PLUS: A closer look at the manufacturing woes in China’s A NEW Pearl River Delta. PAGE 6 DIRECTION LVMH HAS TAPPED THE OPENING CEREMONY DUO OF HUMBERTO LEON AND CAROL LIM AS CREATIVE DIRECTORS OF KENZO. PAGE 3

OVERSEAS EXPOSURE Kellwood Mixes It Up With Scotch & Soda

By LISA LOCKWOOD

WHEN MICHAEL KRAMER WALKED INTO SCOTCH & Soda’s fi rst U.S. store in Manhattan’s SoHo neigh- borhood, he was blown away. “I had a coronary. I was ‘Oh my God, the product is amazing,’” said Kramer, TUESDAY, JULY 12, 2011 ■ WOMEN’S WEAR DAILY ■ $3.00 president and chief executive offi cer of Kellwood Co. “I called them and they weren’t for sale, but I just WWD kept banging on their door,” he said. After six months of negotiations, an affi liate of Sun Capital Partners and Kellwood reached a deal Monday to acquire the Amsterdam-based fashion brand. “They are true designers that keep innovating,” said Kramer, noting the deal is expected to close next month. Terms of the private transaction weren’t disclosed, and the Scotch & Soda founders and man- agement team will continue in their respective roles. Kramer said Scotch & Soda’s business generates wholesale volume of 250 million euros, or $350 mil- lion at current exchange, and represents Kellwood’s biggest and fi rst international acquisition. “It’s huge and it’s hugely profi table,” Kramer said. Begun as a men’s wear label, Scotch & Soda has expanded to include a women’s collection called Maison Scotch, a boys’ collection called Scotch Shrunk, a girls’ collection called Scotch R’Belle, and its most recent venture, Amsterdams Blauw, a high- profi le denim collection. Kramer described the product as having a “cool, hip vibe.” Having previously worked at Abercrombie & Fitch and Apple, Kramer said, “I didn’t think I’d fi nd a brand I loved as much as those, and I found it.” “Scotch & Soda is one of the coolest, most sought- after brands today, and I couldn’t be more excited Rare to have them partner with the Kellwood team,” said Kramer, who has been actively building a stable of contemporary brands as he changes the complex- ion of Kellwood. After acquiring Vince in 2006, Kellwood bought Adam and Rebecca Taylor within the past year. Since acquiring these contemporary SEE PAGE 16 BirdJean Paul Gaultier, one of Paris’ proudest IN WWD TODAY peacocks, fl aunted his fi ne feathered side with his couture collection. Some looks had a dainty Bikkembergs dusting of plumes; others, like this painterly Bought PAGE 2 FASHION: bustier dress, were bright and bold. For more Designer Dirk of couture’s haute plumage, see pages 4 and 5. Bikkembergs, known for his consistent celebration of male athleticism, has sold his brand to L Zeis Excelsa. A New York Preview PAGE 8 TRADE SHOWS: A look ahead at a full plate of trade shows set for the city next week. Italian Contagion PAGE 2 FINANCIAL: Italy’s luxe sector bore the brunt of a global stock sell-off Monday, as fears over that country’s debt spooked markets. PHOTO BY GIOVANNI GIANNONI 2 WWD TUESDAY, JULY 12, 2011 Italian Luxe Stocks Battered FASHION By WWD sTaFF Bikkembergs Sells His Brand MiLan — Fears of a growing European debt crisis spread to italy and luxury stocks in dramatic fashion Monday, dragging the including fragrances. With plans to develop busi- Milan Bourse down 4 percent even as officials stepped in to cur- By Luisa Zargani ness internationally, in particular in China and tail short selling. russia, 15 stores will open by 2012 in locations until recently it was greece — which has agreed to cut back on MiLan — Belgian designer Dirk Bikkembergs such as Dubai, Moscow, Kazan, Wenzhou, andorra, spending to secure a bailout from its neighbors — that was draw- has sold his brand to Zeis Excelsa spa, the label’s naples and Bologna, among others. There are 19 ing most of the attention as Europe’s financial troubles mounted. footwear licensee. Based in italy’s shoe produc- stores in existence. On Monday, that anxiety spread to italy, where Consob, the italian tion hub of the Marche region, Zeis Excelsa plans Zeis Excelsa spa, which holds international li- market watchdog, intervened to rein in short selling, a trading to strengthen Bikkembergs’ international retail censes for samsonite footwear, and distributes the strategy that allows investors to benefit when stock prices fall. structure, focus on the brand’s women’s wear col- Harley Davidson, Merrell and sebago brands on still smarting from Friday’s unexpectedly weak reading on job lections and further develop the italian market, closed 2010 growth in the u.s., investors pushed markets down around the its licenses, aiming at dou- with consolidated sales of 111 world, with bank stocks hit particularly hard. bling revenues within three A spring look million euros, or $146.5 million as the Milan Bourse fell more than 750 points to 18,295.19, years. as per the agreement, from Dirk at average exchange rates, and the CaC 40 dropped 2.7 percent to 3,807.51 in Paris, the DaX the company takes control of Bikkembergs expects revenues of 150 mil- fell 2.3 percent to 7,230.25 in Frankfurt and the FTsE 100 de- the Dirk Bikkembergs sport Sport Couture. lion euros, or $213.7 million at clined 1.1 percent to 5,927.89 in London. On Wall street, the s&P Couture, Bikkembergs and current exchange, this year. retail index declined 1.7 percent to 545.12 and the Dow Jones Bikkembergs sport brands. a year ago, an inquiry by industrial average decreased 1.2 percent to 12,505.76. The designer will remain as italy’s tax police resulted in European fashion executives kept a wary eye on the markets. creative director of the lines. allegations that Bikkembergs “We are surely [seeing] a speculation operation,” said Massimo “This is a new important de- had evaded tax payments of Ferretti, executive chairman of aeffe spa, which produces collec- velopment step,” said Maurizio 111 million euros, or $151.7 tions for alberta Ferretti and Moschino, among others. “it is sad to Pizzuti, chairman and chief million. The designer rebutted observe that the recent past has really taught us very little.” executive officer of Zeis the allegations, calling them guido Damiani, chairman and chief executive officer of Excelsa. “When we started “shameful towards a foreign Damiani, noted the already fragile situation was worsened by the manufacturing footwear to- investor.” The investigation risk of default by countries such as greece and Portugal. gether a few years ago, friend- was focusing on two compa- “On the other hand, there are countries that have started to ship, affection and mutual es- nies: 22 srl, which produces grow again a while back and won’t stop [growing],” Damiani said. teem developed between Dirk clothing in Fossombrone, “in regards to italy, even if consumer spending remains weak, it and myself.” Pizzuti said he italy, for Bikkembergs’ brand, has stopped decreasing. i don’t think italy is at risk and that the plans to preserve the brand’s and Luxembourg-based iFF short sales will end soon.” “italian character of produc- sarl, the distributor of the ianonni

shares of Marcolin spa fell 7.6 percent to 4.48 euros, or $6.38 tion.” Consolidated revenues G brand’s products.

at current exchange, as aeffe dropped 6 percent to 1.14 euros, of the Bikkembergs brands anni The authorities alleged V or $1.62; Tod’s spa fell 5.4 percent to 88.25 euros, or $125.75; today are about 100 million io the Bikkembergs organiza- G salvatore Ferragamo spa dropped 4.7 percent to 10.10 euros, or euros, or $141.5 million at Y tion is in italy and that rev- $14.39; Damiani decreased 3.3 percent to 1.05 euros, or $1.50, and current exchange, excluding enues were redirected to hoto b safilo group fell 4.6 percent to 9.26 euros, or $13.20. licenses for underwear, eye- P Luxembourg instead of being a luxury goods analyst who requested anonymity said the sec- wear and children’s wear. declared and taxed in italy. tor is being heavily penalized because of its high volatility. “This Bikkembergs was one of the antwerp six, an The designer’s lawyer, Francesco giuliani, said at reaction is to be expected as this segment magnifies the movements influential group of designers from Belgium’s the time, “Our position is that the authorities have of the market. However, these are also companies that are highly royal academy of Fine arts that included ann not taken into account the real situation: iFF exposed outside italy — Luxottica is one example — and for this Demeulemeester and Dries Van noten, among does not have a structured organization in italy, reason should not be too affected by italy’s penalizing trend.” others. Bikkembergs, known for his soccer-in- and they [the tax authorities] did not correctly shares of Luxottica group fell a relatively mild 1.9 percent for spired designs, launched his first men’s line in calculate the turnover of iF F, as they did not take the day to 21.90 euros, or $31.21. 1988, followed in 1993 by a women’s collection. into account the company’s costs.” The analyst said macroeconomic issues are the drivers behind since the spring 1989 season, the designer has an industry source said Bikkembergs’ fine has this kind of underperformance, which is “in no way justified by worked only with italian manufacturers. in the meantime been reduced to less than 3 mil- fundamentals” and that italy’s political problems could be one of Pizzuti said he is considering expanding lion euros, or $4.2 million, but the company was not the reasons investors are moving money out of the country. Bikkembergs’ product offer through new licenses, reachable at press time to confirm this information. in France, shares in luxury firms also slumped amid the mar- ket gloom: retail-to-luxury conglomerate PPr declined 2.4 per- cent to 123.55 euros, or $176.06; Hermès international fell 2.3 percent to 212 euros, or $302.10, and LVMH Moët Hennessy Louis Vuitton declined 2.2 percent to 124.15 euros, or $176.91. Sonia Rykiel Mulling Sale of Minority Stake Concerns about italy’s finances come as President Obama, Paris — French fashion house sonia rykiel “i know that i can go much faster and further House speaker John Boehner (r., Ohio) and other congressio- has mandated Edmond de rothschild Corporate with outside help, but i am not even at the stage nal leaders tried to hammer out an agreement to adjust the debt Finance to study the possibility of selling a minor- of contemplating whether the partner should be limit and avoid a u.s. default. ity stake in the family-owned house in order to French or international,” rykiel added. although Paul nolte, managing director of investment firm speed up its expansion, president nathalie rykiel sonia rykiel posted sales of 89.6 million euros, Dearborn Partners, shrugged off the u.s. debt talks as the usual said Monday. or $118.9 million, in 2010, roughly flat versus the political wrangling, he said concerns about italy were worrisome. “i have not taken any decision,” rykiel told previous year, she said. “italy is probably a factor of four- to six-times bigger than WWD, adding that the brand was capable of con- rykiel said she had approached Laurence greece,” nolte said. “u.s. banks are more tied to italy, as are tinuing its development without outside partners. Danon, chairman of the executive board of English banks, so it has more direct impact. greece was more “i have only just started analyzing the possibility. Edmond de rothschild Corporate Finance, be- of a german issue. We heard this morning from both Obama and i don’t know if it’s something i want to pursue, but cause of her expertise in fashion, namely through Boehner about our own deficit issue. i think investors are getting i want to develop the brand. it has huge potential, her previous post as president of department a sense that rome is burning and nero is fiddling.” in asia obviously, but elsewhere also. store chain Printemps. — Joelle DiDerich

