from the downturn in better shape. Dreher as those likely to pick up sales as other director of the Center for International Business EYE chains shutter doors, file for bankruptcy or liq- at the Dartmouth’s Tuck School of Business. uidate. The group included Macy’s, ahead 12.7 “Consumers and firms have been holding If there was any question why Sir Philip Green s 12 percent to $10.18; Penney’s, 6.9 percent to $21.97; their breath for quite a while and not spending Daphne Guinness threw three parties surrounding Thursday’s Target, 4.9 percent to $36.06; Kohl’s, 3.5 percent anything,” Bernard said. “There’s at least some in Jasmine Di Milo. Topshop opening, he answered it bluntly. to $45.10, and Wal-Mart, 1.6 percent to $53.64. sign that the more regular activity’s going to be Classified Advertisements...... 15 Dreher said recently announced store clo- occurring going forward.” To e-mail reporters and editors at WWD, the address is sures would put about $22 billion in sales “up Economists expect the unemployment rate [email protected], using the individual’s name. for grabs” and that these companies were the rose in March from the 8.1 percent registered WWD IS A REGISTERED TRADEMARK OF ADVANCE MAGAZINE PUBLISHERS INC. COPYRIGHT ©2009 most likely to fill the void. in February. The Labor Department gives its FAIRCHILD FASHION GROUP. ALL RIGHTS RESERVED. PRINTED IN THE U.S.A. “These retailers have the balance sheet monthly jobs update today. VOLUME 197, NO. 70. WWD (ISSN 0149–5380) is published daily (except Saturdays, Sundays and holidays, with strength and successful merchandising and mar- In London, the G-20 nations stood behind the 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 keting strategies to be key beneficiaries of the principles of a world economy based on market of Advance Magazine Publishers Inc. PRINCIPAL OFFICE: 750 Third Avenue, New York, NY 10017. Shared Services up-for-grabs market share,” the analyst said. “We forces, effective regulation, strong global institu- provided by Condé Nast Publications: S. I. Newhouse, Jr., Chairman; Charles H. Townsend, President/CEO; John W. expect the share gains to become increasingly tions and continued trade. “We are committed to 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. evident throughout 2009 and into 2010.” take all necessary actions to restore the normal Canadian Goods and Services Tax Registration No. 886549096-RT0001. Canada Post: return undeliverable Canadian Dreher also raised his target prices for Penney’s, flow of credit through the financial system and addresses to: P.O. Box 503, RPO West Beaver Cre, Rich-Hill, ON L4B 4R6 POSTMASTER: SEND ADDRESS CHANGES up to $24 from $18, and Kohl’s, up to $53 from $43. ensure the soundness of systemically important TO WOMEN’S WEAR DAILY, P.O. Box 15008, North Hollywood, CA 91615–5008. FOR SUBSCRIPTIONS, ADDRESS CHANGES, ADJUSTMENTS, OR BACK ISSUE INQUIRIES: Please write to WWD, P.O. Box 15008, North Hollywood, CA Retail stocks have risen strongly in recent institutions,” the leaders said. 91615-5008, call 800-289-0273, or visit www.subnow.com/wd. Please give both new and old addresses as printed on most recent label. First copy of new subscription will be mailed within four weeks after receipt of order. Address all 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 at www.wwd.com. To subscribe to other Fairchild magazines on the World Wide Web, visit www.fairchildpub.com. 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 advise us at P.O. Box 15008, North Hollywood, CA 91615-5008 or call 800-289-0273. WOMEN’S WEAR DAILY IS NOT RESPONSIBLE FOR THE RETURN OR LOSS OF, OR FOR DAMAGE OR ANY OTHER INJURY TO, UNSOLICITED MANUSCRIPTS, Just Cavalli Said Near Ittierre Deal 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 By Andrew Roberts cel Just Cavalli’s fall-winter runway show in MATERIALS FOR CONSIDERATION SHOULD NOT SEND ORIGINALS, UNLESS SPECIFICALLY REQUESTED TO DO SO BY February, citing delays and substandard produc- WOMEN’S WEAR DAILY IN WRITING. MANUSCRIPTS, PHOTOGRAPHS, AND OTHER MATERIALS SUBMITTED MUST BE MILAN — Ittierre SpA may have secured the Just tion. At the time, Cavalli said he tried to termi- ACCOMPANIED BY A SELF-ADDRESSED STAMPED ENVELOPE. Cavalli license for another five years and per- nate the contract “some months ago” for not hav- haps its future as well, WWD has learned. ing been paid 20 million euros, or $26.5 million, According to sources, Roberto Cavalli could in royalties and questioned the administrators’ DAILY sign a new contract in the next 24 hours, after abilities to turn Ittierre around. He also said he I don’t think this is a being won over by Ittierre’s special administra- was in discussions with other potential partners, “ tors and their plans for his younger line. The including Renzo Rosso’s Staff International, and QUote thing that’s going to last current deal expires in 2010. could even take Just Cavalli’s production in- If Cavalli does so, it would mark a turning house. Cavalli’s remarks led Ittierre to threaten forever. I think the doors are going to point for Ittierre, which filed for the Italian legal action. equivalent of Chapter 11 bankruptcy protec- Cavalli gave the first indications that rela- open up. tion in February after running out of cash. Just tions had thawed on Wednesday, telling WWD Cavalli is Isernia, Molise, Italy-based Ittierre’s he was committed to Ittierre. ” — Donna Karan on First Lady Michelle Obama’s biggest license, generating revenues in 2007 of “I will personally call between 200 and 300 so-far limited fashion choices. Page one. around 240 million euros, or $329 million, and of the best stores [that carry Just Cavalli] to tell is highly profitable. Ittierre’s other licenses in- them that I’m involved and I will speak to the clude C’N’C Costume National, Galliano, VJC 400 [Ittierre] workers [at the factory] in Isernia,” TODAY ON Versace and Versace Sport. Cavalli said at the time. Dollar figures were converted at average ex- Ittierre employs 772 people. change rates for the periods to which they refer. Sources also said a new contract with Ittierre .com A spokeswoman for Cavalli could not be would strengthen Cavalli’s position in negotia- WWD reached for comment at press time. tions with Clessidra SGR SpA. Cavalli is in talks A new deal would be the second major with the private equity firm to sell a 20 percent achievement for administrators Andrea Ciccoli, stake in his eponymous fashion company. He last Stanislao Chimenti and Roberto Spada, who se- met representatives from the fund on Tuesday, • Video and more photos from the cured a 30 million euro, or $39.7 million, line when they laid out what he described as an “in- Topshop opening in New York of credit from five Italian banks at the end of teresting plan.” • Beauty Roundup: April 3, 2009 February, allowing Ittierre to restart its engines With Cavalli on board, the administrators will and continue day-to-day operations. step up efforts to renew contracts with other li- r • Additional images from the Valentino “The company would be on track financially censors before addressing Ittierre’s parent com- ne premiere and Rodeo Drive Walk Eich

and strategically,” sources said Thursday. “This pany, IT Holding SpA, sources said. e

v of Style awards ceremony e changes the perspective for everyone and sig- IT Holding, which owns the Gianfranco Ferré, t • WWD Blogs: Ciara's Alter Ego and how y S

nals the company will make it.” Malo and Extè brands, followed its production b Jennifer Lopez and A renewal would also signal a U-turn for and licensing unit into administration at the end the economy is impacting Las Vegas

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Cavalli, who blamed Ittierre for having to can- of February. P • More on Michelle Obama's style

4 WWD, FRIDAY, APRIL 3, 2009 Where in the World Are Donna, Ralph and Calvin? Continued from page one A Photoshopped Jason Wu, Thakoon and Isabel Toledo, (with the punch of Narciso image of Michelle Rodriguez worked in for good measure), both captivated and Obama in a look from charmed much of the country while exciting an industry that un- Ralph Lauren for fall. derstands the myriad challenges faced by small fashion houses Opposite, fall looks even under the best of circumstances. But as time goes on, with WWD would love to economic recovery feeling none too close and the Obamas’ honey- see Obama try... moon with the world still passionate enough for the First Lady’s sartorial choices to garner major, gushing headlines, should she diversify her wardrobe choices, especially as the industry pre- pares to celebrate her with a CFDA Board of Directors Special Tribute? Indeed, does she have a responsibility to do so? Like the auto and financial industries, fashion is in crisis. Yet the person in the administration best positioned to support its major players — those whose collective vicissitudes play into the economy in a considerable way and whose individual swings of fortune impact the lives of countless working people up and down the supply chain and their families — is giving them the cold shoulder. And we don’t mean Donna Karan’s. No one’s asking for a big-gun bailout, Mrs. O (at least not yet). But how about a shout-out? Who cares about one woman’s wardrobe Obama choices in this time of wears Junya turmoil? A lot of people. Watanabe London fawning has of- over Jason Wu ficially crossed over from in London gushing to silly, The Daily on Thursday. Telegraph proclaiming Obama “the mint-green queen of fashion,” while The Guardian said “Mrs. O has all but obliterated last year’s Carlamania from the fashion history books, with an outfit that draws a direct bloodline between her look and the wardrobe with which Jackie Kennedy wowed Europe in 1961.” To a large extent, the fashion ship sails on such hyperbole — and on human product place- ment. Especially now, the kind of worldwide attention Obama and her labels are getting can boost an entire cor- porate psyche from de- signer to ground floor. It can boost sales as well. Obama’s now famous J. Crew beaded cardigan reportedly sold out by midmorning on Wednesday. Similarly, might not a chic sight- ing of the First Lady in Ralph Lauren or Donna Karan prod some women to stroll through Saks Fifth Avenue or Neiman Marcus? As Calvin Klein’s Francisco Costa puts it, “We’d be thrilled to dress the First Lady, of course. She has the power to influence consumers.” Within the major fashion houses, there is a growing de- sire for Obama to broaden her choices to include their wares. “American fashion right now is struggling,” says Oscar de la Renta. “I think I understand what [Obama and her advisers] are doing, but I don’t think that is the right message at this particu- lar point….I don’t object to the fact that Mrs. Obama is wearing

American fashion right now is “struggling. I think I understand what [Obama and her advisers] are doing, but I don’t think that is the right message at this particular point.­ — Oscar de ”la Renta J. Crew to whatever because the diversity of America is what makes this country great. But there are a lot of great designers out there. I think it’s wrong to go in one direction only.” Tommy Hilfiger takes a more temperate view, applaud- ing Obama for not focusing only on the high end. “I’m happy that she’s wearing young designers and not only wearing [American] couture, which puts her more in touch with real people,” he says. Kors, the only major designer to have found his way into a recent photo op, defends Obama’s range. “She’s the first First WWD, FRIDAY, APRIL 3, 2009 5 WWD.COM Where in the World Are Donna, Ralph and Calvin? Marc Calvin Jacobs Klein MITRA CHINSEE, THOMAS IANNACCONE AND ROBERT

Carolina Herrera GEORGE CENTENO, TALAYA JOHN AQUINO, BY RUNWAY ; mages I

Oscar de etty la Renta MANDEL NGAN/AFP/G ; OBAMA PHOTO BY mages I

For more etty on the Obamas, POOL/G /WPA

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WWD.com. eon L BY ON COMPOSITE Donna Tommy Vera Karan Hilfiger Wang PORTRAIT

