Pip Stars NEW YORK — They Sound Like a Harmonized Dream and Have a Penchant for Polkadot Dresses

AEFFE’S BIG IPO PUSH/3 LAUDER TO BUY OJON/3 Global Edition WWDWomen’s Wear Daily • The Retailers’TUESDAY Daily Newspaper • July 10, 2007 • $2.00 Ready-to-Wear/Textiles Pip Stars NEW YORK — They sound like a harmonized dream and have a penchant for polkadot dresses. What’s not to love about The Pipettes? Here, the British girl group opts out of their dotty uniforms in favor of the latest from holiday, photographed at Beauty Bar, New York. From left: RiotBecki in Trina Turk’s trench, Pono necklace, Steven by Steve Madden belt and Bettye Mueller shoes; Gwenno in Walter’s dress, Baccarat necklace and Staerk shoes, and Rosay in Tibi’s coat and dress and Bettye Mueller shoes. For more, see pages 6 and 7. Z; STYLED BY KIM FRIDAY Z; STYLED BY

An Era Ends: Limited Sells Flagship to Focus on Global Growth By Vicki M. Young purveyor of intimate apparel and officer, from an apparel-only fter selling the bulk of the personal care. retailer to one that generates most Acore Limited Stores division The sale of this division and of its profits and revenues from Monday to a private equity firm, the deal to sell Express, signed innerwear and beauty products. Limited Brands founder Leslie last month, complete an evolution The 44-year-old company sold H. Wexner is pursuing his plan to of the group, led by Wexner as a 75 percent stake in the firm’s remold the company into a global chairman and chief executive See Limited, Page 28 PHOTO BY TALAYA CENTENO; HAIR BY DIEGO AMERICO/DE FACTO; MAKEUP BY DEBORAH ALTIZIO/AARTIST LOFT; FASHION ASSISTANT: YELENA MORO ASSISTANT: FASHION LOFT; ALTIZIO/AARTIST DEBORAH MAKEUP BY DIEGO AMERICO/DE FACTO; CENTENO; HAIR BY TALAYA PHOTO BY 2 WWD/GLOBAL, JULY 2007 WWD.COM Takeover Talk Sparks Heavy Trading in Retail By Vicki M. Young Assoc. wrote in a research note that TJX is an attractive take- WWDTUESDAY mid continuing specula- over candidate for private equi- Ready-to-Wear/Textiles Ation, shares of Macy’s Inc. ty, and maintained his rating of and Target Corp. were again the the stock at “accumulate,” with focus of heavy trading volume a $33-a-share price target. FASHION Monday as their shares fell. Shares of TJX climbed 3.7 Dressing up The Pipettes — Gwenno, RiotBecki and Rosay — who TJX Cos. Inc. also experi- percent on Monday to close at 6 shun their navy-and-white polkadot dresses for some holiday fare. enced higher-than-usual trading $29.22. More than 8.3 million activity on the Big Board. shares were traded, compared GENERAL Macy’s has been the subject with a three-month average of After selling the bulk of Limited Stores to a private equity fi rm, Limited of takeover speculation. The lat- almost 3.4 million. Brands Inc. aims to be a global purveyor of lingerie and personal care. est rumor on Monday had buyout Target shares lost ground 1 fi rm Kohlberg Kravis Roberts & Monday, falling 2 percent to close Aeffe SpA kicked off its initial public offering Monday, seeking to jump- Co. eyeing the retailer. When at $66.72. Volume was in excess of 3 start international expansion across several of its luxury brands. Macy’s stock price fi rst began 12 million shares, versus a three- OUTERWEAR: In what is shaping up to be the year of the coat, a bevy of climbing last month, it was be- month average of 8.2 million. contemporary designers has gotten in on the outerwear action this fall. cause of rumblings that KKR, Shares of Target on Friday 10 Goldman Sachs and Providence experienced intensely high TEXTILES: Buyers attending next week’s New York textile week will Capital were preparing a buyout trading activity as 27 million 14 witness an evolution, as two major shows make a move to new venues. bid of $52 a share. shares changed hands on specu- Democrats are forging a trade policy aimed at curbing China’s currency On Friday, there were rum- lation that activist hedge fund and trade practices, and helping U.S. workers displaced by imports. blings that billionaire investor fi rm Pershing Square might fi le 21 Edward Lampert, chairman of ESL a Form 13D with the Securities TRANSIT: As fuel prices rise and brands get better at producing globally, Investments, which bailed Kmart Target’s stock fell 2 percent to close and Exchange Commission to fewer shipments are taking to the air en route to their fi nal destination. at $66.72 on Monday. 24 Holding Corp. out of bankruptcy John Hardy, founder of the namesake jewelry fi rm, has sold his stake to and later engineered the merger president Damien Dernoncourt and creative director Guy Bedarida. of Kmart and Sears, Roebuck and 27 Co., might seek to acquire the de- We believe it would be diffi cult for an partment store giant. The stock “ READY-TO-WEAR rose more than 5 percent. activist shareholder to push a sale of Designers have learned they can succeed among the masses by Shares of Macy’s on Monday 8 launching one-off collaborations or diffusion lines with chain stores. closed at $41.65, down 0.8 per- [Target’s] credit card business. cent. More than 5.6 million shares ” were traded. The three-month av- — Deborah Weinswig, Citigroup EYE erage volume is 7.1 million, but Overachievers looking to get a head start on the upcoming academic that number is skewed higher be- could not be substantiated, they force the discounter to sell its 4 year can tune in to the new dramedy “Greek” on ABC Family. cause of Friday’s trading volume fueled trading activity, par- credit card business. of almost 13 million shares. ticularly since speculation of a Citigroup Global Market’s re- Classifi ed Advertisements...... 35 KKR also was the subject private equity transaction has tail analyst, Deborah Weinswig, To e-mail reporters and editors at WWD, the address is fi rstname. of market whispers in connec- been in the market for about on Monday wrote in a research [email protected], using the individual’s name. tion with a possible deal for two months. Last month, analyst note: “We do not believe [Target] TJX Cos. Inc. While the rumors Mark Montagna of C.L. King & management is interested in WWD IS A REGISTERED TRADEMARK OF ADVANCE MAGAZINE PUBLISHERS INC. COPYRIGHT selling the credit card busi- ©2007 FAIRCHILD FASHION GROUP. ALL RIGHTS RESERVED. PRINTED IN THE U.S.A. VOLUME 194, NO. 6. WWD (ISSN 0149–5380) is published daily (except Saturdays, Sundays and holidays, with one ness, as they believe it helps additional issue in January and November, two additional issues in March, May, June, August and December, and three fuel growth of core retail op- additional issues in February, April, September and October) by Fairchild Fashion Group, which is a division of Advance erations. Given Target’s recent Magazine Publishers Inc. PRINCIPAL OFFICE: 750 Third Avenue, New York, NY 10017. Shared Services provided by strong performance, we believe Condé Nast Publications: S. I. Newhouse, Jr., Chairman; Charles H. Townsend, President/CEO; John W. 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● LYRIC JEANS PARTNERS WITH IDOL: Lyric Jeans Inc., makers of Lyric Culture, the rock ’n’ roll apparel and accessories line, has inked a licensing deal with FremantleMedia, co-producer and licensor for “American Idol,” to create Lyrix by Lyric Culture, a branded junior and girls’ apparel collection for department stores and midtier and mass market retailers. The line will launch in February in conjunction with the next season of the Fox TV show. The collection will include tops, jackets, bottoms and dresses in denim, twill and knits, with price points ranging from $10 to $40 retail. “The idea is to enable girls to feel like they are a rock star or an ‘American Idol,’” said Lyric president Hanna Rochelle Schmieder. Not all the pieces LA LAME, Leading Manufacturers of Stretch Fabrics will feature song lyrics. Some will include “American Idol” im- presents agery and others will feature songs performed on the show and An Innovative New Collection of Knitted and Woven Fabrics singles performed by the winners. and Trims Made in Europe, USA and Asia ● Moldable Spacers • Microfibers • Textures • Metallics • Laces In Allovers and Galoons MOVADO MOVE: Colleen Caslin has been named vice Deluster, Foil, Glitter, Flock, Embossed and Puff Prints on: president of public relations at Movado. She succeeds Jill Tricots,Tulles, Chiffons, Denims,Twills and Sateens Golden, who left in February to pursue a career in p.r. at Novelty Elastic Trims: Metallics, Reflective, Ruffles, Crochets and Rhinestones not-for-profit organizations. Caslin was chief operating and chief marketing officer at Graff. Earlier, she held marketing Please Contact Glen Schneer,Vice President [email protected] • www.lalame.com and management positions at Seaman Schepps, Asprey & Garrard, Chaumet and Tiffany & Co. Caslin will oversee the firm’s p.r. team in New York and report to Mary Leach, chief LALAME, Inc. 132 W.36th St., 11th Fl. New York, NY 10018 • Tel: 212.921.9770 • Fax: 212.302.4359 marketing officer. WWD/GLOBAL, JULY 2007 3 WWD.COM Aeffe IPO Ushers In Next Stage for Company

By Amanda Kaiser next 10 years through a new franchising agreement with In May, Aeffe said its fi rst-quarter net profi t rose Hembly International Holding Ltd. 77.3 percent to 5 million euros, or $6.6 million. Double- MILAN — Aeffe SpA kicked off its initial public offering ● Leveraging the know-how at Pollini to better de- digit sales increases in ready-to-wear, and accessories Monday, seeking to jump-start international expansion velop accessories for Alberta Ferretti. pushed revenue up 12 percent to 87.1 million euros, or across several of its luxury brands. Massimo Ferretti said Aeffe is going public because $114.1 million. The Aeffe offer ends a dry spell of several years for the company wants to raise its worldwide pro- Aeffe general manager and chief fi nancial fashion IPOs in Italy and may serve as an industry bell- fi le, cut debt and have the fi nancial leverage offi cer Marcello Tassinari said Monday that wether, gauging investors’ appetites for luxury goods to make acquisitions. the company expects to post full-year sales and fashion ahead of more potential IPOs. Several com- “All of these things lead us to a single goal, growth in line with that of the fi rst quarter. He panies, including Prada SpA, Gianni Versace SpA and which is to become an increasingly important specifi ed that spring-summer wholesale or- Salvatore Ferragamo SpA are contemplating going player within the world’s market for luxury ders rose 16 percent and those for fall-winter public. Jeweler Damiani SpA is next in line to list in goods,” Ferretti said. are up 12 percent. Milan. It is waiting for the green light from Italian Aeffe is offering as many as 34.8 mil- Tassinari also said Aeffe’s profi t margins stock market regulator Consob. lion shares. There is an option for a for the coming years should benefi t as the Aeffe is selling as much as 37.26 percent of its maximum of another 5.2 million shares company grows and becomes more effi cient in capital in the IPO, which runs through July 18. in case of heavy demand. The price terms of production cycles. The offer price range gives the company a range runs from 4.1 euros, or $5.60, Executives said Aeffe should continue to theoretical market capitalization between a share to 5.4 euros, or $7.40, a register annual sales growth of between 10 and 440.23 million euros, or $599.42 million share. The defi nitive price will 12 percent over the next three years. Last year, at current exchange, and 579.82 million be established July 18, the last the company’s revenue advanced 10.1 percent euros, or $789.48 million. day of the offering. to 275.1 million euros, or $346.6 million at av- Company chairman Massimo Ferretti Aeffe shares will start trad- erage exchange for the period. They also fore- said Monday that Aeffe will use the funds ing on the Milan stock exchange cast that the company’s gross operating margin generated to fuel future growth, espe- July 24. Aeffe is listing on the would come in at about 16 percent of sales this cially in areas such as accessories and STAR segment, which targets year, rising to 20 percent in 2009. beauty. Ferretti and his sister, designer A fall-winter Moschino bag. smaller companies with a mar- Moschino is the group’s largest brand by Alberta Ferretti, control 100 percent of ket capitalization of less than 1 far, accounting for 43.4 percent of Aeffe’s fi rst- the company, which owns the Alberta Ferretti, Moschino billion euros, or $1.36 billion. quarter sales. Alberta Ferretti generated 22.2 and Pollini labels. Aeffe also manufactures and distrib- If demand is brisk and the offer is fully percent of the total and Pollini made up 17.3 utes collections for Jean Paul Gaultier through a licens- subscribed at the maximum price, Aeffe’s percent of sales. Jean Paul Gaultier accounted ing pact. IPO could generate as much as 187.92 million for 10.3 percent. Speaking at a news conference to begin Aeffe’s road euros, or $255.87 million. The greenshoe over- A look from Alberta Wholesale sales comprise most of the busi- show, Massimo Ferretti said the company has several allotment option would contribute a further Ferretti. ness. In full-year 2006, they rose 10.3 percent projects in the pipeline, including: 28.08 million euros, or $38.23 million. to comprise 70.3 percent of Aeffe’s revenue. ● New Alberta Ferretti stores in New York and Los Mediobanca and Merrill Lynch Retail sales advanced 16.2 percent last year to Angeles. International are coordinating the offer. account for 24.9 percent of the total. ● Licensing deals for eyewear and fragrances for Gianluca Pacini, an analyst with Intesa SanPaolo, Aeffe has a network of 149 monobrand stores, of Alberta Ferretti. said the lower part of the IPO price range is reasonable which 75 are directly owned and 74 are run through ● New Moschino stores in Paris, Madrid and New in terms of Aeffe’s fi nancial forecasts. franchising agreements. The company plans to open Yo r k . “I would not pay more than 4.55 euros [or $6.20] per about eight to 10 directly operated stores and 55 fran- ● Opening 40 Moschino stores in China during the share,” he said. chised stores over the next fi ve years, executives said. Lauder in Deal for Hair Care Firm Ojon Fashion Scoops By Julie Naughton consistent with ancestral practices. The ingredients, largely palm oil and cacao, are then sent to Originitalia, NO SHOWS FOR UNDER-16 BUNCH: Teen models should NEW YORK — The Estée Lauder Cos. Inc. announced a factory in northern Italy, where they are purifi ed and be prepared for slim pickings come the London shows Monday that it has entered into an agreement to pur- blended into Ojon products. The program has estab- in September. According to British press reports, one of chase Ojon, the privately held hair care company lished thousands of jobs for local workers, said Simioni. the recommendations in London’s Model Health Inquiry’s based in Ontario, Canada. Ojon’s key product is the aforementioned hair oil, interim report, set for release Wednesday, will be to ban The deal is expected to be completed this month. which retails for $55 for an approximately six-month models under 16 from walking in shows at London Fashion Terms were not disclosed. supply. Recently, the company has expanded into skin Week. A spokeswoman for the British Fashion Council, who The company’s founder, Denis care. In late 2006, Ojon also intro- set up the inquiry, declined to comment but said that the Simioni, will remain president duced the Rare Harvest Tawaka BFC had “always recommended that designers don’t use of Ojon, and will report to Philip collection, a three stockkeeping- models under 16 in their shows.” Shearer, who is a group presi- BEAUTY BEAT unit skin and hair care treatment The inquiry was set up in March, after Madrid dent of the Estée Lauder Cos. line based on a “wild-crafted Fashion Week in September banned models with a body Shearer said he plans to keep blend” of natural ingredients har- mass index of less than 18, and the Milan Chamber of the company’s existing manage- vested in the Honduran rainforest. Commerce in December introduced licenses to verify ment team and headquarters in In the U.S., Ojon is sold in up- models’ age and health. The fi nal report is to be presented Canada, and will continue to oper- scale specialty store distribution, in September ahead of the London shows, and the BFC ate Ojon as a standalone business. including Nordstrom, Sephora spokeswoman said it was up to the BFC how the panel’s However, Lauder will appoint a and Ulta, as well as on QVC and recommendations were enforced. Panel members include general manager to the brand. As in about 300 high-end salons. The designers Giles Deacon and Betty Jackson, model agent well, Ojon is expected to maintain company is also in talks to bring Sarah Doukas and physician Adrienne Kay, clinical director its relationship with its current the brand to Neiman Marcus, said of the Eating Disorders Unit at London’s Priory Hospital. manufacturer, Originitalia. Byron Donics, president and chief Simioni, who formerly ran an executive offi cer of HTI Collection, PRADA ad agency and worked with hair who has helped Ojon establish its AUCTION: companies such as Wella, founded Philip Shearer and William Lauder with distribution network. Ojon is also Prada Monday Ojon and incorporated it in 2003 Denis Simioni and his wife, Silvana. in limited international distribu- launched its after discovering a “miracle” hair tion, including Canada, Liberty in fi rst on-line oil produced by the Tawira Indians. The tribe, which the U.K. and selected doors in Australia and Japan. “It’s auction of 24 lives on land straddling Nicaragua and Honduras, true that a lot of hair care business is done in the mass prototypes of has a name which translates in English as “people of market, and that’s where you have the color business, a dresses, skirts, beautiful hair,” said Simioni. Ojon is the name of the lot of styling products and basic hair care,” said Shearer. bags and shoes tree that produces the oil-bearing nut. “But this is more. This is a line which is unique; being from the fall- “My wife tried it, and she had color-treated, dry, brit- in prestige distribution enables us to tell a unique story. winter 2007 tle hair,” Simioni recalled, adding that his wife’s grand- And the basic [retail] model is evolving. Consumers are collection. Prada will auction 24 unique pieces. mother procured the original jar. “We saw an immediate a lot more fl exible in the ways that they look at things, However, difference in her hair.” Intrigued, Simioni headed down including where products are distributed.” the items were to Central America to meet the makers of the product. “I As well, Shearer sees the Ojon acquisition as the never produced in the colors, fabrics and materials that was given a canoe and told to paddle until I saw people “start of a long line of interesting ingredient stories, with are being auctioned. Pieces will be auctioned three at who weren’t wearing hats — they’re the only tribe in the items that are sustainable and benefi cial to the consum- a time each Monday, Wednesday and Friday until July region that doesn’t,” he said, laughing. “Five hours later, er. Hair is the start, but we can and will go further.” 25. Online users will have seven days to bid on an item I found them — and they did have amazing hair.” One While none of the executives would discuss cur- before bidding closes. Profi ts will benefi t one of Italy’s thing led to another, and Simioni partnered with the rent sales or fi ve-year goals, industry sources esti- main institutions for clinical medical research and care, Mosquitia Pawisa Agency for the Development of the mated that Ojon currently does about $40 million in the Fondazione San Raffaele. The project was created Honduras Mosquitia (MOPAWI Organization), a local wholesale sales yearly, and that that fi gure could eas- with AMO, Rem Koolhaas’ think tank. The company said non-profi t group that works on behalf of indigenous ily double within the next few years. However, each in a statement that it was “devised to communicate” communities in the region. Through its contract with addition will be carefully considered, said Shearer. with Prada customers, who will also be able to “playfully MOPAWI, Ojon purchases wild-crafted palm nut oil and “We have to make sure that we always respect the interact with the brand, feature an image of themselves other ingredients from thousands of Tawira producers, branding, and that we stay at the upper end of the and promote their own addresses.” who collect the ingredients in a hand-crafted process price spectrum,” he said. For more Scoops, see page 31 4 WWD/GLOBAL, JULY 2007 WWD.COM Color Eleanor Ylvisaker in 3.1 Phillip Lim. Blind For some, longer days and rising temperatures are a time to break out the brights. But at a slew of early summer fetes, the fashion fl ock proved a black-and-white palette can be a chic formula for hot-weather urban dressing. Fernanda Niven and Allison Sarofi m looked to eyelet and broderie anglaise detailing, respectively, to punch up their monochromatic ensembles. Diane von Furstenberg, Jennifer Creel and Helena Christensen used metallic accessories in shades of silver and pale gold to add sparkle and shine. Others — perhaps taking a cue from the checkerboard fl oor of that ubiquitous Gramercy party spot — chose to mix black and white to stylish effect. Witness Tory Burch’s sleek and slick pencil skirt combo. After all, not everyone has it as easy as the Olsens when it comes to choosing sides.