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Photo bY MUST BE ACCOMPANIED BY A SELF-ADDRESSED STAMPED ENVELOPE. WWD TUESDAY, jUlY 12, 2011 3 WWD.COM

Carol Lim and At Kenzo, Leon and Lim will be Humberto Leon charged with rejuvenating the brand’s Syms Names fortunes with a new product offering and store environment. Expressed as retail sales, the total value Interim CFO of Kenzo-branded products, including per- fumes, is believed to be close to $1 billion. SymS Corp.’S ties with restructuring It is understood the business has ebbed and consultancy advisory firm Alvarez in Kenzo’s traditional markets, while it has & marsal are deepening. shown some buoyancy in emerging coun- According to a regulatory filing tries like russia and China, where it oper- on July 8 with the Securities and ates 12 and 15 boutiques, respectively. Exchange Commission, Syms’ in- The Kenzo businesses were acquired terim chief financial officer is Gary by LVmH in 1993 for $80.5 million. Binkoski, a senior director with A&m. roussel declined to discuss sales pro- WWD reported in may that the con- jections, but said the plan is to ramp up sulting and restructuring firm complet- Kenzo’s top-line growth in vibrant markets ed a project for marcy Syms, the firm’s like China, and to reenter the American chairman, president and chief executive market, from which Kenzo withdrew in 2003. officer, just before the firm said it was “The brand used to be bigger than it is exploring strategic options, including today,” he said in an interview at LVmH a possible sale of the public company. headquarters, where he was joined by rothschild Inc. was hired as financial Kenzo’s new ceo, Eric marechalle, who advisor to assist in that process. joined the brand last January from chil- marcy Syms and affiliated enti- dren’s wear firm The Zannier Group. ties control 55.1 percent of the com- Kenzo counts about 100 boutiques pany’s stock. worldwide, including 11 that are directly Binkoski’s predecessor was Seth operated, plus about 600 wholesale cli- Udasin. Syms said on July 8 that Udasin ents in Europe. At present, the business had resigned as senior vice president, is split roughly equally between women’s chief financial officer and chief account- and men’s. Key licensed categories in- ing officer for personal reasons. clude children’s wear, home furnishings Named as chief accounting officer and eyewear, marechalle noted. is Josephine Geiger, who became the Sardinia-based marras, known for his off-pricer’s vice president and control- transporting fashion shows and roman- ler in october 2010. She was previously tic inclinations, has been “respectful of senior vice president and controller for the heritage of the brand,” roussel said. Barneys New york from 2000 to 2010. “What we need now is something which Syms lately has been under at- has more energy, which is looking forward tack from shareholders for a number in terms of addressing a new generation.” of issues ranging from the quality of roussel said he interviewed a wide its management team to the schedul- ’’ swath of designers both young and expe- ing of its annual meeting. The annual rienced, but was struck by the “360-de- meeting, which was set for Aug. 5, has gree vision of the fashion industry” Leon since been rescheduled for July 29. and Lim possess via their multiple cre- Separately, last week the company ative collaborations. reported that, for the first quarter ended New Creative Lead at Kenzo He said he was also convinced that may 28, it logged net income of $1.5 mil- Kenzo could bring a unique offering to lion, or 10 cents a diluted share, versus born when Takada founded his namesake hot contemporary floors distinct from a loss of $809,000, or 6 cents, in the year- By mILES SoCHA house, the self-described “fashion nerds” European diffusion brands, and that ago quarter. The profit included a $6.4 insisted the Kenzo name has a legacy LVmH could leverage the experience million pretax gain on the disposition pArIS — Emblematic of the contempo- that transcends generations. it has gleaned in running the marc by of assets. Sales declined 13.2 percent to rary sector’s vitality, LVmH moët Hennessy “Whenever you come across a Kenzo marc business. “Kenzo is much closer to $105.4 million from $121.4 million a year Louis Vuitton plans to reposition its Kenzo vintage piece, you get really excited,” that universe than the couture houses in ago as same-store sales slid 12 percent. brand in the burgeoning zone — and has Leon said, mentioning actress Chloë France,” rousseau noted. Founded in 1959, Syms acquired tapped two cutting-edge merchants to lead Sevigny, a frequent opening Ceremony pricing for the new-look Kenzo yet to Filene’s Basement in a bankruptcy the way, WWD has learned. collaborator, among devotees. be finalized, but marechalle said dress- auction in 2009. — Vicki M. Young Humberto Leon and Carol Lim, the dynamic duo behind American special- ty store opening Ceremony, have been Whenever you come across a Kenzo named Kenzo’s new creative directors Macy’s Gets Fined and are slated to unveil their first effort this october for spring 2012 retailing. vintage piece, you get really excited. An official announcement is expected $750K by CPSC as early as today. — Humberto Leon WASHINGToN — The Consumer They succeed Italian designer product Safety Commission said Antonio marras, who has helmed Kenzo Lim lauded Kenzo for creating “ener- es would likely range from 200 euros to monday that macy’s Inc. has agreed to since 2004 and paraded his last collec- gy and community” around his Japanese- 1,500 euros, or $285 to $2,135. pay a $750,000 fine for failing to report tion for the French brand last month dur- flavored paris brand and store, and Classmates at the University of that it sold children’s outerwear with ing men’s fashion week here. cultivating a light-hearted, inclusive ap- California, Berkeley, Leon and Lim re- drawstrings at the neck over a four- “It’s great to bring this young, contem- proach to fashion that resonated with a located to New york following gradua- year period. porary generation into Kenzo,” said pierre- large audience. tion to pursue careers in fashion. Leon As part of the settlement, the re- yves roussel, chairman and chief execu- The pair will continue to helm the spe- worked at Gap and Burberry before he tailer, based in Cincinnati, denied the tive officer of LVmH’s fashion division, cialty chain they founded in 2002 based on joined Lim, who had work experience in CpSC staff allegations that it know- which includes the fashion houses Céline, a rotating roster of international design- finance and a stint doing merchandising ingly violated the law. Givenchy, marc Jacobs, Loewe and Emilio ers — Argentina is the theme starting in at Bally, to set up opening Ceremony on The clothing included sweatshirts, pucci. “They’re really embracing what was September — and novelty collaborations the edge of New york’s Chinatown. sweaters and jackets with drawstrings the origin of Kenzo — that Jungle spirit.” with the likes of Levi’s, rodarte and maison While not trained as designers, Lim around the neck, which the Consumer roussel was referring to Kenzo martin margiela. opening Ceremony has and Leon said they would “build an ex- product Safety Improvement Act of Takada’s landmark Jungle Jap boutique two locations in New york, one in Los citing team” of designers’’ to realize their 2008 made illegal. The CpSC’s office that enraptured paris in the Seventies with Angeles, one in Tokyo and an online store. vision for Kenzo. While Leon said he of Compliance announced in 2006 that its joyful approach to ready-to-wear, inject- There are also opening Ceremony shops in sketches ideas, “we’ve always worked in drawstrings at the neck would be re- ed with color, print and ethnic touches. Lane Crawford stores in Beijing and Hong a team community.” garded as “defective” and a “substan- While Leon and Lim, both 36 years Kong, and the company wholesales its pri- The two plan to split their time be- tial risk of injury to young children.” old and California natives, were not yet vate-label collection to about 300 doors. tween paris and New york. The agency said the clothing was sold at macy’s, Bloomingdale’s and the now-defunct robinsons-may stores. CpSC staff alleged that macy’s Warnaco in Venture to Expand India Presence knowingly sold styles from a long list of different apparel brands with draw- THE WArNACo GroUp INC. has forged a for Calvin Klein Jeans and Calvin Klein marketing India has been a great partner strings around the neck after a recall joint venture with Brand marketing India, Jeans Accessories, as well as for ck Calvin with us for nearly six years and we look had been negotiated in 2006. its current distribution partner in India, Klein branded apparel and accessories. forward to working together to replicate in Federal law requires manufactur- to market and distribute Calvin Klein “This venture is consistent with our India the success we have already achieved ers, distributors and retailers to report Underwear, Calvin Klein Jeans, Calvin global growth strategies to expand our prof- with the Calvin Klein brand in other emerg- to the CpSC within 24 hours after re- Klein Jeans Accessories and ck Calvin Klein itable international business and our direct- ing markets, such as China and Brazil.” ceiving information “reasonably sup- branded apparel and accessories in India. to-consumer footprint. India is expected to Vijay murjani, chairman and manag- porting” that a product could create a Warnaco will own 51 percent of the be a key driver of long-term growth and we ing director of Brand marketing India, hazard, unreasonable risk of serious joint venture. As a result of the deal, cer- are [pleased] to expand our direct participa- has been named managing director of the injury or death or fail to comply with tain Warnaco license agreements with tion, operations and revenues in this critical joint venture. The business, which will a consumer product safety law, regula- Calvin Klein Inc. were amended to add market,” said Joe Gromek, Warnaco’s presi- be based in mumbai, India, will employ tion or standard. — kristi ELLis India to Warnaco’s licensed territories dent and chief executive officer. “Brand about 160 associates. — Lisa Lockwood 4 WWD TUESDAY, JULY 12, 2011

