POLO AT THE NET/4 COACH, LVMH DIG IN THEIR HEELS/2 WWDWomen’s Wear Daily • The Retailers’MONDAY Daily Newspaper • March 14, 2005 • $2.00 Accessories/Innerwear/Legwear Lots of Luxe MILAN — At many houses, the fall season was marked by toned-down styles. But some women will always prefer over-the-top glamour, and there were plenty of looks for them, too. Karl Lagerfeld’s audacious Fendi collection, for example, had a luxurious, power-woman vibe, and so did his accessories. Here, an example with a whiff of Russian mistress: a sizzling patchwork bag, shown with a body-hugging dress and vibrant fox chubby. For more fall accessories, see pages 6 and 7.

J. Crew’s IPO Blueprint: Share Listing Planned, But Unlikely Until 2006 By Vicki M. Young NEW YORK — Preppy retailer and catalogue firm J. Crew is planning an initial public offering, but not until next year. An individual familiar with the plan said the IPO was likely to occur in the latter half of 2006. There’s been buzz in the financial market since the beginning of the year that an IPO was in the works, especially given the apparent turnaround of what was once a struggling business. The transformation began when former Gap executive Millard S. Drexler joined J. Crew as chief executive two years ago See J. Crew, Page5 PHOTO BY GIOVANNI GIANNONI GIOVANNI PHOTO BY 2 WWD, MONDAY, MARCH 14, 2005 WWD.COM Coach-LVMH Resolution a Long Way Off WWDMONDAY Accessories/Innerwear/Legwear By Miles Socha Bernard Lew and Koji Hirano Arnault Frankfort GENERAL PARIS — The battle is on be- Preppy retailer and catalogue firm J. Crew is planning an initial public tween Coach and LVMH Moët 1 offering, but not until next year. Hennessy Louis Vuitton, but it It could take a year or more to resolve Coach’s claim of harassing and could be a long war. 2 anticompetitive behavior in Japanese department stores by LVMH. It could take a year or more for Coach to resolve its dispute FASHION: Many collections featured toned-down, somber looks this season with LVMH over what Coach de- 6 and completing them were dark, subtle accessories that played to the mood. scribes as harassing and anti- INNERWEAR: The changing dynamics of the lingerie and retail industries competitive behavior in Japa- 8 created a mix of anxiety and anticipation at last week’s fall-holiday market. nese department stores, accord- ACCESSORIES: The distance from runway to main floor is getting shorter, ing to the Japanese Fair Trade as evidenced by the Russian looks and upholstery fabrics in fall lines. Commission. 10 A spokesman for the commis- LEGWEAR: Legwear was back on the runway for fall and hosiery firms sion in Tokyo said Friday that 11 trotted out paisley prints and smoky metallic yarns at last week’s market. investigations regarding the Unrestrained in global trade for the first time in 24 years, China flooded the Anti-Monopoly Act in Japan 16 U.S. market with apparel and textiles in January. often take “more than one year.” At the end of the process, the commission makes a recommen- EYE dation to eliminate the illegal Talking with artist Josh Agle about his spin-off murder mystery “Shag with action, if any is found, and, “if it 24 a Twist”…The skinny from the authors of ”The Hookup Handbook.” is not accepted [by the offending Only hours before Coach an- view the fight as crucial to the company], it takes another one nounced the filing of its com- continued development of the Classified Advertisements ...... 21-23 or two years to finalize the deci- plaint last Wednesday, Louis brand in the booming Japanese sion,” the spokesman said. Vuitton chief executive Yves market. To e-mail reporters and editors at WWD, the address is Reached last week, execu- Carcelle was showing off slides On Friday, shares of LVMH [email protected], using the individual’s name. tives at major Japanese depart- of its just-renovated production inched up 0.2 percent to close at WOMEN’S WEAR DAILY IS A REGISTERED TRADEMARK OF FAIRCHILD PUBLICATIONS, INC. COPYRIGHT ©2005 FAIRCHILD PUBLICATIONS, INC. ALL RIGHTS RESERVED. PRINTED IN THE U.S.A. ment stores declined to comment facility in Asnieres, just outside 57.10 euros, or $76.51 at current VOLUME 189, NO. 53. WWD (ISSN # 0149-5380) is published daily except Saturdays, Sundays and holidays, with one on the case. However, speaking of Paris, to attendees of the press exchange, on the Paris Bourse. additional issue in June; two additional issues in April, May, August, October, November and December, and three additional issues in February, March and September, by Fairchild Publications, Inc., a subsidiary of Advance Publications, Inc. PRINCIPAL on condition of anonymity, one conference to announce LVMH’s In research reports in the OFFICE: 7 West 34th Street, New York, NY 10001. Shared Services provided by Advance Magazine Publishers Inc.: S.I. Newhouse, Jr., official noted that stores tend to results. With its high-tech archi- wake of LVMH reporting record Chairman; Steven T. Florio, Vice Chairman; Charles H. Townsend, C.O.O.; John W. Bellando, Executive Vice-President and C.F.O.; Jill acquiesce to demands from big tecture and skylights, the factory net profits in 2004 in excess of 1 Bright, Executive Vice-President_Human Resources; John Buese, Executive Vice-President_ Chief Information Officer; David Orlin, Senior Vice-President_Strategic Sourcing; Robert Bennis, Senior Vice-President_Real Estate; David B. Chemidlin, Senior Vice- brands since they generate such resembles an upscale boutique billion euros, or $1.34 billion, President_General Manager, Advance Magazine Group Shared Services Center. Periodicals postage paid at New York, NY and at important sales. or shopping mall. analysts trumpeted signs of re- additional mailing offices. Canada Post Publications Mail Agreement No. 40032712. Canadian Goods and Services Tax Registration No. 88654-9096-RM0001. Canada post return undeliverable Canadian addresses to: 4960-2 Walker Road, Windsor, ON N9A 6J3. To be sure, many big vendors A Coach spokeswoman on covery in the Japanese market POSTMASTER: SEND ADDRESS CHANGES TO WWD, P.O. Box 15008, North Hollywood, CA 91615-5008. FOR are said to have thrown their Friday, responding to LVMH’s re- and said Vuitton is well posi- SUBSCRIPTIONS, ADDRESS CHANGES, ADJUSTMENTS, OR BACK ISSUE INQUIRIES: Please write to WOMEN’S WEAR weight around in the past to grow marks about producing in China, tioned, given a recent price hike DAILY, P.O. Box 15008, North Hollywood, CA 91615-5008; Call 800-289-0273; or visit www.subnow.com/wd . Four weeks is required for change of address. Please give both new and old address as printed on most recent label. First copy of new brands in Japan, where Vuitton said, “It’s disappointing that of 5 percent last January. subscription