Jennifer Diane von Creel Furstenberg Erin Helena Fetherston Christensen Fernanda Niven

Ashley Olsen in the Row with sister Mary-Kate in Elizabeth Allison and James. Saroﬁ m in Tory Burch and Oscar de Marina Rust la Renta.

WORLD VIEW: Prior to “Greek,” Grammer had just fi nished a six-month Spencer stint on the soap opera “As the World Turns,” in which she played Dr. Grammer as Lucy Montgomery. A 23-year-old seems awfully green to be practicing Casey in medicine, even fi ctionally — a fact not lost on Grammer. “I went through “Greek.” Rush Hour an accelerated program,” she laughs. “It was a challenge for me, being chool may be out for summer, but overachievers looking to get a so young. And you know, you always end up killing somebody, so people Shead start on the upcoming academic year can tune into the new hate you, even if it’s an accident.” dramedy “Greek,” the fi rst episode of which premiered Monday night on ABC Family. Set at fi ctional Cyprus-Rhodes University, the hour-long CLOSET ENCOUNTERS: Grammer has happily traded in her scrubs for the show follows the dormitory hijinks, romantic prepped-out duds she sports as sorority powerhouse Casey. Her 15-hour- entanglements and hard-partying pursuits plus shooting schedule leaves the dress lover little time to indulge in of a group of quirky students, many of shopping excursions (she has a soft spot for Diane von Furstenberg). So whom belong, as the show’s title suggests, she uses the “Greek” closet for last-minute wardrobe crises. “Sometimes to a fraternity or sorority. At the center of this I’ll borrow stuff for an audition,” she admits. Such forays don’t come social vortex is blonde Zeta Beta Zeta member Casey, played by Spencer without their perils, however. “But then I feel weird wearing the clothes Grammer. Equal parts perkiness, ambition and sarcasm, Casey proves I wore on the show. What if somebody saw me and they were, like, ‘You a more complex character than the average airhead sorority girl. And were wearing that outfi t in the last episode’ and I’d have to be, like, ‘No Grammer — daughter of Kelsey and a self-described “total dork” who I wasn’t….I don’t know what you’re talking about.’” loves the Discovery Channel — turns out to be no ordinary famous progeny. FATHER KNOWS BEST: Though she’s treading her own thespian path, Grammer BLOOD TIES: Born and raised in Los Angeles, Grammer always had has certainly benefi ted from some kindly counsel from dad. “He always used ambitions to perform, what with her actor father and Broadway dancer to say that in an audition you should give them a moment of truth. I try to mother (Doreen Alderman, Kelsey’s fi rst wife, whom he divorced in apply that to my acting career now. I mean, I always want to be truthful to 1990). Grammer attended the Los Angeles County High School for the Arts and is eight the character, no matter what I do. Sometimes it might be the wrong choice, but I hope that it’s classes shy of completing her theater major at Marymount Manhattan College. But her fi rst honest.” Grammer will be taking another piece of fatherly advice when she heads off on vacation in acting endeavor came much earlier, at the age of eight, when she starred as “a glorifi ed extra” August after “Greek” wraps. “My dad always says it’s really important that you take care of yourself,” on an episode of “Cheers.” “It really wasn’t like I said anything,” she explains. “I just sat on she says. “Sometimes you just have to take the time or you go crazy or have, like, drug problems.” this chair and licked my lips like you do when you’re a kid.” — Vanessa Lawrence CHRISTENSEN, BURCH/RUST AND CREEL PHOTOS BY KRISTEN SOMODY; DVF BY ZACK SECKLER; DVF BY KRISTEN SOMODY; AND CREEL PHOTOS BY CHRISTENSEN, BURCH/RUST TRUEBLOOD ABC FAMILY/JAIMIE BY STEVE EICHNER; GRAMMER INFGOFF; ALL OTHERS BY OLSENS BY Ed, cover your bottom line, sign with MOL and be on time!

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Atlanta 678-855-7700  Chicago 630-592-7300  Edison 732-512-5200 www.MOLpower.com Long Beach 562-983-6200  Seattle 206-444-6900 6 WWD/GLOBAL, JULY 2007 Girly Power NEW YORK — The Pipettes’ navy-and-white polkadot dresses smell really awful. The olfactory-offending frocks, which singers Gwenno, RiotBecki and Rosay have been wearing onstage nightly during a mini tour of the U.S., are in fact so pungent that the ladies refuse to take them out of their bags for this shoot, politely sparing the crew. The Pipettes are rarely, if ever, seen in anything but polkadots, and the dresses — each performer has only one, and doing laundry is inconvenient on a tour bus — are their instant identifiers. Today, however, the women are keen to give their signature looks a reprieve in favor of the latest from holiday. The Brighton, England-based trio’s old-school — or, pardon us, golden-oldie school — songs and look have already charmed Europe. The band’s ﬁ rst album, “We Are The Pipettes,” will be released here Aug. 28, though videos are constantly streaming on YouTube. Like something you’ve heard in mom’s vinyl collection of Sixties girl groups, the songs are ripped straight from the soundboards of the Brill Building, complete with catchy hooks, harmonized doo-wops and plaintive yet strong female voices. But for all the nostalgic novelty, The Pipettes — whose name is derived from the generally happy, vintage-sounding word “pip” — are a concept band concocted among like-minded Gwenno in Kai musicians and musical performers as a direct counterpoint to Kühne’s cotton dress. what is currently hawked over the airwaves and on TV — the Gas Bijoux earrings; antithesis to both overproduced, sexed-up slicksters and Staerk shoes. schlubby navel-gazers. In contrast, these ladies hope to woo audiences with their version of Sixties-era girl power. Meaning: smart melodies, accessible choreography and a pulled-together wardrobe packaged with manners. “It was always meant to be an experiment,” says RiotBecki of the band’s provenance. In 2003, indie musicians “Monster Bobby” Barry — who plays guitar in The Pipettes backup band, The Cassettes — and ex-Pipette Julia Clark-Lowes struck upon the idea of bringing back the halcyon, heavily eyelined days of The Supremes, The Ronettes and all the other lady groups of yore. In their Svengali-like roles, they even thought of a uniform of trim polkadot dresses made by various friends and family members. The three singers, who didn’t know each other before joining the group, came from varied backgrounds. RiotBecki (who gained the “Riot” for her penchant for punk) was studying ﬁ lm; Rosay (who jokingly danced around like Beyoncé, so her mates made her name rhyme) was an art student penning wannabe Joni Mitchell songs, and Gwenno (her actual full Welsh name) had clogged her way through Riverdance’s Las Vegas run. By embracing the prefabness of it all, they have avoided the sort of negative connotation attached to other made-up bands who are criticized for not writing their own music, not being true artists, etc. Indeed, The Pipettes have started a quiet, well-behaved revolution in the small concert venues of Europe, where fans mimic the band’s in-sync hand gestures and dance moves. Gwenno, RiotBecki and Rosay are also turning audiences on to the power of the polkadot. “But it’s not a fashion thing. It’s more of an aesthetic for the band, and that’s important to create a great pop image,” says Gwenno. Initially, the singers experienced very strong antidot feelings offstage, but have since warmed back up to them. “I bought some things, and when I got them home I realized there were polkadots involved in some way,” says Rosay. But no The Pipettes onstage. matter how they personally feel about the print, they won’t be dropping the spotty act anytime soon, says RiotBecki. “Polkadots are the perfect setting for us; they’re the most obvious pattern. Like, stripes wouldn’t work.” While a one-pattern uniform may seem limiting, the singers do have the option of customizing their dresses, and every few months, they all switch to a new color In the scheme. The previous versions featured a peppy pink- and-blue combo. “It means we don’t have to think about Madonna, 1990. what we’re wearing onstage,” Gwenno notes. In addition to the set image, the band runs like a democracy. “In terms of music, it’s meant to be universal,” says Rosay. “Not just for boys, not just for girls.” Everyone writes songs, and the ladies even take turns standing front and center. Having no clear leader also offers each one that sometimes-needed respite from the spotlight. “We try not to have an ego, and if anyone tries to maintain an ego, they’re brought back down to earth,” muses RiotBecki. Yet even if the inner dynamics of The Pipettes don’t work exactly like those of the Sixties girl groups, the new guard still looks up to the masters. “Girls like The Supremes knew how to behave in public, and they were very fashionable and we really like that,” says Gwenno. “That sense of grace is lovely. There’s something respectful about making that much of an effort for an audience. We aren’t that ladylike, but we at least try.”

— Nandini D’Souza JO HALE/GETTYPHOTO BY IMAGES WWD/GLOBAL, JULY 2007 7 WWD.COM FASHION ASSISTANT: YELENA MOROZ; STYLED BY KIM FRIDAY YELENA MOROZ; STYLED BY ASSISTANT: FASHION

Rosay in Walter’s cashmere sweater and Tibi’s polyester and cotton brocade skirt. Issa London RiotBecki in Betsey beret; Pono Johnson’s sequined bracelet. silk taffeta dress. Belt from The Jack Rabbit Collection; Alexis Bittar bangles; Pianegonda cocktail ring; Stuart Weitzman shoes. PHOTOGRAPED BY TALAYA CENTENO AT BEAUTY BAR, NEW YORK; HAIR BY DIEGO AMERICO/DE FACTO; MAKEUP BY DEBORAH ALTIZIO/AARTIST LOFT; LOFT; ALTIZIO/AARTIST DEBORAH MAKEUP BY DIEGO AMERICO/DE FACTO; HAIR BY NEW YORK; BAR, BEAUTY CENTENO AT TALAYA BY PHOTOGRAPED

Spots-light Sweet, sexy or cool. Whichever way they play it, musicians have always loved going dotty. Frank Sinatra, 1954. Eric Beyoncé Prince, Doris Day, Clapton, Knowles, 1988. with Robert circa 2003. Cummings 1970. and Phil Silvers, 1954.

DAY PHOTO BY HULTON ARCHIVE/GETTY IMAGES; MADONNA BY KEVIN MAZUR/WIREIMAGE; SINATRA BY CBS PHOTO ARCHIVE/GETTY IMAGES; PRINCE BY FRANK MICELOTTA/GETTY IMAGES; CLAPTON BY MICHAEL OCHS ARCHIVES/GETTY IMAGES; KNOWLES BY SCOTT GRIES/GETTY IMAGES 8 WWD/GLOBAL, JULY 2007 WWD.COM Designer/Ready-to-Wear Report

A fall look from Designers Do a Double Take for Select Stores Simply Vera Vera o longer quite as lofty, designers have learned they can suc- brakes on these types of ventures anytime soon. Margareta van Wang. Nceed among the masses by launching one-off collaborations den Bosch, H&M’s head of design, said, “I think people are or diffusion lines with more price-conscious chain stores. crazy about this. I don’t know how we could stop.” And celebrities are sure to keep giving them a run: Target’s Go International campaign is also going strong Witness the buzz surrounding Kate Moss’ line for Topshop, with Erin Fetherston, who is ready to assume the Sarah Jessica Parker’s Bitten collection for Steve & Barry’s, role as guest designer this fall. She will fol- Mary-Kate and Ashley Olsen’s launch of The Row and Kylie low in the footsteps of Patrick Robinson, Minogue’s and Madonna’s collections for Hennes & Mauritz Libertine’s Johnson Hartig and Cindy this year. Roberto Cavalli is the latest designer to team up with Greene, and Alice Temperley. As they the Swedish-based fast-fashion chain. The 40-plus piece collec- can attest, the collaboration means tion will launch Nov. 8 in about 200 H&M locations around the major exposure. That should sit well world, following the lead of Karl Lagerfeld, Viktor & Rolf and with Fetherston, a Berkeley, Calif.-born, Stella McCartney, who each had winning runs at H&M. Paris-based designer who has only been Nils Vinge, H&M’s head of investor relations, said celebrity in the scene for two years. lines from Minogue and Madonna had a “meaningful impact” Fetherston has put her high-profi le on sales and were equally valuable for driving traffi c into the friends to good use: Ellen von Unwerth stores and drawing media attention. shot a short fi lm featuring Fetherston’s cre- Cavalli’s collection for H&M will consist of 25 apparel and ations on young women such as another of lingerie pieces for women and another 20 items for men, and Fetherston’s chums, Kirsten Dunst. The Target- accessories. The line will feature higher-quality materials than backed dresses, suits and coats are said to be hit- those traditionally used in H&M clothing, including cashmere ting stores in November. and 100 percent wool. Prices have not yet been revealed, but Simply Vera Vera Wang, Vera Wang’s affordably priced col- H&M representatives said the most expensive pieces would be lection exclusively for Kohl’s, is another label that is ready for around 200 euros, or about $265 at current exchange rates. a fall launch. Apparel designs will range in price from $34 for During last month’s announcement of the one-off collabora- a silk-blend T-shirt to $138 for a brocade car coat. There will tion, Cavalli said, “Young people come up to me with these big also be footwear, accessories and jewelry. Kohl’s is banking eyes full of desire to wear a Cavalli dress and often they can’t on the designer’s collection to update its image and to boost because of the price. I dedicate this collection with Hennes & the bottom line. Mauritz to them, to give them the possibility to wear a Cavalli These types of publicity-generating deals could also pay off dress, whether it’s for New Year’s or another occasion and feel in other ways for designers such as Wang and Cavalli. Both like they are on a red carpet.” are privately owned companies and have had their share of In releasing second-quarter results last month, H&M execu- interested suitors. This fall they may hear their names being tives noted how store openings and trendy designs by pop icons mentioned even more frequently by the fi nancial community such as Madonna helped lift profi ts 31 percent to 5.13 billion and potential investors.