Christian Dior Alexandre Vauthier

FeathersFlock — dainty, delicate, bright and exotic — tickled theto fancy of couture designersIt this season. Giambattista Valli WWD TUESDAY, JULY 12, 2011 5 WWD.COM

Valentino PARIS Couture Fall 2011

Alexis Mabille MAITRE DOMINIQUE AND GIANNONI GIOVANNI BY Chanel PHOTOS 6 WWD tuesday july 12, 2011 WWD.COM LL Love Sharron

A factory in the Guangdong province.

Photo by

The China Conundrum

A Sea Change in the Pearl River Delta While he used to be able to buy decent stacked in high-rises in guangzhou’s “three years ago, a good skilled work- By Kathleen e. Mclaughlin styles and new denim trends for 30 yuan, haizhu district. er made around 2,500 yuan ($386) per or $4.65 at current exchange, per pair’’ of in years past, the district hummed 24 month. now, wages are between 3,500 guangZhOu, china — the heady days jeans, Masajjage is finding prices up as hours a day with sewing, cutting and finish- and 4,000 ($540 and $617), but they are of endless demand and unceasing cheap much as 50 percent on this trip. Vendors ing garments bound for export. this sum- not satisfied,” said Jerry Zhang, man- production of fabric and clothing seem are asking up to 45 yuan, or $7, per item mer, workers say, companies often sit days ager of the guangzhou Baiyun caiyuan like a distant memory here in china’s for what he considers inferior products. on end without orders and have reduced garment Factory. “We had around 100 Pearl River Delta. Masagjjage’s experience is the new their staffing levels to the bare minimum. workers before, now we only have 40 to these days, factory managers and tex- norm for clothing buyers in china, and in “it’s bad all over guangzhou,” said 50 people. Workers nowadays are quite tile workers are mulling over what to do particular the Pearl River Delta, where guo. “a few factories have big orders, emotional, however we have to respect next, as production moves further inland higher costs for labor and raw materi- but not many. lots of small factories have them because sometimes recruiters are and out of china, prices rise quickly and als are pushing prices up fast. in addi- just closed down.” even more expensive than workers who demand continues to sag. tion to increasing costs on the back end, Since the economic crisis, demand are looking for jobs.” china’s manufacturing exports in continued softer demand from the u.S. from the u.S. and europe has not come those emotions have boiled over in June grew by the slowest pace in more and europe means factories have scaled back to its previous levels. at the same a series of strikes and riots in the region. than two years, adding fuel to concerns back their production lines and have less time, guangzhou has increased the Paramilitary troops are still present on the that the world’s workshop is slowing. to offer. in other words, the heartland of local minimum wage and the price of streets of Dadun village in Xintang, where china’s Purchasing Managers index china’s textile and cotton and other thousands of workers rioted for three days fell 1.1 percent to the lowest level in clothing manufac- raw materials to protest mistreatment of a pregnant mi- 28 months, according to the china turing industry is have reached all- grant woman there. Just last week, 4,000 Federation of logistics and Purchasing. in a major slump. The prices are much time highs. none workers staged a three-day strike at a it’s a puzzle that affects not only china’s “it’s really bad of this is great Korean-owned factory that makes hand- core manufacturing zone, but also far-flung right now,” said news for china’s bags for global luxury brands. it’s unclear locations around the globe. One visit to Zhan tailin, who higher and there’s no basic apparel what will happen next, but china’s low- the massive denim wholesale market in operates a trading and textile manu- wage, cheap manufacturing model appears Xintang, china’s top denim-producing city, company that rep- innovation. It’s the facturing, where to be on its way out. shows just how dependent the world has resents factories factories remain Zeng Feiyang, who runs a nongovern- become on cheap chinese clothing and in Xintang, which same old, same old. under pressure to mental organization in guangzhou for textile construction. makes more than keep their prices migrant workers, said the migrants be- Joe Masajjage, for instance, built his half the world’s — Joe MasaJJage low or lose busi- come more aware of their rights every uganda business model on reliably fash- denim. “We’re not ness to Vietnam year and the government needs to act to ion-forward denim bought for a reason- even exactly sure and other com- stave of further labor disputes. able price in china. he sells it for a 15 to why. it’s not just jeans, but there are prob- peting countries and regions. “Workers are no longer willing to ac- 20 percent markup back home, leaving just lems within the whole clothing industry.” neither the government nor industry cept the same conditions as they have in a small margin and little room for inflation. Factories both large and small concur: groups have released statistics about the the past,” said Zeng. every month, Masajjage, who sourc- these are bad times for the clothing in- number of clothing and apparel factories Ye t as difficult as these growing pains es for clothing markets in the capital of dustry in and around guangzhou, which that have closed down or moved. But a may seem, they are somewhat seam- uganda, travels to guangzhou, seeking out never quite seemed to recover from journey through guangzhou’s production lessly in line with the chinese govern- new denim trends and ordering several the global economic downturn of 2008. zone shows clearly that the industry is ment’s larger plans: to move away from thousand pieces per visit. this summer, Factory owners and workers here say the changing, and moving away. basic manufacturing and instead create things aren’t going as planned — he’s had boom times of 2005-06 seem far away and inflation has created problems for the and produce value-added products. the to extend his excursion and dig deeper into not likely to return. workforce, typically made up of migrant chinese government has an ambitious china’s denim production zone. “this year is especially bad. there workers from far-flung provinces, who plan to become an economy based on “i can get things, but i have to look a lot are no orders and we’re not really sure used to work for little money and expect innovation rather than base manufac- harder and spend a lot more time,” he said. what the problem is,” said guo haiying, even less by way of rights and fairness. turing by 2020. the biggest change and “the prices are much higher and there’s no a worker in a one of the many hundreds those’’ days are long gone, however, as perhaps hardest transition begins here innovation. it’s the same old, same old.” of small textile and apparel factories migrants’ expectations continue to rise. in guangzhou.

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booth B30 Argenti Seterie B25 Biebarzaghi-SGAT Gruppo Barzaghi B1 Bottonificio B.A.P./Corozite B36 Carlo Pozzi & C. B32 Efilan B47 Erica Industria Tessile B70 Fantasie Tricot Unipersonale B4 Franco Gaspari B13 Frizza B71 Full Fashion by Rotary Textile B60 Lanificio Campore A10 Lanificio F.lli Bacci B61 Lanificio Nova Fides A4 Lanificio Subalpino A11 Lanificio Tessilstrona B14 Limonta B67 Maglificio Moderno 2 Emme B75 Marco Lagattolla B51 Miroglio Textile B17 Olmetex B76 Passamaneria Italiana A6 Picchi B50 Pizval A3 Puro Tessuto A1 Reda B74 Ricamificio Gimar B34 Serates B2 Simona B Collection's B55 T.E.S.J. Div. Duca Visconti di Modrone B68 Target Photo by: Luca Serena B32 Texapel for more information about Italian Textiles, contact: [email protected] A2 Vitale Barberis Canonico Italian Trade Commission - 33 East 67th Street, New York, NY 10065 - tel. 212.980.1500 fax. 212.758.1050 8 WWD tuesday, july 12, 2011 WWD.COM textiles

