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Ralph's Tougher Targets/2 Economy Pinches Legwear/10 RALPH’S TOUGHER TARGETS/2 ECONOMY PINCHES LEGWEAR/10 WWDWomen’s Wear Daily • The Retailers’MONDAY Daily Newspaper • July 28, 2008 • $2.00 Accessories/Innerwear/Legwear Fashion’s First Aid Kit WHAT WORKS IN THE TOUGHEST TIMES — times like now? WWD interviewed more than 30 business experts, industry leaders, veterans and academics for their advice on how fashion companies can survive, strengthen and push toward a full recovery. Here, and on pages 16 to 24, the Fashion First Aid plan. 1 MANAGE COSTS 2 BE CONSERVATIVE WITH SALES 3 BE A LEADER 4 PROVIDE MORE VALUE 5 DELIVER CUSTOMER SERVICE 6 REALLOCATE SPACE 7 RETIME SHIPMENTS 8 EXPAND STRATEGICALLY 9 FOLLOW DEMOGRAPHICS 10 EXPLOIT TECHNOLOGY PHOTO BY VOLKER MOEHRKE/ZEFA/CORBIS PHOTO BY 2 WWD, MONDAY, JULY 28, 2008 WWD.COM Chaiken to Leave New York By Julee Kaplan Francisco to work out of her headquarters at 116 WWDMONDAY haiken is done with New New Montgomery. She Accessories/Innerwear/Legwear CYork. will also look into joining Julie Chaiken, chief execu- a multi-line showroom FASHION tive offi cer, designer and owner in New York, in order Charming eyelets and classic gingham checks are among the novelties of the contemporary firm she to keep some sales pres- that give spring’s new lingerie a fresh girly appeal. founded in 1994, will close her ence there. She plans to 6 New York showroom next month show her collections in and move all operations to San New York during fashion GENERAL Francisco, where the company week, but will not have Business experts, industry leaders and academics offer advice on how is based. Chaiken said that since a show this September 1 fashion fi rms can survive, strengthen and push toward full recovery. she lives in San Francisco and since “there is just too has two small children, she made much going on with the EYE: Vanity Fair’s cocktail party on the roof of Louis Vuitton’s Rodeo the decision to close her New move.” 4 Drive boutique drew many of the starlets featured in its Hollywood issue. York office in order to spend Chaiken said that ACCESSORIES: With a 20 percent hike in handbag sales the last two more time near her home. although only a small 8 seasons, footwear designer René Caovilla is investing in the category. “It just got to be too much amount of her produc- traveling and I didn’t want to be tion is done in New York LEGWEAR: The legwear market is being impacted by rising oil prices away from my family anymore,” currently, she plans to 10 and material costs, particularly because of its use of synthetic fabrics. she said. “The beauty of owning move everything to Asia. INNERWEAR: Manufacturers are tightening their seat belts for a bumpy your own company is that I am “Being on the West 14 ride at next week’s spring market in New York. able to make these decisions.” Coast, we are closer to The New York showroom, Asia, so it will be easier A spring look Classifi ed Advertisements.............................................................37-39 located at 580 Broadway, hous- for us, and more cost ef- from Chaiken. es about 18 employees, all of fective to move every- remain the brand’s signature, To e-mail reporters and editors at WWD, the address is fi rstname. whom are expected to leave thing to Asia,” she said. today the label offers a full col- [email protected], using the individual’s name. the company. Chaiken said that Chaiken started the com- lection of sportswear, outer- WWD IS A REGISTERED TRADEMARK OF ADVANCE MAGAZINE PUBLISHERS INC. COPYRIGHT while the details are still being pany 14 years ago as Chaiken wear, swimwear, maternity and ©2008 FAIRCHILD FASHION GROUP. ALL RIGHTS RESERVED. PRINTED IN THE U.S.A. VOLUME 196, NO. 19. WWD (ISSN 0149–5380) is published daily (except Saturdays, Sundays and holidays, with worked out, she doesn’t think & Capone in San Francisco, evening wear. Chaiken is sold one additional issue in January, October and December, two additional issues in March, April, May, June, August and any employee will want to make along with former co-owner in about 400 stores globally, November, and three additional issues in February and September) by Fairchild Fashion Group, which is a division of the move to the West Coast. Pam Capone. The company including Saks Fifth Avenue, Advance Magazine Publishers Inc. PRINCIPAL OFFICE: 750 Third Avenue, New York, NY 10017. Shared Services provided by Condé Nast Publications: S. I. Newhouse, Jr., Chairman; Charles H. Townsend, President/CEO; John W. Bellando, Chaiken said she plans became known for its “best- Macy’s West, Bloomingdale’s Executive Vice President/COO; Debi Chirichella Sabino, Senior Vice President/CFO; Jill Bright, Executive Vice President/ to hire more people in San fi tting pants.” While the pants and