will be mailed within four weeks after receipt of order. Address all editorial, business, and production commands a dominant position. LVMH has resorted to making As for Coach, the company “is correspondence to WOMEN’S WEAR DAILY, 7 West 34th Street, New York, NY 10001. For permissions and reprint requests, And there are already signs comments intended to be dis- pretty much in the next phase of please call 212-221-9595 or fax requests to 212-221-9195. Visit us online: www.wwd.com. To subscribe to other Fairchild magazines on the World Wide Web, visit www.fairchildpub.com. Occasionally, we make our subscriber list available to carefully the battle between Coach and paraging about Coach. Coach is its expansion in Japan,” said screened companies that offer products and services that we believe would interest our readers. If you do not want to receive LVMH is going to be a drag-out proud of the workmanship and Neely Tamminga, analyst at these offers and/or information, please advise us at P.O. Box 15008, North Hollywood, CA 91615-5008 or call 800-289-0273. WOMEN’S WEAR DAILY IS NOT RESPONSIBLE FOR LOSS, DAMAGE, OR ANY OTHER INJURY TO UNSOLICITED fight. Bernard Arnault, LVMH’s quality of its products, which are Piper Jaffray. “It had been fo- MANUSCRIPTS, UNSOLICITED ART WORK (INCLUDING, BUT NOT LIMITED TO, DRAWINGS, PHOTOGRAPHS, AND chairman, is renowned for his made of the finest materials by cused on operating freestanding TRANSPARENCIES), OR ANY OTHER UNSOLICITED MATERIALS. THOSE SUBMITTING MANUSCRIPTS, PHOTOGRAPHS, ART combativeness, as evident in the skilled craftspeople around the stores, but now is looking at WORK, OR OTHER MATERIALS FOR CONSIDERATION SHOULD NOT SEND ORIGINALS, UNLESS SPECIFICALLY REQUESTED TO DO SO BY WWD IN WRITING. MANUSCRIPTS, PHOTOGRAPHS, AND OTHER MATERIALS SUBMITTED MUST BE barbed war of words he conduct- world. By utilizing this global building out in-store shops in the ACCOMPANIED BY A SELF-ADDRESSED OVERNIGHT-DELIVERY RETURN ENVELOPE, POSTAGE PREPAID. ed with then-Gucci Group chair- sourcing approach, Coach pro- department stores.” man Domenico De Sole when vides considerable savings to She noted that LVMH and Tif- MONDAY: Toronto Fashion Week (through Saturday). LVMH bid for Gucci in the consumers in the form of afford- fany currently operate in-store D&A Lab, Tokyo (through Wednesday). Nineties and in the lawsuit able prices, providing the excep- shops, some even with separate LVMH filed against Morgan tional value that consumers in entrances to the retail space. “If TUESDAY: The Commerce Department releases the Stanley luxury goods analyst Japan have embraced.” you’re moving up to 1,200 square February retail sales report. Claire Kent over allegedly biased According to the company’s feet from an average of 300 research reports. most recent annual report, by square feet to 500 square feet, you WEDNESDAY: Material World, Miami Beach (through But Lew Frankfort, Coach’s shifting to lower-cost production definitely want to make sure Friday). chairman and chief executive, outside the U.S. Coach has been there are no unfair [trade] prac- Mercedes-Benz Fashion Week, Los Angeles has been equally outspoken so able to “support a broader mix of tices to prevent you from expand- (through Sunday). far. Last week, in revealing the product types, materials and a ing,” Tamminga said. Textile Forum, London (through Thursday). JFTC filing, he said: “We cannot seasonal influx of new, more Based on Tamminga’s esti- Mifur International Fur & Leather Exhibition, accept being subjected to anti- fashion-oriented styles. During mates, “Coach’s business in Japan Milan (through Sunday). competitive practices aimed at fiscal 2004, approximately 61 per- has a compounded annual growth Charming Shoppes, Goody’s Family Clothing, Hot limiting our ability to freely offer cent of Coach’s total net sales, ex- rate of around 40 percent.” She Topic and Ross Stores report fourth-quarter and Coach in the marketplace. It is cluding Coach Japan, were gen- added that, even though LVMH year-end sales and earnings. not the way we do business and erated from products introduced has the greater market share is contrary to our principles of within the fiscal year.” owing to its longer presence in THURSDAY: Nike Inc. reports third-quarter sales and fair play.” The U.S. firm describes its Japan, the growth trajectory for earnings. In rebuttal, an LVMH spokes- sourcing operations as “a flexible Coach — considered a younger, Phillips-Van Heusen Corp. and Stein Mart Inc. re- man said the French group model that meets shifts in mar- hipper American brand — is high- port fourth-quarter and year-end sales and earnings. would vigorously defend itself ketplace demand and changes in er than for its French competitor. against any accusations and that, consumer preferences.” Stacey Widlitz, analyst at FRIDAY: Designers & Agents, Los Angeles (through during its 40-year history in According to the report, Coach Fulcrum Global Partners, said, March 21). Japan, its business practices sources from countries including “The increased competition is have been regularly praised. It China, Turkey, India, Costa Rica, definitely an issue in the Japa- COMING THISSATURDAY: WEEK Stylemax, Chicago (through March 22). immediately hit back at Coach’s the Dominican Republic, Hung- nese market. The retail laws in Mipel and Access Code, Milan (through March 22). business practices, saying it “can ary, Indonesia, Italy, South Korea, Japan were changed in 2000 to only question the motivation of Philippines, Singapore, Spain, allow foreign luxury brands to the firm that filed this com- Taiwan and Thailand. It has come in and open freestanding plaint, which is known to manu- sourcing offices in Hong Kong, stores. Because of that [change], facture most of its products in China and South Korea as well as competition within the depart- Corrections regions with cheap labor.” a European sourcing and product ment stores is heating up, too.” Seventh on Sixth organizes 32 fashion shows in Los Angeles. The development organization in Widlitz said she wasn’t totally figure was incorrect on page 14, Wednesday. Florence, Italy. surprised by the spat. “When the ● ● ● &,7<67,7&+(6 Despite the exchanges be- market becomes so much more Since Procter & Gamble acquired Clairol over three years ago, tween the two leading global competitive, you expect to see the pace of product initiatives has doubled and P&G intends to 'HVLJQHU+DQGPDGH+DWV brands, European luxury goods some of the brands react defen- double that frequency again, according to Marc Pritchard, presi- 6FDUYHV &DSHOHWV analysts downplayed the battle, sively,” she said. dent of global retail hair color, cosmetics and personal care at 67