N.Y. Fabric Shows Todd & Duncan will show at Offer Timely Forum Spin Expo. holding strong and is concentrated in the “Over the past’’ few shows, we’ve defi- been added to the mix, said Karine Van By ARTHUR FRIEDMAN Lenzing Innovation Pavilion. Attendance nitely seen an increase in exhibitors from Tassel, founder and organizer of the fair. across the three shows, set for a three- North America, which supports the need “We have more groups from Europe NEW YORK — In today’s quickly evolv- day run starting July 19 at the Jacob K. for additional sourcing in this region with and more large groups from Asia,” Van ing world of global sourcing, where once- Javits Convention Center, is expected spinners, knitters and garment makers Tassel said. “We also have a number of stable aspects such as cotton prices and to reach 6,000. D’Archangelo said there from this hemisphere,” said Tricia Carey, knitwear manufacturers because we re- manufacturing in China have become un- seems to be more enthusiasm this season merchandising manger, USA, for Lenzing’s alize there is a demand in America for certain, apparel and textile executives are as the show approaches, despite contin- Textile Fibers Business Unit. “Texolinni, manufacturing. Since in Asia most of the looking for answers to lots of complicated ued concerns over raw material prices. a vertical knitter based in Los Angeles, companies are vertically integrated, from questions as they set their purchasing and “Retail has been trending quite well is joining the Lenzing pavilion for the fiber to garment manufacturing, we think production plans for upcoming seasons. and I hope that will translate into more first time, and Tuscarora Yarns, a spin- this is a good opportunity.” They’ll be looking for the best country buying, but I definitely think it will trans- ner based in North Carolina, is exhibiting She noted new exhibitors at the show’s from which to buy their fabric and produce late into more conversation and more re- again and recently announced the expan- third edition in New York are coming their clothing, try to figure out what blends lationships,” she said. “I think it’s really a sion of its plant in China Grove, N.C.” from places such as India, Turkey, South will be most cost-effective and accepted moment for blends, and more people talk- Africa and Afghanistan. The show has by the consumer, and how to find the best ing about investing early in raw materials.” been operating in Shanghai for 10 years. factory for large lots or short runs. Many She noted that in the January “I think it’s a good moment for this of these companies are likely to seek out Texworld USA attendee survey, 27 per- We’ve definitely kind of show,” Van Tassel said. “Contrary answers, make new connections, and scout cent of respondents selected fabric to what everybody is talking about, I find for fresh products and approaches next trade shows as their primary means of that even though the costs of all types of week at a full course of trade shows here. material sourcing. Texworld also asked seen an increase fibers have risen, this has resulted in the Texworld USA is preparing for its big- from which countries would attendees exhibitors putting a lot of new ideas in gest show ever, according to Alexandra like to see more exhibitors. The results: in exhibitors from their products and in the development of d’Archangelo, marketing manager for “Number one, we still see China, and their collections. They realize they have New York Textile Shows for Messe number two is the U.S. domestic resourc- North America, which to find solutions to stick to their prices, Frankfurt Inc., which produces Texworld, es. We’re also seeing more participation using more creativity.” along with the co-located International from India and Pakistan.” supports the need for She said with China experiencing in- Apparel Sourcing Show and Home The International Apparel Sourcing creases in manufacturing costs, there is Textiles Sourcing Expo. Show’s presence will be maintained from a return to more production in Europe “For first-time Texworld USA ex- last year, with about 105 to 110 exhibitors. additional sourcing in and the U.S. She said companies “are hibitors, their participation is often D’Archangelo said the show is getting also realizing that it is important not just their entry point to the U.S. market,” more attention from apparel export pro- this region. to look for the lowest prices, but to put d’Archangelo said. “First-time exhibi- motion associations and consular offices. your production in places you can rely tors are on a fact-finding mission to learn Messe Frankfurt recently formed a part- — Tricia carey, on, that can do large quantities, that are about how U.S. companies buy, as well nership with MFG.com, a global online Lenzing Fibers reliable, and in many cases that means as their expectations regarding products marketplace for manufacturers looking to coming back home to manufacture.” and terms. Repeat Texworld USA exhibi- source textiles and machinery. Attendees Carey noted that Santanderina, a pre- Andrew Olah, president of Olah Inc., tors tell us that one of their main objec- will be made aware of MFG.com’s involve- miere weaver based in Spain, will show which produces the Kingpins boutique tives is to meet new buyers at the show.” ment during the registration process and its Tencel denim and chino fabrics, join- denim show, set for July 19 and 20 at Exhibitor participation at Texworld will be offered a trial subscription. ing mills in Lenzing’s pavilion from else- Skyline Studios on West 36th Street, said USA is up 12 percent over the July 2010 Lenzing Fibers Inc. is hosting the where in Europe and North America, as the volatility in the sector is high. edition to 317 exhibitors, d’Archangelo Lenzing Innovation Pavilion at Texworld well as Asia. “The biggest issue is definitely the cot- said, with notable increases from Turkey USA, with 35 apparel and two home exhibi- Lenzing’s Tencel cellulosic fiber is ton situation,” Olah said. “Prices are 100 and India. U.S. exhibitor participation is tors, as well as the Lenzing Seminar Series. often blended with cotton and has benefit- percent higher than a year ago, there’s ted from cotton’s steep rise a drought in Texas and flooding in the in prices over the last year, Delta area and some people believe Carey said. ’’ She noted that we’ve not seen the end of high cotton Lenzing had a record 45.8 per- prices. It’s very difficult for the custom- cent sales increase in the first ers planning long-term with their mar- quarter to 532.1 million euros, gins. At the show, people get a chance to or about $775 million, which it talk to a lot of people from a lot of dif- credited to “dynamic expan- ferent countries, people who are experts sion of fiber production ca- in what they are doing, and so when you pacities, the continuing strong walk away from the show, you have heard demand for Lenzing fibers, as a lot of different perspectives on what is well as significantly higher coming, and I think that’s really healthy.” fiber sales prices.” Kingpins, now in its seventh year, Spin Expo will run Texworld USA is set Among Lenzing’s im- will have 33 or 34 vendors, which would July 18 to 20. for July 19 to 21. portant marketing topics make it the largest so far. Olah noted for the show, Carey noted, that exhibitors run the gamut from fiber are Tencel C and Expo-Tex. companies, such as sponsors Invista and Tencel C contains oceanic FiberMax, to chemical companies, fabric Première micro particles called chi- mills and garment manufacturers. Vision tosan, which is made from Serving as an appetizer to next Preview New crab shells. When directly in week’s main course of sourcing shows is York opens touch with the skin, the fiber Première Vision Preview New York, run- Wednesday. is said to provide a cell-re- ning Wednesday and Thursday at the newing effect, while also act- Metropolitan Pavilion & Altman Building, ing as a moisturizer and skin featuring fall 2012 fabric and accessories col- protector. Lenzing is working lections from some of the world’s top mills. with a group of vendors to A key fair where designers come for a introduce it into the supply first taste of seasonal fabric trends, this chain. Expo-Tex is an online edition of Première Vision New York re- s trade forum aimed at pro- bounds to 102 exhibitors from 15 countries DODD

moting textile networking. — a 12 percent increase from a year ago l

At Spin Expo, which runs and the most since the world financial cri- AU p

for three days starting July 18 sis began in 2008, according to organizers by

at the Metropolitan Pavilion — with 15 new to the show and 10 return- OTO & Altman Building on West ing after several sessions. This season, 18th Street, a global array of alongside the core women’s offering of yarn firms will be represented noble knits, high-performance fabrics and among the 85 or so exhibitors, high-end novelties, men’s wear fabrics are

while many more knitters have enhanced with 20 suiting specialists. TODD & DUNCAN ph Lenzing AG, A-4860 Lenzing, Austria LENZING INNOVATION

Country Company Country Company

ChINA handan Sunman Textile co., SPAIN Textil Santanderina

Bofine Textile Co., Ltd. Dress Bed Solutions

Fujian Shishi Dingsheng Trade Co., Ltd. TAIWAN Be Mode Textile Co., Ltd.

huafu Top Dyed Melange Yarn Co., Ltd. DJIC Ltd.

Jiangsu Kunfeng Textile (MFG) Co., Ltd. TAIWAN Labtex Co., Ltd.

Mozartex Co., Ltd. handseltex Ind Corp

Zhejiang Meidefeng Trading Co. Ltd. Jet Goal

hK Bros holding Limited Learned Winner Enterprises Co., Ltd.

INDIA Pallavaa Winfultex Co., Ltd.

Mercury Knits USA Buhler Quality Yarns

ITALY Miroglio Textile Tuscarora Yarns Inc.

JAPAN Toyoshima SG Knits Inc

KorEA Visionland Co. Ltd. FesslerUSA/

hong In Enterprises Co., Ltd. Mosgen Global Apparel Manufacturing

JK Tex Co., Ltd. Jh Textiles Inc.

Woosung Dyetech Co., Ltd. Mansfield Textiles Inc.

Yoonia Tex Co., Ltd. Texollini Inc.