Lady who’s ever worn sportswear,” he says. “If you think tality as a woman.” too hard, such as Thursday’s unfortunate Junya-cum- about it, she’s worn everybody from Azzedine Alaïa to Ditto Wang. “I love seeing young designers and their Jason rhapsody in blue. Michael Kors to Isabel Toledo or Jason Wu to J. Crew to vision and how they grow and all of that,” she says. “On It is widely accepted that most, if not all, of Obama’s Donna Ricco.” the other hand, of course, I wish she would consider clothes go through Ikram Goldman of Chicago’s Ikram Certainly, there’s still plenty of admiration for some of us, because I think we also have contributions boutique, although the likes of Michael Kors, for in- Obama’s embrace of the younger set. “I think it’s all to make.” stance, are from collections carried at the store. (An right that she chooses young designers, because it’s Wang acknowledges the resonance of an association e-mail request to Goldman for an interview went un- American fashion that’s going around [the world],” ob- with Obama. “She represents modern womanhood, a answered.) serves Carolina Herrera. “And J. Crew is a huge com- brilliant, active woman and mother, because of her posi- “I think Michelle Obama has a lot on her plate right pany, no? It speaks very well of her that she wants to tion, her beauty and her stature. She embodies America now,” offers Karan. “I think there’s a lot of confidence include everyone.” right now. She is the face of America.” that she has with the woman that she’s working with….I Well, not everyone, Carolina. Along with Herrera By extension, then, Obama’s choices represent don’t think this is a thing that’s going to last forever. I herself, names missing from this most prestigious what’s right, active and modern about American fash- think the doors are going to open up.” wardrobe roster include Ralph, Calvin, Oscar, Marc, ion, and her omissions — well, you get the idea. For his part, de la Renta notes that, in recent his- Vera, Tommy and Isaac, although Obama has worn While clearly any designer Obama wears gets to tory, first ladies have always had direct contact with a Liz Claiborne. Even those of the Obamas-walk-on- bask in the reflected glory, it’s not all one-way spar- designer, typically relying on one or two. He suggests water ilk would like to see that change. “I hope and kle. Despite the flood of accolades, Obama’s is a style that, designer or otherwise, Obama would benefit from believe that this is just a moment,” says Karan. “And in development, one that can sometime seem more expanding her current range of fashion advisers, partic- I hope to be able to dress her, and not only dress her forced practicality than innate polish. At the same ularly on matters of protocol. “You don’t,” he declares but address her, sit down — I’m interested in her to- time, she has succumbed to a moment or two of trying definitively, “go to Buckingham Palace in a sweater.” 6 WWD, FRIDAY, APRIL 3, 2009 The Beauty Report A New Mix: Coe-Hutshing & Bloomingdale’s Victoria’s Secret Beauty Robin Coe-Hutshing, the queen of West Hutshing also views the store as a launchpad for Coast indie beauty retailing, is preparing to enter brands she intends to create and then send out Bloomingdale’s on 59th Street, with her Memoire through other distribution channels, including di- Takes Cue From ‘Project’ Liquide Bespoke Perfumery collection of mix and rect selling via TV and e-commerce. Coe-Hutshing match fragrances. also said she is interested in forming retail alli- Just call it Project Victoria. Victoria’s Secret The full organ setup, stocked with 75 scents, is ances, with other stores. Beauty is overhauling its Very Sexy color cosmetics assort- scheduled to open April 14 and be fully operational Of the brands under development, two are on the ment — and kicking that effort off with the first cosmetics by May 1. It will be located in the flagship’s new runway. One is a ready mixed, ready-to-wear scents project by “Project Runway” winner Christian Siriano. fragrance area. out of the Memoire Liquide range. Coe-Hutshing said The collection — branded Christian Siriano for VS Coe-Hutshing’s move will come on the heels of there will be six scents, the first five launched in the Makeup — is the opening salvo in the company’s August a complete reformatting of her retail base at Fred fall. The names of each — Fleur Liquide, Vacances overhaul of its Very Sexy color cosmetics collection, said Segal in Santa Monica, Calif. Coe-Hutshing and her Liquide and Soleil Liquide — are designed to help Shashi Batra, president of Victoria’s Secret Beauty. Very sister, Jennifer Coe-Bakewell, set up shop there in the customer attach memories to the ingredients in Sexy makeup, which will be rebranded as VS Makeup, 1984, and the 4,000-square-foot retail space has the formulas, or “lead people in a certain direction.” launched in 2006. gone through a number of the incarnations. There is also a body skin softening brand called “This is another layer over and above our basic fragrance- In the latest move, Coe-Hutshing struck up a Soft Corp. In addition to a skin softening product, body care business,” said Batra. “We have a significant make- partnership with Intermix Capital. Then there will be a spray oil, a cream body wash, up business, which has been growing without much effort. We the retailer, who is an ardent music fan, a rose tinted lip softener, a natural lip believe there is a significant opportunity in this area to pay renamed her former Studio at Fred shimmer and a whipped shave wash close attention to trends and layer a lot more customers onto that will enable customers to shave the big base we already have.” and wash their legs at the same Batra and other executives refused to discuss sales projec- time. It will have the consistency tions for the color cosmetics assortment, although industry of an old-fashioned men’s shaving sources estimated the updated VS Makeup line could do $55 Robin Coe- cream. “It’s something I found lack- million to $60 million at retail in its first year on counter. Hutshing ing in my own business,” she ob- “We’ve freshened the line to be more comprehensive, with served. “It’ll be usable every day,” more shades and more finishes,” said Jean Gordon, vice presi- she said, describing the pricing as dent of brand develop- “user friendly in the prestige range, ment, noting that the but not precious.” Christian Siriano for redone collection will Another line under development VS Makeup items. launch in August with is called Plant Lab, which, similar to 180 shades. “A big influ- Memoire Liquide, will offer botanical-based ence comes from work- skin care that can be customized. Also in the works ing with professional is an outgrowth of one of the most popular Memoire makeup artists — like Liquide offerings. It will be a new fragrance called Charlotte Tilbury and Nudite Intense. Polly Osmond during Coe-Hutshing declined to discuss the details of the New York fashion her partnership. But industry sources estimate that shows — and formu- between the retailing, wholesaling and planned e- lating professional yet Memoire Liquide at commerce site, the new venture could double in easy to use cosmetics Fred Segal. size from the present volume of about $3 million. by tapping into their Over the years, Coe-Hutshing has collected a fol- techniques. We’ve Segal as the new Studio Beautymix. lowing of savvy shoppers. also listened to our The name is meant to denote a marriage of her “We have such an early adopter clientele,” Coe- consumers and broad- twin interests in cutting-edge retailing and in- Hutshing said, noting that with the collapse of the ened our shade range, novative brand development. The assortment at economy she had an opportunity. “If people aren’t so there are products Fred Segal has always mixed the exotic with the going shopping, we can take the shopping to them.” for women of every offbeat and purely inviting — from the luxurious So she took Memoire Liquide on the road to her cus- shade.” to the funky. While developing her own brands tomers’ homes in a Southern California update of Added Natalie like the Burn candle line and Memoire Liquide, Tupperware parties. First, it was mixing fragrances Part of the revamped Ellis, senior vice Coe-Hutshing has also merchandised lines like My at weddings and privates parties, then she added VS Makeup line. president of brand de- Blend, Korres, Creme de la Mer and the Japanese makeup artists, hairstylists and skin care experts. velopment: “This line cult shampoo Komenuka Bijin. She has done 30 or 40 events in the last year. encompasses technol- “We are interested in incubating nascent “If the business is going to be on the frustrating ogy, updated packag- brands,” she said. “What we do that other people side, we are going to be doing this,” she said. “It ing and great colors don’t do as well, I feel, is give them a home.” makes it easier for them and easier for us.” — and the best part In addition to serving as an incubator, Coe- — Pete Born is that everything is under $20.” The main line’s packaging has also been made over. Compacts are ren- Le Labo’s Latest Effort: Oud 27 dered in black, with Niche fragrance marketer Le Labo is years — we worked on many formulas, and only pink Victoria’s Secret launching its first scent in three years, a fragrance [this] one deserves a space on our table.” O accents; other items called Oud 27, which was introduced Wednesday. Oud 27 will also come in a lotion form, 8 oz. for are in clear tubes AQUIN The number 27 in the name of the scent is a ref- $60; a massage oil, 4 oz. for $60, and an alcohol-free N and jars with black OH

erence to the number of ingredients used to blend balm, which is priced at $80 for a third of an ounce. J tops and pink VS ac- the fragrance. The project was a collaboration be- The addition of Oud 27, which may do $500,000 cents. Each item is in tween Le Labo’s founders Fabrice Penot and Eddie in first-year retail sales volume, could help push a carton with either a

