• Abstract and Figures
• Public Full-text

APPLAUDING ALBER UMA THURMAN AND GIAMBATTISTA VALLI WERE AMONG FERRAGAMO THOSE SALUTING ALBER ELBAZ AT BARNEYS NEW YORK ON HIS EXPANDS 10TH ANNIVERSARY AT LANVIN. ON FIFTH. PAGE 9 PAGE 12 LUXURY 101 Arnault Preaches A Long-Term View By MILES SOCHA PARIS — Fifty years from now, will people still be using WWD iPhones? Who knows, but luxury titan Bernard Arnault is certain they’ll still be sipping Dom Perignon. Addressing back-to-back shareholders’ meetings FRIDAY, APRIL 6, 2012 Q WOMEN’S WEAR DAILY Q $3.00 for LVMH Moët Hennessy Louis Vuitton and Christian Dior SA, Arnault lobbed that analogy as he discussed the importance of taking a long-term perspective in business — and innovating constantly — especially amidst foggy economic circumstances. “It is we who create the future of our business,” Arnault said in an upbeat, at times professorial ad- dress that held an audience numbering more than 1,000 rapt in a vast hall at the Carrousel du Louvre here. “It’s not what we will do today, but what we will do in 10 to 15 years.” Arnault trumpeted that 2011 was another “vintage” year for LVMH, with profits from continuing opera- tions advancing 22 percent to 5.26 billion euros, or $7.1 billion, outpacing the growth in sales, up 16 percent to 23.66 billion euros, or $32.94 billion, as reported. LVMH’s chairman and chief executive officer said he expects the good times to continue rolling, noting that business in the first quarter was better than the fourth quarter of 2011, when sales advanced 20.4 per- cent to 7.35 billion euros, or $9.92 billion. “We are relatively confident for the development of our business in 2012,” he said, flashing a graph show- ing LVMH’s stock rising 165 percent since Jan. 1, 2009, versus only 5 percent for the CAC 40. Again turning to the burgeoning Internet industry to illustrate dramatic reversals of fortune, he noted that Apple Inc., a company once on the verge of bank- ruptcy, has roared back to become one of the most highly valued companies on the planet. By compari- son, Yahoo Inc. finds its once rosy business withering, while search-engine rival Google Inc. roars ahead. Arnault reminded shareholders that LVMH, the world’s largest luxury conglomerate, grew out of a troubled textile group called Boussac that he ac- quired back in the late Eighties. France’s richest man acknowledged the debt woes SEE PAGE 2 Penney’s Cuts 900 Jobs By DAVID MOIN J.C. PENNEY CO. INC.’S REINVENTION is impact- ing its head count. About 600 associates are being let go at Penney’s Plano, Tex., headquarters, primarily in merchandising, planning and allocation and marketing, according to the company. The headquarters has 5,900 employees. On the Dot In addition, the company’s call center in Pittsburgh will shut down on July 1, affecting another Marc Jacobs is seeing spots with the launch of his newest 300 employees. The $17.3 billion, 1,100-unit chain on Thursday said women’s fragrance, Dot. Out in July in the U.S., the scent evokes the price simplification, re-merchandising on monthly the designer’s love of polka dots and adds a third pillar to his cycles, marketing and cost-cutting initiatives — all at fragrance house with Coty Prestige. For more, see page 5. the core of the four-year reinvention strategy — enabled the personnel cuts. There was no word on whether there would be personnel reductions at stores. “Often in business, companies must streamline in order to leap forward,” said Ron Johnson, Penney’s chairman and chief executive officer. “In our case, this has involved some very difficult decisions that have had an impact on many of our associates, but these changes are essential to help us achieve our long-term goals and, ultimately, grow our associate base as we grow our business.” Mike Kramer, chief operating officer, said, “We are on the cutting edge of a new approach to retail. Even this early on in our transformation, it’s clear that many of the processes required under the old busi- ness model are no longer needed. We are putting in PHOTO BY THOMAS IANNACCONE; STYLED BY AMY LOMACCHIO SEE PAGE 8 2 WWD FRIDAY, APRIL 6, 2012 WWD.COM Marciano Testimony Wraps Up THE BRIEFING BOX Gucci, but that its designs differ. of Arnold & Porter LLP, after IN TODAY’S WWD By ALEXANDRA STEIGRAD With his brother Maurice look- inspecting the placement of the ing on, Paul Marciano painstakingly logos on the photo of the clutch. NEW YORK — Before catch- detailed the evolution of the brand’s “But we asked the lady,” ing a plane to California, Guess Quattro G logo, as well as its script Marciano said. “She said it Inc. chief executive officer Paul