Pang rim Co., Ltd. Laguna Fabrics/ Enviro

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Lenzing Innovation at Texworld USA, July 19th - 21th Jacob Javits Center 655 West 34th Street New York, NY, USA http://lenzinginnovation.lenzing.com 10 WWD tuesday, july 12, 2011 textiles Dealing With the Dollar’s Depreciation lates to an increase in apparel prices, but so far cloth- adding that luxury retailers may fare better as their By ALEXANDRA STEIGRAD ing companies have struggled to pass on higher import consumers are less impacted by price hikes. “But really, costs in the face of feeble consumer spending and in- the best hedge is a strong brand.” DESIGNER ALEXANDRA OwEN has had a singular come growth. Experts agreed that while wall Street has already obsession since starting her company in 2005: con- “Most apparel retailers can’t pass along increas- priced same-store sales and margin erosion into structing beautiful, complexly tailored, structural es in currency…[but] they are already trying to earnings, the wild card is how Europe will deal with ready-to-wear. pass on raw material costs,” said the debt crisis and how the U.S. But tumultuous economic times, compounded by cur- Christian Callieri, a principal at government will handle the debt rency volatility within the last year, has directed some A . T. Kearney’s consumer and retail ceiling issue. of that focus toward maintaining margins without sacri- practice. Sara Johnson, IHS Global Insight ficing the quality of her namesake label’s garments. One way to lessen the damage senior research director, said even “As we are based in New Zealand, the weaken- done by fluctuating currency is to More though the euro is anticipated to ing U.S. dollar has meant our dollar has soared to hedge, a tactic that can help apparel “rise modestly” this year as the new heights, buying up to 83 cents per U.S. dollar, as firms compensate for any shifts in Key European Central Bank raises its opposed to 53 cents five years ago,” Owen said. “This relative value of the currency type. policy rate, sovereign debt problems means exporting to the U.S. has become harder, with “Any period of increasing volatil- Issues could push the currency lower by our pricing sitting higher through the conversion rate.” ity forces the conversation of hedg- next spring. In addItIon to the currency U.S. dollar depreciation, combined with the rising ing,” said Kurt Salmon retail strat- “Outsourcing could be ‘near- cost of commodities, has forced apparel companies to egist Bruce Cohen, explaining that conundrum, the Industry Is sourcing,’” said Standard & Poor’s consider using alternative fabrics like viscose and cot- companies today hedge not to make focusIng on topIcs such as: senior economist Beth Ann Bovino, ton blends and new generation polyesters in order to a profit, but to create some “predict- who explained that a weak dollar minimize the impact of the volatility. ability” in their financials. ■ High cotton prices. means that export growth would “The price of silk has more than doubled in the But this is just a short-term fix. ■ Asian labor costs. likely strengthen in North America space of a single season,” said Owen, adding that on what is paramount is having a di- and pull some manufacturing away ■ the flip side, “if the U.S. dollar gets too low, product be- versified portfolio of sourcing part- Fabric blends and sustainability. from foreign suppliers, making U.S.- comes more expensive for us to import.” ners, flexibility with vendors, strong ■ Production strategies. manufactured goods more competi- In the past year, the U.S. dollar has fallen by about inventory management and having tive in overseas markets. 13 percent against a basket of major currencies, most business abroad, experts said. “we’re not going to see a tidal of which are European, according to Raymond Attrill, The international route isn’t wave of business coming back to senior FX strategist at BNP Paribas, who noted that easy, as most brands entering foreign markets will have the United States,” said Kurt Salmon’s Cohen, who against the many Asian emerging market currencies, major growing pains as they acclimate to a new retail noted that “some small items will find their way back the dollar has only shed 5 percent. scene, said Scott Tuhy, Moody’s Investor Service’s vice into the U.S. [production],” but the “swell of oppor- Higher raw material prices, elevated transporta- president and senior analyst. tunity” will really be in South and Central America, tion costs and the rising cost of labor in China trans- “Consumers are OK at best, right now,” said Tuhy, India and in North Africa.

TM WWD TUESDAY, JULY 12, 2011 11 A star of 42nd Street. WWD.COM

FOR MORE THINGS TO DO, SEE WWD.com.

PICTURE PERFECT grown wholesome alternative to the city’s A free screening of the documentary “Mad Hot frozen yogurt scene. Fans have been lining Ballroom” will be held on the lawn near Tavern up for cups of salted caramel topped with on the Green Wednesday night. The fi lms of honeycomb candy from Brooklyn’s Liddabit cartoonist Jules Feiffer will run through Sunday Sweets. Noontime and early evening are the at the World Financial Center and an exhibit best times to snag a window seat or grab the of his drawings are up through Aug. 14. Jack bench out front to savor a rose petal or orange Nicholson fans can catch “One Flew Over the blossom vanilla cone. Cuckoo’s Nest” July 20 in Bryant Park. During Coolhaus Ice Cream’s two trucks are more the work week, lunch goers there can appreciate of a moving target, but the company also has the greenery as a pianist performs on the park’s an outpost at the High Line near 29th Street. Summer in the City upper terrace. Madison Square Park offers free Sugar fi ends will soon be able to fi nd the Rem evening readings such as Thursday’s about the Koolhaas-inspired all-natural delicacies at a PHOTO BY SHEN HONG/XINHUA/XINHUA PRESS/CORBIS SHEN HONG/XINHUA/XINHUA PHOTO BY prizewinning poet Elizabeth Bishop. Those who cart outside the Museum of Natural History. want to envision nature in the comfort of air- Calorie counters might opt for watermelon and professionals are encouraged to share their conditioning can listen to verse at Poets House juice from Organic Avenue’s Upper East side By ROSEMARY FEITELBERG handiwork with the American Museum of Natural at 10 River Terrace. Chinese artist Ai Weiwei’s shop or three locations downtown through History’s Manhattanhenge group on Flickr. “Circle of Animals/Zodiac Heads” is on display in Labor Day. A fi fth shop will open at 10 Fifth IT’S NOT EXACTLY “Green Acres,” but New the Pulitzer Fountain in Central Park. Snapshots Avenue later this month. And matcha tea York City is giving visitors and city dwellers PARK LIFE of Tompkins Square Park and other remnants lovers will fi nd their favorite libation in the plenty of reasons to get outdoors this summer. The city’s marvelous array of parks and cultural from his New York days are up at the Asia form of a Green Hornet at Jack’s Coffee’s two From catching a Shakespearean niches are chock full of activities this month. Society at 725 Park Avenue through Aug. 14. downtown locations at 138 West 10th Street performance in the park to sipping organic The Metropolitan Opera is park-hopping this and 10 Front Street. watermelon juice-infused cocktails on a month with its Summer Recital Series. Soprano SWEET REWARDS rooftop bar, Gotham is ripe for the taking. Angela Meade will perform Wednesday night The Brooklyn Flea’s new outdoor Here, a sampling of homegrown things to see at Brooklyn Bridge Park, and Layla Claire will food market, Smorgasburg, Coolhaus Ice Cream’s Rem and do for out-of-towners or locals attending do the honors July 28 in Manhattan’s Jackie brings together New York farmers Koolhaas-inspired specialties. the spate of fabric and sourcing trade shows in Robinson Park. The New York Classical Theatre and a sundry of food purveyors town the next two weeks. is staging “Henry V” in Battery Park and on to the Williamsburg waterfront Governors Island through July 24. Uptown in every Saturday. Meant to MANHATTANHENGE Central Park, theatergoers can catch “All’s Well enhance the eat-local movement, Central Park is a prime spot for stargazing, but That Ends Well” or “Measure for Measure,” 100-plus vendors sell affordable Midtown is the place to be Wednesday night provided they don’t mind queueing up for free treats such as Speedy Romeo’s at 8:25 p.m. to catch Manhattanhenge. This tickets the day of the shows. hand-pulled mozzarella and visual spectacle arrives when the setting sun The High Line Section 2 is worth a wander, Nana’s chocolate-covered aligns just so with the island’s street grid, casting and not just for the fragrant plantings and cool frozen bananas. a radiant glow of light across Manhattan’s breezes. Sarah Sze’s elaborate architectural Back in Manhattan, Victory skyscrapers north and south of every cross sculpture and Julianne Swartz’s sound Garden, Sophia Britton’s quaint street. Photographers should make their way installation are among the artistic features new West Village shop at 31

to 42nd Street for optimal shooting. Amateurs found there. Carmine Street, offers a locally JULIE RUBEN PHOTO BY 12 WWD tuesday, july 12, 2011 WWD.COM Johnny Was Reaps Retail Benefits

By Rachel BRown afteR neaRly a quarter-century of wholesaling casual Bohemian chic appar- el, Johnny was has branched into retail. the los angeles-based company tested the retail waters last year with a 1,440-square-foot store opened in august at the renovated Santa Monica Place. convinced by the success of that location, which bested the shopping center’s roughly $1,000 sales per square foot annual average by at least $200, Johnny was decided to open a second, 1,500-square-foot shop on June 26 at lifestyle center the Grove in a prime spot

previously occupied by M. fredric. Styles on Anne Coughlin Johnny was hatched retail plans about Johnny Was plans to open display at by two years ago, when founder and owner three to five stores a year. Johnny Was.