Swedish kronor, or $742 million. Don’t look for H&M to hit the — Rosemary Feitelberg ERICKSEN KYLE PHOTO BY

A rendering of the new Calvin Klein Transition Time for Talent white label concept. ote to designers: It may be worth updating those ré- Nsumés. There hasn’t been a time in recent memory with so many top design jobs vacant and major fashion houses in transition mode. In several cases, the state of fl ux is a result of the mergers-and-acquisitions-friendly market, where cash-rich private equity funds gobble up renowned fashion brands and cause internal struc- tural shifts. The next few weeks and months will determine how their immediate futures will play out. Among the companies to watch in the second half of the year: Tommy Hilfi ger, Halston, Bill Blass, Emanuel Ungaro and Gianfranco Ferré. The late Tommy Hilfi ger, whose company was bought by Apax Gianfranco Partners in May 2006, has a search on for a creative di- Ferré. rector, and according to the namesake designer, has GIANNONI GIOVANNI PHOTO BY Store Splash: Building Four Walls for Image been looking at high-profi le talents like Miguel Adrover. Halston, bought by The Weinstein Co. and Hilco Consumer Capital LLC last March, has or brands at the designer level, opening freestanding stores is becoming been working with consultants Tamara Mellon and Rachel Zoe to steer its future, and Fan increasingly important tool for continued growth, making this a trend to it, too, is looking for a top designer to spearhead the revival. Meanwhile, Bill Blass, watch over the next few months. Among the brands looking to grow their store acquired by NexCen Brands Inc. in December, is hoping to replace designer Michael network are Calvin Klein, Michael Kors and Giorgio Armani. While Michael Vollbracht, who resigned in May. The company is said to have looked at a slew of design- Kors continues to expand his network of accessories-based stores, Calvin Klein ers to fi nd its next creative chief, and it is said to be keen on bringing in Peter Som. Inc. last month announced a strategy to open 10,000-square-foot megastores for In Europe, Emanuel Ungaro confi rmed last week that it had parted ways with its better-priced white label in malls across America. Ten such stores will open designer Peter Dundas and was looking for new talent. Then there is the house over the next two years, and, based on their success, white label could evolve of Gianfranco Ferré, which, after the death of its founding designer last month, is into a 100-door chain, company executives said. Meanwhile, Giorgio Armani faced with fi nding a way to maintain the brand. This could involve bringing in a new plans to make a big splash at retail, renovating existing stores and shops-in- designer, or promoting someone from within to lead the creative efforts. For now, shops in the U.S. He also plans to open a 47,000-square-foot unit on Fifth Avenue the division of IT Holding SpA plans to continue putting out collections created by next year, which will be an Armani world of sorts, offering his range of labels, Ferré’s 35-member design team. from Giorgio Armani, to Emporio Armani, Armani Jeans and Armani Casa. — Marc Karimzadeh — M.K.

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By Rachel Strugatz Fur- trimmed n what is shaping up to be the year of the coat, a bevy of coat by contemporary designers has gotten in on the outerwear I Vera Wang action this fall. Lavender. Brands such as Nanette Lepore, Vera Wang Lavender, Rebecca Taylor, Alice + Olivia, Lauren Moffatt, Theory, Trina Turk, Autumn Cashmere, Rag and Bone, Mike and Chris, Marc by Marc Jacobs, Hanii Y, ADD, Lela Rose and Dries Van Noten are offering fresh outerwear looks in the rich fabrics and updated styles that have been notably ab- sent the last few seasons. Retailers, including Scoop, Olive & Bette’s and Shopbop. com, are embracing these chic jackets and coats for fall. Susan Sokol, president of Vera Wang Apparel, coined a great coat “the fashion accessory must-have for fall.” “In many ways, the coat is really the center of a woman’s wardrobe and it becomes her key investment piece of the season,’’ she said. “When you’re someone who loves fashion it’s important to have that fabulous outerwear piece, and I think it’s all about the coat. Aside from being practical, it provides comfort and warmth. It’s an integral piece in someone’s wardrobe, it really becomes your centerpiece.” Vera Wang’s Lavender label, which began as a dress line, launched its fi rst collection of contemporary sportswear this spring and has evolved even further for fall. For the Lavender label’s fi rst fall collection, coats will wholesale from $300 to $425 and represent almost 15 percent of fall business. Coats construct- ed from felted wools and cotton failles give a silhouette a little more structure and edge, and have been important to the Lavender label because these fabrics really capture the trends of the season, especially that men’s wear kind of feel that seems to be so prevalent for fall, said Sokol. Stacey Bendet, head designer of Alice + Olivia, said that her decision to increase the amount of jackets and coats in the line was more from a look and style perspective than it was to have a presence in the outerwear market. Bronze “One of our best-selling coats is a red, wool, cashmere, matelasse puff-sleeve, high-waisted coat with a fur collar. I think stores hooded coat Alice + Olivia’s were really attracted to the color so we decided to do it in by Nanette red cashmere white also,” Bendet said of the coat that retails for $267. “The Lepore. and wool coat Alice + Olivia girl isn’t going to wear a parka with fur collar. with a gorgeous pair of high-waisted black pants and a silk bow blouse this season.” during the winter months, the fi rst thing you see Lauren Moffatt, head designer and is her coat. “We are fortunate to have the type of founder of Lauren Moffatt, was attuned to customer that has a ‘coat wardrobe,’ so she will fi ne details such as hardware in gold and sil- choose a coat from her closet that complements ver while creating outerwear pieces in her what she is wearing inside,” said Bugdaycay, fall collection. To Moffatt, this category has adding that she and Taylor are just responding always been important in her line because to the demands of the market. The two increased there isn’t an item in your wardrobe that you the amount of outerwear in their 2006 fall line wear as a repeatedly as a coat. after selling out of coats the previous year. “For fall, wool, fitted, peacoat-length Retailer Olive & Bette’s will carry three of styles will be really important, as well as the Rebecca Taylor’s fall coats, including a black more traditional just below the knee length,” roll-neck coat, retailing for $558, a leopard Moffatt said. “It will, however, be updated swing short jacket, retailing for $455, and a with darting, seaming and a general fi t-con- dolman cardigan sweater, retailing for $400, scious look.” according to a spokesperson for the four- Nanette Lepore, who has included twice unit retailer and Web site. The store will also as many coats in her fall line than the pre- carry outerwear from Theory, Trina Turk and vious year, said consumers’ desire for a Autumn Cashmere. more refi ned look is the driving force for the Kate Ciepluch, contemporary buyer for surge in contemporary outerwear. “There is Shopbop.com, is also jumping on the outer- a shift to a more polished look, and if you wear bandwagon. “There has been a void in have more of a variety of coats and you put spectacular outerwear for a few seasons now. I together a look that is more done, it gives usually see a puffy here and there and a run-of- a more sophisticated feel to your outfi t,” the-mill wool coat, but it’s time for this catego- Lepore said. The designer, who lets her per- ry to be stronger and I went after it,” she said, sonal style dictate her designs, said that a adding that there is defi nitely a resurgence of variety of coats in your closet makes your classic silhouettes and leather jackets. outfi ts more complete and fun. Noting that price point dictates the styles “We have always sold or run a more spe- she chooses for the shopping Web site, cial outerwear piece, and they have sold re- Ciepluch purchased lower-priced bomber ally well so I know there’s a market for it. Black jackets by Marc by Marc Jacobs and more Right now, jackets are our highest selling jacket by higher-priced versions by Hanii Y, as well as category,” Lepore said, citing a mix of outer- Dries van down jackets by ADD that retail for just under wear, suit jackets, blazers and sweater coats. Noten. $400. Newcomers to the contemporary catego- Long knit “luxury sweater coats,” which ry, such as Mike and Chris and Rag and Bone wholesale for $225, are consistently strong have entered the market with strong identities sellers for Nanette Lepore because of their comfort and practical- as well, said Ciepluch. Silver ity in a multitude of climates. Another style for fall is a tweed coat The bomber jacket was also a popular style for Scoop, said Stefani collarless with a velvet collar, wholesaling for $291. Later in the fall, brocade Greenfi eld, co-owner of the chain, whose store philosophy is “hav- coat with jackets in a variety of colors and styles will be available, including ing the ultimate closet.” Specifi cally, Lela Rose designed a shrunken fake-fur a style in black, black and navy, gray with a painted-look design, bomber jacket in a gold matelasse brocade as a Scoop exclusive, re- trim by and a crunched-up style, all wholesaling from $285 to $315. tailing for $895, and Dries Van Noten did two shrunken, feminine Rebecca Beth Bugdaycay, Rebecca Taylor’s business partner and chief versions of men’s styles, specifi cally in black and navy, retailing for Taylor. executive offi cer of Rebecca Taylor, believes that consumers are so $1,169 and $1,120, said Greenfi eld. Alice + Olivia designed a choco- keen on jackets and coats because when a woman walks into a room late distressed leather jacket, retailing for $595, as well.

12 WWD/GLOBAL, JULY 2007 WWD.COM Tina Knowles’ New Line Targets ‘Forgotten Woman’ By Sharon Edelson to a home furnishings collection. “We believe in lifestyle brands and Tina is such a creative and passionate person, ina Knowles, the guiding sartorial force for her so who knows what the future could bring,” Grossman said. Tdaughter Beyoncé and creator of the stage costumes “We would certainly be open to exploring it.” for the musical group Destiny’s Child, has fi nally de- Knowles said she relishes the prospect of hawk- signed something for herself. ing her line on television. “Just to be able to go into all Miss Tina is a collection of sportswear, denim, sweat- those homes and connect with all those women is great ers, shoes, handbags and accessories that targets 30- to for me,” she said. “I love doing makeovers. I want this 50-year-old customers. The line will be sold exclusively show to be about educating women about proportionate on the Home Shopping Network and launches during dressing for their body types and what lengths to wear. HSN’s fall fashion week, starting Aug. 18. That’s a big part of the line.” Knowles and her daughter in 2005 started the House When it comes to fashion, Knowles isn’t understated. of Deréon label, which is more in tune with Beyoncé’s Miss Tina has “great details, lots of epaulets and an- demographic. In an interview, Knowles stressed that tique buttons,” she said. “There are bold gold buttons Miss Tina is a separate venture from the House of and gold chains, all the things I use when I’m styling. We Deréon and Deréon brands. even developed a Miss Tina crest. I can do some things “In House of Deréon, there’s all of my mother’s de- that are a little over the top. I love animal prints. We tails, smocking and lace details,” she said. “House were able to design a scarf with leopard and alligator is more delicate. This is defi nitely me.” prints and chain and rope designs.” That includes the silhouettes and fi ts. “I Prices range from $39 for T-shirts to $99 for a cot- love the fact that the sizes go all the way ton sateen jacket with ruffl es and gold buttons. A hobo up [2 to 24],” Knowles said. “There’s a for- handbag is $250, suede chain link knee boots, $149, and gotten woman who wants a pencil skirt, Above: Animal prints are a favorite of the leather elbow sleeve gloves, $79.90. too, or a blouse that’s a little lower cut. designer and a black-and-white striped Davis declined to give sales projections for Miss Beyoncé has backup singers who are full- cardigan with epaulets. Inset: Tina Knowles Tina. “Anything that’s successful, you can build momen- fi gured women. Being a woman over 50, I tum upon,’’ he said. “This gives Tina increased credibil- try to think about the things I have going fi le” interests Knowles. ity with consumers and the fashion industry.” for me and the things I want to hide, like my And Miss Tina should boost HSN’s fash- The collection offers complete head-to-toe wardrob- arms. I’m giving them options with shrugs. I’ve ion quotient. “Every time we’ve debuted a ing. “It’s so cohesive, from the shoes to the handbags been a stylist for so many years, I know how to ac- new partner during the last several months, it has to the scarves to the accessories, everything is so tied centuate the positive.” added to the buzz about the transformation taking place together,” Knowles said. “I love knits. We have a long Miss Tina will be sold on HSN for the foreseeable at HSN,” Grossman said. “There’s an energy and excite- knit jacket with a low-cut tailored sleeveless knit dress. future. “I met with Mindy Grossman [chief executive of- ment that’s palpable and people want to be a part of it.” There are tailored suits and T-shirts.” fi cer of retailing at Barry Diller’s IAC/InterActiveCorp., Miss Tina will appeal to existing HSN shoppers and Describing the versatility of the products, Knowles which owns HSN], who is brilliant,” Knowles said. attract new ones, Grossman said. “The line is designed said, “We have a cage handbag with three inserts you “She’s been bringing higher-end designers to HSN.” for women from their 30s to 50s, who love fashion and can put in, gold sequin, leopard and denim.” Philip Davis, president and general manager of appreciate attention to detail and couture fi t,’’ she ex- “I’ve been working on this for seven months,” she Beyond Productions LLC, parent of House of Deréon plained. “That’s a great snapshot of HSN’s fashion cus- said. “It was such a passion. I had so much fun I couldn’t and Deréon, said: “What HSN allows us to do is talk to a tomer. In addition, Tina Knowles has quite a devoted sleep. It became a little obsession with me.” segment we haven’t directly talked to with some of our fan base herself, and we would expect that many of The best compliment for the collection came from other brands. The whole idea of an alternative level of them will come to HSN to see her newest designs.” her daughter: “I brought Beyoncé up the other day and trade and being able to talk to a different customer pro- Interior design, another of Knowles’ interests, could lead she said, ‘Some of this, I would wear.’”

SEPTEMBER 11 • 14, 2007 Portello

Halls 1-2-3-4-5-6 (ex 14-15-16) Entrances: Porta Scarampo, Porta Teodorico, Porta Colleoni

Milano Unica - Organizer’s Office Viale Sarca 223, 20126 Milano Tel. +39 0266101105 Fax +39 0266111335 [email protected] www.milanounica.it WWD/GLOBAL, JULY 2007 13 WWD.COM St. John Working June Comps Expected to Be Soft

To Raise Profi le By Jeanine Poggi ties,” Eric Beder, specialty retail as a more accurate barometer of with a slight benefi t in terms of analyst at Brean Murray Carret retail momentum.” its promotional cadence, which une is expected to be a lack- & Co., said in a research note. Goldman Sachs analyst shifted into June from May last In Japan Market Jluster month for retailers as In the specialty segment, ana- Adrianne Shapira said she ex- year,” Filandro said. consumers face higher, year- lysts expect the junior divisions pected June sales “to at best Mall-based retailer Zumiez By Akira Miura over-year gas prices, and mall at retail chains and a weak per- meet expectations.” Shapira should also shine, up against easi- traffic remains sluggish, said formance by West Coast stores to cited gas prices as a negative in er year-over-year comparisons and TOKYO — St. John is developing analysts releasing same-store drag down total comps. the sales equation. The analyst a solid merchandise mix, Dorothy its business in the Japanese mar- sales previews Monday. “Although June represents said fuel prices were up 8 per- Lakner, retail analyst at CIBC ket with more freestanding and Shoppers were still spend- about 38 percent of second-quar- cent on a year-over-year basis, World Markets, said in a note. She outlet stores, as well as shops-in- ing, but their purchases were fo- ter sales for teen retailers, profi t and up 37 percent since the be- forecast a same-store sales gain for shops in department stores. cused on the sales rack, Thomas contribution is substantially less ginning of the year. Still, there the retailer of around 9 percent. St. John, based in Irvine, Filandro, specialty analyst at as June sales are largely clear- will be winners in June. With a continued weak- Calif., began doing business in Susquehanna Financial Group, ance-driven,” Brad Stephens, American Eagle Outfi tters is ness in denim and bottoms, the Japanese market in 1987. said in a research note. retail analyst at Morgan Keegan expected to be one of the few Abercrombie & Fitch would re- In 1999, when a majority stake “June is a true test of [a retail & Co., said in a research note. teen retailers to post positive main soft, analysts predicted. in St. John in the U.S. was sold company’s] competence in mini- “We view July comps, which comps, in the range of 3 to 5 per- Same-store sales were expected to private equity firm Vestar mizing inventory risk and capi- include new merchandise and cent. “American Eagle Outfi tters to be down 6 to 8 percent, ac- Capital, the apparel company talizing on margin opportuni- initial back-to-school fl oor sets, entered the June selling period cording to analysts. took full control of its Japanese subsidiary. Since then, its Japanese business has been growing gradually, even though the brand’s image isn’t fully established in the market yet. “The identity of St. John is ‘the power suit’ for women who have jobs and active roles in so- WE BELIEVE GREAT FASHION SENSE Yasutada Oda and Hideki Funauchi ciety. It is our aim for Japanese women to understand our brand as something that shows their status,” said Yasutada Oda, rep- HAS ALWAYS resentative director and president of St. John Co. Ltd. St. John, famous for its high- quality knit dresses and suits, is popular among top female MADE GREAT executives in the U.S. In Japan, it is also popular among a more mature age group. However, its attempt to rejuvenate too quickly led to a sales decline at the group for the fi scal period that BUSINESS SENSE. ended in October 2006. During that period, Marie Gray, co-founder and designer of the line, had left the company, but has since returned as designer, beginning with this year’s pre-fall collection. She is helping to increase the Japanese business as well, said Oda. “As there are no competing brands in Japan, it is very important MARC ECKO ENTERPRISES G-III APPAREL GROUP LTD. UNDER ARMOUR, INC. for us to send out our new mes- sages,” said Oda. $185,000,000 $195,000,000 $100,000,000 Revolving line of credit Presently, St. John has a fl ag- Senior secured credit facility Revolving line of credit Sole Lead Arranger and term loan Agent ship in Ginza, 15 shops-in-shops Sole Lead Arranger in department stores and one outlet store. In 2008, it plans to open eight more shops-in-shops and two outlet stores, with a Marc Ecko Enterprises is a global G-III Apparel Group Ltd. designs, Under Armour, Inc. is a leading sales goal of 3 billion yen, or designer and retailer of lifestyle manufactures, imports and markets designer, marketer and distributor $24.4 million, up 150 percent sportswear and accessories outerwear and sportswear of branded performance products from the prior year. In 2009, the company plans to have 37 stores, including freestanding shops, and to increase sales by Financing an apparel business takes more than cash. You couldn’t have gotten where you are without 180 percent. Last year, St. John creativity, ambition and drive, so why would you demand any less of your lender? At CIT Commercial Services, Japan named Hideki Funauchi we look beyond the spreadsheets to focus on your people, your ideas and your possibilities. Through business from Ferragamo Japan as direc- cycles and fashion cycles, we partner closely with our clients to develop customized financial solutions that tor of sales. meet the challenges of a global business environment: from working capital and acquisition financing to The company will introduce domestic and international credit protection to financing foreign receivables. To learn how we can help your accessories in 2008 under a business, visit cit.com or call us at 800-248-3240. global license. In addition to jewelry, it will offer shoes and bags with Stuart Weitzman, GROWTH FINANCING CREDIT PROTECTION DEBT RESTRUCTURING IMPORT/EXPORT FINANCING WORKING CAPITAL and eyewear with Visibilia SpA of Italy, strengthening its ©2007 CIT Group Inc., the CIT logo, and “Capital Redefined” are service marks or registered service marks of CIT Group Inc. visibility and branding in the Japanese market. 14 WWD/GLOBAL, JULY 2007 WWD.COM Textile & Trade Report Venue Changes Give New Look to N.Y. Textile Shows By Ross Tucker Prefab: The Supima Premium Fabric Show NEW YORK — Buyers attending next week’s round of in- returns for a second run at Gotham Hall. ternational textile fairs here will witness another evolution of the city’s textile week, as two major shows move to new venues. New York textile week kicks off on July 17 and includes Première Vision Preview, the Turkish Fashion Fabric Exhibition, Texworld USA and the second edition of Prefab: The Supima Premium Fabric Show. After two successful shows at Penn Plaza Pavilion in Midtown, Texworld USA will move to the Jacob K. Javits Convention Center on the far West Side in order to ac- commodate a growing exhibitor list. Texworld USA will run July 17 to 19. Stephanie Everett, group show manager for Messe Frankfurt, which organizes the show, said the new location should alleviate frustrations exhibitors and buyers had at the previous location. Buyers struggled with the show being spread between two fl oors of the building and the show’s organizers had limited facilities and services with which to work. The move has already attracted more exhibitors and will allow organizers to add elements to the event, including a trend area and a lounge for VIP buyers. Everett said the number of exhibitors has expanded to 195, up from 150 at the previous