Roschi and Firmenich perfumer Vincent Schaller. the firm’s annual turnover past the $5 million mark photos by peekaboo window or It is described as a dark oriental and this year, according to industry sources. a full-color image. includes olfactive notes of Agarwood, Le Labo is carried in about 10 to 15 Lip products are priced at $10 (lip liner) to $14 (lipstick); eye cedar, gaiac wood, patchouli and frank- doors in the U.S., Europe and Asia. Its New items from $10 for eyeliner to $18 for an eye shadow quad; face incense. There’s also an accord of saf- York flagship is located at 233 Elizabeth products from $12 for concealer to $20 for foundation, and tools fron, black pepper and nutmeg. Street, and the firm also has freestanding from $2.50 for a pencil sharpener to $18 for a bronzer brush. Oud, which is a fungus that grows on locations in Los Angeles and Tokyo. Penot By contrast, Siriano’s limited edition lineup will be priced Agarwood trees in the Middle East — and Roschi are looking to open a free- slightly higher than the VS main line. The collection includes and the name of a musical instrument standing location in Paris this year. five shades of eye shadow, each $14; black eyeliner, $12; three of the lute family of Asia and Africa — In terms of the wholesale business, lip gloss shades, each $14; a bronzer-highlighter trio, $24; a lends a pungent, smoky aroma in combi- the brand is carried at four Barneys New face brush, $32, and a ruffled cosmetics bag, $16. Siriano’s nation with Agarwood. York stores (New York, Dallas, Las Vegas items will be packaged in gold compacts with the Christian “We wanted to develop an oriental and San Francisco), and Penot expects Siriano for VS Makeup logo engraved on top. scent that is a pure oriental,” said Roschi it to reach Barneys locations in Chicago Siriano was chosen to do a limited edition collection be- during a recent interview. “Not because and Los Angeles this year. cause “he’s really establishing a close following, and we think it has vanilla or is sweet but because we In Europe, Le Labo is carried in up- he resonates with our consumer,” Gordon said. “His collec- wanted something much darker. scale specialty stores in London, Paris and tion for us coincides with some of the looks he’s doing for his “Pure Agarwood smells dark, animalis- Berlin, and the founders anticipate open- fall apparel collection — the blue of the Nile, for instance.” tic,” he continued, adding, “it’s an, offbeat ing doors in Dubai in April and Australia Color cosmetics are available in about 700 of Victoria’s interpretation of an oriental wood.” in the fall. Secret’s 1,000 stores, and online at victoriassecret.com. The scent, which is Le Labo’s 11th The new scent. In other news, the firm has partnered Batra is quick to point out Siriano’s project won’t muscle major fragrance, will be available in a with an upscale laundry detergent brand Heidi Klum’s makeup aside. “Heidi’s makeup has been a 3.4-oz. bottle for $200 and a 1.7-oz. version for $130. called The Laundress for a co-branded detergent bestseller for us, and we will pulse those in as well,” he said. There will also be a .5-oz. travel size for $52. that is priced at $45 for 16 oz. and was introduced “We’re experimenting in various areas. That’s the advantage Discussing the process of developing the fra- Wednesday. of being both the developer and the retailer.” grance, Penot said, “It’s our first perfume in three — Matthew W. Evans — Julie Naughton WWD, FRIDAY, APRIL 3, 2009 7 WWD.COM The Beauty Report WWD.COM Carolina Herrera Set for U.S. Launch of CH Scent With new scent CH Carolina Herrera, the designer and That is why it is so important for the product to be perfect before we intro- her daughter — and her fragrance licensee, Puig Beauty and Fashion duce it to the market.” Group — are aiming to add a third pillar to an already large U.S. fra- The two Carolinas and Firmenich’s Olivier Crespe collaborated on the grance business. fragrance, which Herrera Jr. says was inspired by many of the things she “This is an extremely strategic launch for Puig U.S.,” said Didier loved as a child while living at her family’s estate, La Vega, just outside Maine de Biran, general manager of Puig USA. “The launch of CH will Caracas, Venezuela. “Bulgarian rose, praline — I wanted to create some- be key in positioning the Carolina Herrera fragrance brand in the U.S., thing that reminded me of the best parts of childhood,” she said. The aligning it with the fashion image and continuing to build momentum. scent has top notes of Italian bergamot, grapefruit, Sicilian lemon and We have therefore developed a selective distribution platform for the melon; a heart of Bulgarian rose oil, sambac jasmine, orange blossom, brand in order to most effectively launch and position CH, aligning praline and Sri Lankan cinnamon, and a drydown of sandalwood, cedar- ourselves with the global brand strategy.” wood, suede, cashmere, patchouli, amber and transparent musk. The Herrera fragrance business in the U.S. currently has two main The range includes eaux de toilette in two sizes — 1.7 oz. for $70 and pillars: 212, which is New York-centered, and Carolina Herrera New 3.4 oz. for $90 — as well as a 200-ml. shower gel, $45, a $48 body lotion York, which includes such scents as Chic, explained Jose Manuel and a candle, $60. Albesa, chief brand officer for Puig Beauty and Fashion Group. CH The rounded bottle has a red leather sleeve embossed with the CH Carolina Herrera, a counterpart to the apparel and accessory brand logo. The silver cap bears the CH initials, and a silver-toned charm on a of the same name launched in 2001, is intended to be the third and red ribbon reinforces the brand name. potentially the largest pillar, he added. In the U.S., CH will be launched at Nordstrom in July. It will be ex- The U.S. is the final market to get the scent, which was first clusive to the retailer for two months before entering the rest of its U.S. launched in Spain in late 2007. Shortly thereafter, it rolled out to Latin distribution in September. At full rollout, it will be in about 230 doors America, the Middle East and elsewhere in Europe. in the U.S., including Saks Fifth Avenue, Bloomingdale’s and Neiman The reason? According to Albesa, the fact that the Herrera brand is Marcus. In the U.S., Coty distributes the scents. Puig’s largest had much to do with it. “We chose to wait to introduce the Print advertising, shot by Tim Walker, will begin running this fall — date CH fragrance in the U.S. because we were still building the CH [fash- to be determined — in fashion, beauty and lifestyle magazines. The image ion and accessories] line’s distribution, and also because we wanted to features models Lisa Cant and Aaron Ward; Cant is in a red Herrera creation, have a good knowledge of the reaction to the fragrance in other markets surrounded by fragrance bottles. “There is a sense of fantasy in the ads,” said before bringing it to Carolina’s home market,” said Albesa. “In Spain, the Herrera Jr. “Perfume should make you fly — that idea of over-the-top fantasy fragrance remains in the top three; in the Middle East, it’s in the top 10, The CH Carolina was in our minds when we were creating the ads.” Walker also shot a TV ad and it’s in the top 10 in Russia. It is also doing extremely well in Latin Herrera shower gel. being used globally. To further enhance synergies between fashion and beauty America. We are expecting great things from it in the U.S.” advertising, Walker shot a fashion campaign at the same time as the beauty And Carolina Herrera would have it no other way. “My daughter Carolina and I ads, with 12 fashion shots and eight beauty shots to be used globally, said Albesa. are both perfectionists,” she said during an interview at her showroom earlier this While none of the executives would discuss sales projections, industry sources week. “Especially in this economic time, that is very important, whether you are estimated CH Carolina Herrera could do $7 million to $10 million at retail in the talking about fashion or fragrance. If a dress is beautiful and isn’t finished properly, U.S. in its first year on counter. and it falls apart when you put it on, you won’t buy another one. If the fragrance The Herreras are already at work on a men’s counterpart to CH. “We will keep key el- bottle is beautiful but the fragrance itself doesn’t smell good or last, you won’t buy ements like the leather accents,” said Albesa. “We want to create a CH masterbrand.” another bottle and the fragrance will not be a success. You can’t fool the customers. — Julie Naughton Kiehl’s Spiffs Up Flagship Kiehl’s Third Avenue flagship in Manhattan, which opened in 1851, has just completed a 21st-century overhaul. Still in its original space at 109 Third Avenue, the 1,560-square-foot store now sports a new gifting counter with elaborate carved detail, an extensive assortment of products that will be sold only in that door and an elaborate windowed time line, among other changes. “This store is our Graceland — the ultimate Kiehl’s store,” said Chris Salgardo, president of Kiehl’s USA, noting that the store also had some overhauling done dur- ing a 2003 effort. “We wanted people to leave here with special merchandise and a feeling that they’d been on a journey with us.” The gifting station was intended to appear as though it could have been installed in the early 1900s — with a surprising twist: the wood laser-engraved design is of an elaborate skull. “We got the idea from Mr. Bones, the teaching skeleton which Aaron Morse, the second-generation Morse family member who ran Kiehl’s beginning in sen the Sixties,” said Salgardo, adding that Morse’s original skeleton is in the glassed-in k ric

time-line display. “He was extremely passionate about education, and often used the E skeleton and other scientific equipment to explain things to his customers. It made perfect sense to us to incorporate that important motif into the gifting counter, too.” At the gifting counter, consumers can put together personalized gifts — which are then further customized with boxes, tissue paper, shopping bags and all-white pot- pourri, all exclusive to the Third Avenue store. Morse’s love of flying has been reinforced with a 40 percent scale reproduction of a Pitts S 2A biplane Morse The flagship-only products. Kyle photos by Kiehl’s owned; even his extensive motorcycle collection — including a 1936 model originally owned by Clark Gable — has been incorporated into the store’s macy feel. “We’ve been here for 158 years, through overhauled design. As well, the original 1851 store fixtures have been re- the Great Depression,” he said. “We want people to stored, and the exterior pharmacy sign has been re-created. feel like we’re their neighborhood store.” To that Another section of the store showcases a host of flagship-only products. end, the store even holds monthly pet-adoption They include a lip balm with a sterling silver cap designed by Lori Leven of events, he said. New York Adorned, $90; a bathrobe with a white embroidered Kiehl’s logo, While Salgardo refused to discuss sales figures, $95; a range of hair tools that range from a Pocket Spike for $16.50 to a Hair industry sources estimated the Third Avenue store Groomers Hair Brush, $45, and even baby onesies for the littlest Kiehl’s fans, does upwards of $9 million in retail sales yearly. $20. If consumers buy the $40 flagship tote, they receive 5 percent off their Chris The overhauled store also includes limited edi- purchases when they shop with it. Salgardo tions of the brand’s popular Superbly Restorative Most of all, Salgardo wants the Third Avenue store to retain its local phar- Argan Body lotion, with packaging designed by Erykah Badu, Adrien Grenier, Kelly Slater and Parsons The The gifting counter. New School for Design students, $55 for 16 oz. All profits from the limited edition version of the lotions, which will hit counters on April 22, will be donated to Waterkeeper. Salgardo also showed off the brand’s new Marvelous Mineral Mascara, which has just hit counters. “Acacia gum is used to thicken the lashes and keep the color from flaking, while minerals provide the color. It also includes aloe vera, jojoba oil and vitamin E, to stay true to our treatment roots.” Available in black and black-brown, the mascara retails for $16.50. Salgardo declined to dis- cuss sales projections for the mascara, although industry sources estimated it could do $3 million to $5 million in the U.S. in its first year on counter. In addition to its 33 freestanding stores in the U.S., Kiehl’s is also sold in about 200 U.S. specialty stores. The celebrity-designed lotions. — J.N. 8 WWD, FRIDAY, APRIL 3, 2009 The Beauty Report Spa Chakra Takes Over Cornelia St. Tropez items. By Andrea Nagel try to do five star, if one person sees [some- thing wrong] that’s one person too many. Spa Chakra may not ring a bell You need a very disciplined management, with many Manhattan spa goers, but for and frankly, we went through a lot of dif- those who call Cornelia Day Resort their ferent spa directors. We never got the right go-to for luxury spa services, the name will management team....The first few years it soon be quite familiar. was difficult. We were on the eighth floor Mike Canizales, chief executive offi- of an office building and that cost a lot of cer of New York-based Spa Chakra, took capital. When you are not known and not over Cornelia on Feb. 6 from its previ- doing business it was hard to make money ous owners, husband-and-wife team Rick at no volume with a very expensive lease. Aidekman and Ellen Sackoff, and will offi- But it was turning around. But then the re- cially rebrand the space as Spa Chakra on cession happened.” Fifth beginning May 1. In February, the space, which remains St. Tropez Adds Stores Canizales, like most in the spa indus- wrinkle-free in appearance, took a new try, had been “watching the spa with in- lease from the landlord and purchased terest” since it opened to much fanfare in certain assets from Cornelia Fifth Avenue And Blends New Scent February 2005. LLC, which generates about $10 million But despite maintaining a flawless in sales a year. Over the next several LONDON — Michelle Feeney is glowing — and it’s not because of the plethora image — celebrities and socialites hus- weeks, a huge back-of-house transforma- of self-tanning products she haphazardly tested on her arms earlier in the tled to Cornelia for their famous facials, tion will take place to bring the spa up to afternoon. The beauty executive is keyed up as she believes the overhaul of luxe body treatments and expansive roof- par with its luxurious reputation. Some of tanning brand St. Tropez, which she has spearheaded since 2007, is starting top lounge — cracks began to ap- the changes include expanding facials to deliver perceptible results. pear when the spa’s founder, from 60 to 75 minutes without “We’re a proper brand now,” Feeney said, gesturing to revamped prod- Cornelia Zicu, split from the a price increase, upping the uct packaging and upcoming product launches. And the changes aren’t just firm in January 2007. food and beverage service by visible. “When I first came to the brand I did a study and asked what were Over the next two partnering with a popular the issues we need to improve to make our products great for our custom- years, clientele re- Manhattan eatery, upgrad- ers,” she recalled. “Smell was one of the major drawbacks. It was a barrier mained steady, but one ing linens and injecting a to purchase.” person who worked at “spa journey” into the Last month, the Nottingham, England-based brand relaunched its lineup Cornelia during this overall experience. with pumped-up fragrance technology said to virtually eliminate the telltale period said the work- Mike “This is a special odor associated with self-tanning products. place was “uncomfort- Canizales place with a special team To banish the whiff, St. Tropez uses AromaGuard technology, developed able” as management [but] that team came from by fragrance house CPL Aromas, which is said to diminish the smell emit- did not “understand a world-class beauty salon ted once products come into contact with the skin. the business.” approach,” said Canizales, “Within the self-tan product, the tanning agent — DHA — reacts with the Rick Aidekman, an at- who worked at Microsoft proteins and amino acids in the top area of the skin. Part of the reaction torney by trade and also a in the U.S. and Australia for gives the brown color but also there are side reactions going on. Some side successful real estate inves- nine years before founding Spa reactions give that distinctive meat-y or biscuit-y smell,” explained Tim tor, explained that after hav- Chakra in 1998. Whiteley, global research and development director at CPL Aromas. “We ing a very good July, August and His firm, said Canizales, deeply were able to analyze and identify key molecules being generated and use September last year, where weekly sales researches its core customers’ psycho- AromaGuard technology to counteract the buildup of those materials.” averaged about $215,000, up from $60,000 graphics, which unveil their personalities, In addition, a fragrance blend was created including molecules that bind during the spa’s first years, in October 2008 to best meet their needs, and targets two to receptor sites in the nose, which otherwise would accept malodorous “the world changed.” Corporate parties, types of people — the socially aware and ones. The scent comprises notes of iris root, fresh fruits and violet. which made up about 15 percent of sales, the highly affluent. As reported, St. Tropez’s lineup is also sporting streamlined packaging disappeared, as did tourist visits, which Spa Chakra on Fifth will become the featuring pared down graphics and simplified descriptors in addition to the comprised another 15 percent of business. firm’s flagship in New York; another lo- new fragrance. “Between the two we were down about cation is planned midyear for 57th Street Product innovations are also meant to up the ante for the brand. Key 25 percent in January and we didn’t feel inside the 57 Club, a fractional hotel-res- items include Perfect Legs, which is sold as a double-barrel bottle compris- the economy was coming back any time idence space. Spa Chakra, which oper- ing gradual self tanner in one chamber and an instant tanner in the other, soon,” said Aidekman. ates 19 spas worldwide, is the brains and the idea being the products can be used separately or in tandem. Sources In December, Canizales was contacted blueprint behind the Guerlain Spa at the estimate the item, which will retail at $41 at current exchange, will ring up by the couple, who he said wanted to re- Waldorf Astoria and Blu Mediterraneo retail sales in the region of $6.9 million in the U.K. in its first year. Other turn to their former careers. Spa at London NYC as the firm partners new launches include Everyday Mousse priced at $27.60; Body Butter sell- The duo retain rights to the Cornelia with both beauty brands, owned by Moët ing for $20.70, and Shower Cream, which comes with a $13.80 price tag. Essentials product range, which is sold on Hennessy Louis Vuitton. Canizales said in Makeup products are also in the pipeline for June. Priced at between a variety of Web sites, including Eluxury. this financial climate, he estimates the new $34.50 and $48.40, the lineup includes Bronzing Rocks, chunks of shimmer- com, as well as on QVC, and in a smatter- spa will maintain 2008 sales, but that sales ing bronzing powder; Bronzing Mousse and Bronzing Powder. Sun protec- ing of hotels, including Essex House and should grow in future years. tion products are also in the works for 2010. Plaza Athenee. The new partnership also means a St. Tropez, which generates annual retail sales of $69 million to $80 mil- Aidekman, who said he invested about healthy restart for David Evangelista, who lion, bowed in eight Nordstrom spas last month and is in the process of $20 million of his own money in launching operates a 14-chair salon at Cornelia. relaunching its U.S. and U.K. e-tailing websites. The brand will also make the 22,000-square-foot spa, its product com- “It was a little ad hoc before,” said its QVC debut in the U.S. in April with two one-hour shows. pany and its trademarks, said running a Evangelista of the past several years. “The “It’s a huge litmus test for how the brand is going to succeed,” said Feeney. five star spa is not for everyone. “When you shoe fits now.” — Brid Costello SNIPPETS BOARD APPOINTMENT: Revlon Inc. has elected Ann Jordan as a new addition to its board, IFF PROMOTION: International Flavors & Fragrances Inc. has appointed Christophe de Villeplee increasing the size of the board to 12 members, and the number of independent directors to to the newly created position of vice president of fine fragrance and beauty care worldwide. eight. Jordan, 74, serves as a director of Catalyst Inc., a nonprofit organization for women’s In his new role, de Villeplee will be responsible for developing and executing strategies in the business initiatives, and is an honorary trustee of the University of Chicago and The Brookings fine fragrances and beauty care categories. He has also been charged with creating greater Institution — a nonprofit public policy organization in Washington. She is also the chairman alignment across all functions and resources against strategic priorities worldwide, the of The National Symphony Orchestra, a trustee of the Memorial Sloan-Kettering Cancer company noted. De Villeplee has been with IFF for 10 years, most recently serving as vice Center, and formerly served as the director of the board for several public companies including president and region general manager for North American fragrances. He will continue to be Johnson & Johnson and Citigroup Inc. based in New York.