eli levite signed on catherine nation, Photos who was executive vice president of re- tail and marketing at Betsey Johnson of whom have checked out the revamped shirting, is from $200 to $300; Pëtë & Grëta, for a well-traveled woman,” said levite. when it grew from three to 45 stores, as Santa Monica Place. nation estimated the only nonembroidered label in the finds from flea markets — like various Johnny was’ executive retail director. about half of store patrons haven’t heard of Johnny was fleet, is $44 to $295, and Biya, sizes of glass and metal vessels filled with a third Johnny was store is expected to Johnny was before entering. and she noted the most expensive label with extensive flowers, and worn suitcases, birdcages open before the holiday shopping season, the store is exposing Johnny was, which has embroidery, is from $200 to $800. and shoes — decorate tables and shelves. and three to five more stores annually typically been bought by women 30-years- Biya Ramar designs Biya, Johnny was colorful scarves hang on clotheslines from are anticipated in the coming years. old and above, to younger customers. “our collection and Pëtë & Grëta; theresa the exposed ceiling. the store is awash in Johnny was’ retail strategy is to put collection has become better because of the Mcallen designs 3J workshop and deep brown hues with the extensive use of stores in busy locations such as classa malls store. It gives us a lab to see what’s selling Jwla, and christy whitley designs 4 reclaimed wood and stained metal, which or major retail thoroughfares, and concen- or not selling,” said levite, who pointed out love and liberty. covers the wall behind the cash wrap. trate first on the west coast. “you have that 100 pieces of a $196 poplin cargo pant Johnny was produces 100 new styles a Johnny was has 3,000 wholesale accounts much more chances for success if you are from Johnny was’ label Pëtë & Grëta sold in month across its six brands, enabling it in the U.S. and 400 overseas, with corporate in a well-trafficked area than if you are a the store in one month. to refresh store merchandise every week. showrooms nationwide and sales agents pioneer in an off location,” saidn ation. “he In Johnny was at Santa Monica Place, tops constitute 76 percent of the Santa across australia, europe, the Middle east [levite] doesn’t want to be in a B location. there are 300-plus styles on display be- Monica Place store’s volume. Dresses are and Japan. Industry sources estimate the he wants to make a statement.” Speaking tween six brands. Johnny was collection, the next largest category. a small compo- company’s annual revenues at $50 million. of the Grove location, levite said, “they the embroidery-driven mainstay of the nent of Johnny was currently, nation be- levite said Johnny was has registered year- say 16 million people come to the Grove. 16 business, runs roughly from $140 to $320 lieves accessories is a category that can over-year wholesale sales growth of 20 per- million people will see our brands.” at retail, while the romantic 4 love and be built up. washed leather handbags are cent and that about 15 percent of sales are levite and nation stressed retail is rais- liberty is from $108 to $400. available at the store for $187 to $280. international. Retail has “had a very posi- ing awareness of Johnny was with shoppers t-shirt heavy Jwla is from $130 to $280; the Santa Monica Place store was tive impact on the wholesale business,” said and potential wholesale customers, many 3J workshop, a feminine twist on men’s imagined as a “cute apartment loft studio levite. “we are opening more accounts.”

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FaLL sessiON – shopping, anywhere: the Growth of m-commerce – social media strategies: Facebook & beyond – e-commerce and the Future of Online shopping – mobile marketing: your message on the Go – bloggers, information sharing and the influence of Digital culture

For information contact Marne Friedman at 212.630.4379 or [email protected]

sponsored by: OUI OUI, FIFI: Models strutted their stuff at Fifi Chachnil’s presentation at the Crazy Horse in Paris. WWD STYLE PAGE 15 MEMO PAD

CHANNEL CHECK: The digital prophets of doom for the weeklies might need to revise their timetable. Weekly magazines posted decent gains in advertising pages during the fi rst half of this year. The one exception being Newsweek, which dropped 27 percent to 319 ad pages, according Lady in to Publishers Information Bureau. During the fi rst quarter, ad pages for Newsweek fell 31 percent, but looking ahead, there is some good news for Tina Brown’s work- in-progress: For July, paging is Waiting projected to be even for the fi rst time in a year, with 55 pages. Alice St. Clair (or Lady Alice St. Clair Erskine, if For the half, New York won out in total ad pages, at 1,242, which you want to be formal about it) caused a minor was up 6 percent. Time posted stir when word got out that she’d be playing a rise of 8 percent to 667 and Kate Middleton for the Hallmark Channel. WWD Bloomberg BusinessWeek was just behind, up 16 percent to 666 pages. caught up with the burgeoning actress to chat The New Yorker’s pages jumped class dynamics. For more, see page 14. 5 percent to 533 and The Week posted a gain of 20 percent, to 369 pages. — AMY WICKS

VOGUE PROMOTIONS: Vogue has promoted Rickie De Sole to senior accessories editor. She succeeds Filipa Fino, who left the magazine last month and started her own consultancy. Leith Speer Barton, executive assistant to Anna Wintour, has been moved into De Sole’s old position of accessories editor. — A.W.

RIHANNA FOR ARMANI: Giorgio Armani’s fascination with perfectly sculptured bodies continues. After the likes of Victoria and David Beckham, Cristiano Ronaldo and Megan Fox, the designer has tapped Rihanna to front the fall-winter 2011-2012 Emporio Armani Underwear and Armani Jeans ad campaigns. The Grammy Award winner, whose has sold more than 20 million records worldwide — and whose steamy videos culminated recently in her take on S&M — was shot on location in New York by Steven Klein (no slouch himself in the steamy image department). The campaign will launch in September worldwide. — ALESSANDRA ILARI

Rihanna STEVE EICHNER

PHOTO BY JENNA GREENE PHOTO BY 14 WWD Tuesday, july 12, 2011 Teleplay Alice St. Clair Princess Alice St. clAir doeS not reAlly look anything like kate Middleton. they are both creamily skinned, slender brunettes who speak with a posh British accent, but there the physical similarities end. on an early summer afternoon in the air-conditioned garden of new york’s Bowery Hotel, St. clair sports well-kohled eyes, a pixie-cut crop of chestnut hair, and a worn denim jacket slung over her sundress and black tights. She evokes a sort of brunette twiggy in worn, white keds, a far cry from the preppie princess who’s spent the better part of the month winning over the north American continent. the lack of a physical connection notwithstanding, the 23-year-old St. clair is cutting her teeth in her first film role as the recently crowned duchess of cambridge, in “William & catherine: A royal REENE romance,” set to air on the Hallmark channel in the g U.S. on Aug. 27. (not to be confused with the already a ENN aired lifetime tV movie “William & kate.”) j BY “it’s like i only recently really realized this could be a real profession for me,” says St. clair, who studied at the new york conservatory for dramatic Arts after PHOTO a prep school education in england, as she slides a public. ironically, her involvement in the movie is research, about where she grew up and that kind of black leather briefcase off her love seat and pushes something of a looking-glass version of Middleton’s own stuff, but with regards to mimicking her or getting a dog-eared script down within its folds. Aside from social ascension. Here’s a product of the upper crust certain gestures of hers just right, i left that quickly providing the source material for her first lead role, pursuing an acting career, what some might describe behind. i wanted to capture and communicate the the recent royal nuptials have also given the young as a common trade, by playing the middle class girl essence of who she is, rather than some clown-y mime actress a quick course in the media spotlight. St. clair’s who grew up to be a princess. St. clair bristles at the act. the story is, of course, based on real events, but father, commander Peter loughborough, Seventh earl thought, and provides a quick lesson in the evolving it’s more than that too. it’s not just ripped-from-the- of rosslyn, is the head of the royalty and diplomatic British class dynamic. tabloids. it’s a love story; it’s a drama. it’s a real film.” Protection Group, and is directly in charge of the “God, well, i just don’t think it has any relevance at St. clair continues along the empathetic streak. duke and duchess of cambridge’s personal safety and all,” she scoffs. “i mean, people have said, you know, “i can only imagine what it’s really like for her, every palaces. that tidbit raised some eyebrows when ‘kate the commoner,’ and it’s such a funny thing to day,” the actress says. “She seems so born to it. She’s the production company chose his daughter as say really.… Firstly, i don’t think it matters at all just transformed so effortlessly. She looked so great, their “kate” shortly before the April wedding. what her ‘class’ is, and secondly, she was raised meeting obama a few weeks ago. She does look skinny “He’s over the moon, he’s so proud! As i’m in a very similar way to William. i mean, she though. really skinny. Maybe it’s all the pressure? i sure any father would be,” St. clair says as she eye went to top-tier private schools in her youth. i don’t know what the hell it is, but she’s tiny, and she pours a generous amount of soy milk into her iced wouldn’t call her a ‘commoner’ at all. i think it’s used to look quite...athletic? Maybe having your photo coffee. “i mean, i of course felt quite weird about it. amazing that she [Middleton] has taken on this taken all the time can make you go a bit crazy.” She’s a notoriously private person, and i…i didn’t want to role, as his wife and all that, so brilliantly. that would of course there’s the chance that her acting career do anything to put him in an awkward situation. i didn’t be enough to scare a lot of people.” could land St. clair under similar, if less extreme, lights. tell him until i got the role but he was just so proud. My As for playing kate, St. clair says she researched “i have faith that there’s a way to work in this whole family is coming over for the premiere.” Middleton for weeks before filming but that much of the industry without subjecting yourself to that type of Given her bearing, St. clair should technically be performance came from her own dramatic muscle. press,” she says. “there are so many actresses whom i addressed as lady Alice St. clair erskine, but she has “it was a lot more about my imagination in the end, really respect who don’t have up-the-skirt shots on the eschewed the formal bookends to make her moniker what she might have been like in these situations, what internet. So, yeah, fingers crossed.” more palatable to the American movie-watching she would have felt,” she says. “i did a lot of factual — ALESSANDRA CODINHA