The Turkish Fashion Fabric Exhibition moves to the Puck Building. Inset: Jacques Brunel.

I think a lot of buyers in New York are still unfamiliar with“ the Asian mills. This will help give them an idea of what these companies can really offer. — Stephanie” Everett, Messe Frankfurt

The Turkish Fashion Fabric pected to be present at the Paris Première Vision show. Exhibition will also be mov- “The Korean industry is very strong and dynamic,” ing to a new home for its show, Brunel said. “They are very strong in performance and tech- which will run July 17 and 18. nical fabrics…it’s an improvement in the offer of the show.” The Istanbul Textiles & Apparel The weak value of the dollar is presenting the biggest Exporters Association, which challenge to European weavers, Brunel said. organizes the event, has moved “Weavers make efforts to keep costs down by increas- the show to the Puck Building in ing their investments in technology and equipment, SoHo. The organizers said about improving their creation costs so they can save 4 to 10 show. Exhibitors will be present from 16 countries. 50 mills will exhibit, however, the number of exhibitors percent a year,” he said. “One of the biggest benefi ts is that for the fi rst time we’re presenting collections at recent editions has typically Those improvements are quickly wiped out by the going to have a trend display,” Everett said. About 80 exhib- ranged between 35 and 45 mills. poor exchange rate. Making things more diffi cult is itors have submitted sample fabrics for the trend area. Première Vision Preview continues to be one of the the fact that buyers often return to a supplier looking Everett believes the trend area should help buyers most important shows for fi nding the latest fabric inno- to purchase fabrics expecting to pay the same price as get a better idea of the capabilities of Asian mills. vations and trend information. It will take place at the they did in seasons past. “I think a lot of buyers in New York are still unfamiliar Metropolitan Pavilion July 18 and 19. Despite the pricing diffi culties, Brunel said American with the Asian mills,” Everett said. “This will help give Jacques Brunel, Première Vision’s general manager buyers are returning to the quality and innovation that them an idea of what these companies can really offer.” and international director, said 3,000 people have al- European weavers can provide. Messe Frankfurt’s partnership with Lenzing Fibers ready registered and four of the six scheduled trend “Some big customers have come back to these weav- will also continue. Lenzing has changed the name of its seminars are full. More than 130 exhibitors will show ers,” Brunel said. “They know it’s much more expensive, Innovation Asia show to Lenzing Innovation, a name collections. Mills will be present from France, Italy, but there’s security in quality and services.” meant to convey the broadening scope of the show. Germany, Belgium, Bulgaria, Turkey, Japan and Taiwan. The second Supima Premium Fabric show will take Lenzing Innovation will operate as a show within a show Brunel said the show’s fi rst South Korean mill will also place July 17 to 19 at Gotham Hall and will include 17 com- and will have approximately 31 companies. be exhibiting. Another nine South Korean mills are ex- panies exhibiting fabrics using high-quality Supima cotton. Is Iowa the new fashion mecca? It’s possible, now that DuPont has created a renewably sourced Paris. polymer for fabric with corn, DuPont™ Sorona®. It’s exactly what manufacturers, designers and buyers look for in a premiere fabric. Rich, vibrant colors. True blacks and whites. Comfort Milan. stretch and recovery. Fade resistance. Easy care. It also has something unexpected—it’s smart for the environment. That’s because it’s the only high-performance polymer made with a renewable New York. resource. So not only will Sorona® make consumers feel good in their activewear, swimwear or even lingerie, they’ll feel great about your brand. Be the fi rst in your fi eld to be glamorously Des Moines. green. Visit sorona.dupont.com or call 1-866-4-SORONA.

© 2007 DuPont. All rights reserved. The DuPont Oval Logo, DuPont™, The miracles of science™, Sorona® and Renewably Sourced™ are registered trademarks or trademarks of E. I. du Pont de Nemours and Company or its affiliates. 16 WWD/GLOBAL, JULY 2007 WWD.COM Textiles & Trade Wilde Ambitions Decadence is a byword for fall 2008 fabrics. Some of this season’s offerings are one part tradition and two parts irreverent dandyism. At the Première Vision Preview, scheduled for July 18 and 19 at New York’s Metropolitan Pavilion, exhibitors are showing polkadots, stripes and plaids laced with metallics or used on materials with a sheen, along with vibrantly colored paisleys. These distinctive versions of haberdashery patterns bring to mind Oscar Wilde’s Dorian Gray.

Clockwise from lower left: Paisley polyester and acetate from Serikos Collezioni & Tessili; polyester lace from Ets Lucien Noyon et Cie; polkadot cotton and polyester from Siat & Lang; paisley cotton from Taenaka Pile Fabrics; plaid cotton from Tintoré Turull; Goutarel’s speckled acetate, polyester and Lurex; Teseo’s striped cotton, and KBC’s paisley wool, polyacrylic, polyester and polyamide. PHOTO BY THOMAS IANNACCONE; STYLED BY COURT WILLIAMS COURT THOMAS IANNACCONE; STYLED BY PHOTO BY MicroModal in theWorld The softestFiber MicroModal trademark ofLenzingAG. www.lenzing.com ® is aregistered ® Lenzing Viscose Lenzing istheworldleadingcellulosefiberproducer ofLenzingModal 100% ofnaturalorigin. perfectly suitedforlingerie.MicroModal ten thousandmetersweighaslittleonesinglegram.That’s whythisfiberis MicroModal MicroModal A touchofnature. Cellulose FiberTechnology World Leaderin ® ® are aslight asafeatherandcaress theskininanaturalmannersince is perfectionitselfwhenitcomestosoftness.Fabricsmadeof ® , LenzingFR ® and TENCEL ® is madeofbeechwoodandis,therefore, ® . ® ,

Lenzing AG, A-4860 Lenzing, Austria 18 WWD/GLOBAL, JULY 2007

Textiles & Trade Seeing It Through Moving from spring into fall 2008, some mills are carrying over a feeling of transparency. At the Première Vision Preview, silks and light cottons are replaced by faux fur and loose-knit wool layered over barely there synthetics. Most of the materials have fall’s traditionally cool, somber color palette, but metallic backgrounds or threads still allow a little light to shine through. WWD/GLOBAL, JULY 2007 19 WWD.COM PHOTO BY THOMAS IANNACCONE; STYLED BY COURT WILLIAMS COURT THOMAS IANNACCONE; STYLED BY PHOTO BY

From left: Wool and nylon from Taenaka Pile Fabrics; Bel Maille’s rayon and Lycra; recycled polyester at Figli di Michelangelo Calamai; Waltex Tricot’s polyamide and polycarbonate; Vanoni’s wool and polyamide; polyester and Lurex from Serikos Collezioni & Tessili, and wool, nylon and polyester from F.A.N.S.

THE SUPIMA PREMIUM FABRIC SHOW JULY 17–19, 2007 GOTHAM HALL, NYC PREMIUMFABRICSHOW.COM

Select companies will present outstanding TREND SEMINARS menswear and womenswear fabrics for Reservations Required Fall/Winter 2008–09. All collections will —— include a variety of fabrics made from SUPIMA, FASHION’S FORWARD FEELING! the world’s finest cotton. Moving towards the future ...First step: Fall/Winter 2008–09 3 DAVID WOLFE, Creative Director of the Doneger Group July 17, 10:30am – 5:30pm Tuesday, July 17 at 1pm July 18 and 19, 9am – 5:30pm —— EARLY COLOR AND TREND DIRECTION: GOTHAM HALL Fall/Winter 2008–09 for Men 1356 Broadway (at 36th Street) 3 PAUL PELSSERS, Paul Pelssers Ltd. New York, NY 10018 Wednesday, July 18 at 1pm —— For more information and to pre-register TOBE¯ NEXT FALL/WINTER 2008–09: visit: www.premiumfabricshow.com Trends, Colors, and Key Items 3 CAROLYN EGAN, Trend Director for Tobe¯ Next Thursday, July 19 at 1pm 20 WWD/GLOBAL, JULY 2007

Textiles & Trade Currency Concerns Mount at Pitti Filati Yarn Fair By Stephanie Epiro FLORENCE — Knitters at last week’s Pitti Filati yarn fair said market stability was threatened by a weakening U.S. dollar. Although executives noted an increase in the number of U.S. and Japanese fi rms at the fair, held July 4 to 6 at the Fortezza da Basso here, many had diffi culty selling yarn at an exchange rate that hit a new height of 1 euro worth $1.37. Despite the exchange rate, statistics from the Federation of Italian Textiles & Fashion show the Italian spinning industry’s volume almost stabilized in 2006. After fi ve years of dramatic drops, sales in 2006 hit 3.4 billion euros, or $4.27 billion at average exchange, a 0.6 percent decrease compared with 2005. “If the dollar climbs above $1.40 to the euro, we are going to face big problems with our clients,” said Silvio Botto Poala, director of Botto Poala, adding that Botto Poala’s double- Cotton blends from Lineapiu. Cashmere fabrics from Todd & Duncan. digit sales increase predicted for the year was dependent on the dollar’s performance. Loro Piana admitted it was forced to raise its yarn prices in line with the exchange rate. “There’s a shift in the market and slowly our more higher-end clients are mov- “But our American clients ask for last year’s prices, so we have to go back and forth ing toward more fi ne cashmeres,” said James McArdle, managing director of Todd & until we reach a medium,” said Luciano Bandi, yarn division director for Loro Piana. Duncan. Even spinners that delocalized into China to attract more U.S. business were feel- The spinner created a cotton-rich cashmere blend and a cashmere-rich cotton ing pressure from the exchange rate’s ups and downs. Lineapiu, which recently hired blend yarn for clients looking to knit cheaper quality garments for a warmer climate. a new chief executive offi cer after a fi nancial restructuring this year, has outfi tted its Todd & Duncan has also developed a new dying technique that signifi cantly reduced two-year-old Shanghai plant with European-made machinery and managerial staff. its minimum order capacity. The process has cut the minimum order from 36 kilos to “The yarn market is diffi cult; it doesn’t matter where you are in the world,” said 6 kilos, which can be delivered in as little as 24 hours. Lola Coppini, vice president of Lineapiu. “Producing in China, you have to have strong “It’s the Holy Grail combination of fi nest-quality cashmere yarn, speed of delivery organization that follows rigorous principles because the product can’t be too indus- and low minimums,” McArdle said. trial. It has to have some verve that sets it apart from other yarns produced there.” Botto Poala also perfected a new dying technique. The spinner treated raw fi ber Other yarn manufacturers found ways to work around the weak dollar. so that when dyed and spun, it showed a stonewash effect in plum, forest green and “We deal mainly with cotton, which we buy in dollars, and then process through a denim blue. Botto Poala also presented superfi ne 16-micron wool yarns in a series of fl exible structure,” said Stefano Salvaneschi, president of Iafi l. caramels and beiges. He added the mill was on track for a 10 percent gain on last year’s sales, to 23 mil- “These can be knitted into knits that weigh no more than 100 grams and are some- lion euros, or $31.3 million. times more wearable than cashmere,” Botto Poala said. Yarn prices at Ilaria, based in Tuscany, were dependent on “the cost of the trans- Iafi l broke away from its predominantly cotton offering to showcase a soft 100 per- formation of the yarn, and we’re able to contain it,” said Gian Paolo Bruni, managing cent baby alpaca yarn and followed its vegetable- and plant-dyed organic cotton offer- director of the fi rm, which expects to increase volume by 15 percent in 2007. ing of last season with an organic cashmere yarn in 18 colors. Ultrafi ne, feather-light and hollow yarns in blends of cashmere and extra-fi ne wool Lineapiu showed a voluminous, ultralight hollow yarn achieved by a new spinning and mohair made for transseasonal knitwear headlined yarn trends for fall and winter process that sews the fi bers. Caveau, a blend of mohair, wool and polyamide, was the 2008-2009. Shiny Lurex yarn from seasons pasts were blended with classic, fi ne yarns. kind of trendy yarn younger fashion lines were seeking, Coppini said. Sophisticated yarns were interspersed with vegetable-dyed organic yarns, presented “There’s a trend for fur-looking yarns that look like they are outerwear weights by Iafi l and Cariaggi, and twisted delave looks achieved through the dying process. and thicknesses, but when spun the volume is compacted and they feel like a feather,” Scottish spinner Todd & Duncan showed woolen spun cashmere in soft blues and grays. said Coppini.