BADGER MOVE: Jim Winters, formerly of the J Winters Group, has joined Badger & Partners as TOP MOP: Visitors to Manhattan’s newly opened Topshop may walk out with a new spring ’do, president, a new position. Madonna Badger continues in her position at the creative services as well. Erin Anderson, artistic director and co-owner of the Williamsburg, Brooklyn, salon agency she founded in 1994. Last year, Beautylab was added as an offshoot think tank. Winters and apothecary Woodley and Bunny will be on hand from 1 to 6 p.m. through Sunday to offer has more than 20 years’ experience in branding and publishing, including stints at Vogue and complimentary hairstyles at Topshop, located at 478 Broadway and Broome Street. Those who Talk Media. He will focus on marketing strategy, brand positioning and business development in visit the pop-up styling bar can choose among the following three styles: Sleek and Straight his new position, Badger said, while she will concentrate on design and creative development. (Glory Days), Waves (Miami) and Modern Twist Up-Do (Memphis).

SCENTS SELL: Since its launch last fall, the Six Scents fragrance initiative has sold some H20 TAPS COLLI: H2O Plus, the maker of water-based, sea-derived skin care products, has 8,000 bottles. Although each of the fragrances created by fashion designers is selling strong, named Bill Colli as senior vice president of sales and marketing. In this role, Colli will oversee the bestsellers are by Gareth Pugh, Alexandre Herchcovitch and Cosmic Wonder Light Source. the expansion of international and North American distribution. He will report to H2O Plus All the juices were concocted to raise funds for the Designers Against AIDS International president and chief executive officer Bob Seidel. Prior to joining H20 Plus, Colli was at Procter AIDS Awareness Education center in Antwerp, Belgium. Six Scents is a collaboration among & Gamble Co. as vice president of global sales for Frédéric Fekkai & Co. Before that, he held fragrance house Symrise, creative consultancy Metaproject and Seven New York. positions at Lancôme Paris. WWD, FRIDAY, APRIL 3, 2009 9

The Beauty Report WWD.COM

A few of the Cosmetic Promotions Fetes 20 Years, Expands Reach newest NEW YORK — At a time when many beauty companies are are the result of a trial or sample. “Our in-store events typically items. struggling to stay in business, one cosmetics firm is celebrat- sell one week’s worth of products in four hours,” Tyson said. ing its 20-year anniversary. While venturing into other sample-friendly categories, Cosmetic Promotions Inc., a business providing demon- beauty remains her focus and the reason she started her strators, training and other marketing tools to the mass beau- business. In her teens, she worked applying makeup to men’s ty industry, marks the milestone with fresh ideas to keep models and behind a beauty counter at Sears. After college, growing in tough economy times. “I’ve seen so many changes she worked in the business with Almay and corner in the years I’ve been in the business,” said company founder then Nat Robbins as a national sales and chief executive officer Joann Tyson. “But the good news manager. It was at Almay the seed was for my business is that when times are tough, companies planted for Cosmetic Promotions, look for ways to boost their business. Our clients need after she created a successful end- us more as staffs get cut and they need their sales to go cap deal with Eckerd Drug. Her up — so they turn to us to first task at Cosmetic Promotions help them. When times critical was to spearhead a newsletter for are good there is more by then-drugstore chain powerhouse money for marketing.” mass Revco. It was while working on the Cosmetic Promotions, Faye Brookman newsletter that she struck up a part- she said, especially helps nership with retail beauty executive vendors concentrate on na- Judy Wray, who continues to tap Tyson’s tional campaigns while her creative juices now that Wray firm can tackle customized Joann Tyson is at Rite Aid. marketing programs for Rite Aid, in fact, is a big each retail chain. A few ex- client and one that has found amples include a fragrance a unique way to keep demon- modeling event at 400 J.C. strations in store alive by get- Penney Co. Inc. stores (each ting vendors to share a makeup

four-hour event averaged artist. For example, a program ino qu a

sales of more than 17 piec- to introduce consumers to new es of products) or the Rite items at Rite Aid features dem- ohn Aid Corp.’s Glam Camp onstrations of four noncompet- j by where product samples ing brands who share the cost

are delivered into teenag- of the demonstrator. Although photo ers’ hands at community drug chains are the heart and events across the country. soul of Cosmetic Promotions Cosmetic Promotions is business, the company has also called upon for staff branched into food chains such Body Tools Expands demonstrations at store A promotion created by Cosmetic Promotions. as HEB and mass merchants in- opening events. cluding Kmart Holding Corp. Years ago, Tyson recalled, companies turned to her to cre- “It seems like yesterday we started the business. I can’t Face Care Offerings ate premiums for gifts with purchase. Then in-store demon- believe it is 20 years. I’ve seen brands come and go, like strations became more popular, especially with new launch- Clarion and the Cutex Polishing pen. Now pens are back and Men’s personal care brand es. Recently, the economy has prompted a small downturn in so much better. I miss the chains that are gone like K&B,” Body Tools Inc. has widened its face demonstrations, but she’s offset that with sample boxes of new Tyson recalled. “But the one thing that is impressive is how care range with the launch of five new items shipped directly into one chain’s stores to introduce smart consumers are today. You can’t tell them a product treatment products. beauty advisors to the new items. “I am always thinking of new can get rid of wrinkles. They are too smart and they use the And things have gotten off to a quick ideas to help manufacturers and retailers,” Tyson added. Internet to research everything.” start for the newest products from the Now, to take advantage of her cadre of more than 1,000 When questioned if a new line can launch successfully Riverside, Calif-based brand, which makeup artists and models, she’s opening up her services to in the business today, she pointed to Yes To Carrots. “If you markets hair, face and body items. other product lines such as beverages. “I have great people have a fabulous product with a point of difference, you can The quintet of men’s products have who know the industry, so why not extend our services,” she make it. Just when you think there’s no room in skin care so far registered $75,000 in retail explained. She added that 89 percent of first-timer purchases comes along a product like Yes To Carrots,” Tyson said. sales after a rollout to 60 doors in the U.S. that began a little more than two months ago. “We’ve had a face moisturizer and face and body wash,” said Al Wines, a cofound- Luxury E-tailer Gilt Groupe Flirts With Adding Beauty Pillar er of the five-year-old brand, “but nothing By Molly Prior Consumers have already shown their deep cleansing or gently cleansing.” willingness to shop for beauty online. The range includes Moisturizing A virtual door has opened for beauty brands: In 2008, health and beauty Face Cleanser, $19 for 8 oz., which em- the luxury sample sale e-tailer Gilt Groupe. products accounted for 3.6 per- adding ploys macadamia and jojoba extracts Over the last 15 months, Gilt has built its invitation-only, cent, or $4.7 billion, of total as well as vitamins A and E. The Face e-commerce business by linking arms with high-end accesso- retail e-commerce spending of and Body Scrub, also $19 for 8 oz., uses ries and ready-to-wear brands — Diane von Furstenberg, Vera $130.1 billion, according to dig- jojoba beads and oil and aloe vera to Wang and Chloé, to name a few — and has since expanded to ital tracking firm ComScore. soothe the skin. the children’s and home categories. Gilt offers its members — Wilson said Gilt will approach The line’s Deep Cleansing Mask, which number more than 800,000 shoppers — goods at up to beauty in the same way it has the $23 for 4 oz., has magnesium hydrox- 70 percent off the retail price during sales that last 36 hours. rtw and accessories businesses. ide, for its purported antibacterial and Now, Gilt is considering adding beauty as its fifth pillar. Lines that are a fit for Gilt are “the beauty anti-inflammatory properties. The Beta Gilt first dabbled in beauty last month, hosting a Perricone types of brands in high-end depart-up Hydroxy Acid Deep Cleansing Lotion, MD Cosmeceuticals sale and, on March 27, offering Smashbox ment stores. We need the price points to $21 for 8 oz., contains a 2 percent sali- Cosmetics. The private equity firm TSG Consumer Partners be high enough for the sale to be meaningful to the customer.” cylic acid concentration for deep pore — which tends to favor beauty brands sold in high-growth re- For beauty, that may mean bundling products together, as cleansing and to help soften dry skin. tail channels, such as TV retailing and the Internet — invests Gilt did for the Smashbox sale. For instance, a Masters Class Rounding out the line is the alcohol- in Perricone and Smashbox. A spokeswoman for Smashbox Brush collection housed in a metallic case sold for $45, down free Skin Recovery Toner, $14 for 4 oz., said the cosmetics company’s sale was a trial run. Perricone from the retail price of $89, and a Bare Beauty Kit, consisting which uses glycering to balance the could not be reached for comment. of two lip glosses and a face powder, skin and allantoin as an anti-irritant. “It Gilt’s co-founder and chief market- sold for $26, down from $54. won’t burn after shaving,” said Wines. ing officer, Alexandra Wilkis Wilson, Given the tough retail and eco- He estimated that in their first year said of the company’s approach to nomic climate, Gilt’s approach may on the market the five products could expansion, “Last summer, we slowly be even more palatable to prestige ring up $200,000 in retail sales volume. eased into the children’s and home beauty firms, which, prior to the The full Body Tools assortment now decor categories. We did subtle test- past holiday season, have long ab- includes 25 items with the additional ing to see if there was an appetite for stained from discounting. “These facial treatment products. Prices range them.” As for beauty, Wilson said, “We challenging times are forcing from $14 for the toner to $59.50 for the are getting our feet wet, but everything brands to think outside the box,” 16-oz. Citrus Body Armor — an SPF 15 we’ve found so far indicates that there’s said Wilson. “We have strong integ- product designed to protect the skin interest” from the Gilt shopper. The e- rity and we make our decisions with with a high concentration of vitamins tailer has a dedicated beauty buyer — the brand. The brand is in full con- E and C, retinyl palmitate and alpha Nadine Iskenderian is Gilt’s director of trol of the sale.” lipoic acid. beauty — and is actively scouting pres- As for when more beauty brands The Body Tools brand is carried at tige beauty brands, said Wilson. She will hit the site, she said, “You are venues such as Apothia Fred Segal, and noted that after the Smashbox sale, PerriconeMD Cosmeceuticals going to see more and more beauty spas and resorts like the Four Seasons the company received about 10 e-mails appeared on Gilt.com in March. as the weeks go by. We have great in Maui and Atlanta. from interested beauty firms. THOMAS IANNACCONE PHOTO BY brands in the pipeline.” — Matthew W. Evans 10 WWD, FRIDAY, APRIL 3, 2009