Nicole Miller Last Tango in Parrish oVer tHe PASt yeAr, east enders Farkas, Patricia Duff, Pia Lindstrom and Nello have watched the skeleton of the new Balan. the museum’s founding partners, Parrish Art Museum building gradually including Fiona and Stanley Druckenmiller and materialize on a patch of ground Norman and Liliane Peck, among others, were adjacent to the Montauk Highway in honored for their contributions. Water Mill. on Saturday, more than 500 Sagaponack resident Ross Bleckner has of the museum’s supporters turned out been busy painting this summer, he said for its annual Midsummer Party, the last during cocktails before a seated dinner. to be held in it’s current brick home on the artist is also looking forward to the Jobs lane in Southampton. July 31 release of his book, “A3: our “i don’t see this so much as goodbye lives in the new york times,” which Dorothy Lichtenstein as a new stage in life for the Parrish,” reproduces two decades of his zealous and Terrie Sultan said Terrie Sultan, director of the museum. clippings from the newspaper of record. designed by the Swiss firm Herzog & de Former Barneys new york chief Lisa Anastos and Meuron, the new $25 million structure is Gene Pressman, now a co-chief executive Ross Bleckner slated to be completed by next summer officer at keoconnect.com, which and will nearly double the size of the operates marketing kiosks in airports, current building to 34,500 square feet. accompanied longtime friend and “the new space is very beautiful, museum trustee Ira Drukier to the benefit. very simple and very considerate of the drukier, co-founder of Bd Hotels, which art,” said gallery owner Mary Boone. operates the Mercer, Bowery, Maritime, An exhibit of Malcolm Morley’s Greenwich and Jane hotels, among photorealistic paintings will christen the others, revealed that he’s inked a deal to new building next year, the artist, who open a boutique hotel on ludlow Street lives in neighboring Bellport, disclosed. on the lower east Side. the evening, which raised more than Pressman, still a retailer at heart, $675,000, was hosted by Deborah Bancroft, half-jokingly pondered turning the Jobs WWd’s Etta Froio, Adam Sender, David Wassong lane building into a shop once the

STEVE EICHNER and Dorothy Lichtenstein — widow of roy — Parrish vacates — but noted that the

BY who greeted guests like Nicole Miller, Kathy Southampton retail scene is sleepier and Rick Hilton, decorator Geoffrey Bradfield, than the one in east Hampton.

PHOTOS Tiffany Dubin, Jean Shafiroff, Lisa Anastos, Jonathan — DAvID LIpkE WWD tuesday, july 12, 2011 15 WWD.COM lindsay lohan

to sabina taschen’s Ame Soeur label and third Fashion scoops prize to antje Pugnat for her knit collection. French-German duo Augustin Wells Fargo…MatchMaker?: She was brother,” said a bemused Stephenson, Teboul took home the gold in the Start hardly the first to raise the possibility, who’s juggling a slew of fashion projects. Your Fashion Business competition, but Wells Fargo Securities analyst On her plate currently: an E reality sponsored by Berlin’s Senate. The evren kopelman played matchmaker show that will begin tailing her next panel of experts united hands-down Monday in a research for the designing pair’s provocative but note on what a PVH carefully hand-worked collection of all- N HMA

Corp./The Warnaco black shredded and sheer looks. s I e Group Inc. marriage L F N

might look like. lIFe Is a caBaret: It was red lights and e

Think $9.3 billion in pink Champagne in the afternoon for AUR L

sales for the combined Fifi chachnil and friends on Monday for BY

company and $1.4 billion a presentation of the designer’s spring

in EBITDA in 2013 for an collection at the Crazy Horse in Paris, PHOTO acquisition in mid-2012, modeled by the cabaret’s dance troupe. making it the second Highlights included printed rompers, lohaN oUt oF coUrt: lindsay lohan’s luck largest apparel firm after Fifties-style polka-dot frocks and might be changing. A Florida federal VF Corp., which just grew signature retro frilly panties. Seated judge on Thursday dismissed a contract

larger with its planned e next to photographers Pierre et gilles, and trade secrets case, in which Lohan $2.2 billion acquisition of designer Vincent Darré said he’s been was named as defendant. The news AITR M

Timberland. e busy working on the interior of the came a week after the troubled star U

The speculation q latest Le Baron club, which is due to completed her 35-day house arrest. follows PVH’s chief open in New York’s Chinatown district Citing lack of personal jurisdiction, Judge OMINI

executive officer emanuel D in September. “The look will be 1950s Virginia hernandez covington dismissed a 2009 BY chirico’s recent comments Chinese brothel,” he said. lawsuit filed by White Wave International that PVH would begin French pop star slimy, also in the Labs Inc., which alleged that the actress eyeing acquisitions again PHOTO audience, was mulling what he’s going stole their formula for her tanning spray later in the year. to wear for his next concert at Paris’ “Sevin Nyne by Lindsay Lohan.” Warnaco has long been speculated as Fifi chachnil’s lingerie show at Paris’ crazy Maison de l’Architecture architecture The original complaint claimed that a possible target of PVH, Calvin Klein’s horse cabaret. museum on July 22. “The site used to be Lohan developed the bronzer with her owner, since it holds the license for a monastery, so I think I’m going to take business partner lorit simon, who, after Calvin Klein jeans and owns the Klein month; a style ambassador gig for the inspiration from that,” he mused. “I have obtaining samples of the plaintiff ’s underwear business. new Amazon shopping site Myhabit. this scoop-necked neoprene top that tanner, had allegedly developed a “nearly Presuming that Polo Ralph Lauren com; a fashion project for guy oseary’s looks part diver, part monk.” Chachnil, identical” formula. Aside from the lack Corp. would take back the Chaps license Rockpaperphoto.com, which sells fine who recently released a five-song CD, of personal jurisdiction, the court added under a change in control provision, the art photography online, and consulting “Mademoiselle Fifi,” performed the final that because Lohan only has indirect Wells Fargo analyst pegged an EBITDA on the upcoming launch of a women’s act of the show, meanwhile, hopping onto ownership in Lorit LLC, the company multiple of 8.8 times, or a $3 billion deal fashion line from ariana rockefeller. a swing on stage to deliver a song titled responsible for creating the tanning spray, at $70 a share, for Warnaco. “Noctambule.” she is not liable for any breach of contract. When PVH acquired Tommy eYe oN the PrIZe: Berlin’s fashion Hilfiger last year, one attraction was week was chockablock with young toUrNeaU to laUNch tNY serIes: PoWer shoPPINg: kimberly ovitz, christian its European platform. The analyst designer competitions. The Premium Tourneau will launch 12 signature siriano, Gilt Groupe’s alexis Macy Maybank, reasoned that Warnaco would be trade show selected Swiss designer timepieces in September — the first Refinery 29’s Philippe Von Borries, attractive because of its business in Marco steiner for men’s wear, duo time in two years the company is Threadless’ Jason ross and Rent The Asia and Latin America, where PVH Vonschwanenflügelpupke for silk introducing a series of its own designs. Runway’s Jennifer Fleiss will be on Capitol has less exposure. scarves and shawls, and karlotta Wilde for The TNY Collection, which will be Hill Wednesday at an all-day event to help women’s wear. available at the retailer’s 39 locations kick off Buy Young, an initiative aimed At Berlin University nationwide and range in price from at encouraging Americans to support of Art’s fashion program, $1,100 to $9,400, were designed by business started by people under the graduate laura Wollentarski Marco Borraccino and produced in age of 30. Barry Diller will be the keynote snapped up three of seven Switzerland. Offerings are available speaker at the luncheon, which will be trophies. Lauded for being in three sizes — including a hand- hosted by House Minority Whip steny “simple and extreme at the winding style, a chronograph and a hoyer. John Mccain and kirsten gillibrand are same time” by Paris-based GMT — and are comprised of materials also expected to be on hand to support designer lutz huelle, who is such as rose gold, titanium, stainless Buy Young, a campaign that has been giving Wollentarski a four- steel and a diamond-like carbon. organized by the nonprofit Our Time. week paid internship, Wollentarski’s humongous foam accessories and embellished A-line dresses also garnered her Dr. Hauschka’s 500 euro prize for sustainable fashion, and MCMULLAN PATRICK the coaching of headhunting firm FSP (Floriane de Saint For more career opportunities log on to WWDCareers.com. PHOTO BY Pierre & Associes) in Paris and Milan. Mary alice stephenson, Peter Davis and hilary For the Triumph Inspiration rhoda at love heals. Awards, the jury included photographer ellen von Unwerth and Spaces DoWN aND oUt — aND aBoUt: Real models lily cole and helena christiansen, Housewife of New York sonja Morgan who selected Hungarian designer isn’t letting her well-publicized financial Boglárka Bódis’ pale pink bodysuit COMMERCIAL woes keep her off the Hamptons party crisscrossed with fine black threads. REAL ESTATE P/T APPAREL BOOKKEEPER PATTERN/SAMPLES New start-up fashion house needs a circuit. The bankrupt, blonde divorcée The 125-year-old lingerie company Garment center location. Professional part-time bookkeeper to follow up on hit the Empire State Pride Agenda tea will produce a commercial version /Reliable Quality. Men & women all style. Accounts receivables & payables. Flexi- Low Cost. Small production. 212-563-3331 ble hours. Please forward resume & refer- dance benefit, the Parrish Art Museum of the winning design, to be sold at ences to: [email protected] gala and Love Heals at Luna Farm, all selected Triumph boutiques and on Saturday. “At the end of the day, you department stores. Showrooms & Lofts BWAY 7TH AVE SIDE STREETS have your friends, your family and your Peek & Cloppenburg-sponsored Great ’New’ Office Space Avail fashion,” said Morgan of her televised Designer for Tomorrow brought ADAMS & CO. 212-679-5500 money meltdown. “I bought this dress in Marc Jacobs as patron and jury Fully Equipped Showroom at Intermix and it was half off, with president for this year’s competition. With Office. Available to Share another 40 percent off, so basically it The winner, , a in Garment Center, on 7th Ave alexandra kiesel Call Kamal@ 609-651-2454 cell was free.” graduate of Berlin’s Weissensee Also at the Coney Island-themed School of Art, showed modular Love Heals — which raised more color-blocked separates with power than $300,000 for the Alison Gertz shoulders. She gets a long-term Foundation for AIDS Education — sponsorship program at the German was fellow “housewife” cindy Barshop, specialty store chain and a runway russell simmons, chris and cristina cuomo, show in Berlin next January. designer Miguelina gambaccini, Cinema Another Weissensee graduate, hoai Society’s andrew saffir and hosts Mary alice huong Vo Ngoc, was crowned with the stephenson, Peter Davis and hilary rhoda, top 10,000-euro prize for innovation who brought along boyfriend sean avery in fashion by the Confederation of the of the New York Rangers. German Textile and Fashion Industry (800) 423-3314, or email [email protected] “I got asked out by a 24-year-old. for her Berlin-based label Concis’ I told him my son could use an older refined, draped looks. Second prize went 16 WWD TUESDAY, JULY 12, 2011 WWD.COM

FASHION

Kellwood Acquires Scotch & Soda Leiber Names {Continued from page one} brands, Kellwood has helped them expand A Scotch & Soda boutique Jana Matheson

their retail network, update their Web pres- in Amsterdam. ence, pursue additional categories and ex- pand internationally. Kramer said Kellwood Creative Director is still negotiating to acquire Catherine Malandrino, as reported, and is close to By RACHEL STRUGATZ three other deals, as well. “We plan to look at more international’’ brands,” he added. NEW YORK — Judith Leiber Kramer has often said that his acquisi- has appointed Jana Matheson tion strategy targets fi rms with annual vol- creative director. ume between $200 million and $300 million, Matheson joined the com- as well as smaller fi rms that have strong pany in a consultant capacity in growth prospects in the $100 million-plus September, but in her new role, range. Kellwood’s other brands include BLK she will have a hand in every DNM (designed by Johan Lindeberg), Baby aspect in the creative direc- Phat, Phat Farm, Sag Harbor, Briggs, as well tion of the brand — including ad as licensed brands XOXO and David Meister. campaigns, developing strategy Discussing the appeal of Scotch & for new categories, e-commerce Soda, Kramer said: “I think there’s a lot and licensed product extensions of brand fatigue out there. In the contem- spanning eyewear, jewelry and porary market, if you’re a teenager, or if FELIX L. STECK fragrance. you’re twentysomething or thirtysome- “It’s a continuation of my

thing, it’s all the same brands out there. PHOTO BY vision to reinvent and repo- sition the brand. It’s such a and said that he’s not just looking to acquire unique brand — it’s so hard brands, but to acquire creative talent. to find someone that can just In the contemporary market, if you’re a teenager, “I just won’t buy a brand for the founder step in and understand it,” said to cash out and go do something else,” said Judith Leiber’s president Mary or if you’re twentysomething or thirtysomething, Kramer. “We usually have an earn-out pe- Gleason. “The thing that I love riod where the proceeds of their business most about Jana is that she came it’s all the same brands out there. are paid over three years or fi ve years. I in and studied the heritage of want them long-term,” he said. He said an- the brand, studied what Mrs. other incentive is: “They can take some of Leiber had done so well.” — MICHAEL KRAMER, KELLWOOD CO. their personal wealth off the table and still Gleason said that Matheson’s run the company as if it’s their own.” fi rst collection for spring 2011, I’ve always been on the lookout for brands percent increases a year. “They knew at Sun Capital Partners, a private equity as well the upcoming pre-fall which speak to that customer and have a some point they’d outgrow their capabili- fi rm, acquired then-public Kellwood in and fall collections, are a nod to strong DNA and great design.” ties,” he said. Scotch & Soda currently has February 2008 for $762 million. The game the brand’s heritage, taking what Kramer said he hopes to use more than 30 of its own stores worldwide plan is for Kellwood to reach a point Leiber has done and making it a Kellwood’s retail and e-commerce ex- and more than 7,000 other points-of-sale. where it would go public again. little more modern and relevant pertise to help Scotch & Soda build their It also has an online presence with a Web Atlas Advisors acted as lead finan- for today’s woman. brand internationally. Scotch & Soda is store, blog and social media strategy. Its cial advisor to Scotch & Soda, along with “[Jana’s work] is really a re- distributed throughout Europe, and is just only U.S. store is located at 273 Lafayette Marvin Traub Associates acting as stra- fl ection of her moving the brand now starting to grow outside of Europe, Street in SoHo. tegic advisor, with additional financial into the next decades. I can see particularly in the U.S. and China. The In a recent interview, Kramer gave his advice from Boer & Croon. Allen & Overy us being around for another 50 company has experienced more than 40 strategy for acquiring contemporary’’ brands, served as legal advisors. years,” Gleason said. OBITUARY Daphne Guinness will receive a a Fashion Provocateur award. Lou Lattimore Owner Albert Lidji After Egypt nationalized Jewish-owned By HOLLY HABER property in 1948, Lidji emigrated to New York with his wife, Nicole Cohenca Lidji, in 1951. DALLAS — Albert Lidji, who owned and oper- They swiftly moved to Dallas at the urging of ated the Lou Lattimore designer specialty store Sol Dreyfuss, founder and owner of the his- here for 40 years, died June 16 at Walnut Place toric Dallas department store Dreyfuss & Son, hospice from complications from a stroke, ac- who persuaded him that Dallas was an open

STEVE EICHNER cording to his son, Craig Lidji. He was 89. and welcoming place, Craig Lidji said. Lidji’s With his eye for fashion, gentlemanly charm fi rst job was selling mattresses downtown at and dapper style, Lidji built Lou Lattimore into Tiche-Goettinger department store. PHOTO BY one of Dallas’ most prestigious women’s bou- In 1952, Lidji and two partners acquired a floun- tiques until fi nancial pressures forced its clo- dering dress shop called Lou Lattimore on Lovers sure in December 1991. Lane in what was then FGI Casts Night of Stars He was among the the outskirts of the city. NEW YORK — On Oct. 27, the Fashion Group International will stage first retailers to buy He quickly bought out its annual Night of Stars gala, and this year’s Superstar Award honor from Giorgio Armani, Lidji was among the the other investors in the will go to Stephen I. Sadove for Saks Fifth Avenue. Carolina Herrera, store, which was named Sadove is president and chief executive officer of Saks. Franco Moschino, for its founder Louise The retailer is joining a list of previous recipients of the award, Stephen Sprouse and first retailers to buy Lattimore, a former buyer which includes Karl Lagerfeld, Donna Karan, Giorgio Armani, Jean Paul Gaultier. for Neiman Marcus. Valentino, Tom Ford and the Lauder family. He also carried a from Giorgio Armani, Lidji was able to pick “With this year’s theme, ‘The Luminaries,’ Fashion Group has selected wealth of other de- up another retailer’s individuals and companies who refl ect the very defi nition of the word lu- signer labels, includ- Carolina Herrera, Norman Norell order minary,” FGI president Margaret Hayes said. “Each of our honorees are ing Karl Lagerfeld, in 1966, launching Lou clearly brilliant achievers and stars. Steve Sadove’s leadership at Saks Thierry Mugler, Diane Lattimore into designer Fifth Avenue has transformed the company into a retailing superstar.” von Furstenberg and Franco Moschino, labels. He began im- The event’s Star honorees include Raf Simons, Giambattista Valli Christian Dior. porting from Europe in and Kate and Laura Mulleavy for Rodarte in the fashion category; It helped that Lidji, Stephen Sprouse and the Seventies, and the François Nars in beauty, and Julianne Moore in entertainment. who enjoyed a privi- store expanded to 13,000 Daphne Guinness, who raised quite a few eyebrows last year when she leged childhood and Jean Paul Gaultier. square feet and 56 em- showed up at the gala in a sheer top that left little to the imagina- early career in Cairo, ployees. tion, will receive a Fashion Provocateur award. Andrew Rosen will spoke seven languages Lidji divorced in 1980 pick up the night’s Corporate Leadership Award, while Lauren Bush and “was very at ease and the following year will be bestowed the Humanitarian Award. FGI is also honoring Wanda in the European market,” Craig Lidji noted. married Martha Gaylord, who survives him. Ferragamo with the Board of Directors Legend Award. Lidji was born into a Sephardic Jewish fam- Like a number of designer boutiques nation- Simon Doonan will reprise his role as host of the evening, which ily that owned Maison Gattegno home furnish- wide in the early Nineties, Lou Lattimore fell will take place at Cipriani at 55 Wall Street, and Ruben Toledo will ings and gift store in Cairo. As a teenager, he victim to economic pressures and retail con- once again provide the artwork for the awards. Lord & Taylor is the suggested that the retailer add women’s ready solidation. It closed in 1991, whereupon Lidji event’s lead sponsor, while Givaudan, Arcade Marketing and InStyle to wear, becoming the fi rst to bring French fash- joined the sales team at Saks Fifth Avenue and serve as participating sponsors. — MARC KARIMZADEH ion to the city, according to Craig Lidji. later Neiman Marcus. He retired in 2002.