Untitled-1 1 7/5/07 5:41:26 PM WWD/GLOBAL, JULY 2007 21 WWD.COM Democrats Look to Take Tougher Stance on Free Trade Agenda By Kristi Ellis Kane said the leadership in the House, under Pelosi, That’s why most industry observers expect was “showing its colors and they are antitrade.” Democrats to make a China bill a top priority this sum- WASHINGTON — Democrats are brandishing their power Democrats and labor unions that back them argue mer before there is any move to consider more conten- over the trade agenda on Capitol Hill this summer, replac- that trade agreements have wrought havoc on the U.S. tious free trade deals. Lawmakers have introduced a ing the Bush administration’s pro-trade policy with one manufacturing base and that the emphasis should shift fl urry of bills targeting China’s currency policies, and attuned to reining in China’s currency and trade practic- to helping companies and workers stay competitive. many industry lobbyists expect an amalgamation of the es, and helping U.S. workers displaced by imports. Eric Dirnbach, deputy director of the strategic af- various proposals in one piece of legislation. As the House and Senate return from a weeklong fairs department at UNITE HERE, the main apparel The Congressional focus on China has been on re- recess, Democratic leaders, no longer bound by the and textile union, said while labor groups were encour- forming trade remedy laws that would ease the way administration’s authority to craft trade pacts without aged by the Democrats’ recent move to put a brake on for U.S. manufacturers to fi le currency or subsidy com- amendments from Congress, are likely to move ahead TPA and trade deals with South Korea and Colombia, plaints against China and seek sanctions against its with legislation that could crack down on China’s cur- most are still perplexed by the House leaders’ insis- imports. Critics charge that China’s yuan is underval- rency policies, reform trade-remedy laws and expand tence to move forward with Peru and Panama pacts. ued and lowers the price of goods by 15 percent to 40 a program that helps workers who lose their jobs “One of the issues that animated the public” in percent on the world market. They argue that depress- because of foreign competition. the elections last year was a call for a “differ- ing the value of the yuan acts as an export subsidy, In addition, the fate of pending free ent trade model,” said Dirnbach. “For the putting U.S. companies at a disadvantage and leading trade agreements with Peru, Panama, Democratic party to deliver essentially to American job losses and a record trade defi cit with Colombia and South Korea is uncertain. the same model is a mistake, though the China that hit $232.5 billion last year. House Speaker Nancy Pelosi (D., damage will be much more limited” “What does this new trade agenda mean in real- Calif.) and the Democratic leadership without trade promotion authority. ity?” asked Missy Branson, senior vice president of dealt a blow to Bush’s trade agenda Dirnbach said unions are pressing the National Council of Textile Organizations. “Does before the recess, refusing to renew for a wholesale overhaul of trade models it mean [Democrats] just pass a bill [they] know will the president’s trade promotion au- and warned that Democrats could face a never see the light of day, but feel like it has given thority, which expired June 30, and backlash at the polls next year if they forge members the cover they need, or does it actually mean withdrawing support for free trade ahead with the Peru and Panama accords. [they] want something enacted? None of that is clear.” pacts with South Korea and Colombia There is a growing consensus that Branson said she was hopeful Democrats and “vulner- until they are revised. House Ways and Means chairman Charles able” Republicans facing re-election would seek to secure Pelosi and other House leaders said they Rangel (D., N.Y.) will have a diffi cult time enactment, not just passage, of legislation that addresses would still likely consider trade deals with Peru convincing many freshmen Democrats who were what the textile industry sees as major trading problems and Panama, but the new policy statement left many elected on “fair trade” platforms last year to support with China, such as currency and customs enforcement, experts skeptical of any move by Democrats toward deals that could hurt their constituents. before they move to bilateral free trade deals. free trade proposals this year and possibly not until In the Senate, Democrats hold 49 seats and are hav- She said the consensus, however, was that if after next year’s presidential elections. ing a tough time fi nding the 60 votes needed to cut off Congress could not pass any of the four free trade “The conversation on trade has shifted from of- debate and end Republican fi libusters on Democratic agreements by the end of October, the window of op- fensive to defensive,” said Tim Kane, director of the legislative priorities. Many top trade senators, in- portunity would pass until after the 2008 election. Center for International Trade & Economics at the cluding Sen. Max Baucus (D., Mont.), chairman of the Stephen Lamar, executive vice president of the Heritage Foundation, a conservative think tank in Senate Finance Committee, share with their counter- American Apparel & Footwear Association, said, “Obviously, Washington favoring a pro-trade agenda. “Congress is parts in the House a reluctance to move forward on [Democrats] are signaling their lack of interest or their un- not talking about how far to move the cart forward. It’s bilateral trade deals until enforcement and competi- willingness to pursue an FTA-driven agenda,” with the pos- talking about how far to move the cart backward.” tiveness issues are addressed. sible exceptions of accords with Peru and Panama. 22 WWD/GLOBAL, JULY 2007

Textiles & Trade Han Feng Rediscovers Chinese Market

By Lisa Movius Han Feng in her of her customers here are wealthy foreign tourists studio in Shanghai. “who come to China and want something unique.” SHANGHAI — Han Feng is trying to disprove the The rest “are local, like art dealers, successful artists Thomas Wolfe maxim that you can’t go home again. and businessmen’s wives. Compared to New York, I The designer, who moved to New York in 1985 get more artists and more businesswomen, and law- from her native Shanghai, has been visiting this yers and bankers who are successful enough to brave city regularly for seven years and in 2006 began wearing something more unusual.” living here part-time. She’s now exploring the Han admitted she was still fi guring out how challenge of reentering a Chinese market that has the fashion industry works — or, often, does not changed dramatically from the one she left. work — in China. Her fi rst show was about “see- “When I left, I never thought I’d come back. In ing how China works, who is good for me and not, the 1980s, it was still very painful, very hard for getting to know the p.r. companies and making artists in China,” she recounted. friends. Chinese p.r. companies are not profes- “I like the scene here very much, but on the sional; they’re still learning. They think they know street what they’re wearing is just what is left over everything, but they don’t,” she observed. “I don’t from what’s made for exports,” said the designer know much about luxury brands, since I don’t look about her native Shanghai. However, “China is like them. From what I had heard, I expected that growing, and fashion here will soon have its own Plaza 66 would be supergood, but I went and no- personality. body was there. Maybe I went at the wrong time?” “When I left China, there was no fashion at all,” “I love the parties here; H&M [for the open- she recalled. “Now, it has everything. But I don’t ing of its store] was my favorite,” Han enthused. really know. I am still like a tourist here, living on “No one will spend this much on events in New an island, in the parties, on these blocks [around York. The fanciest was Prada at the Peace Hotel. Huaihai Zhong Lu], so I just see a small portion of The crowds for these in Shanghai are pretty good, China. And there are so many brands coming into the market, I wouldn’t know how to much more fashionable. People dress up more here than they do in the U.S.” choose between them if I was just here and going on their local marketing.” The other main difference, she observed, was that “in New York, it is inspiring to She said her favorite local designers were Ca Gang and Zhang Yali, but she cited see so many other designers. In Shanghai, you see all the traditional craftsmen who the example of a Chinese-American aspiring designer living here who was recently can make anything imaginable by hand. I am inspired in the U.S. by artists. Here, featured in Chinese Vogue, despite not actually having any products yet. “The maga- craftsmen can let you explore production techniques that, in the U.S., would be too zines are desperate to have anything to write about,” she said. expensive, if doable at all. Here, you can make something happen, and very fast. In In April, Han had her fi rst show here, a glitzy affair at the historical Children’s Palace. the U.S., everyone plans very far in advance, and you can only move so fast.” She had a sales space at Three on the Bund’s third-fl oor boutique from December 2003 Han is slated for inclusion in two large exhibitions in the fall showcasing con- to spring 2005. “I had had a good deal with Handal [Lee, the project’s former director], temporary Chinese creativity, one at the Victoria and Albert Museum in London and based on sales commission, but the management of Three on the Bund changed, with another in Ontario curated by the International Center for Photography’s Christopher Handal not in charge anymore, and the new management was not cooperative and they Phillips, a well-known promoter of Chinese contemporary art. wanted high rent,” she said of her reasons for giving up the shop. But her adjustment to living in Shanghai has come with some bumps, she admitted. She now sells out of her home and studio, located in the Art Deco Jinjiang Hotel, and em- “My surprises coming back were some not-so-good things. Communication, dealing ploys a team of four, while exploring other possible sales outlets. “China contains my mar- with Chinese people, contrasts with the U.S., where white is white, red is red. Here, ket, and lots of Shanghainese come shopping,” she said, adding that about 60 to 70 percent they say they understand when they don’t, and it sometimes brings back old feelings of frustration,” Han explained. “In the U.S., people are straightfor- ward, will say whether they like something or not, yes or no. So coming back, I can understand the language but not always the nuance, so I have to think everything through. It would be easier here if I understood less.” Nonetheless, “I was very touched, after being out of China for 20 years, there are still so many earthy people here.” Style goes bigger.

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Tavex Opens N.Y. Showroom China Restrictions Aid Indonesia By Ross Tucker By John Zarocostas NEW YORK — Global denim fabric powerhouse GENEVA — Safeguard quotas imposed on China by the U.S. and Tavex Group will open a new sales offi ce and ser- European Union in late 2005 have been a boon to Indonesia’s ap- vice center here next week that it hopes will be parel industry, according to a World Trade Organization report. the platform for expansion in the U.S. market. Indonesian apparel exports to the U.S. have performed bet- The new offi ce and showroom, on Spring Street ter in categories restricted by the China safeguards, the report in SoHo, will be unveiled at a grand opening party noted. During January to May 2006, exports in restraint items on July 19. increased by 30.9 percent, to $975 million, compared with $745 Jake Fraser, a 25-year denim industry veteran, million in shipments reported during the same period in 2005. joined Tavex in December as director of sales and The study concludes that after the global quotas were marketing for North and Central America. Tavex scrapped on Jan. 1, 2005, Indonesia and other Asian suppli- is looking to beef up its presence in the U.S. and ers, including China, increased collectively the volume of position itself as a reliable Western Hemisphere apparel shipments to the U.S. market by about 32 percent in sourcing alternative, Fraser said. value terms. Tavex, based in Madrid, was formed last year Indonesia posted a 20 percent increase in apparel exports, with the merger of Santista Textil, Latin America’s to $2.8 billion from January to May 2006, boosting market share Inside Tavex’s biggest denim maker, and Tavex Algodonera, to 4.2 percent from 3.7 percent the year before. In the process, new SoHo Europe’s largest denim manufacturer. Although the Indonesia captured a larger share of the U.S. market, 5.2 per- showroom. European arm is long established, Fraser said the cent compared with 3.9 percent during the period. company had been underrepresented in the U.S. The report, prepared by the WTO for a review of Indonesia’s Fraser acknowledged that sourcing fabric in coming to America,” Fraser said. “We’re position- trade, notes that in addition to increases stemming from the the Western Hemisphere had presented chal- ing ourselves to be a reliable alternative to some temporary quotas, the apparel industry “has a number of lenges to brands and retailers. Tavex hopes to of the options [brands] in this hemisphere.” strengths, which should enable it to expand its share in inter- take better advantage of the proximity of Latin Fraser and his North American team have national markets.” American countries and the benefi ts available rushed to put together their fi rst denim fabric col- In 2005, Indonesia’s textiles and apparel exports totaled $8.7 under trade programs such as the North American lection for fall 2008. billion, making the industry the second-largest hard currency Free Trade Agreement and the Central American “What we’ve tried to do is, fi rst of all, show the earner after petroleum. In 2006, Indonesia was ranked as the Free Trade Agreement. capabilities, to show all the things we can do with world’s 21st-largest exporter in the sector, as merchandise ship- “Mexico has not done this well, so we’re trying a piece of denim using current trends,” he said. ments grew 21 percent, to $104 billion. to fi ll the void,” Fraser said. “For this fi rst collection, we’re trying to bring a Indonesia’s textiles and apparel industry, which includes a Tavex has made substantial investments in credible collection that you can sink your teeth workforce of 1.2 million people and more than 4,500 factories, Mexico and Latin America to establish facilities and into. It’s something we can use to begin the dia- is “vertically integrated, encompassing almost every stage of introduce state-of-the-art equipment. Fraser said logue of where we can go from here.” production,” the report stated. the company had purchased facilities in Mexico ca- Fraser described the SoHo showroom as Another competitive plus is its large and relatively cheap pable of producing 30 million linear square meters Tavex’s “hub.” labor force and the industry’s “proven capacity” to produce of denim a year. In addition, it has purchased land “The designers of the world, when they show New quality mid- to high-level items for export, the report added. in Honduras on which it plans to build another fa- York, they obviously come through SoHo,” he said. Herry Soetanto, Indonesia’s director-general for internation- cility over the next two to three years. The company intends to evolve into a full-pack- al trade, told WTO delegates the economy grew by 5.5 percent “We’ve got two great corporations that have age provider over the next couple of years, as well, last year and was on track to grow 6.3 percent in 2007. merged together in the denim business and are in response to growing demand from brands.

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By Evan Clark ishable, like strawberries. Apparel, especial trendy looks with a short shelf life, can fi t into both of those categories and are an important part of the air freight industry, WASHINGTON — As fuel prices rise and brands get better at producing globally, fewer said Dahl. shipments are taking to the air en route to their final destinations. “Getting something into the marketplace and being able to stay on top of trends is However, shipping via plane remains an important tool for fashion producers very important to retailers,” said Dahl. “We’re paying more to move goods by air now working on a particularly tight deadline, as well as stores looking to control their in- than we did three years ago and the airlines and other companies involved in the air ventory and keep their selling fl oors fresh. Those choosing to ship by air simply have freight industry are imposing fuel surcharges. The amount of fuel surcharge is higher to be willing to pay for it. Air transport is about six to 10 times more expensive than on the air side than it is on the ocean side.” ocean transport. “The air freight volume [for apparel] has been decreasing for the last two years,” said Anthony Chan, president of Star Global North America, a logistic fi rm special- izing in air transportation. “We see a substantial decrease in volume for apparel. This year, the volume has dropped by 30 percent based on the customers that we’re handling, which are the leading importers.” Chan pinned the drop on two factors — the push for cost savings and better planning on the part of importers. The fuel surcharge on air freight now weighs in at 65 to 75 cents per kilo, or 2.2 pounds, though base prices for air freight have not changed dramatically, he said. “The average cost has become quite stable,” said Chan. “More and more aircraft are being pumped into the market.” Some shippers are using a combination of sea-air programs that help them move goods quicker than they could using all-water transport but at a lesser cost than full-price air fare. In the case of China, this often means putting goods on a boat to Pusan, South Korea, and fl ying them to the U.S. from the Incheon International Airport. Chen said this route costs about 30 percent less than shipping from China by air, if the sender can afford a couple of more days of transit time. The decrease in air freight might also show a maturation, as globalization has taken hold and apparel fi rms and other importers get better at navigating the international transportation system and deciding when to lay down the extra money for air. “Depending upon the product type and origin, shipping by air could save one to three weeks, at a cost of $1 to $3,” said Bob Zane, chairman of the U.S. Association of Importers of Textiles & Apparel and a former Liz Claiborne senior vice president. “Is it worth it? Sure, if the product would otherwise arrive late, if it’s in hot demand, if its appearance at the store is likely to generate more sales.” Zane said almost all companies use a combination of air and ocean transportation to get goods to market, with some companies taking to the skies for 80 percent of their shipments. “If you bring it in by air, it takes a lot less time,” said Stephen Lamar, executive vice president of the American Apparel & Footwear Association. “You’re not depending on clearing stuff through the West Coast ports, which many times run well, Air transport can cost six to 10 times more than other shipping methods. but have had their diffi culties over the last couple of years.” Many times, brands turn to air freight to make up time for production glitches such as raw material shortages or longer than expected color approval processes. Shipping via air can also be used to gain a competitive advantage. “It’s obviously much more expensive, but if you can sell more of your goods at a higher price, than you might be able to recover more than the amount of the higher prices associated with the air freight,” said Lamar. Vendors can also use air freight to their advantage. Such was the case for intimate apparel fi rm Bifl ex, which helped J.C. Penney roll out its Ambrielle private label line this year. “Because it was such a high-profi le and important rollout for J.C. Penney, we made the commitment to ensure that the product would be in stores for the launch and to do it we invested $1 million in air freight,” said Joe McConnell, senior vice president of operations at Bifl ex. The company also bypassed its own distribution center and sent the goods directly from its freight forwarder to Penney’s. “Many times when you air freight you’re doing it knowing you’re going to lose your margin, but you do it because the customer’s important to you,” said McConnell. In general, goods that are shipped by air share a few traits, said Bob Dahl, project director at Air Cargo Management Group, a Seattle-based consulting fi rm. Usually, the goods have a high value-to-weight ratio, like an iPod, or are per- CARGO PHOTO BY RAPHAEL VAN BUTSELE/GETTY IMAGES; PLANE BY CHARLES THATCHER/GETTY IMAGES BUTSELE/GETTY VAN CHARLES IMAGES; PLANE THATCHER/GETTY RAPHAEL BY CARGO PHOTO BY Importers Lobby for Change in Status of Chinese Producers

WASHINGTON — Lobbyists for importers encour- placed on the role of market forces are not consistent Importers, on the other hand, saw promise that the idea aged the Commerce Department last week to recog- with recognition of China as a market economy under offered a multitude of suggestions that, if adopted, might nize some Chinese producers as market-oriented en- the U.S. antidumping law, the evolution in China’s allow Chinese producers not directly tied to the govern- terprises, a distinction textile lobbyists are resisting economy nevertheless has led the department to con- ment there to get lower duty rates in antidumping cases. because it could lead to lower duties in antidumping clude that it is possible to determine whether the state “J.C. Penney fi rmly believes that the department trade cases. has bestowed a benefi t upon a Chinese producer,” said should adopt an approach that enables individual com- Antidumping laws and policies, which are intend- Spooner, in his call for comments in May. panies to control their fate by concentrating on criteria ed to offset the impact of unfairly priced imports, are The deliberations come after Commerce’s deci- that are, to a great extent, within the company’s abil- turning into a key front in the battle between U.S. tex- sion this spring to accept a countervailing duty case ity to control,” Hunton & Williams attorney Douglas tile producers and apparel importers. on glossy paper from China, reversing a 23-year-old Heffner wrote in comments fi led on behalf of the re- Domestic textile companies cannot currently bring policy against using such trade remedies on imports tailer. “Such an approach would encourage Chinese antidumping or countervailing duty cases against ap- from non-market economies. companies to fully adopt market business practices.” parel imports, but they hope to gain broader access to Cass Johnson, president of the National Council of Limiting the chance of a dramatic spike in prices as such trade remedies by the time quotas on 34 types of Textile Organizations, warned that Chinese apparel the result of an antiduty decision could help maintain Chinese-made goods, including cotton trousers and producers received a broad array of subsidies and that stability in the sourcing market. sweaters, expire at the end of 2008. opening a “loophole” for certain companies to receive “They’re opening a door for multinational compa- Headed by assistant secretary David Spooner, market status could hurt domestic manufacturers. nies that have made investments in China and Vietnam the Commerce Department’s International Trade “NCTO believes that such a proposal is ill-con- to continue to serve their customers and not have to Administration asked the industry to weigh in on ceived and would dramatically weaken our existing make their investment decisions based on antidump- whether the department should consider granting trade laws, trade laws upon which the domestic textile ing policy in the U.S.,” said Brenda Jacobs, counsel market-economy treatment to some Chinese fi rms and industry will be forced to rely once the U.S.-China tex- for the U.S. Association of Importers of Textiles & what standard should be used. tile bilateral agreement expires on Jan. 1, 2009,” wrote Apparel, which also fi led comments to Commerce. “Although the limits the [Chinese] government has Johnson in his comments. — E.C. YOUR FASHION LINE AND MAERSK LINE . . . ALWAYS IN SEASON