The HBA Report WWD.COM Eva Scrivo Opens Salon on West Side Opening a salon on Manhattan’s respectively. So far close to 100 member- West Side was supposed to have come ships have been sold. months earlier for hairstylist and makeup In addition to the lounge, the second- artist Eva Scrivo. And this past Tuesday, story, 5,000-square-foot salon includes 13 the day her new Meatpacking District chairs in the cutting room, four chairs space opened to the public, Scrivo wasn’t in a private color room, a five-sink wash- focusing on setbacks. ing station, a manicure and pedicure But it was hard not to notice the area, as well as an office. The space was woman appears to have luck on her side. transformed from an old warehouse that Just five days after opening her bus- housed artist studios and now features tling NoHo salon on 50 Bond Street one beamed ceilings, original columns, dark year ago, her Hudson Street outpost suf- wood floors and chain-mail curtains that fered extreme water damage from a fire were recovered from a bank in Detroit, during business hours. Clients at Hudson where Scrivo hails. The customer wait- Street at the time of the blaze, some of ing area looks onto a makeup station and whom were midservice, were shipped retail space, with brands such as Shu down to Bond Street to complete their Uemura and T. LeClerc, as well as Scrivo’s treatments. Overnight, Bond Street be- self-designed hats and headbands. came a destination salon rather than a Scrivo attributes her success to a com- neighborhood spot, especially without a bination of factors, including her staff of West Side space to accomodate neighbor- 30, and to creating a space with a distinct, hood residents. un-salon feel. Unfortunate circumstances aside, Scrivo in her “I am an un-salon kind of person. I don’t Scrivo, and her husband/business part- new salon. think [typical salons] have great design. ner, Arik Efros, are overjoyed that despite They have noisy chatter. And it’s not usually the economy they have the funds (an es- conducive to great haircuts,” said Scrivo. timated $1 million was spent to build the new space) and a client base to warrant Most of the salon’s stylists will split their time between the two locations. New opening a salon during these times. From one year ago this month, the Bond Street stylists as well as graduating assistants from the salon’s training program will sup- salon increased business 20 percent. The new salon is expected to generate about plement the staff. $2 million in first-year sales. At this week’s unveiling of the new space, Scrivo also shared some other re- Their success, which is fueled by an extremely loyal clientele, has the duo con- cent news, including her book deal with Atria, an endeavor that looks to inform stantly dreaming up ways to reward the people who make their business profitable women on topics ranging from hair care to makeup to fashion and fitness. “[Beauty] and worthy of expansion. Their most recent initiative is a VIP membership, where is a learned skill within the grasp of every woman,” said Scrivo. She also talked customers can preorder services and in exchange receive a host of freebies, in- about her recent spokesperson deal with Wella, a partnership that aims to make cluding weekly blowouts, and access to the new salon’s 750-square-foot VIP lounge, the brand more consumer driven. “At some point, customers will be able to ask for which has a movie screen and projector and can be used for private parties and their color by name.” gatherings. Gold and Platinum memberships are available, for $5,000 and $10,000, — Andrea Nagel Roots Mark the Spot for TouchBack Hands on for Natura By Holly Haber By Rachel Brown hair-color solutions. “It is turning into a recession product,” she said, pointing out that wholesale sales The hands are the next Natura ColorMetrics is offering a new weapon of ColorMark were up 28 percent in the first quarter frontier for Natura Bisse, which Bisse’s to combat gray roots for women who have been over the same period a year ago, and 5,000 ColorMark in March rolled out an antiaging newest forced to stretch the time between salon visits to pieces sold during a recent six-minute stint on QVC. hand cream in the U.S. item. save money. Although the results from ColorMark and TouchBack “We are always researching TouchBack by ColorMark has been designed to by ColorMark are comparable, Lasker said women the market in all countries, and distribute temporary hair dye through a marker with more gray preferring wetter application meth- hand treatments are a growing for touch-ups. The product, priced at $24.95 for .27 ods would likely choose ColorMark. business in medi-spas,” said oz. and available in eight shades, will launch for a TouchBack by ColorMark’s initial distribution Gerardo Gomez, national opera- month-long exclusive on QVC in June before being distinguishes it from ColorMark. A 60-second televi- tions manager for Natura’s U.S. sold via television commercials. sion commercial that directs viewers to TouchBack division in Irving, Tex. “People “Everyone who tries the product says, ‘Oh, my by ColorMark’s Web site, touchbackgray.com, is are worried about the aging God, where has this been? You’ve really solved a slated to air in major cities starting July 1. Created of the hands. Like our other problem,’ ” said Joan Lasker, founder and chief exec- by Barbara Wadkins Productions, the commercial Tensolift products, this is a non- utive officer of Santa Fe, N.M.- features five people offering surgical alternative.” based ColorMetrics. “Women, testimonials about the product. Tensolift Hand Cream is de- especially working women, The TouchBack Lasker appears in a two-minute signed to lighten age spots, mois- want their hair to look perfect root marker. commercial that may air if the turize and soften skin. Its active all the time. Now, it’s especial- sixty-second version succeeds. ingredients are hyaluronic acid ly important because it could “We recognized the potential to plump skin and daisy extract be for job interviews.” of TV advertising because it’s so to dissolve spots along with col- Lasker, formerly vice presi- easy to demonstrate,” explained lagen and elastin bio-peptides dent of corporate public rela- Lasker, referring to TouchBack and amino acids, mango and tions at L’Oréal and a beauty by ColorMark. She estimated shea butter and SPF 15. At $105 editor at Vogue, has been first-year sales of the product for 3 oz., it complements the com- perfecting the TouchBack by would be from $5 million to $6 pany’s Tensolift Neck Cream and ColorMark marker for some 10 million and said broader retail Inhibit-Tensolift antiaging fa- years. Getting the angle, size distribution could be an option cial serum. and fiber content of the marker, once TouchBack by ColorMark The Barcelona-based com- which has a half-inch tip that’s has been “on the market for a pany has high hopes for the cream and expects it to four times larger than a conven- little bit.” ColorMetrics, owned account for 3 percent of sales in the U.S. its first year, tional marker, just right to prop- by Lasker and her husband, he said. Natura sells to Neiman Marcus, Barneys New erly deliver the correct dose of ColorMetrics chairman and chief York and 60 independent stores in the U.S. color was the breakthrough. “We financial officer Robert Sobel, “We are pushing sales through independents and could now run a Magic Marker former chairman of Emery Roth hiring more people to handle that channel,” Gomez factory,” Lasker joked. & Sons Architects, has reached noted. “We plan to double the number of independent In 2003, while Lasker annual sales of nearly $10 mil- accounts this year.” was still revising the mark- lion, according to Lasker. The company, which has 11 lines comprising 80 treat- er, ColorMetrics released ColorMark and TouchBack ment products, will begin international distribution of ColorMark, priced at $21.95 for by ColorMark have four pat- the hand cream in two months to doors in Europe, Asia, .15 oz., with a soft-tip applica- ents, which are indicative of Mexico, the Middle East and Japan. Natura’s global re- tor for temporary hair dye (a similar product called ColorMetrics’ drive to innovate in order to carve out tail sales are around $105 million. HairMarker is sold at Sally Beauty,) and Streekers, a differentiated niche in the hair color space. “I can’t Next up is a cleanser and toner to work with The priced at $10.95 for .34 oz., with temporary bright compete with the L’Oréals and Clairols on products for Cure, an antiaging moisturizer that was introduced last colors that are easily washed out. ColorMark and colored hair if they are the usual,” said Lasker. “After August. The launches are planned for May. Streekers are carried in roughly 5,000 and 1,000 six years, we continue to have the only temporary “We thought The Cure would eat some of the salon and specialty retail doors, respectively, includ- touch-up made with real hair color. Our patents are Diamond Extreme [moisturizer] business, but it hasn’t,” ing Ulta, PureBeauty and BeautyFirst. holding.…The other products, because they are not Gomez said. Recent ColorMark accomplishments have con- real hair color, they don’t bond to hair. Because ours is The Cure is $190 and Diamond Extreme, Natura’s vinced Lasker of the mounting demand for temporary real hair color, it is actually bonding to the hair.” premium face cream, is $318. WWD, FRIDAY, APRIL 3, 2009 11 WWD.COM Energie to Offer Eyewear Tom Ford’s Aim: By David Lipke Making Changes Men’s denim brand Energie will launch its first eyewear collections at retail in May, offering both oph- thalmic and sunglass styles. Licensed to Vecellio Occhiali, which is based in the Veneto In Asia Business region of Italy, the first offering includes 12 ophthalmic styles TOKYO — Tom Ford International and six sunglass styles, retailing from $120 to $188. has made changes to its Asia busi- “This new launch…represents Energie’s natural evolution ness, forming a new retail opera- toward a total-look offer,” said Renato Rossi, chief executive tion and ending its partnership officer and co-founder of Sixty Group SpA, parent company of with Lane Crawford in the region, Energie and its sibling brands Miss Sixty and Killah, among oth- industry sources said. ers. “As with its clothing line, the Energie glasses collection is The label has unpredictable and innovative and pays attention to details.” formed Tom Ford The collection includes classic frames in Seventies Retail Japan and Eighties shapes in acetate or metal, with contempo- and hired Mark rary flourishes such as bold screen printing, perforation Prendergast, or rubber details. The frames are made in Italy. former vice- The sunglasses will be distributed in Energie stores president of worldwide next month, in addition to select specialty Lane Crawford stores. There are 14 full-price Energie stores in the U.S. WwD Joyce Group, and 225 stores internationally. The ophthalmic frames as its chief ex- will be distributed in optical shops. ecutive officer. After this debut eyewear collection, the subsequent Men’s Prendergast will offering will grow to 18 styles of ophthalmic frames and 18 be based in Tokyo styles of sunglass frames. and hold the same title

sardella In addition, Energie has signed hip English duo Philip at Tom Ford Asia Pacific, which Colbert and Richard Ascott, better known as Rodnik Band, to oversees business in the region. create a capsule collection of men’s wear that will debut at re- A spokeswoman for the label in donato Anne Hathaway, Valentino, tail this holiday season. Rodnik Band has generated a measure London declined comment. Gwyneth Paltrow and Tom Ford. of fashion-world buzz with their music (they are sometimes The contract with Lane Crawford Below: Giancarlo Giammetti and Valentino.

photos by joined by Peaches Geldof on songs), visual art and a women’s expired Tuesday and has not been collection launched during New York Fashion Week in 2006. renewed. However, the retailer will The capsule collection will encompass men’s denim, sweat- continue to operate the Tom Ford Valentino Shines on Rodeo Drive ers, shirts and blazers. Before that launch, the pair has a line store at Lane Crawford Hong Kong. of custom T-shirts under the Rodnik Band for Energie label It will not be overseeing any new By Marcy Medina that will be sold in key U.S. Energie stores beginning April 15. stores in the region, as had been originally planned. BEVERLY HILLS — Valentino’s star never seemed brighter. The only other store opened As red double-decker tour buses and stretch limos glided through under the old partnership — the the intersection of Rodeo Drive and Dayton Way here Thursday, Tom Ford store in Osaka — is now Valentino stood at the base of the cobblestone Via Rodeo to be hon- directly controlled by Tom Ford. ored as the 13th recipient of the Rodeo Drive Walk of Style Award. The ophthalmic and — Amanda Kaiser; Anne Hathaway introduced the designer, recalling the time she sunglass frames will retail Samantha Conti, has spent with him in the last three years since they met during the for $120 to $188. London filming of “The Devil Wears Prada,” in which Valentino had a cameo as himself. “Shortly after that, I was invited to be his date at a gala,” Hathaway said. “I knew it would be a great challenge to be perfect in Valentino for Valentino. At my first fitting, I put the dress on backwards. Luckily Prada to Open Second Unit in Madrid there were strategically placed sequins.” She singled out his “bright eyes of a dreamer, his curiosity, strength and fervor.” MADRID — Prada will launch its second Madrid more focused on where to spend the money she or Upon presenting him with the Robert Graham designed “Torso” store today on the Calle Serrano, a shopping he has, because there is money out there. statuette, Hathaway said, “Because of his friendship and influence thoroughfare with other brands like Carolina “The Spanish market is increasingly more im- on me, I am a Valentino creation.” Herrera, Loewe, Cartier and Zara. portant. We needed to give our clients a bigger Valentino stepped to the podium, saying, ”I am completely drunk The new location — around the corner from space and more opportunity [to buy]. The new store with compliments. In my long career, I have more or less refused the original Prada space soon to house men’s is on a par with Milan and Paris,” she explained. other people saying nice things about me, but now that I am older, wear only — carries a full range of women’s Designed by Italian architect Roberto I accept this.” wear, handbags, luggage, shoes and fragrances. Baciocchi, the two-floor, roughly 5,382-square-foot He said Beverly Hills is “a city very much responsible for me be- “Opening a new store in critical times sends a locale features Prada’s signature “green concept” coming a fashion designer.” As a child, Valentino was captivated by very positive message that we strongly believe in our with beige carpeting, chrome and glass. Hollywood’s stars, and when he began to open stores, Rodeo Drive was product,” a spokeswoman said. “Today’s customer is — Barbara Barker at the top of his priority list. “Today, it’s the most important fashion street in the world. Maybe one day I’ll be back to get another prize.” The presentation — Giorgio Armani, Tom Ford and Manolo Blahnik are among previous Walk of Style recipients — capped a two-day whirl- wind for the designer. On Wednesday, the Matt Tyrnauer-directed docu- Italian Home Furnishings Brand Skitsch Launches mentary “Valentino: The Last Emperor” had its West Coast premiere By Luisa Zargani lion euros, or $15.5 million at current exchange, at the Los Angeles County Museum of Art. Guests included Ford, Joan Skitsch expects sales of 5 million euros, or $6.4 Collins, James Galanos, Rita Wilson and several of Valentino’s one- MILAN — The economy isn’t bringing everything million, in the first year, and revenues of 50 mil- time models, such as Janice Dickinson and Kelly Lynch. to a standstill. lion, or $64.5 million, in five years. “I have watched every collection for the last 32 years and there Renato Preti, former chief executive officer of Others involved in the project include has never been a bad one,” Dickinson said. “He’s a genius. I own private equity fund Opera, founded together with Alberto Bombassei, vice president of Italy’s several Valentinos and putting them on just changes you. You be- Bulgari in 2000, is launching a design brand called Industrialists Association, Confindustria, and come ultrachic and ultrafeminine.” Skitsch with a group of Italian entrepreneurs. “Some president and ceo of Brembo SpA, a leading “Part of my mission tonight is to talk him into working again,” may question the timing, but there are many oppor- group in the production, design and marketing of Lynch said. “He cannot retire. An era is over, and it’s some of the tunities in this sector,” said Preti during a press con- brake systems. The company has also taken con- greatest things I’ve ever worn.” ference at the Bulgari Hotel here Tuesday. trol of home furnishings brand Dovetusai, whose In Valentino’s creations, “I feel like I am wearing a piece of He said customers are looking for less os- products will be part of Skitsch’s catalogue. armor, and I feel protected and stronger,” Hathaway said. “When tentatious products, opting for feel-good pieces Skitsch will debut on April 21 during Milan’s you put something on like that it rather than flashy cars or jewels. “The demand international furniture and design exhibi- makes you do all the things you for contemporary aesthetics is growing, the plea- tion, the Salone del Mobile, with the opening are supposed to do: stand a little sure to surround oneself with contemporary ob- of its first store. The 6,480-square-foot flagship straighter and feel a little proud- jects strengthened by the crisis and there is only will boast 13 windows in the centrally located er and smile a little bigger.” a limited offer,” said Preti. Via Monte di Pietà, 11, a few steps away from Hathaway said she begged Furniture, accessories such as candles, home the Bulgari Hotel and Via Montenapoleone. Valentino to come out of retire- fragrances and other objects for the home and of- The store, in wood, glass, concrete and brass, ment to design her Oscar dress. fice will be created by an initial group of 27 inter- with touches of blue, was designed by Luca He didn’t, and the actress wore national designers, ranging from Maarten Baas to Bombassei, partner and founder of Blast Armani, but she said, “I think Xavier Lust, Marc Sadler to Joost van Bleiswijk, Architects in Milan, Venice and Abu Dhabi. now that he is retired we appre- under the artistic supervision of Cristina Morozzi. The products will mostly be made in Italy, ciate him that much more.” “Design objects are usually either too strange or except for specific categories such as rugs from Although Valentino said he too functional. We are looking for balance and a com- India, crystal from Bohemia, and porcelain from misses designing the collec- prehensive offer,” said Preti, whose career includes Poland. Distribution will include Skitsch’s own tions, he has moved on. “I have For more stints at Opera-controlled home furnishings compa- stores, catalogues and e-commerce. “In this indus- very beautiful life, thank God, Valentino photos, ny B&B Italia and outdoor furniture firm Unopiù. try, distribution is very fragmented, the experience and what I am going to do now is The company behind Skitsch is called Di of shopping is not fun or stimulating, often with some costumes for the opera.” see WWD.com. Disegno SpA. With an investment of up to 12 mil- delayed deliveries and little service,” said Preti. 12 WWD, FRIDAY, APRIL 3, 2009

For video and more images of the scene at the Topshop opening, Over the Top see WWD.com. New York hasn’t seen a retail opening like this in years. Kate Moss in her own design for Topshop The long-awaited unveiling of Topshop- with Jennifer Lopez in L'Wren Scott. Topman on Thursday went off with an extended flourish as a queue of about 500 predominantly Pretty Young Things wrapped clear around three city blocks. They screamed, they yelled — some had even skipped school to witness the event. Others had been waiting since 7:45 for the 11 a.m. opening. No doubt the waiting was somewhat alleviated by Topshop staffers distributing cheese biscuits and water to everyone, while neighboring Madewell had set up a coffee stand. “This is it,” said Topshop owner Sir Philip Green, upon which he and Kate Moss (who seemed the most anxious of all, biting her nails) stepped up to the giant silk screen that concealed them from the crowd awaiting outside. As it lifted, there was a roar and a shower of confetti. Moss seemed to loosen up, mugging for the photographers in her green chiffon gown — and leather Barker jacket for some edge — from the collection she designs for the retailer. “This is exciting. It’s great,” Green said. Just a little later, he was seen hugging Steven Roth, chairman and chief executive officer of Vornado Realty Trust, which provided the 40,000-square-foot site at 478 Broadway. Asked if he plans to provide a second location for Topshop, Roth replied, “For sure. For sure.” He declined to specify Rosario Dawson in where that might be, but one real possibility is 34th Monique Lhuillier. Street, where Vornado owns much property. “I’ve never been to Topshop, but I’m always shopping it online,” said twentysomething Sophie London, who said she waited an hour and a half to get in, and like many surrounding her, had been intensely curious to see the British-based Topshop’s first U.S. emporium. Her conclusion: “It looks awesome.” Twenty-five-year-old Erica said she waited since 8 a.m. to get in. “I love fashion. I love Topshop,” she explained. The controlled chaos was little surprise considering Green had marshaled all the hype he could for the store, holding not one but three parties to mark the opening. As to why there were three, the question was answered by the clothing honcho’s speech on Wednesday night at the second bash. In front of a crowd at Balthazar that included Jennifer Lopez, Kate Moss, Marc Jacobs and fellow billionaires Ron Perelman and Steve Wynn, Green brandished a New York City permit. “This piece of paper came this evening and actually is the permit that finally allows us to open the store. It’s only cost us 24 million three hundred thousand dollars,” he announced to applause. “It’s going in a frame. And I’m going to send it to Mayor Bloomberg and say, ‘Thanks very much.’” If there’s something seemingly anachronistic about a retailer throwing this many soirees in 2009, at least what it’s selling is au courant, pointed out Kelly Klein. “I’ve been waiting for this store to open for two years,” she said while perusing the goods on offer before dinner. “I think they are opening at exactly the right time. These are the clothes we all want to buy right now. It’s cool and young — and cheap.” In another corner, Julia Restoin-Roitfeld picked up a new feathered miniskirt. “It’s so cute that I’m sure everyone got it,” she said, raising perhaps the only concern that Americans expressed about the arrival of the brand. “It used to be that no one would be able to get the clothes because they were in England. Now everyone will be able to get them,” pointed out one fashion editor. Meanwhile, Lopez and Marc Anthony got their own tour of the four-floor store. It was only Lopez’s second time in a Topshop, but she had caught the fever. “I love it. It’s amazing,” she said. At the dinner afterward, she and Moss made fast friends. They grabbed a corner seat, quickly joined by Jacobs and Lorenzo Martone. Meanwhile, Daphne Guinness professed to being a Topshop

s Daphne Guinness in Jasmine Di Milo. fan despite her penchant for couture. “I go with my daughter to buy T-shirts, miniskirts, shorts, slacks — everything.” (The Sir Philip Green and Kelly Klein in Brit fashion plate spent much of the rest of the evening Harvey Weinstein Kate Moss for canoodling with hotelier André Balazs.) Topshop and After plates were cleared, Sharon Jones and the Dap- Alexander Wang. Kings gave a rollicking performance that had Alexander Wang, Zoe Kravitz, Rosario Dawson and Veronica Webb bopping on their banquettes. Then Jennifer Hudson took the mic. If she was paid for her appearance (a rumored $130,000), she earned every penny. “They don’t make the [shopping] bags big enough at Topshop,” she said. “I always end up spending too much money. If I could be there tomorrow, I would,” she continued. “I’d be all up in that Topshop.” As she sang, she spotted Lopez and Anthony. “Oh, I didn’t see y’all there,” she said, before trying to convince them to sing a few notes of Aretha Franklin’s hit “Something He Can Feel.” “Kate can sing,” shouted Lopez as Moss hid behind her hands. “Get up Jennifer, I’m asking you,” said Hudson. “Give us something we can feel.” The diva acquiesced and hit a note so high that it got everyone out of their seats and shouting. The evening ended with a standing ovation after Hudson got the whole too-cool-for-school fashion crowd to sing along to her hits, “Love You I Do,” as well as “And I Am Telling s Genevieve Garner in You, I’m Not Going.” Topshop with Chloe Green — David Moin and Elisa Lipsky-Karasz in Kate Moss for Topshop. WWD, FRIDAY, APRIL 3, 2009 13 WWD.COM

Veronica Webb, Lorenzo Martone and Marc Jacobs. Kate MossMoss onon openingopening day inin herher ownown designdesign FASHION SCOOPS for Topshop. for Topshop. A SWISS ACCOUNT?: Could Christian Lacroix be zeroing in on new investors? According to sources, Lacroix’s owner, Florida-based Falic Group, is in advanced discussions with a group of investors from Switzerland. The likelihood of a deal could not be learned, but it is understood talks are centered on selling a majority stake of the Paris-based fashion house. Last year, Falic Group began searching for potential investors to help accelerate the fashion company’s expansion and capitalize on the brand’s recent repositioning as a pure luxury play. Lacroix officials could not be reached for comment.

BARRETT HOPS THE POND: It’s only taken 10 years, but designer Neil Barrett will make his first U.S. public appearance this weekend, at Bergdorf Goodman Men on Saturday afternoon. “I’ve only done four of these events in my life, but I need to dedicate time to the American market. Bergdorf Goodman is my best U.S. account. They’ve done incredible increases, season by season,” said Barrett, who is known for modern tailoring with punk influence. In addition to suits and vests, Barrett’s leathers do well at the store. While he’s in town, he plans to see a Katy Perry show. They’ve been friends since before she got famous for kissing a girl. Then he’ll head to Los Angeles on Wednesday to do a few celebrity fittings and spend his birthday weekend in the sun.

IN THE TRUNK: The trunk show season appears to be in full swing. After hosting a Lanvin trunk show last week, Barneys New York did the honors for Givenchy this week. Among the Jennifer Hudson in Topshop top-selling pieces in the three-day trunk show were $2,965 gray with James Blunt. leather motorcycle pants, a $2,780 coated cotton motorcycle jacket, a $1,300 knit turtleneck top with leather sleeves, a $3,540 fur trim collar military jacket, a $1,155 jersey one- sleeve, draped blouson top, a $1,570 covered pearl jersey, drape neck sleeveless top and a $2,060 viscose knit one- sleeve asymmetric, flare-front dress with feather inset shoulder. Accessories bestsellers included a $1,305 evening chain clutch, a $1,750 pair of black studded heels and a $995 leather ankle bootie. “We started carrying Givenchy when Riccardo Tisci became the designer,” said Julie Gilhart, Barneys’ senior vice president and fashion director. “From the very beginning, our customers responded just not to the clothes but to the shoes and bags as well.”

ORANGE YOU GLAD: Cheese is served “Was it too early?” chez Hermès. Hermès chief executive Patrick Thomas asked sheepishly before dawn Eager shoppers line up down the block. on Thursday. After all, to announce its annual marketing theme for this year, “Beautiful Escape,” the French luxury brand asked some 300 editors and Hermès staffers to assemble at 5 a.m. for a surprise visit to Rungis, the sprawling wholesale food market on the outskirts of Paris that nourishes an estimated 12 million to 15 million people. Wearing white smocks, the fashion pack was eerily silent Lily filing through the giant meat locker — where a young woman in a Donaldson Perusing thethe sundresses.sundresses. tuxedo tinkled a gleaming black grand piano — but woke up in the fragrant cheese hall when a mouse-headed waiter glided towards them on Rollerblades offering a tray of cubed cantal. The tour ended with gourmet samplings — from oysters to crepe suzette — while Hermès’ artistic director Pierre-Alexis Dumas led a crew of cyclists through the dining hall, capping off a quirky morning.

WEST DEVON: Manhattan-based designer Lyn Devon is packing her bags and heading to Los Angeles next week. On Monday night, her childhood best friend, actress Lake Bell, will fete her with a garden party at interior designer Nathan Turner’s West Hollywood store. The next evening Devon fans will have a chance to buy her spring collection and order from her fall line at a cocktail party-cum-trunk show at new boutique Arcade. This June, Devon will have more to celebrate: she’s launching a 50-item capsule collection of summer sportswear, which will be available to private clients.

GOOD LUCK WITH THAT: Lots of designers have trimmed their budgets for press samples lately, but James Perse is going to an extreme, making editors purchase products in order to shoot it. Under the brand’s new policy, euphemistically named the “Studio Sales Discount,” editors must prepay by credit card for product, minus a 10 percent discount. They have 10 days, not a day more, to return the product for a refund, minus a 20 percent restocking fee. James Perse will not accept returns of T-shirts, (which are its bread and butter,) undergarments, footwear or bathing suits. Apparently, the company has decided an editorial credit isn’t worth more than 30 percent of the cost of a T-shirt. Returns

CENTENO AND STEVE EICHNER TALAYA AQUINO, will only be processed by the brand’s Melrose Avenue store in Los Angeles — not a showroom or press office. Still interested, Julia Restoin-Roitfeld in a Kate Moss for JOHN Topshop dress and Topshop jacket with editors? The first step is to fill out a credit application. Later on, Poppy Delevingne in Topshop. Finally! if you need to transfer the account to a colleague or a successor,

PHOTOS BY you will be required to notify James Perse by certified mail. 14 WWD, FRIDAY, APRIL 3, 2009 WWD.COM Financial For full daily stock changes, see WWD.com.

Belk Sustains $202.8M Loss in Qtr. 10 Best Performers By Evan Clark is positioned to benefit when spending picks up. Just when that will be remains DAILY COMPANIES P/E Volume Amt Belk Inc. took heavy fourth- to be seen, but Pernotto said consumer quarter losses after writing down the attitudes have stabilized recently. High Low Last %Change value of previous acquisitions, but the “In the fourth quarter we continued nation’s largest privately owned depart- to see uncertainty in terms of the con- ment store said it is poised to emerge sumer’s reaction to the economic news,” 0.93 0.65 Unifi (UFI) - 625130 0.89 +32.84 from the downturn in better shape. he said. “We’re beginning now to see Losses for the quarter ended Jan. 31 some settling in that sentiment.” 2.96 2.25 Zale (ZLC) - 1255087 2.81 +26.58 tallied $202.8 million after a $326.6 mil- Tim Belk, chairman and chief exec- lion pretax charge for goodwill impair- utive officer and a member of the third ment, which accountants use to register generation of Belks to run the firm, 3.49 2.75 Stein Mart (SMRT) - 255217 3.41 +23.10 the intangible assets of acquisitions. said, “We responded to declining sales In recent years, Belk bought a string of with an aggressive focus on managing 1.90 1.46 Crocs (CROX) - 4506850 1.77 +21.23 chains, including Proffitts, McRae’s and inventories, expenses and capital ex- Parisian from Saks Inc. The quarterly penditures.” 3.85 3.85 Tefron (TFRFF) - 120 3.85 +20.31 losses compared with year-ago earnings He also expressed confidence “Belk of $85.6 million. will emerge from this period as a stron- 1.60 1.36 Glimcher (GRT) - 452265 1.60 +20.30 ger, more competitive company that can deliver profitable growth for the long term.” 4.49 3.75 Talbots (TLB) - 435731 4.33 +16.71 We continued to see For 2008, losses totaled $213 million “ and compared with year-ago earnings of 4.67 4.02 Brown Shoe (BWS) 4.8 621910 4.48 +15.76 uncertainty in terms of $95.7 million. Revenues fell 8.5 percent to $3.5 billion from $3.82 billion and were 2.63 2.30 Tween Brands (TWB) - 410514 2.57 +14.73 the consumer’s reaction down 8.7 percent on a same-store basis. Belk, which operates 307 stores in 14.43 12.49 Timberland (TBL) 16.8 665125 14.05 +14.69 to the economic news. ­ 16 Southern states, reported full-year — Steve Pernotto, Belk Inc.” results Thursday and WWD calculated fourth-quarter performance by subtract- Sales for the three months fell 9.8 per- ing results for the first nine months of cent to $1.11 billion from $1.23 billion. the year from those for the 12 months. 10 Worst Performers Steve Pernotto, executive vice presi- The Charlotte, N.C.-based firm has pub- dent of human resources, said the com- lic debt and is obliged to give regular DAILY COMPANIES P/E Volume Amt pany has cut costs and expenses and updates on its finances. High Low Last %Change