4 WWD, MONDAY, MARCH 14, 2005 WWD.COM Game,Set and Match,Ralph Lauren By Marc Karimzadeh Brendan Evans NEW YORK — Advantage, Polo. and Scott Polo Ralph Lauren today is expected to announce that it has secured a partner- Oudsema ship deal with the United States Tennis Association, the national governing body for tennis and the owner and organizer of the Grand Slam U.S. Open tennis tournament. Polo will be the official apparel sponsor of the U.S. Open tennis tournament for the next four years, taking over from Fila, which recently ended its investment after more than 20 years. The tennis sponsorship will catapult the Ralph Lauren name to even more people worldwide in markets in which he may not have strong representation. Typically the tournament attracts over 600,000 visitors, and last year’s was watched on television by over 86 million viewers worldwide. “Sports and Polo Ralph Lauren have always been integral, and the name Polo is symbolic of that,” David Lauren, senior vice president of advertising, marketing and corporate communications, told WWD. “We always dabbled in tennis through our lines, whether it’s a great tennis sweater or a Polo shirt or different items that have been inspired by tennis.” Arlen Kantarian, chief executive of professional tennis at the USTA, said: “The worlds of fashion and sports have collided, and this will provide a new worldwide stage for their coming together.” Lauren and Kantarian declined to disclose the size of Polo’s investment, but indus- try sources estimate $20 million.