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Marketing group did not return calls for comment by press time. Adidas Revving It Up Victoria’s Secret fi led a complaint on June 19 against Sexy Hair Concepts over use of the word “sexy.” The case, fi led in Manhattan fed- With Earnhardt Deal eral court, is an appeal of a fi nal decision of the Trademark Trial and Appeal Board of the didas is starting its engine Authority, which has more than CHANEL FILED A TRADEMARK INFRINGE- United States Patent and Trademark Offi ce. Awith Dale Earnhardt Jr. 400 doors nationwide. Previously, ment and counterfeiting lawsuit against Stacy In 2002, Sexy Hair Concepts fi led oppositions The German athletic giant Earnhardt products had been Ann Rothermel, also known as Stacy Kolb, with the U.S. Patent and Trademark Offi ce in has signed a multiyear deal with sold at racetracks and chain who does business as PBPB-Online.net, PBPB- response to Victoria’s Secrets attempt to reg- the NASCAR driver for Dale Jr. stores, according to Adidas. Accessories.com, Palm Beach Posh Boutique ister the “So Sexy” trademark for hair care. women’s, children’s and men’s “We are leveraging the rela- and Palm Beach Accessories. According to A decision was rendered that upheld Sexy apparel, accessories and foot- tionships Adidas has with those court documents fi led in federal court in south- Hair Concepts’ opposition. The case fi led last wear, including his future racing places and taking the Dale Jr. ern Florida on July 2, Chanel alleged that month seeks to reverse that decision and allow suit and technical footwear, plus fan product distribution to a Rothermel advertised and sold counterfeit Victoria’s Secret to register the “so sexy” trade- off-track footwear and fan appar- channel it’s never been before,” handbags, wallets and costume jewelry bearing mark. Representatives for Sexy Hair Concepts el. Earnhardt will introduce the an Adidas spokeswoman said. Chanel trademarks. Chanel is seeking prelimi- did not return calls for comment by press time. line, which hasn’t formally been Earnhardt and Adidas plan nary and permanent injunctions, damages and Convenience stores and gas stations should named, at the February 2008 sea- to add technical features like trial costs. The defendant could not be reached take notice: Oakley is taking the sale of prod- son opener in Daytona, Fla. ClimaCool, which lowers body for comment. ucts it believes infringe on its intellectual Adidas and Earnhardt made temperature and combats ath- Separately, Chanel filed a trademark in- property very seriously. The company fi led a the announcement Friday at lete fatigue — which could be fringement lawsuit on June 26 in Manhattan handful of unrelated cases against convenience Daytona after Earnhardt quali- helpful in the extreme tempera- federal court against Brigitte Vaughn. Vaughn, store operators in Florida in recent weeks. The fi ed for the Bush Series. The tures of the cars. also known as Brigitte C. Sierau, Bright Vaughn fi rst, against Muntasher M. Jaber, Ayman Her deal follows Earnhardt’s deci- “We are really treating and Bibi Inc. does business as bibisbling.com M. Jaber and 3J’s Stop Shop Inc., which does sion earlier this year to leave [Earnhardt] as an athlete, and and bibisblingbling. According to legal docu- business as Floral City Foods, was fi led on June DEI, his father’s racing team. he’s bringing his expertise from ments, Chanel alleged that Vaughn sold counter- 27. According to court documents, the suit aims “I’ve been wearing Adidas my inside the race car and putting feit handbags and costume jewelry that copied to “combat the willful sale of unlicensed and whole life,” Earnhardt said in a his fi ngerprint on every prod- both its trademarks and the look of its products. counterfeit products, chiefl y sunglasses, bearing statement. “I’m excited to bring uct,” said the Adidas spokes- Chanel asked the court for preliminary and per- Oakley’s exclusive trademarks.” Oakley seeks a Adidas into our sport, introduce woman. “NASCAR spends mil- manent injunctions, damages and attorney’s fees. permanent injunction, damages and trial costs. them to our loyal fan base and lions of dollars trying to improve Vaughn could not be reached for comment. In an unrelated case, fi led June 27 in the work with them to apply their the car, but no one pays attention Richemont North America Inc. and Cartier Middle District of Florida, Oakley fi led a lawsuit performance technologies and to what the athlete is wearing. International fi led a lawsuit against Sweepstakes against Mohammed Azam and Monu Enterprises innovation to create cutting-edge We see this as an opportunity Clearinghouse, a division of Allied Marketing Inc., which does business as Deland Discount products that will help me as a to be the link between man and Group Inc., for allegedly selling watches that in- Market, which is also a convenience store and gas race car driver and allow me to machine, and an opportunity to fringe on the company’s Pasha de Cartier trade station. Oakley asked the court for a permanent remain true to myself.” enter into a sport that hasn’t had dress. The lawsuit, fi led on June 28, excludes a injunction, damages and trial costs. Oakley also The line retails from $20 for a lot of innovation in its suit.” number of specifi c models that are the subject a fi led suit against Ahmad Yousef, Khitam Yousef a T-shirt to $2,000 for a race suit. The deal with Earnhardt of another pending action. Both actions were and Shaden Super Kwik Inc., which does business Adidas declined to make volume drives Adidas into the world of fi led in Manhattan federal court. Richemont as Texaco Super Kwik with similar allegations on projections for the collection. NASCAR, adding to the com- and Cartier asked the court for a permanent June 28. Defendants in the three cases could not Dale Jr. licensed products, roll- pany’s portfolio, which also in- injunction, damages, a list of people who have be reached for comment by press time. ing out in February, will be sold cludes partnerships with the purchased the goods and trial costs. Allied — Liza Casabona at Adidas stores and at sporting NBA and NFL. goods retailers such as Sports — Whitney Beckett WWD/GLOBAL, JULY 2007 27 WWD.COM John Hardy Founder Sells Stake in Firm By Sophia Chabbott ohn Hardy, founder of the namesake Bali jewelry brand, has sold his stake in Jthe firm to company president Damien Dernoncourt and creative director Guy Bedarida. Terms of the deal were not disclosed. Hardy will become the brand’s ambassador and continue to help provide creative vision. His wife, Cynthia, will be a merchandising consultant. Terri Eagle, who joined the company from competitor David Yurman in 2005, will retain the title of president and chief executive offi cer of John Hardy USA. “In a world of many possibilities, I have taken the necessary steps to ensure that the brand realizes its full potential,” Hardy said in a statement. “Damien has taken the reins and I support him fully. I will now be able to do what I do best, which is to focus on environmental leadership, John Hardy jewelry. preservation of local culture and traditions, and social responsibility.” Dernoncourt, 35, has been president since 2003, and Bedarida, 43, has been in his role since 1999. An unnamed private equity fi rm backed the deal and Lincoln International acted as a fi nancial adviser. It is unclear whether Hardy owned the majority in the fi rm or if he had partners. Hardy’s sales in the U.S. reached $150 million last year. The brand, known for its nature-inspired pieces using bamboo and indigenous Balinese fl ora in its silver and 18-karat gold jewelry, has started expanding internationally to China, Japan, Russia and the Middle East. The brand is sold in Neiman Marcus and Saks Fifth Avenue. “We are a lifestyle brand and our strength is really in jewelry,” Dernoncourt said. “We are about handmade luxury product © Christian Chaize and luxury with a soul. We believe that it’s a brand with a real spirit, a real soul and a great future. The brand attributes are very strong.” Bedarida said, “We’re really following the heritage that John has given us. John is sort of a spiritual father to us. It’s an in-

Guy Bedarida and Damien Dernoncourt credible, exciting new era.” All of Hardy’s products are made on his compound in Bali. The company has headquarters in Hong Kong and 1,400 employ- ees across the globe. John and Cynthia Hardy are opening a day school in Bali called Kul-Kul, for nurs- ery through eighth grade. The school, which will teach ecologi- cal and social sustainability, will have boarding facilities and, eventually, a high school. In the past few years, the brand has focused on its core competency, women’s jewelry. Now it plans to expand the distribution of its home collection and will show at Maison et Objet in Paris in January. Up next for the brand are a slew of stores in the Middle East, Europe and Japan, with partners that will be announced in the next few months. The ﬁ rm has one store in Malaysia and another in Hong Kong. The company has no plans to roll out stores in the U.S., with the exception of a Manhattan The World’s Premier Fabric Show™/ Parc d’Expositions Paris-Nord Villepinte - France / from Tuesday 18 to Friday 21 September 2007 ﬂ agship slated to open in the next 18 months. PREMIERE VISION C/O France Ligne Inc. - Tel.: [1] 203 698 7460 / [email protected] / www.premierevision.fr The company’s focus will be on its Cinta collection, which offers one-of-a-kind pieces with rare stones. sparking-deviating-transforming-allying-committing “There are multiple opportunities,” Dernoncourt said. “We want to give a real energy to the Cinta collection.” 28 WWD/GLOBAL, JULY 2007 WWD.COM Limited Sells Stores Unit

Continued from page one Stores, said in a statement. “This transaction will namesake Limited Stores to an affi liate of Sun provide Limited Stores with an opportunity to Capital Partners Inc. in a noncash deal. The pri- benefi t from Sun Capital’s extensive retail experi- vate equity fi rm will contribute $50 million in ence as we deepen the penetration of our target equity capital to the business and arrange for a audience — young, sexy American women in their $75 million credit facility. The transaction is ex- late 20s that need contemporary fashions for work pected to close in the next 30 days. Limited will and play.” not receive any cash from the deal, and expects to Aaron Wolfe, vice president of Sun Capital record an aftertax loss of $42 million on the trans- Partners Inc., said in a statement, “Limited Stores action. Limited Stores is a contemporary brand of is an iconic American retailer with a loyal cus- women’s apparel sold in 260 stores in 42 states. tomer base. We are looking forward to working Limited Brands also said it closed on an agree- with Linda Heasley, Avra Myers and the rest of the ment to sell a majority interest in its Express team to fuel growth and maximize Limited Stores nameplate to Golden Gate Capital for $602 mil- potential.” lion. The stake, initially for 67 percent of the As for Express, Stefan Kaluzny, managing di- company, was upped to 75 percent, and the $602 rector of Golden Gate Capital, said in a statement: million includes an additional $54 million for the “This is a terrifi c day for Express, its associates increased stake. and Golden Gate Capital. We are very excited “We have moved from a portfolio of brands about the prospects for the company, one of the and businesses to an enterprise powered by two leading specialty retailers in the country.” world-leading brands: Victoria’s Secret and Bath The private equity fi rm also said it had named & Body Works…the best brands in intimate ap- Michael Weiss ceo of Express. Weiss led Express parel and personal care,’’ Wexner said in a state- for most of the period from its founding in 1980 to ment. “These strategic actions will better position his retirement in 2004, Golden Gate said. Express and Limited Stores for future growth and The sale proceeds from Express are expected profi tability and enable the ‘new’ Limited Brands to be used partly for the company’s $1 billion stock to derive the benefi t of our increased focus.” repurchase program announced on June 22, the The company’s apparel brands, which once company spokeswoman said. accounted for more than 70 percent of revenues, A fi nancial source said that BBW and Victoria’s now represent less than 20 percent of Limited Secret were brands that could be taken overseas. Brands’ revenues of $10.7 billion a year. Limited Express and Limited didn’t have the potential for had sales last year of $493 million, and Express that type of exposure. had revenues of $1.7 billion, according to the com- For now, the company is sticking with its cur- pany. Victoria’s Secret and BBW now account for rent name, preferring the tag “new” Limited the bulk of sales. Brands to highlight the shift in focus, the spokes- International expansion is high on the compa- woman said. ny’s agenda, a company spokeswoman said, con- Analyst Mark Montagna at C.L. King said, “I fi rming recent market rumblings. Propelling that think at some point, perhaps, the company may interest is the company’s La Senza operation in change its name. What might it be? I don’t know. the intimate apparel market. Maybe the company will resurrect Intimate “We do believe that there is an opportunity Brands.” internationally,’’ the spokeswoman said. “We are Wexner started the company with a single working with La Senza to better understand the store called Limited, which opened in Columbus, dynamics. We understand the success of their Ohio, in 1963. Over the years, the retailer has gone brand in Canada, so that helps us to better un- through various sell-offs and spin-offs. derstand the broader, bigger North American In 1995, the retailer established Intimate picture. The way they work with their licensees Brands as a separate entity just for Victoria’s internationally also helps us to understand how to Secret and BBW. The new entity was reintegrated do business abroad. They have two international into Limited Brands in 2002. Abercrombie & Fitch business models already in place, and we are at was spun off in 1998, and New York & Co. was sold the beginning of our ability to explore [interna- to Bear Stearns in 2002. tionally].” Montagna believes the future of the Limited She said the company had not set any time Stores and Express businesses is an increased frame for international expansion. While La Senza presence in strip shopping centers. As for has opened many doors, the fundamental question Victoria’s Secret and BBW, “There are some op- for Limited management to consider is the appro- erating synergies between the two since Victoria’s priate next step, the spokeswoman said. Secret also sells perfume and lotions. The two are “We are pleased to have entered into an agree- the most dominant brands for their particular sub- ment with an affi liate of an experienced fi nancial sectors. Both have been posting operating margins sponsor,’’ Linda Heasley, co-president of Limited consistently at 18 percent each,” he said. Miu Miu Reopens in SoHo NEW YORK — Miu Miu is back in business in SoHo. An interior view of the reopened After a monthlong renovation, the label re- Miu Miu boutique on Prince Street. opened at 100 Prince Street here on Monday, unveiling the Prada division’s new concept — an inviting space swathed in warm golden hues. Designed by architect Roberto Baciocchi, who has also created the interiors for Miu Miu stores in Milan, Paris, Hong Kong, Florence and London, the SoHo space features details that refl ect the collection, from walls and ceil- ings covered in gold silk brocade to perforated steel and cast iron fi xtures. Elements of the interior can be changed easily and are expected to evolve over time to refl ect the evolution of the label. The look is inspired by Lapérouse, the Paris restaurant where Miu Miu held its fall-winter 2006-07 runway show. The SoHo store, at about 2,000 square feet, carries the fall women’s collection as well as women’s handbags and shoes. Miu Miu fi rst opened the store in April 1996 with a minimal interior, including industrial fi x- tures and a red wall. Prada has stepped up its efforts for Miu Miu, and

has been carving out a separate identity for it in re- THOMAS IANNACCONE PHOTO BY cent seasons. In the U.S., the renewed brand-building efforts will reach a crescendo this fall, when a of Lalique. Both are expected to feature the new 7,000-square-foot unit opens at 11 East 57th Street, gilded store concept, which was launched in Milan, which now houses Jil Sander, and at 317 North Paris and London last fall. Rodeo Drive in Beverly Hills, the former home — Marc Karimzadeh WWD/GLOBAL, JULY 2007 29 WWD.COM