logo, which, according to Gucci, was real.” Marciano spent several more might “confuse” consumers as it “Of course she told you that,” hours in a federal court here trying has similar trademarks. Material to the judge said with a chuckle. to clear his company’s name of al- Guess’ case is either proving it de- The matter was dropped. legations that it has been knocking veloped the design first, or demon- Despite the lighter moments, the off Gucci’s trademarks for decades. strating that other brands have used judge’s patience was running Guess attorney Daniel similar designs as well. thin as lunchtime approached. Petrocelli of O’Melveny & Myers When the topic of the square Petrocelli wrapped up his exam- LLP spent two hours question- “G” arose, Marciano, who was ination by asking why Guess hadn’t A look from ing his client about the origin of unable the previous day to prove terminated its partnership with Lanvin’s fall his brand’s designs in response that fashion house Givenchy used Marc Fisher Footwear, which, in collection EICHNER to claims made by Gucci’s legal the square “G” before both Gucci 2008, created Guess sneakers that marking Alber Elbaz’s 10 years STEVE team, which grilled Marciano and Guess, had an epiphany. Marciano said looked so similar to BY Wednesday for roughly four hours. “This morning, at the court- Gucci sneakers that he was “embar- at the label. The court case, which began house, we saw the square G on a rassed.” Guess quickly pulled those PHOTO last week, involves allegations by handbag,” an excited Marciano shoes from the market. Gucci that Guess and its exclu- said, as his lawyers displayed a “You have to put it in perspec- Luxury titan Bernard Arnault addressed back-to-back sive licensee for footwear, Marc photo of what appeared to be a tive. Marc Fisher was a new li- shareholders’ meetings for LVMH Moët Hennessy Louis Fisher Footwear, devised a “mas- logoed Givenchy clutch. censee at the time,” Marciano Vuitton and Christian Dior SA. PAGE 1 sive scheme” to knock off Gucci Gucci’s lawyer looked flus- said. “There was a learning product. Gucci is seeking $221 tered as the Guess team ex- curve…but we acted within About 600 associates are being let go at J.C. Penney’s million in damages, and a perma- plained that they had snapped weeks of a mistake.” Plano, Tex., headquarters, while its Pittsburgh call center nent injunction that would keep a photo of the purse of a woman Much of Marciano’s testimony will close on July 1, affecting another 300 jobs. PAGE 1 Guess from making and selling they met that morning. centered on the history of the goods that include its diamond- “We asked permission first,” Guess brand, its retail locations Guess chief executive officer Paul Marciano took the stand shaped logoed pattern, square said a Guess lawyer, replying to and its iconic marketing and ad- for the last time in the Gucci versus Guess trial. PAGE 2 “G” design and tri-striped motif. presiding Judge Shira Scheindlin’s vertising campaigns. Guess, which denies Gucci’s inquiry of the photo’s origin. The case was adjourned until As a growing number of beauty retailers cross the claims, said it takes “inspiration” “It’s a counterfeit,” said Monday and the trial is slated to threshold with their own proprietary skin care brands, it is from a host of brands, including Gucci’s attorney, Louis Ederer end next week. clear that this is not the time to play copycat. PAGE 4 Marc Jacobs is launching Dot, his latest women’s fragrance, which follows Daisy and Lola. PAGE 5 Arnault Touts Strong Future for LVMH Many retailers reported high-single digit or low double- PAGE 8 {Continued from page one} digit comparable-store sales gains for March. and austerity measures that con- tinue to hobble Europe’s out- This year’s finalists for the National Magazine Award’s look, but stressed that LVMH, Magazine of the Year are Esquire, New York, The New which exports roughly 80 per- Yorker, Popular Mechanics and Time. PAGE 9 cent of its production, is well- positioned to take advantage of AgustaWestland has tapped Karl Lagerfeld to design global growth, projected to tally VIP helicopters, both the interiors and exteriors. PAGE 11 4 percent this year. Just back from a trip to Cotton Incorporated is doing its own take on “A Tale of Vietnam, he marveled·· at the Two Cities” with the launch of two new television spots, capitalist nature of the commu- featuring Emmy Rossum and Camilla Belle. PAGE 11 nist nation. “French products are particularly appreciated there,” The AFL-CIO and 12 Honduran labor organization have he related, smiling broadly. petitioned the U.S.

Load more

  12

Copy Link