This is Polo’s first tennis sponsorship. In the past, the company has sponsored PHIL COLE/GETTY IMAGES PHOTO BY sports tournaments such as the America’s Cup, and individual athletes in golf and biking and skiing teams. judges and ball people. For the first time at the U.S. Open, line judges will be stand- “Tennis has been something we have been looking at...how to get a better foot in ing in designated areas that will be outlined with the Polo name. Polo will also create the game,” said Lauren. “The U.S. Open is the ultimate prize because it is such an up- an official T-shirt for the tournament. Details on the uniforms and the special T-shirt scale event. It is the most prestigious tennis event in America, if not the world, and it are yet to be determined. attracts the highest- caliber audience and the best players in the sport, so we are very To accompany the Open, Polo will launch an ad campaign featuring 18-year-old proud to be a part of it.” Scott Oudsema, an up-and-coming tennis player who has won three junior Grand As part of the deal, Ralph Lauren will open a temporary 3,000-square-foot boutique Slam tournaments. Oudsema has a contract with Polo through 2005. at the USTA National Tennis Center in Flushing, N.Y., which will be open for the dura- “He is vibrant, talented and someone we think is definitely on the way up,” Lauren tion of the tournament, which this year will take place from Aug. 29-Sept. 11. The store said. “We will see what happens. In tennis, everything is about the future. He is defi- is expected to offer classic Polo pieces, as well as co-branded U.S. Open/Polo Ralph nitely a hopeful.” Lauren merchandise, which will also be available at select Polo stores. In association There may even be some events tied into New York Fashion Week. “Fashion week with the USTA, Polo will also open a shop on Polo.com, featuring sports tips, videos begins the Thursday of the second week of the tournament [Sept. 8], so we are in dis- and information about tennis and the collaborative merchandise. cussions for everything from joint ad campaigns to potential live events, some of “A lot of it is performance-based and inspired, with high-tech materials blended which may not take place until 2006, though,” Kantarian said. with some of the classic Polo merchandise, and perhaps some RLX,” said Lauren. “I think the brand is very well established and so I think it will certainly allow us “This is a major initiative for us. We think it will probably be one of the highest-traf- to look at the sport of tennis in new ways, and see if it’s something we want to ex- ficked stores that we have run. Over two weeks, thousands of people will come pand,” Lauren said. “Because it is a New York-based event, and we have several through that store.” stores in the area in New York, New Jersey, Long Island and Connecticut, it’s just ap- In addition, Polo will design uniforms to be worn by on-court officials such as line propriate to have this [sponsorship] at the center of New York culture.”

THE JUICE: The only thing that’s surprising about Juicy Couture’s new venture into the sunglasses category is that it took this Fashion Scoops long. After all, the nine-year-old lifestyle brand is practically synonymous with Los Angeles, its home base, and has a major BLUE BLOOD: Andreas Kurz clearly has not had his fill of the jeans celebrity following. So in spring 2006, Juicy will introduce business. The former Polo Ralph Lauren executive, who had been opthalmic and sun eyewear in a license with Safilo Group. president of its international licensing division, is headed to Seven Safilo also produces sunglasses for Dior, Gucci, Stella For All Mankind as chief executive. His appointment will be McCartney and Marc Jacobs, among others. At the same time, announced today. Prior to Polo, Kurz was chief executive of Diesel Juicy will be launching its first shoe collection. The line will be USA, and he had a 13-year career at Hugo Boss before that. licensed by Schwartz and Benjamin Inc. and delivered to retailers in spring 2006, as well. No word yet on which HANGING WITH LAM: Derek Lam made his first Los Angeles Liz Goldwyn, Jacqui particular styles will be part of the collection, but you can bet sojourn for a fall trunk show and luncheon at Barneys New Getty and Derek Lam. Zooey Deschanel there will be a flip-flop. York’s Beverly Hills store, which, along with the East Coast flagship, has carried Lam’s line since its inception two years STORMIN’ NORMAN: None other than Norman Schwarzkopf, the ago. Hostesses Jacqui Getty and Brigette Romanek, who bought retired U.S. Army general, will be the keynote speaker when nearly the entire collection between them, corralled ultrachic Woolrich celebrates its 175 years in business. Two thousand pals Amanda Demme, Colleen and Maria Bell, Crystal Lourd, Gwen people are expected to hear what he has to say at the private McCaw, Kelly Phleger Johnson, Zooey Deschanel (who dates June event in the village of Woolrich, Pa. Woolrich staffers Getty’s nephew, actor Jason Schwartzman), Shiva Rose McDermott first met him at his Orvis-backed retirement party, an (who’s pregnant again and due in September), Liz Goldwyn, occasion the company helped sponsor. As an ardent Rosetta Getty and Lisa Marie. Lam, a San Francisco native, said outdoorsman, conservationist and patriot, Schwarzkopf’s was his fall collection, called “California Dreaming on a Winter’s a natural pick for Woolrich. He is, after all, the national Day” was inspired by the “sexy, nonchalant way women layer spokesman for the Recovery of the Grizzly Bear campaign. clothes here.” Clearly, he had their number: The day netted Trunk show fever at Barneys New York in Beverly Hills. $70,000 in orders for the privately held company, which EXTRA, EXTRA: Victoire de Castellane, Dior’s fine jewelry PARTY TIME: Heatherette designers Richie Rich and Traver estimates this year’s sales at a conservative $6 million. Of designer, is joining her cousin, designer Gilles Dufour, on the Rains celebrated their birthdays and the launch of their weekly course, when you’re selling sheared mink sweatshirts for set of Sofia Coppola’s upcoming film about Marie Antoinette, “Torture” parties Friday night at Temple. They didn’t dress $7,950 (it was among the day’s most popular items), that’s not which also features Kirsten Dunst and Marianne Faithfull. the guests, but the pair planned a Warholian design theme hard to do. Of course, like most every other designer before Castellane, who met Coppola when the director was interning for the club. him, Lam fell in love with Los Angeles and its stylish denizens. at Chanel, will appear as an extra alongside her sister, “I want someone to find me a nice Mathilde Agostinelli, who is Prada’s Paris COMING HOME: Jarlath Mellett, who left his post as Theory’s bungalow in the hills — one that won’t public relations person. design director earlier this month, will focus on developing his wash away in the rain,” he laughed. retail store, Jarlathdan, which he and his partner, Dan Burns, HER VERY OWN BAG: It seems Selma Blair’s opened in Amagansett, N.Y., last July. The 1,500-square-foot WINDOW READING: These days, one could fashion star is rising fast. She’s just back store, which currently is being renovated and is expected to easily confuse the Marc Jacobs store on from attending the Louis Vuitton show in reopen April 1, aims to mesh the worlds of fashion, home and Mercer Street with a bookstore. A huge Paris and she’s got her hands on an accessories, changing the theme each season. Spring’s theme display in the window heralds the release of accessory other than the belts from her is Marrakesh, and so the offering will include a selection of Francine Prose’s new book, “A Changed line, Elegantly Wasted. Marc Jacobs has clothing items under the Jarlathdan label, such as washed Man,” a satire about fund-raising, liberals named one of his coveted bags of the silk sarongs, colorful tank tops and beaded slippers, as well and the extreme right. As it turns out, Prose, season after the starlet. And since Marc as candles and home scents by Aqua di Parma and a novelist and critic, is friends with the doesn’t just go doling out bags to every refurbished mid-century antiques. “I hope to bring a sense of designer and with the company’s president, Robert Duffy. They actress seen in his clothes, Selma can now add “muse” to humor back into the home,” Mellett said. He was replaced at will be throwing the author a book party in the store on April 12. her fashion résumé. Theory by Istvan Francer. DEREK LAM TRUNK SHOW PHOTOS BY DONATO SARDELLA DONATO DEREK LAM TRUNK SHOW PHOTOS BY WWD, MONDAY, MARCH 14, 2005 5 WWD.COM J. Crew Planning IPO Attal to Succeed Agon at L’Oréal USA By Matthew W. Evans and Innéov brands. In 1984, Attal re- Continued from page one ceived a PhD in medicine, specializ- and worked his magic to turn around the firm. Millard S. NEW YORK — L’Oréal Group has con- ing in dermatology. J. Crew is majority owned by Texas Drexler firmed a WWD report by announcing “Enthusiastic, energetic and a Pacific Group, a private equity firm. that Laurent Attal will succeed Jean- great communicator, Laurent Attal is As for the IPO, a spokesman for Texas Pacific Paul Agon as president and chief ex- an excellent manager and a great Group said, “We’re not going to comment on ecutive officer of its $4 billion L’Oréal team leader,” stated Owen-Jones. “I that.” Amanda Bokman, chief financial officer USA affiliate here. have no doubt that he of J. Crew, could not be reached for comment. Meanwhile, at will use these excep- Kenneth A. Wasik, managing director of L’Oréal headquarters, tional talents to take Houlihan Lokey Howard & Zukin, observed, the company said, as BEAUTY BEAT L’ Oréal USA to new “The equity market is becoming more and expected, that Marc Menesguen has heights in the years to come.” more receptive to apparel retailers. Look at been named as successor to Gilles In past interviews, Owen-Jones the [success of the IPO for] New York & Co. I Weil, who is retiring as the head of the has pointed to brands in the active believe that this is a good time for J. Crew to company’s huge luxury products divi- cosmetics category as among those in be exploring a public offering, absent any in- sion, one of the key posts in the the forefront of L’Oréal’s future. ternal complications or shareholder situa- world’s largest beauty company. In Paris, Menesguen, 49, will be- tions that need to be resolved.” The appointment of Attal confirms come managing director of L’Oréal’s Wasik said J. Crew is a “good story for an flecting strong sales increases and gross margin speculation that appeared in an arti- luxury products division, starting IPO. With the big trends going back to the improvement across all channels of distribution, cle on Feb. 18. May 1. whole prep school look, the [fashion momen- the company said in its earnings report. Gross Attal, 47, will assume his position He has been at L’Oréal since 1985. tum] is definitely with J. Crew. In retailing, margin increased to 43 percent from 40 percent, atop L’Oréal USA on July 1. Agon, Among the positions he’s held there the most important thing is to be on-trend in reflecting lower markdowns in all channels. who will succeed L’Oréal chairman are: general manager of L’Oréal Paris a good market, and J. Crew is capturing both Retail sales rose 35 percent to $154 mil- and ceo Lindsay Owen-Jones in the in the U.K. and a parallel position in of them right now.” lion from $114 million, while same-store role of ceo next year, is expected to France. In 1996, he was named man- A retail analyst in the Midwest, who sales gained 30 percent. Direct sales, includ- head to Paris by the end of this sum- aging director of Lancôme tracks J. Crew because she covers its com- ing Internet and catalogue, surged 47 per- mer. It is anticipated that Agon will International. In 2000, he moved up petitors, observed, “An IPO is the next logi- cent to $47 million from $32 million. become ceo of the $18 billion L’Oréal to president of L’Oréal Japan, and in cal step so Texas Pacific Group can get some J. Crew is said to be working on a new re- Group in April 2006, while Owen- 2004, he returned to Paris as deputy return on its investment. This business has tail concept, joining specialty retailers Gap, Jones will continue as a non-execu- managing director of the luxury been improving and there’s been substantial American Eagle Outfitters and Pacific tive chairman and president of the products division. growth in the core J. Crew business.” Sunwear. While each of the firms have de- board of directors. “His vision, his energy, his sense Although privately held, the company has clined to provide much detail about the new Attal joined L’Oréal in 1986 and of judgment, his total commitment, public debt. In December, J. Crew reported concepts, analysts in New York are expecting managed several of the company’s and his in-depth knowledge of luxury improved third-quarter results over the them to target a consumer older than the businesses in France before he was products and their market give Marc same year-ago period. For the three months current core customer for each firm. appointed ceo of Vichy Menesguen every legitimacy for run- ended Oct. 30, the loss was narrowed to $10 Gap’s concept, for example, will target International in 1994. Four years ning the division,” Owen-Jones said million from $24 million in the same fiscal- women more than 35 years old. And Aber- later, he was appointed head of L’Or- in a statement. year 2003 quarter on sales that gained 36.4 crombie & Fitch last year launched Ruehl, éal’s active cosmetics division. The Weil has been president of L’Or- percent to $206 million from $151 million. which caters to an older, more affluent de- division, which is viewed as a key éal’s luxury division since 1991. Operating income was $13 million versus a mographic than its core adult Abercrombie area of future growth for L’Oréal, in- — With contributions from loss of $6 million in the prior year’s period, re- store base. cludes the Vichy, La Roche Posay Jennifer Weil, Paris 6 WWD, MONDAY, MARCH 14, 2005

Versace’s Stella Prada’s Gucci’s lace-up, McCartney’s grommeted stamped chained equestrian- bag. leather bag. themed bag. bag and boots.

Donna Karan’s studded leather bag. The Sober Side Many collections featured toned-down, even somber looks this season, and completing them were dark, subtle accessories that played to the new mood. Just as there’s no such thing as too many little black dresses, the same goes for little black bags.

All the Louis trimmings Vuitton’s at Burberry layered Prorsum. necklace.

Jeweled shoes and a blue bag at Celine. Lace-up boots and a leather bag at Michael Kors. A supersized Chanel’s Giorgio embellished Armani knit hat. clutch.

Alexander McQueen’s crocodile bag. WWD, MONDAY, MARCH 14, 2005 7 WWD.COM Christian Dior’s hat, leather bag and lace-up boots.

Dolce & Gabbana’s buckled bag and boots.

Bottega Veneta’s rosette bag and shoes. Leather and diamond- pattern accessories at Valentino.

Hermès’ private-eye look in leather and tweed.

Marc A black TURNER DAVID Jacobs’ paneled leather bag at and Calvin patent Klein. bag.

Ralph Lauren’s crocodile bag.

Singing the blues at A dark bag at Kenneth Yves Saint Cole. Laurent. PHOTOS BY JOHN AQUINO, GEORGE CHINSEE, STEPHANE FEUGERE, GIOVANNI GIANNONI, DAVIDE MAESTRI, MAURICIO MIRANDA, ROBERT MITRA AND MITRA ROBERT MIRANDA, MAESTRI, MAURICIO GIANNONI, DAVIDE GEORGE CHINSEE, STEPHANE FEUGERE, GIOVANNI JOHN AQUINO, PHOTOS BY 8 WWD, MONDAY, MARCH 14, 2005 WWD.COM Innerwear Report Coping With Consolidation