Anne Klein Sets Sights on E-commerce 0.14 0.12 Phoenix Footwear (PXG) - 3600 0.12 -25.00 By Whitney Beckett Apparel Group Inc., along with Jones Apparel Group Holdings Inc., Jones 0.70 0.43 Casual Male (CMRG) - 487889 0.55 -12.70 Anne Klein jumped into e-com- Apparel Group USA Inc., Nine West merce Thursday with a dedicated site after Footwear Corp. and Jones Retail Corp., 0.37 0.32 Charles & Colvard (CTHR) - 3600 0.36 -7.69 parent company Jones Apparel Group Inc. commenced a cash tender offer to pur- issued a tender offer for its debt. chase their outstanding 4.25 percent se- 0.93 0.77 Parlux Fragrances (PARL) - 94270 0.77 -6.10 The e-commerce site, anneklein.com, nior notes due 2009, as well as a consent features the complete Anne Klein New solicitation for those 2009 notes, the 5.125 0.73 0.68 LJ Intl (JADE) 9.0 67958 0.68 -5.42 York offerings and AK Anne Klein cloth- percent senior notes due 2014 and the ing, footwear, handbags, jewelry and watch 6.125 percent senior notes due 2034. 56.57 52.44 Chattem (CHTT) 16.2 1248530 53.00 -4.16 collections. It also celebrates the brand’s The tender offer and consent solici- history in a legacy section highlighting the tation follow Jones’ new senior secured story of founder Anne Klein and the suc- $650 million credit facility. As of Monday, 33.46 31.95 Family Dollar (FDO) 19.3 3896646 32.13 -2.55 cession of designers who followed. there was an outstanding $250 million “Anne Klein is one of the foremost principal amount of each set of notes, 8.25 7.88 LaCrosse Footwear (BOOT) 8.5 4630 8.02 -1.96 brands in women’s fashion apparel, totaling $750 million. and we are happy to make this collec- Adoption of the proposed amendments 317.25 308.00 Asos * (ASC:L) 36.2 422972 310.75 -1.66 tion even more accessible to the Anne requires the consent of holders of at least Klein consumer, who will no doubt a majority in the principal amount of the 2.94 2.90 CCA (CAW) 14.7 4300 2.92 -0.68 enjoy shopping at our new, online flag- notes outstanding. The tender offer ex- ship store,” said Ron Offir, president of pires by midnight April 29, and the con- Jones Apparel Group e-commerce. sent solicitation expires on midnight on * Editor’s note: European stocks are quoted in the currency of their principal exchanges. Shares on To mark the launch, anneklein.com is April 15. Citi has been retained to serve the London Stock Exchange are quoted in pence, Richemont and The Swatch Group are quoted in Swiss offering a chance to win a $1,000 shop- as the lead dealer manager for the tender francs and Hennes & Mauritz is quoted in Swedish kronor. All other European stocks are in euros. ping spree. offer and the lead solicitation agent for Meanwhile on Wednesday, Jones the consent solicitation. Charges Drop Harry Winston to 4th-Qtr. Loss By Alexandra Steigrad our production and sales platforms. Judge OKs Portions of A&F Suit “We now see some tentative recovery Luxury jeweler and mining in the diamond market, albeit from a re- By Matthew Lynch Abercrombie moved to have the case firm Harry Winston Diamond Corp. said duced base compared to six months ago,” dismissed in January. Thursday it swung to a loss in the fourth he said. A federal judge ruled this In a decision handed down on quarter as its retail sales sank 20.8 percent Last month, in a move that allowed the week that a former Abercrombie & March 30, Judge Richard Berman of for the period. firm to pay down its mining segment debt, Fitch sales associate could proceed the Southern District of New York dis- Weighed down by noncash goodwill Kinross said it would invest $150 million with parts of a suit against the company missed several of Burchette’s claims, impairment related to retail operations for a direct stake in Harry Winston and that the plaintiff had accused of dis- including conspiracy, constructive dis- totaling $93.8 million, or $1.53 a share, the an indirect interest in its minority hold- criminating against her because of her charge and those against her individual Toronto-based firm recorded a net loss ings in the Diavik diamond mine. hair color. store supervisors. However, Berman of $73 million, or $1.19 a diluted share, For the year, net income slid 34.1 per- In a complaint filed last year, Dulazia ruled Burchette could continue the for the quarter ended Jan. 31. For the cent to $70.1 million, or $1.15 a share, Burchette, who worked at the retailer’s action on her claims of race discrimi- same quarter last year, the company had from $106.4 million, or $1.81 a share, last New York flagship on Fifth Avenue, al- nation, retaliation and a hostile work a profit of $90.4 million, or $1.54 a share. year. Revenue slid 10.3 percent to $609.2 leged supervisors told her to re-dye environment. Net sales fell 37.1 percent to $118.4 mil- million from $679.3 million, as net sales blonde highlights in her hair because The judge also allowed Burchette’s lion from $188.2 million last year while in the retail segment grew 5.8 percent to they did not look natural. Burchette, who attorneys to continue to pursue evi- retail sales dropped to $67.3 million from $281 million from $265.5 million. is African-American, said a manager dence that Abercrombie & Fitch Co. $85 million. Excluding the effect of inventories on told her she should “have the hair color chairman and chief executive officer “Credit is the vascular system of the hand prior to the acquisition of the retail she was born with.” In the complaint, Mike Jeffries could be named as a de- diamond industry,” said chairman and operation, gross margin in the retail seg- Burchette alleged that “white-Caucasian fendant in the case. In an amended chief executive officer Robert Gannicott. ment declined to 49.4 percent of sales in sales associates were not targeted for complaint filed in December, Burchette “Its rapid decline last October shocked 2008 from 50.3 percent in the prior year, scrutiny for their hair color….” alleged Jeffries is the chief architect of the diamond supply chain to a sudden reflecting a reduction in higher-margin The former sales associate left the company’s look policy. standstill that persisted into this year.” sales in Japan, among other factors. the store of her own accord in June An Abercrombie representative said The firm’s response, he noted, has been Strong sales in the Middle East, 2008 after about nine months of em- the company had no comment on the to reduce capital spending and operating Russia and the rest of Asia helped offset ployment. ruling. costs “without jeopardizing the future of weakness in Japan. WWD, FRIDAY, APRIL 3, 2009 15 WWD.COM MEMO PAD RUSSIAN ARCH: Christian Dior is the latest cease publishing a print edition and shift French luxury brand to get a prestigious the focus to its online operation. Dennis museum showcase in Russia. Moscow’s Publishing said Thursday the final print Museé d’Art Moderne will host “Christian edition of the U.K. men’s title, which Dior, 60 Years of Photography,” which opens launched in 1995, would be June. Dennis to the public today and runs through May said it planned to bolster the editorial 10 during the sixth International Festival of team at Maxim.co.uk, and chief executive Moscow. Admission is 250 rubles, or about James Tye said, “The future of the brand $7.40. The history of the French fashion in the U.K. is online.” house is told through 120 images by the A spokeswoman for Dennis told WWD likes of Henry Clarke, Erwin Blumenfeld, on Thursday that the U.S. edition of the Patrick Demarchelier, Zanna and Simon magazine, which is operated by Alpha Proctor. Dior also plans to showcase recent Media Inc., would remain in print. That works by Chinese artists, including Quentin The scene at the Christian Dior show in Moscow in 1959; a poster for a Christian show. edition has been successful from the Shih, who shot models wearing couture get-go, with a monthly circulation of 2.5 juxtaposed with workaday landscapes. While clothes merchandise and exhibitions each month. Participants million. Dennis will now be the sole importer of the U.S. by the founding couturier and John Galliano get the for the first month — in tandem with the manga-themed Maxim in the U.K., supplying copies to newsstands and lion’s share of attention, there are also Guido Mocafico July issue — include Takashi Murakami, Chanel, Fendi, subscribers. still lifes of fine jewelry by Victoire de Castellane Loewe, Martin Margiela and Walter van Beirendonck. The spokeswoman said the decision to switch to and Nan Goldin images featuring Dior Homme men’s Kawakubo is charged with designing the space, and online was a reactive one. “We did this in answer to wear by Kris Van Assche. As reported, Dior plans to envisions a clash of energies from various designers and consumer demand — we found our readers were more open new boutiques this year in Saint Petersburg and artists. The Vogue Nippon shop is slated to stay open engaged with the online edition than with the print Ekatrinaburg. — Miles Socha until fall. The Aoyama shop was recently a showcase for one…and we need to go where the consumers are Kawakubo’s collaboration on leather goods with Louis going,” she said. PAPER CHASE: Rei Kawakubo is collaborating with Vuitton. — M.S. The U.K. Web site launched in 1999 and has another surprising partner for her rotating “event” shop 500,000 unique users a month and 260,000 in Tokyo’s Aoyama district: Vogue Nippon. On May 28, MAXIM MOVES ONLINE: Following the digital trail of subscribers to its weekly e-mail newsletter. The print Comme des Garçons and the fashion title will open a publications such as the Seattle Post-Intelligencer and version’s monthly circulation was 46,000, according to shop to mark Vogue Nippon’s 10th anniversary, billed the Christian Science Monitor, the British edition of the latest Audit Bureau of Circulations figures, compared as a magazine you can walk into — with a new theme, Maxim — one of Britain’s pioneering “lad mags” — will with its peak of 328,000 in 2000. — Samantha Conti

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SALES EXECUTIVE We are interested in Established Company is seeking a PATTERNS, SAMPLES, DESIGNER, LOFT sales/account executive to support current Buying Surplus Fabrics & Stock PRODUCTIONS business & future growth. The candidate lots irrespective of quantity. Contact must have 2-4 years of consumer product us: 646.642.3002 / [email protected] All lines, Any styles. Fine Fast Service. Call Sherry 212-719-0622. PR DIRECTOR, ANN TAYLOR ACCOUNT EXECUTIVE and/or retail experience, strong analytical Results oriented Sr. Sales Account Exec- skills and organizational skills, excellent utive sought to drive and develop our communication skills, and be located PATTERNS, SAMPLES, At Ann Taylor, we recognize that talented associates are a great competitive high end retail account openings. in the New York City area. Key responsi- advantage. We strive to match individual talents to the right role to create Luxury Department store experience bilities will be communication w/ internal PRODUCTIONS a perfect fit. We are currently hiring for a Director, Public Relations for Ann required. Position based in Manhattan personnel, Walmart personnel, and a Full service shop to the trade. w/ 25% travel. Tremendous opportunity to heavy business analytics. Email resume Fine fast work. 212-869-2699. Taylor Stores as well as Designers for both Ann Taylor Stores and LOFT. develop & drive the business. Fax or email in Word format to: Sales [email protected] Spaces resume & cover letter to: (315)364-8075 You may learn more and apply online at : [email protected] www.anntaylorcareers.com DIRECTOR OF SALES SALESPERSON COMMERCIAL Int’l fashion designer seeks Sales Dir. Designer look, costume jewelry is seek- with min 10 years exp. Must have Int’l ing a competent salesperson. Salary+ REAL ESTATE experience + est’d relationships with comm. Email: [email protected] Stephan & Co. - Product Development Manager top dept. + specialty stores. Send Major NYC Fashion Jewelry company needs Prod Development Manager resume to: [email protected] •Min 5 years experience in Fashion Jewelry product development •Experience & capable of travel overseas to source & work w/ factories HANDBAG/ACCESSORY SALES REP SALESPERSON WANTED Award-winning designer lingerie •Good understanding of customer profile, creative & able to spot new trends Major NYC Accessory Company Seeks brand requires multiple line sales rep Experienced Bookkeeper •Excellent leadership skill to oversee & direct design dept Exp’d Salesperson with Relationships to cover East Coast accounts. Strong Major NYC Accessory Co. seeking •Good people skill; work well w/ sales people to develop product suitable servicing Dept/Mid-Tier/Mass Retail- specialty store & high end department bookkeeper w/knowledge & experi- ers. Opp to sell globally recognized store base required. Regular travel Showrooms & Lofts ence in wholesale accessory business, for each customer brands into the US Market. Huge op- BWAY 7TH AVE SIDE STREETS across East Coast is very large part of role. import documents, A/R and A/P. •Detailed and thorough in project follow-up w/ factories portunity to create a $10M+ business Email resume: [email protected] Great ’New’ Office Space Avail Accounting Software Proficiency a in this category. Base Salary + Comm. ADAMS & CO. 212-679-5500 MUST. [email protected] Qualified candidates send resume to: [email protected] email: [email protected] SALES-SWEATERS HAT SALES REP Vertical sweater co. seeks sales pro for Contemporary Hat Manufacturer, Junior & Missy Sweaters. Must have Christys’ Crown Series, seeks experienced strong contacts w/Dept. Stores, Chains, Sales Rep for Midwest, SE, and NW Majors, & Catalogs. Min 5 yrs exp. territories. Email resume to: Send resume: [email protected] [email protected]

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