the fi rst half of this year, it was coming S.I. Newhouse Jr. is said to have seriously unavoidable, sources indicated. off a 41 percent decline from the same considered pulling the plug back in July — Irin Carmon and Stephanie D. Smith MEMO PAD period in 2006. Moreover, an informed 2005, at Pratt’s departure, but changed his source said that “an overwhelming mind. For her part, Pratt, who now hosts SOBERING UP: Proof that a magazine’s JANE’S GOODBYE: Condé Nast’s decision majority” of Jane’s advertising came from a talk radio show on Sirius, said she was death can come even before it launches, to fold Jane magazine early Monday was, company-wide group buys, and even then, sad but not surprised. “I left with the idea Bauer Publishing has scrapped plans to despite a well-respected editor and a advertisers with multititle commitments hoping that it would do really well…[but] I launch Cocktail, its new twentysomething publisher brought in for a turnaround, sometimes declined to place in Jane. was not involved with the selection of the magazine set to make its debut in widely considered inevitable for a (Lamadrid contended, “A lot of ads were editor in chief. So from the moment [my September. Cocktail would have been a magazine long on life support. A total unique to Jane, like Billabong, Roxy, that departure] was announced, I didn’t have weekly title with a cover price of $2.49. of 60 staffers, including business and kind of stuff.”) Lamadrid said, “It’s a anything to do with the magazine,” she The company cited “uncertain conditions editorial, are affected, and though editor decision that was made. It is what it is. We said. “At that point, once I saw where it in the single-copy marketplace” as reason in chief Brandon Holley and publisher have to deal with it.” was going, no, I didn’t think it would last for its demise. Though Bauer has built a Carlos Lamadrid are assuredly leaving the Indeed, George Janson, managing forever.” She added, “I think that it became successful franchise on its stable of low- company, the offi cial line is that jobs will partner and director of print of Mediaedge: a lot like the other magazines out there.” cost, newsstand-heavy magazines, from be sought within the company for the rest. cia said, “There have been a lot of Throughout the past year, Jane’s editor Woman’s World to its celebrity weeklies With both advertising and circulation questions for some time about the and publisher tried to counter persistent In Touch and Life & Style, getting another woes, executives at the company said magazine and its vitality. Circulation was doubts about the magazine’s future low-cost title in the marketplace may it had given up on Jane fi lling out its the main concern.” by positioning it as newly relevant to a have proven more diffi cult than before. portfolio by reaching a twentysomething The magazine was redesigned in zeitgeist change among twentysomethings Wholesalers have become frustrated female demographic. Sources said there September 2004 by founder Jane Pratt, from, in the words of its marketing about the diffi culty in eeking out profi ts had been no talk of replacing Holley, then twice more by Holley in March materials, “antiestablishment/angry/ from magazines with cover prices below though the future of Lamadrid, the 2006 and this April. But newsstand sales slackers” to “pretty/fun/optimistic.” They $2.50, according to reports from The magazine’s third publisher since 2005, continued to sink 14.8 percent in the insisted that the long-term corporate New Single Copy, a magazine circulation had been in question. The magazine was fi rst half of last year, and 20.4 percent investment in the title and its Web site newsletter. Additionally, some distributors put on serious watch starting in March, in the second. Total circulation in the indicated no plans to shutter it, and have been asking for guarantees of and top brass made their fi nal decision second half of last year grew 1.9 percent, Wallace assured WWD in August that the payment up front from Bauer in order to between Thursday and Saturday, just after to 713,581, but partly on the strength of company was pleased with Jane’s metrics. distribute the magazine, according to one returning from vacation. 152,800 verifi ed copies, which are largely Even through the diffi cult year that publishing executive. Though guarantees After the news, Holley spent the giveaways, or public place distribution. followed, Jane’s executives had privately aren’t unusual, “it can happen, especially afternoon making calls on behalf of her The closure plausibly came as a pointed to House & Garden, a title that the if someone is unsure that something staff, and was said to be stunned by the surprise to Holley, who was set to leave company had allowed to fl ounder for years will sell,” said the publishing executive. closure, believing that the magazine was Monday for Uganda with Natalie Portman without shutting it down a second time. Executives from Bauer declined comment in positive turnaround and that six more for a story in the December-January issue, But, unlike House & Garden, one of the on distribution. months would have made the difference. and reportedly had met the Friday before original Condé Nast magazines, Jane was Aside from its distribution challenges, The coming September issue was 25 with vice president for editorial operations something of a stepchild in the reorganized Bauer chief executive offi cer Hubert Boehle to 35 ad pages below last year’s 121.52, Rick Levine to discuss the Web site budget Condé Nast, a small title launched under was said to have been less than thrilled according to a source close to the decision- for 2010. Fairchild Publications. with the fi rst test issues of the magazine. making, and while that fi gure had been up After Holley and Lamadrid were And, whereas previously, business Though content was typical of a women’s 11.5 percent from the year before, it had told, Condé Nast Publications president units under Advance Publications such service title — relationship advice, fashion already been considered a disappointment. chief executive offi cer Charles Townsend, as Fairchild could report results to and beauty trends, health and nutrition (First-bound copies of the August issue executive vice president for human Newhouse and Townsend as a whole, news — fused with some elements were already in, but the closed September resources Jill Bright and editorial director offsetting their weaknesses with their of celebrity, insiders say the editorial issue, with Naomi Watts on the cover, will Tom Wallace addressed the staff, successes, the reorganization has made direction had turned heavier on the be neither printed nor shipped.) And Lamadrid said. each title stand alone, exposing particular Hollywood news. A spokesperson for the while Jane’s ad count grew 20 percent in Condé Nast Publications chairman vulnerabilities and making action magazine had no comment. — S.D.S. 30 WWD/GLOBAL, JULY 2007 WWD.COM Garrard Opens Doors on Rodeo Drive

By Rachel Brown BEVERLY HILLS — Emboldened by new owner The Yucaipa Cos. LLC, Garrard is ready to compete with the big guns on Rodeo Drive. The London jeweler, established in 1735, will offi cially open a two-level, 3,600-square-foot U.S. fl agship today on the heavyweight retail thoroughfare. Lined with aw- nings in its signature raspberry color, the second-story store joins Georg Jensen, Tiffany & Co. and Gucci Fine Jewelry at Two Rodeo, an intimate open-air shopping center across the street from the famed Beverly Wilshire Four Seasons hotel. “You need to be here to actually be able to show that you are in the luxury business, to be able to captivate that clientele,” said Garrard chief executive offi cer Robert Procop, who scouted Beverly Hills locations all last year before settling on the former spot of Badgley Mischka and Escada Sport. Two Rodeo’s ample parking, private entrance and European feel were key selling points. Architect Jordan Mozer and interior designer Thomas Bartlett executed Garrard’s store concept, which relies heavily on natural light to illuminate the jewels. A centerpiece circular, waist- high limestone-and-rosewood vestibule topped with jewelry cases emphasizes the round store’s curves, and chandeliers by Wilkinson plc add sparkle. “From a construction standpoint, it is not something that you are going to see most people do,” Susan Moseley, The interior of the Garrard store in Beverly Hills. Left: Garrard cocktail rings. Garrard’s U.S. retail director, said of the round shape. “It was really important TYLER BOYE PHOTOS BY for us to create a romantic feel. When tail rings with colored gems and items Drive store’s wall. you walk in, you feel yourself wanting to from Garrard’s iconic Wings Collection Former owner Prince Jefri Bolkiah, the younger wander through the store. It is a relax- would be popular picks. brother of the Sultan of Brunei, combined Garrard with ing energy that is created when you have “L.A. is a city where people love to Asprey in 1998 in an effort to create a British luxury less angles and more curves.” wear color,” she said. “They are not goods powerhouse. That effort foundered as Bolkiah’s Moseley, who has 13 years of Rodeo afraid of it.” business empire quickly crumbled, leaving him buried Drive experience working with Bulgari Moseley, who helped dress celebri- under hundreds of millions of dollars of debt. and Versace, explained that Garrard’s ties for Versace, noted that the enter- Last month, Burkle added Stephen Webster to store would serve a mix of tourists most- tainment industry is “important” for Yucaipa’s jewelry assets, fueling speculation that ly staying in Beverly Hills hotels, local Garrard and that the brand would con- Garrard creative director Jade Jagger, whose con- walk-in shoppers and private clients. sider opportunities to bedazzle celebri- tract expired last year, would be replaced by Webster. To raise awareness of the brand in the U.S., the store’s ties as they arise. Seeking to dispel the rumors, Garrard spokeswoman launch will be feted with a party today and a series of “Because of [Garrard’s] strength in London and the Imogen Scrutton said the company has put out an offer in-store events. Advertising, primarily in magazines, will crossover in talent between London and here, there are to Jagger to design an additional collection. Webster has follow later this year in the U.K. and U.S. a lot of celebrities who love Garrard already and have also designed a capsule men’s collection for De Beers. “We are going to attract a lot of the local business been generous in wanting to wear it, and not expecting “We have a great relationship with Jade,” said that over the years has learned to shop when they are gifting and payment,” she said. “My philosophy has been Scrutton, who wouldn’t elaborate on the terms of the on vacation in other cities and countries,’’ Moseley said. that if you love it enough, then you just want to wear offer. As far as Webster possibly entering the Garrard “They don’t have a strong connection to somebody that it and not really any other conversation needs to exist fold, she added, he wasn’t going to “as far as I know at is here. Other retailers have lost some of that business about payment. The brand is going to attract people this stage.” and that is what we are going to gain.” naturally.” Procop declined to comment on Burkle’s plans for Garrard is set apart from its Beverly Hills competi- Garrard got a dash of corporate celebrity in March Garrard, the company’s projected revenues this year or tors by its focus on big and colored stones, Moseley and 2006 when billionaire Ron Burkle’s company, Yucaipa, anticipated sales for the Beverly Hills store. Last year, Procop said. One-of-a-kind pieces in the store for the purchased the fi rm from Asprey International for an Gianluca Brozzetti, Asprey’s group chief executive of- opening include the $6.2 million, 99-carat Cleopatra estimated $20 million to $30 million. The Yucaipa fi cer, told WWD that Garrard’s sales were estimated to Sapphire and the $6.5 million, 104.15-carat Great deal came just three days after a management buyout reach $7.5 million in the fi scal year ending March 2006. Chrysanthemum brown orange pear-shaped diamond. put Sciens Capital Management and Plainfi eld Asset “We have exceeded our expectations,” said Los “People in the U.S. are now going to see that we have Management in control of Garrard and Asprey, another Angeles-bred Procop. “Our shareholders have been those [large stone] abilities, plus we have a design com- high-end British jeweler founded in the 18th century. very supportive and obviously infused the right capital ponent that not many that deal with the bigger stones Garrard’s history is closely intertwined with the to grow.” have,” Moseley said. “That is going to separate us from British royalty. The company’s founder, George Wickes, Next year, Garrard will kick off a program that allows the other jewelers on the street and probably put us in was a goldsmith to the Prince of Wales. Queen Victoria customers to purchase a diamond designed especially the top couple that most people would fi rst think of in declared Garrard the Crown jeweler in 1843 and the for them by master cutter Gabi Tolkowsky. The company the U.S. as the carriers of the largest stones.” brand has been a choice of successive monarchs. is also looking for a retail location in New York, where In Los Angeles, where the fashion element is crucial Symbols of Garrard’s three royal warrants for silver- it now has an appointment-only salon on Spring Street to lure Hollywood clients, Moseley speculated that cock- smithing, goldsmithing and jewelry hang on the Rodeo that’s about one-fi fth the size of the Beverly Hills store.

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youngest son, Gabriel, 22 months, was having none of it, rushing to her for attention. Also on hand were industrial Delphine Arnault Fashion Scoops designer Marc Newson, Azzaro designer Vanessa Seward and Nino Cerruti. Continued from page 3 Joins Pucci Board STELLA IN LONDON: Stella McCartney plans some Channel hopping. SECRET RECIPE: What’s the one thing a The designer, who shows her main collection in Paris, will make her multimillionaire best-selling author needs PARIS — LVMH Moët Hennessy Louis debut at London Fashion Week with her activewear collection for to do on her downtime? “Learn to cook,” Vuitton, adding more muscle to one Adidas. The Adidas by Stella McCartney spring 2008 collection will according to Silicon Valley fi nancier Tom of its small brands, said Monday that close London Fashion Week with a special event — not a runway Perkins, Danielle Steel’s friend and ex- Delphine Arnault would join Emilio show — on Sept. 20. A spokesman for McCartney said the London husband. Steel, who sat in her habitual Pucci’s board. presence was the designer’s idea. He added that a new merchandise front-row perch at the Christian Lacroix WWD first reported on April 23 category would be launched at the event. The collection’s categories couture show, isn’t planning to lend her that Arnault, the 32-year-old daughter include running, gym, yoga, tennis, swimming and, most recently, prose to the joy of cooking, however. “I said of LVMH chairman Bernard Arnault, dance. It is the fi rst time that Adidas by Stella McCartney, which I would cook something for him and he was was headed to a high-level position at made its debut for spring 2005, will show in during an international afraid,” joked Steel, who has been busy the Florentine house. PHOTO BY FRANCK MURA FRANCK PHOTO BY A member of LVMH’s board since fashion week. editing her new book, “Rogue.” Floriane de Saint Pierre 2003, Arnault is also on the board of INNER WORKINGS: Vannina Vesperini is back on the retail track. The A HELPING HAND: Paco Rabanne’s metallic minis may be a distant Loewe, a Spanish leather goods and French lingerie designer, who closed her former digs two years ago glimmer, but at a recent retrospective in Kiev, Ukraine, he took a fashion house. when her company underwent restructuring, said she would open a shine to a new designer he claims is full of Eastern promise. To ease LVMH said she would bring her new boutique on Rue de Tournon in Paris’ 6th arrondissement this her on her way, Rabanne helped coordinate the fi rst couture show of fashion experience and knowledge September. Designed by François Muracciole, the two-story boutique Ukrainian designer Vernika Jeanvi, which was shown at Paris’ Galerie of international markets to Pucci, will feature a made-to-measure salon. Nikki. “Let’s just say I’ve taken on the role of the grandfather,” said which celebrated its 60th anniver- Rabanne. Jeanvi’s collection includes a dress enrobed in metallic sary last May at its 14th-century pala- FLASH DANCE: chains as well as a line of summer furs. zzo. Arnault has also worked at John At Jean Paul Galliano and the management consul- Gaultier’s JEWEL TONES: Is Marie-Hélène de Taillac mulling an expansion tant fi rm McKinsey & Co. She remains royalty-themed into clothing? At a party for fashion editor Marko Matysik, senior vice president of marketing at couture attended by the likes of Peter Dundas, Yves Carcelle and Becca Christian Dior. show last Cason Thrash, the Indian jeweler chatted about a capsule line of Since LVMH acquired Pucci in Wednesday, clothing inspired by her vibrant stones. The limited edition items, 2000, its turnover has grown sixfold, a mysterious to be exhibited at Isetan in Tokyo next month, include designs and the brand now has 30 boutiques eight-year-old by Lucien Pellat Finet, Treizeor and Indian cashmere brand worldwide. But the company has seen said to be the Kashmirhandloom. “I even designed a kimono for it,” said de its share of turmoil since the takeover, daughter of a Taillac. Ramdane Touhami is also a busy bee. Having just opened and switched artistic directors three princess was a boutique called La Maison de Cire Trudon, at 78 Rue de Seine, times. Brit Matthew Williamson will a front-row stocking candles by venerable French wax-makers, the designer show his fourth collection for Pucci curiosity for disclosed he’s behind the costumes for the avant-garde opera “Il this fall. the paparazzi. Catherine Deneuve and Tempo del Postino,” which will be part of the Manchester festival Since March, Pucci has had a new “She’s the Pedro Almodóvar. Right: later this month. The “group opera” will feature work by a host general manager, Didier Drouet, who daughter of a of high-wattage artists such as Matthew Barney and Dominique joined the house from the jewelry fi rm The mystery girl. STEPHANE FEUGERE PHOTOS BY princess; we Gonzalez-Foerster. Poiray. can’t reveal her identity,” said her so-called chaperone, who fi ddled — Miles Socha with the child’s hairstyle, retouching her makeup before, oddly, shooing off photographers. The girl was clad in a miniature Chanel jacket and handbag, knee-high boots and oversize sunglasses. Word has it she was acting as a miniature editor for a story in French daily Liberation. Catherine Deneuve, who sat next to Pedro Almodóvar, is not one to shy away from fl ashes. She just fi nished fi lming “Un Conte de Noël” with her daughter, Chiara Mastroianni, and said she planned to head “far, far away” for the summer holidays.