By Karyn Monget Silk Lemon NEW YORK — The changing dynamics of the lingerie charmeuse Tart’s and retail industries brewed a mix of anxiety and antic- cami and ribbon ipation at last week’s fall-holiday market. tap pants cami and Several factors contributed to the apprehension of and lace pull-on several large and small vendors, including the an- jacket by pants. nouncement March 1 that Federated Department Stores the Josie will acquire May Department Stores. Natori A majority of manufacturers believe this will further Collection. consolidate retail channels in a rapidly shrinking mar- ketplace that includes the proposed merger of Sears and Kmart, and the disclosure by Sara Lee Corp. last month that it plans to spin off its Sara Lee Branded Apparel unit into an independent company. At the same time, industry executives said the con- solidation of major stores could open up an avenue of opportunity for smaller, specialty operations. “This could be an opportunity for manufacturers to focus on specialty retailers once again,’’ said Tobie Garfinkle, vice president of merchandising for Liz Claiborne Intimates. “There’s a lot of business that could be cultivated.” Retail turnout at the Lingerie Americas trade show here underscored that point. Patrice Argain, chief exec- utive officer of Lingerie Americas, said attendance was up 15 percent compared with a year ago, totaling 2,475 visitors. The opening Sunday of the three-day fair pulled in about 1,000 visitors, he said. While the bulk were from specialty stores, there also were a number of major department and specialty stores as well as cata- logue and e-commerce businesses. “Buyers came in not only substantially larger num- bers, they also spent an average of two full days at the show,” Argain said. “They came from outside the Tri- state area, particularly from Florida and California.” dors $21.5 million after an internal investigation involv- Komar’s luxury brands division. Meanwhile, executives at some of the major firms ing the improper collection of vendors’ markdown al- “The daywear items can be worn with jeans, and said they were pleased with the prospect of partnering lowances. It is a common practice among major depart- many pieces can be worn at a spa, on a patio or hostess- with a new breed of retail giants and they applauded ment and specialty stores when dealing with lingerie ing a cocktail party at home,” Caetano said. “This is also Sara Lee’s spin-off strategy. However, executives at and sleepwear companies, vendors said. for a lot of women who work at home. Retailers expect- smaller and midsized innerwear firms who are not big “I had to stop shipping Saks because I could never ed to see lace and pink and baby blue, typical lingerie players on the Federated or May matrix said they were make a net profit,’’ said Samantha Chang, designer of colors. But they said they were surprised because it’s worried about being squeezed out. The main concern ready-to-wear and lingerie that bears her name. “The different than anything they’ve seen out there.” was being able to comply with a growing litany of re- number of chargebacks just kept on growing. I wrote, Styles include softly brushed honeycomb-pattern robes quirements from huge retail groups that generate a faxed, e-mailed and called, but I always got the of lightweight cotton, Empire chemises with braided de- profit for themselves, but little if no profit is left for the runaround and was always told to talk to somebody tail that support the bustline and draped long sleepgowns manufacturer. else. I spent so much time doing that that I didn’t have that have an rtw flavor. Fabrics include polyester mi- “Either you go along with the demands, or they tell time to design. They still owe me money.” crofiber jersey, Modal and silk and rayon ombré velvet. you to take the highway,” said one executive who did Unlike bridge sportswear and accessories, which con- Retailers generally said the market extolled a wealth not want to be identified. “It’s only going to get worse stitute a big chunk of markdown deals, lingerie also is a of newness and fashion product. for the little guys.” markdown target because it is among the highest-margin “At the Lingerie Americas show, we observed a The angst was further compounded by the Saks Inc. businesses at stores. It’s considered a risk-averse sector strong trend toward luxury brands continuing through announcement last week that it intends to repay ven- that is promoted year-round and is anchored in com- fall ’05,’’ said Maureen Stabnau, senior vice president of modity goods, not seasonal fashion items. Margins differ merchandising at Bare Necessities, a lingerie chain among retailers, but typically range between 45 to 52 based in Newark, N.J. “We’re considering adding ID Samantha percent, and as high as 59 percent, vendors said. Sarrieri bras and Leigh Bantivoglio camisoles and che- Chang’s “It’s been a very interesting market and it’s far from mises. We also see the continued expansion of the trend bird of over,” said Richard Leeds, chairman of Richard Leeds toward lace and vintage looks.” paradise- International. “You’ve got the midtier [department] Heather Taylor, owner of A Tropical Affair, a lingerie printed stores and chains like Sears as well as mass retailers and swimwear boutique in Santa Barbara, Calif., said, silk slip. such as Wal-Mart and Target coming in. At the same “It’s really been a great market. We have a very label- time, a lot of people are going out to see retailers.” conscious customer. We are a travel destination, have a Leeds said two licensed characters have been “hits” very wealthy clientele and we are a bridal capital.” with a sophisticated redo: Barbie and Wonder Woman. Taylor said in addition to best-selling brands at her “Victoria’s Secret really loved the attitude of Barbie shop — including La Perla, Dolce & Gabbana, Aubade, and Wonder Woman,” Leeds said. Cosabella, Mary Green, Khurana, Jonquil, Love Tanjane, Kathy Thomas, sales executive at JD Fine, said, “I Wendy Glez and Bedhead — she plans to order two think retailers are really aggressively out there looking brands for the first time: Ying Li’s hand-painted silk day- for the next great thing that will make their cash regis- wear and sleepwear, and underwear by Undie Moon. ters ring. Everybody is looking for a lot of fashion but at Mary Sue Shade, owner of Bonne Fitte, a two-store a great price. It’s been a terrific market, but it’s become chain in Traverse City and Howell, Mich., who attended a three-week market. Federated came in the first week, the Lingerie Americas fair, said, “This is the first mar- a lot of people came in last week and the third week is ket I’ve come to and it’s wonderful. It’s been my reps dedicated mainly to May Co.” who have attended before. I cater to the customer who Jessica Mitchell, senior vice president of sales and wants unique product and I’m finding it.” brand development at Natori Co., said, “Everybody Shade noted that she was reordering lingerie by loved the wear-home and wear-out concept of the Josie Fantasie of England, Jezebel, Felina, Arianne and Huit. Natori Collection, now in its second season. Colors like “Huit will give you any point-of-sale material you wild pink, peacock blue, imperial yellow, black, ivory need,” she said. “They’re great.” and gold received strong reaction. People are buying Shade said she ordered four resources for the first four colors and plan to hang them like a candy store.” time: Aubade, Elila, Volage and BB Curves. Mitchell added that key items include silk camis with Cheryl Sloane, an owner of G Boutique, a specialty a French antique-pattern lace overlay, allover lace jack- lingerie and sex-toy shop in Chicago, said, “Business is ets and crinkle silk chiffon and silk charmeuse tunics. over target, up 30 percent against February 2004. We or- Anne Caetano, president of the luxury division at the dered several new resources at this market for our bou- Komar Co., said reaction was strong to a new licensed tique, 2Belles, Elle Macpherson and Rigby & Peller. We sleepwear brand by Le Mystere. The collection is de- also reordered maternity and nursing items from

NATORI PHOTO BY KYLE ERICKSEN; TART AND CHANG BY ROBERT MITRA ROBERT AND CHANG BY ERICKSEN; TART KYLE PHOTO BY NATORI signed by Ricky Lizalde, vice president of design for Bellabumbum, l’Arrivo and Daniella Simon.” WWD, MONDAY, MARCH 14, 2005 9 WWD.COM Innerwear Report Argentine Unmentionables NEW YORK — If Mariana Cortés has her way, Argentina’s designs for them. I had clients who also must have been greatest export will be — Borges, beef and the tango panty fanatics because they would have, like, 50 pairs.” aside — thongs, as well as briefs, bikini bottoms and What once began with three bikinis has become a granny panties. full-fledged brand. Juana de Arco — a name, she said But any old knicker won’t do. Cortés prefers her came spontaneously to her — now includes bra tops and brand of kicky, homespun innerwear to bear the “Made camis (what she calls “Your North”), loungewear and in Argentina” tag. ready-to-wear, as well as shoes, handbags and rugs. From her boutique on El Salvador Street in Palermo, Innerwear, however, will always be her focus, she said. a district of Buenos Aires, Cortés designs the kind of un- In many ways, Juana de Arco can be compared with mentionables that come straight out of a party piñata. Project Alabama of the American South. Again citing Juana de Arco, the name of her seven-year-old line, Argentina’s fiscal troubles, which led to high unemploy- which translates to “Joan of Arc,” is part kitsch and part ment, Cortés said she began the company in large part whimsy, where a single undergarment comes in a rain- to help create jobs within her community. To that end, bow of colors — all bright, as is the Argentines’ wont. A she enlists the aid of local Palermo artisans, as well as multicolor polkadot thong, for example, has different col- those in the neighboring towns of Arribeños and The Palermo boutique. ors for the lining and the hem. Florencio Varela, which explains the arts-and-crafts Her bottoms, which she named “Your South,” come feel of her products. To wit, her rtw pieces include artsy from knotted leftover scraps of fabric used in her shop, in 13 silhouettes. Retailing for $25 and up, they range fare such as a polyp-friendly tube top and chunky knits Proyecto Nido (Nest Project) was hung high up in a tree from the typical undie to thongs with side streamers. with miscellaneous egg-shaped appliqués. during February’s Campo Konex Festival, an interdiscipli- Cortés said the diversity in selection initially arose One-third of her Palermo boutique is a white-walled nary cultural festival held in Carlos Keen in Buenos Aires. more out of necessity than creative freedom. gallery, where the works of local and up-and-coming artists “The art world nourishes me,” Cortés said. “In the beginning, business was hard,” said Cortés, are displayed on a rotating three-week basis. Cortés is also Still, that’s not stopping her from her commercial en- referring to her country’s economic hardships, especial- something of an installation artist herself, having recently deavors. In November, Cortés opened her first boutique ly the crisis of 2001. “Not many people would come visit, completed a large nest-shaped still life with her Florencio in Barcelona and another in Tokyo late last month. so the few clients I had, well, I had to keep doing new Varela craftsmen. Measuring 86 square feet and made — Venessa Lau

DREAM COLLECTION: Maidenform Inc. has an addition it hopes won’t be a Vera Wang Inks Lingerie License INTIMATE NOTES sleeper for its franchise of signature NEW YORK — Vera Wang has signed a licensing pact with Komar bras — The Dream Collection. Co. to design, manufacture and market the first collection of in- “We are looking at it as the Dream Collection and it will evolve as a total nerwear bearing the Vera Wang name. collection as did our other franchise, One Fabulous Fit,” said Tom Ward, Wang’s company confirmed in June it was “exploring opportuni- chairman and chief executive officer of Maidenform. “Dream will be a whole ties” for a lingerie license. The Vera Wang brand, which is known new line of business for us.” for upscale bridal and ready-to-wear, generates retail sales of $300 Manette Scheininger, senior vice president of marketing, merchandising and million, of which $200 million is through licensing. design, said the Dream Bra, which is available in average and full-figure sizes, is Anne Caetano, president of the Komar luxury brands divi- rendered in “one fluid piece” with built-up shoulder straps, a sweetheart sion, said in a statement that Wang’s “understanding of her cus- neckline, a patented underwire channel that “doesn’t flip” and two-ply sides tomer and her exquisite attention to detail will make Vera Wang with no elastic so it doesn’t chafe the skin. