NEWSPAPER 2ND CLASS $2.99 VOLUME 73, NUMBER 42 OCTOBER 6–12, 2017 THE VOICE OF THE INDUSTRY FOR 72 YEARS TRADE SHOW REPORT Majors Market Busy Despite Big Changes in the Retail Industry By Andrew Asch Retail Editor Department stores and big-box retailers are going through a time of incredible change, but salespeople work- ing at the LA Majors Market, which is devoted to depart- ment stores and mass retailers, reported a busy pace during the Oct. 2–4 market at the California Market Center. Los Angeles–based YMI opened a temporary showroom at the CMC to show the brand’s embroidered and distressed denim for the Spring 2018 season. “We had all of our accounts show up,” said YMI Presi- dent David Vered, who said buyers from Rue 21 and Dil- lard’s were among the retailers visiting the showroom. “We had four full days of meetings.” However, there is no denying the market is rapidly changing, Vered said. “Most retailers are trying to figure out how to face the ➥ Majors Market page 10 TRADE SHOW REPORT LA Textile Show’s Mix Includes Fiber, Fabric, Factories and More for Sourcing From Concept to Creation By Alison A. Nieder Executive Editor Traffic ebbed and flowed during the Oct. 2–4 run of the Los Angeles International Textile Show at the California Mar- ket Center, where exhibitors included just about every point along the apparel supply chain. SPRING FORECAST Tencel fiber maker Lenzing had a booth near several U.S. Directives West put the spotlight on Spring/Summer 2018 trends at the retail mills, including Buhler Quality Yarns, the yarn spinner in Jefferson, Ga., and Southern California–based knitting mills consultancy’s Oct. 2 runway show at the California Market Center. Trends Texollini, Design Knit, SAS Textiles and Unitex. The designer collections section—which includes several included plenty of denim and feminine details such as ruffles, floral embroidery high-end resources, including French mills Solstiss and Mal- hia Kent and Canadian knit collection Tricots Liesse—was, and off-the-shoulder silhouettes. For more from the show, see pages 10–11. once again, located near the show entrance on the 13th floor. This season, show organizers moved the Sourcing section from a separate space in the C-wing of the building to a space ➥ LA Textile page 4 INSIDE: Luxe By Style Keepers dress and BB Dakota jacket Where fashion gets down to business SM NORMAN ZELLER Westfield Unveils $1 Billion Remodel in Century City By Andrew Asch Retail Editor ers to available parking spaces aided by sensors and green and red lights. 8 11 Westfield Corp. marked the finish of a $1 billion remodel of Also at the retail center are performance and fine-art attrac- its Westfield Century City retail center in Los Angeles with a tions that aim to attract consumers to the 1.3 million-square-foot New owners at Citizens ... p. 2 gala event Oct. 3, featuring appearances by Los Angeles Mayor campus, which is a five-minute drive from designer shopping on Activewear ... p. 2 Eric Garcetti and 1970s hitmakers The Village People. The Rodeo Drive in Beverly Hills. Rodarte designers to celebrate Mona Moore opening ... p. 4 event took place at a new performance space called The Atrium, The price tag for the remodel is a vote of confidence in the located by the center’s full-line Nordstrom, which also opened retail center at a time when the traditional mall business model New Lines ... p. 6–7 for business on Oct. 3. is changing and mall traffic has been in decline. According to Fashion District and Activewear Resources ... p. 12 Westfield Century City also unveiled the remodeled retail market-research firm ShopperTrak, mall traffic dipped during center with a unique tenant mix that features medical centers as the busiest shopping days of 2016. It dipped 1 percent in a year- well as “smart parking,” which promises to quickly guide driv- ➥ Westfield page 8 www.apparelnews.net 01,4,8-11.cover.indd 1 10/5/17 7:12 PM NEWS Citizens of Humanity Management Buys Back Company From Private-Equity Investors Citizens of Humanity’s executive man- American designer Adriano Goldschmid. The vertically integrated company does all its er, after a long court battle from a previous agement team and private investors pooled According to reports in the Business of production in the Los Angeles area. As the business venture. Dahan and Glasser found- their money together to buy back the portion Fashion, the idea to buy back the company brand evolved, the company started to rely ed 7 For All Mankind in 2000 with apparel of the company owned by private-equity in- came from Berkshire Partners, which had less on big department-store business and maker Peter Koral. Within a few years, there vestor Berkshire Partners and cofounder held the brand for 11 years after it made branched out to high-end specialty boutiques was a falling out with Koral. Jerome Dahan. a sizable investment in the company that whose customers can afford blue jeans that The three went to Los Angeles Superior Dahan, who helped launch the Southern some estimated to be about $250 million cost between $180 and $238. But it still is a Court after Dahan and Glasser accused Ko- California blue jeans and apparel company plus debt. popular staple in stores such as Nordstrom ral of taking 7 For All Mankind profits and in 2003, will stay on as a consultant while Last May, Dow Jones reported that Berk- and Neiman Marcus and is distributed in using them to pay off his debts in his other he works on his new denim label, called shire Partners, based in Boston, wanted to more than 35 countries, including specialty apparel venture, L’Koral Industries. Jean Atelier. The company will continue unload its portion of the denim company. boutiques such as 10 Corso Como, Joseph’s, A jury found in favor of Dahan and Glass- to be headed by Chief Executive Amy Wil- Most private-equity companies prefer to Club Monaco, Steven Alan, Trilogy and er. Koral was ordered to pay his former part- liams, who was named to that position in keep their holdings for about four to five Anthropologie as well as online at Moda ners $55 million, which they used to start 2015. years, pump up the revenues and then sell Operandi, The Dreslyn, Shopbop, Revolve, Citizens of Humanity. In addition, Karen Phelps was named them for a profit. Need Supply and MyTheresa.com. Koral eventually sold half of 7 For All creative director for the group of five brands While Citizens is expected to see 10 per- The company is hoping to expand all its Mankind to Bear Stearns Merchant that Citizens of Humanity creates from its cent revenue growth this year to about $100 brands, including Getting Back to Square Banking for $100 million. Several years headquarters in Huntington Beach, Calif., million, that roughly equals the company’s One, Agolde and Goldsign. Two years ago, later, VF Corp. purchased 7 For All Man- just south of downtown Los Angeles. Phelps revenues when Berkshire purchased its stake. Citizens acquired Japanese denim label Fab- kind for $775 million. Last year, 7 For All previously was creative director for two of Citizens of Humanity’s revenues took a ric Brand & Co. Mankind was sold to the Israeli company the company’s brands, Goldsign and Agol- beating during the big recession of 2008– Citizens of Humanity was founded by Da- Delta Galil. de, initially started with the help of Italian- 2009, declining steadily to about $75 million. han and his business partner, Michael Glass- —Deborah Belgum ACTIVEWEAR Yummy & Trendy Launches Made-in-America Collection With Eco-Friendly Fabric Veronica Rosas launched her new collec- durable and trendy.” performance and social responsibility in the Currently the line is sold online and in tion, Yummy & Trendy, with a mission to The collection is produced in California supply chain. studios in California, Texas and Florida. Ro- created premium activewear with high-perfor- and features two four-way stretch fabrics. The The fabrics feature UPF 50+ protection and sas will be showing the collection at the ALT mance fabrics. Signature Collection is Rosas’ luxe line made have moisture-wicking, compression support show at the California Market Center during Before launching Yummy & Trendy, Rosas with a poly/spandex fabric with an “ultra- and pilling-resistant properties. the upcoming Los Angeles Fashion Market. worked in the healthcare industry in a job that smooth, luxurious feel.” Yummy & Trendy’s Wholesale prices for the collection range For more information, visit www.yummy- required extensive travel. The entrepreneur eco-friendly leggings are made with a poly- from $25 to $44. andtrendy.com.—Alison A. Nieder found herself living out of a suitcase and look- blend fabric with 76 percent recycled PET ing forward to the end of the day when she fabric made from recycled soda bottles. The could change into “something comfortable, fabric is Bluesign-certified for environmental NEWS Solid Holiday Season Forecast U.S sales for the holiday 2017 season will Seasonal hiring is forecast to dip, Matt increase 3.6 percent to 4 percent over last Shay, the NRF’s chief executive officer, said. year. Excluding autos, gas and restaurants, In 2016, retailers added 570,000 seasonal U.S. retailers stand to rack up $678.75 bil- positions. For the upcoming season, they lion in sales during the upcoming holiday are forecast to add between 500,000 and season, according to a forecast from the Na- 550,000 holiday jobs. Shay predicted most tional Retail Federation.