HEAVY MEDAL: Juggling career and motherhood is second nature for popular Paris headhunter Floriane de Saint Pierre — even when receiving a Legion of Honor medal from the French state. While business titan François Pinault praised her audaciousness, rigorous discipline and passionate approach to her work, de Saint Pierre’s 32 WWD/GLOBAL, JULY 2007 WWD.COM Heat Wave Alters Shopping Patterns FGI Chicago By Emili Vesilind but no one was buying,” she said. Penny Long, owner of the Phoenix-based specialty store pparel retailers in the Southwest said the prolonged chain Electric Ladyland, said, “It’s almost inhuman, it’s so A heat wave that has besieged the region is driving shop- hot.” Long operates stores in outdoor and enclosed centers, Fetes ‘Stars’ pers into enclosed malls — and keeping them away from and said that while sales in enclosed malls are still strong, CHICAGO — Fashion Group International of lifestyle centers and street-side shopping districts. getting customers to come to outdoor locations “is a chal- Chicago’s “Night of Stars” last month hon- But not everyone goes inside to lenge, for sure.” ored Gilles Mendel of J. Mendel, Graff, Laura shop. Long also noted that there is typi- Mercier and Saks Fifth Avenue along with Temperatures topping 105 de- cally less money fi ltering through Chicago area talent in the categories of fash- grees Fahrenheit have plagued the area in the summer. Tourism is ion, home, beauty, accessories and retail. Nevada, Arizona, western down in the hot months and “any- “I could not have been more excited to California and southern Utah for body who’s affl uent goes to their receive this award from the Fashion Group,” more than a week. The mercury beach house. They leave and then Mendel said at the Peninsula Hotel here. shot up to 115 degrees for two days the [sales] girls get on the phone “Being recognized for doing something that in a row last week in Phoenix, and they send out boxes to wherev- I love is an absolute dream.” which averages 107 degrees this er they are — San Diego, Flagstaff Mendel received an “icon” award, which time of year, and climbed to 113 in [Ariz.], Los Angeles.” is given to industry veterans and leaders. Las Vegas on Friday. One place where tourism hardly Local winners, meanwhile, won “rising star” Relief from the heat is not yet in ever falters is Las Vegas, a city fa- awards. Chicago plus-size designer and rising sight. mous for its climate-controlled star winner Tennille White joined Mendel in David Scholl, senior vice president shopping environments. Consumer the fashion category, and Graff won an icon for Westcor, a Phoenix-based subsid- spending in Sin City has been simi- award along with Chicago area jewelry de- iary of mall developer The Macerich larly resilient this past week, said signer Winifred Grace, who received a rising Co., said the heat has been a boon for local retailers. star award in the jewelry category. enclosed malls. “It’s amazing how “Traffi c has been way up at [the For beauty, Laura Mercier was recog- many people go to the mall when it’s centers] anywhere from 10 to 20 nized as an icon and Stacey Koerner, found- hot outside,” he said. “The theaters percent,” said Susan Houck, vice er of Beauty on Call, received the rising star are packed…you probably also get a president of marketing for General award. For retail, Saks Fifth Avenue also little more activity at night.” Growth Properties, which owns was honored along with Helen Yi, a boutique Scholl added that “the outdoor Fashion Show shopping center in the city’s Bucktown neighborhood. malls suffer a little in the heat,” in and the Grand Canal Shoppes at For home, Barbara Barry, won the icon terms of sales and shopper traffi c, the Venetian Hotel in Las Vegas. award and interior designer Kara Mann was but noted that annually, the compa- “Everyone’s coming inside because named a rising star. ny’s lifestyle centers perform slightly it’s just too hot out. And people are “This year’s honorees are setting the better than the enclosed properties. still walking the boardwalk. The standard for luxury in Chicago and be- Still, not everyone who comes to heat isn’t stopping them.” yond,” said Peggy Lanigan, President, cool off in a mall is there to shop, Angel Gonzales, fashion direc- Fashion Group Foundation of Chicago. said Sonia Diaz, manager of dis- tor at famed vintage store The “FGI Chicago is continuously seeking to count retailer Bon Worth in Tucson, MCNEW/GETTY DAVID IMAGES PHOTO BY Attic, said, “When people want to recognize standout design talent, and we Ariz. Diaz said shopper traffi c has A storefront sign in Palm Springs, Calif. go shopping, nothing stops them. are glad to have the opportunity to bring been up in the mall-based store, but Most of the people who shop here these icons and innovators together at one sales have been cut in half since the heat wave began. “On are tourists, and they know they are going to be melting. spectacular event.” Saturday and Sunday there were a lot of people in the store, They’re prepared.” — Beth Wilson

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™ For more information, contact Ralph Erardy, senior v.p., group publisher, WWD Style Starts Here at 212-630-4589, or your WWD sales representative. 34 WWD/GLOBAL, JULY 2007 WWD.COM Retail Districts Grow in Chicago By Beth Wilson Miller said her two-level, 2,400-square- foot store, which opened in October, is Inside Nicole Miller on Wells Street. CHICAGO — Nicole Miller decided to projected to generate $1 million in its take matters into her own hands. fi rst year, an increase of about $250,000 Less than satisfi ed with her real es- from the almost 2,000-square-foot Oak tate broker’s recommendations for a new Street location. store location here, the designer got a “I’m drawing people who haven’t been guidebook and began scouting neighbor- in the store for a while,’’ she said. “We’re hoods herself, fi nally settling on Wells revitalized.’’ Street, a tree-lined thoroughfare in the Miller has company in seeking a new Old Town neighborhood that was known retail path in Chicago. Anthropologie more for restaurants than retailing. became the fi rst national retailer last Miller’s decision to abandon fashion- December on Southport Avenue in the able Oak Street, where neighbors includ- Lake View neighborhood, and Marc by ed Hermès, Prada and Kate Spade, when Marc Jacobs plans to become the fi rst her lease expired last August after eight national name on Damen Avenue in years, refl ects the desire of many design- Bucktown this fall. Since the Jacobs an- ers and retailers to fi nd neighborhoods nouncement, BCBG and Nanette Lepore that help generate freshness and new cus- have planned to locate on Damen. tomers. Whether in Old Town here or the Around the corner, on Milwaukee Meatpacking District in lower Manhattan, Avenue, Scoop, Urban Outfitters, these merchants are looking for offbeat, American Apparel and G-Star all opened quirky and distinctive locations. in recent years, and Free People is to Although space along Michigan open its fi rst Chicago store on the street Avenue’s famed Magnifi cent Mile here, this summer. as well as on Oak Street, remains in high “It’s part of a national trend,’’ said demand, a handful of thriving neighbor- Lorraine Adney, vice president of the hoods have developed here that were McDevitt Co., who brokered deals here blips on the retail radar until residen- for Anthropologie and Marc by Marc tial construction boomed in recent years Jacobs. “Everyone is trying to get back to and led to gentrifi cation. This occurred Main Street America.’’ as some merchants sought alternatives “If you look at the big picture, national when rents reached $400 per square foot retailers are focusing on neighborhoods along Michigan Avenue and $200 per and streets, where it used to be malls square foot on Oak Street, where Jimmy and lifestyle centers,” Adney said. “In Choo took Nicole Miller’s former space, Chicago there is a great residential popu- Harry Winston and Bebe plan to open lation base in these neighborhoods and this year and Barneys New York is dou- these people are not going to go to the bling in size. suburbs to do their shopping.” “Developers are looking to develop Some of the priciest properties and communities that cater to the consumer neighborhoods in Chicago, such as the and keep them in the neighborhood,’’ said Gold Coast on the near North Side, are Melissa Turner, Chicago’s director of fash- closest to Lake Michigan. However, as ion, arts and events. “They’re looking for a residential construction took off, devel- portfolio of business and residential.’’ opers ventured farther north and west, And residents want more close- transforming areas like Lake View’s to-home retail options in gentrifying Southport Avenue and Bucktown and Chicago neighborhoods like Old Town, Wicker Park from places where recent Bucktown and Lake View. college grads could fi nd cheap rents to

“Everybody is looking for a new op- areas dominated by condominiums and KAREN HOYT PHOTOS BY portunity where [retail] rents aren’t townhouses starting at $400,000. so crushing and they’re going to where At the same time, the city’s restaurant families and professionals in their 30s and said Jake owner Lance Lawson about the their customer is,’’ said Keven Wilder, a industry and theater community have 40s, well-educated in terms of art and de- 7,000-square-foot Anthropologie open- Chicago retail consultant. prospered. “Arts and culture found a sign,’’ Turner said. “It’s very much an area ing nearby. “But it’s been a terrifi c thing. home in neighborhoods of trendsetters or trend followers that ap- We’ve seen an increase in walk-in traffi c they didn’t have before in preciate the quality Nicole Miller can bring. since they opened.’’ the city,’’ Turner said. In terms of demographics, it really fi ts.’’ Miller’s neighbors reported similar And national retail- Adney said Anthropologie executives benefi ts. ers have viable options initially expressed interest in Lincoln “It’s a real plus,’’ said John Liberty, to Michigan Avenue, Oak Park because it was more established with owner of Handle With Care, a Wells Street Street and Lincoln Park. national retail, and Bucktown because of boutique celebrating its 26th year in busi- “It shows you the retail its industry buzz. Regarding the eventual ness. “It’s good to have that name here,’’ strength of the city,’’ said decision to open in Southport, she said, said Liberty, who sells $48 Velvet T-shirts, Mayor Richard Daley, “There was a bit of an education process.’ $198 Habitual jeans and dresses by Jill who attended Miller’s Once the executives visited the street, Stuart for $398 to $550. “It brings more rec- store-opening party on where rents approach $40 per square ognition to the street and her space is such Wells Street, and has cre- foot, they understood its attraction. that it’s in keeping with the neighborhood.” ated an advisory council “This seemed like a happy marriage,’’ Miller believes her store fi ts better in to promote the fashion Adney said. “There are so many young the Old Town neighborhood, where re- and retail industry. women and young moms with strollers tail rents are about $30 per square foot. In her own journey on the street. There is a really great core On Oak Street, parking was scarce and to grow, Miller recalled Anthropologie customer.’’ tourists were plentiful. “We had to get a her broker and others Southport Avenue has evolved from person to drive cars around while peo- pushing Lincoln Park, a post-college haven for single renters ple shopped,’’ Miller said. “Tourists are where rents on the main who frequented the sports bars and en- great, but I’m much happier to tap into drag, Armitage Avenue, joyed the accessibility to Wrigley Field. our Chicago customer.’’ are about $70 per square As those renters grew older and more In trendier Bucktown, shop owners foot. The street is home to prosperous, they stayed. More restau- are “optimistically curious,’’ about Marc Cynthia Rowley, Kiehl’s rants opened, independent retail joined by Marc Jacobs unveiling its 4,000-square- and a new Intermix store. in and housing prices continued to climb foot store — its fi rst in Chicago — in the However, some residents as residents married and had kids. Now fall, said Stephanie Sack, owner of Vive and even merchants said it’s more common to see moms in design- La Femme, a plus-size boutique on the the street had lost a bit er denim pushing Bugaboo strollers than street where rents have reached $50 per of its authentic neighbor- post-frat guys in Big Ten baseball caps square foot. hood appeal because of high-fi ving their friends. “To say I’m three blocks away from the national names. The street already has proved profi table Marc by Marc Jacobs, that’s rubbing “Everyone was saying to independent retailers. Krista K boutique, shoulders with people I want to rub ‘Armitage Avenue,’’’ Miller known for its feminine lines like Rebecca shoulders with,’’ she said. “I think it’s a said, “but I wasn’t getting Taylor, and Jake, a men’s and women’s bou- compliment to the neighborhood.’’ the right vibe.’’ That’s tique carrying 3.1 Phillip Lim and Thread Brokers see more untapped retail poten- when she scoped out Wells Social, have expanded. Krista K opened a tial in the city’s Lincoln Square neighbor- Street, which for Miller second store on Southport Avenue focusing hood, where restaurants are plentiful but evoked memories of when on maternity and baby fashions and Jake retail is lacking, and along Chicago Avenue. she opened her store in launched two more locations on the Gold “The more established a neighbor- The new Nicole Miller facade. Manhattan’s SoHo. Coast and in suburban Winnetka, Ill. hood gets, for certain retailers, it’s no “There are a lot of young “At fi rst, people were freaking out,’’ longer cool enough,” Adney said. WWD, TUESDAY, JULY 10, 2007 35 WWD.COM/CLASSIFIEDS

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Responsibilities GILBERT CAREER RESUMES environment a plus. Please e-mail Full Service, Fine Fast Work. (800)967-3846 amex/mc/visa Design include: Tracking, receiving & checking SALES MANAGER resume & salary requirements to: in all packages. Prepare excel doc’s for Any Styles. fashionresumes.com [email protected] Fast paced, high energy, growing Est. LA based Contemp. Co. seeks Phone: 212-560-8998 / 212-560-8999 Women’s Apparel Company seeks: outgoing packages. Receive stock sam- Sales Manager for Corp. NY showroom. ples from our DC. Make photo copies of Existing relationships w/ higher-end DESIGNER cost sheets & other documents for head Majors & Specialty stores a must. Sal- DATA ENTRY/ CUSTOMER Min of 3 - 4 yrs exp in Missy Design w/ pattern maker. Prepare trim sheet for ary & benefits commensurate w/ expe- Plus experience preferred, must have factories to include trims, fabric rience. Applications confidential. SERVICE CLERICAL proven working experience on a con- swatches and copies of sketches. Order Apparel manufacturer seeks a detail- Email resume to: temporary fashion line, thorough supplies for office and pattern makers. [email protected] oriented individual for order entry and knowledge and understanding of fabrics, Prepare paper work needed in fittings. related tasks with a minimum of 2 yrs cut & sew knits and wovens. Must Take photos of problem garments & related experience. Must have good have strong Illustrator skills, technical email to production managers. Other SALES REP verbal and written comm. skills and knowledge, organized, be a self-starter, clerical & admin tasks as directed by Est’d. better updated Apparel Co. seeks travel possess the ability to multi-tasks effi- exp working in a fast paced environ- prod. mgr’s. Must be computer literate dynamic Salesperson w/est’d. accts. & ciently. EDI a plus. Please fax resume ment and able to multi-task. and quick learner. Chinese / English relationships w/Specialty & Dept. Stores and salary to HR: 212-684-3295 Great opportunity for growth & excellent Bi-lingual helpful, but not mandatory. and sales exp. in NY apparel shows. benefit package. Email resume: Salary is 25,000 to 35,000 per year Duties include cultivating new accts. & [email protected] or fax depending upon industry experience. maintaining existing accts. Min. 3 years resume: 212 827 3344 Attn: MF Benefits/401K. exp. in women’s better contemporary mkt. Design Assistant Excellent opportunity, salary, commission, Outerwear Co. seeks an Illustrator and Please e-mail resume to: & benefits. E-mail: [email protected] Photoshop proficient individual with 1-2 [email protected] or Fax years experience. Duties include maintain- to : 201 964 5892 ing sample room schedule and workload, Director of Sales detail sketching, and organizing of design Contemporary womenswear house seeks area. Fax resume to: 212-613-6530 indv w/min 5 yrs exp. Must have QA Assistant strong relationship w/Dept, Specialty Leading Intimate Apparel Mfg. seeks & Int’l accts. Strong mgmt skills and exp’d & highly organized QA person to DESIGNER ASSISTANT knowledge of Far East. E-mail resume assist the VP of QA on all daily activi- For Intimate Apparel Co. Must be a w/c letter to: [email protected]. ties. Duties: measuring production fast learner, detail-oriented with a great submits, executing in-house processes, work ethic. Construction knowl/ability product testing and working on special to create flat sketches in Illustrator projects. Previous Quality exp manda- andAssoc. in fashion req’d. Lingerie Patternmaker tory. Strong follow-up & analytical /sleepwear exp A+. Email or fax your skills necessary. Proficient in Word, Evening Dress Patternmaker Excel and Outlook also mandatory. resume to: [email protected], Must have evening wear exp. & know 212-842-4050 attn: J. Clark. EOE. Exp with Wal-Mart, JCP & Kmart A+. construction. Organized, English speak- Please e-mail or fax resume to: ing, min. 10 yrs exp. in fast paced envi- [email protected] ronment. E-mail resume w/c letter to: Attn: B. Farrell (212) 842-4032 EOE. Designer [email protected] CAD DESIGNER Leading manufacturer of high-end SAMPLE MAKER home textiles seeks a SR-CAD designer. Growing women’s couture company seeks Ideal applicant should be an energetic, PATTERNMAKER highly skilled & experienced individual. creative, highly organized self starter High end women’s wear designer co. Stable position. Emphasis on evening. connections with at least 4 years of solid industry seeks exp’d patternmaker. 5-10 years Please call 212-869-2296 or experience. experience req’d. Fax: 212-966-4682. fax resume to 212-869-2236 Responsibilities include: developing original designs from concept to Leverage the power of WWD Advertise in WWD, DNR and FN at a special rate finished product, preparing instruc- TECH DESIGNER among industry professionals and reach a unique audience of professionals across tions for productions and creating spec Fast paced women’s apparel importer sheets, corresponding with overseas Production Assistant with great benefits seeks experienced to reach both active and the women’s, men’s and footwear industries. Childrens sleepwear division. Must be candidates. Excel experts who work agents and makers, and reviewing detail-oriented; able to multi task; passive job seekers. strike-offs. Experience in branding well under pressure with sense of ur- have hands on knowledge of specs, gency. Strong tech pack skills, com- and licensing preferred. Candidate garment construction and an eye for should possess strong print, woven munication, fit correction & technical aesthetics. Heavy follow up and com- sketch. Patternmaking exp. & grading. and fabrication knowledge and be able munication w/factories overseas req’d. to research design and color trends Please fax or email resume to: Exp working with Walmart/JCP/Target 212-302-3872 / [email protected] and translate them to table top. Strong and dept. store accounts preferred. communication skills, presentation Knowledge of childrens sleepwear skills, and work with buyers. requirmnts and proficiency with Excel Technical Designer Fax resume w/salary requirements a plus. Fax, attn. Jennifer Kole: Min. 5 yrs. exp. better/ bridge contemp. to: 212-696-0566. ATTN: FRAN 212-842-4030 or e-mail: sportswear. Must have patternmaking [email protected] EOE. exp. in fast paced environment. Designer E-mail resume w/c letter to: [email protected] SWEATER DESIGNER Seeking exp’d contemporary designer Production Coordinator Call 1-800-423-3314 or email in all aspects of line development. Il- Detail oriented person w/5 yrs import TECHNICAL DESIGNERS $HI lustration, sketching, tech pack & production exp. Strong communication 1) Missy-Jrs.-Kids 2) C/S Knits or Wovens Call 800-423-3314 or e-mail fpclassiﬁ [email protected] to advertise. CADS. Detail oriented, strong sense of skills and computer proficiency. 3) Sweaters 4) All Level Positions color/trend. Fax resume to: 212-302- E-mail resume with cover letter to: Call (212) 643-8090; fax 643-8127 (agcy) fpclassiﬁ [email protected] 7672 or call Charman at: 212-302-0444 [email protected] to advertise.