Nordstrom. Human Resources. Periodicals postage paid at New York, NY, and at additional mailing offi ces. Canada Post Publications Mail Agreement No. 40644503. Canadian Goods and Services Tax Registration No. 886549096-RT0001. Canada Post: return undeliverable Canadian addresses to: P.O. Box 503, RPO West Beaver Cre, Rich-Hill, ON L4B 4R6 POSTMASTER: SEND ADDRESS CHANGES TO WOMEN’S WEAR DAILY, P.O. Box 15008, North Hollywood, CA 91615–5008. FOR SUBSCRIPTIONS, ADDRESS CHANGES, ADJUSTMENTS, OR BACK ISSUE INQUIRIES: Please write to WWD, P.O. Box 15008, North Hollywood, CA 91615-5008, call 800-289-0273, or visit Lauren’s Pay Package Altered www.subnow.com/wd. Please give both new and old addresses as printed on most recent label. First copy of new subscription will be mailed within four weeks after receipt of order. Address all editorial, business, and production correspondence to WOMEN’S WEAR DAILY, 750 Third Avenue, New York, NY 10017. For permissions and reprint requests, alph Lauren is going to have to work harder the chairman, which were reduced to 75,000 RSUs please call 212-630-4274 or fax requests to 212-630-4280. Visit us online at www.wwd.com. To subscribe to other for his bonus and restricted stock options from 100,000, will be performance- rather than Fairchild magazines on the World Wide Web, visit www.fairchildpub.com. Occasionally, we make our subscriber list R available to carefully screened companies that offer products and services that we believe would interest our readers. next year. time-based, the fi ling said. If you do not want to receive these offers and/or information, please advise us at P.O. Box 15008, North Hollywood, CA In a regulatory fi ling with the Securities and It was disclosed in the proxy statement fi led by 91615-5008 or call 800-289-0273. WOMEN’S WEAR DAILY IS NOT RESPONSIBLE FOR THE RETURN OR LOSS OF, Exchange Commission, Polo Ralph Lauren Corp. the company earlier this month that Lauren has a OR FOR DAMAGE OR ANY OTHER INJURY TO, UNSOLICITED MANUSCRIPTS, UNSOLICITED ART WORK (INCLUDING, BUT NOT LIMITED TO, DRAWINGS, PHOTOGRAPHS, AND TRANSPARENCIES), OR ANY OTHER UNSOLICITED said that its chairman and chief executive offi cer, new fi ve-year employment agreement that began MATERIALS. THOSE SUBMITTING MANUSCRIPTS, PHOTOGRAPHS, ART WORK, OR OTHER MATERIALS FOR starting in fi scal 2009, will be entitled to a bonus on March 30. His new base salary is $1.25 million, CONSIDERATION SHOULD NOT SEND ORIGINALS, UNLESS SPECIFICALLY REQUESTED TO DO SO BY WOMEN’S WEAR “only if 80 percent, rather than 50 percent, of the a $250,000 raise. DAILY IN WRITING. MANUSCRIPTS, PHOTOGRAPHS, AND OTHER MATERIALS SUBMITTED MUST BE ACCOMPANIED BY performance target had been achieved.” The fi ling In the proxy, the company said Lauren’s total A SELF-ADDRESSED STAMPED ENVELOPE. said the changes put Lauren’s compensation ar- compensation for the year ended March 29 was rangements in line with those of “other members $34.2 million, which included among other com- MONDAY: New York Spring II Apparel Market (through of senior management.” pensation a base salary of $1 million, no bonus Aug. 8). Lauren’s annual stock option grants were re- and stock awards of $16.2 million. The total repre- Alberto-Culver Co. reports third-quarter sales and duced to 100,000 stock options from 150,000, ac- sents a 32 percent gain from the prior year, when earnings. cording to the fi ling. In addition, the term for his total compensation was $25.9 million. stock options was reduced to seven years from 10 Last year, Polo’s net income increased 4.7 per- TUESDAY: The Conference Board releases the years, in line with the term for all management cent, to $419.8 million, or $3.99 a diluted share, as Consumer Confidence Index for July. stock options. net revenues grew 13.6 percent to $4.88 billion. Coach Inc. reports fourth-quarter and year-end sales Additionally, restricted stock units granted to — Vicki M. Young and earnings. Hanesbrands Inc. and Under Armour Inc. report second-quarter sales and earnings. WEDNESDAY: Avon Products Inc. and Jones Apparel Som, NexCen Working to Resolve Issues Group report second-quarter sales and earnings. By Marc Karimzadeh reached for comment. THURSDAY: CVS Caremark Corp. reports second-quar- The source believes ter sales and earnings. NEW YORK — The Bill Blass that Som would “defi- saga continues. nitely” continue at Blass FRIDAY: The U.S. Labor Department releases the July According to a source close should NexCen be able employment report. to the negotiations, Peter Som, to sell the brand to an creative director at Bill Blass, owner that can support SUNDAY: Accessories Circuit, AccessoriesTheShow, is still working with NexCen the business in a way that Curve Expo, D&A, FAME, Intermezzo Collections, Brands Inc.
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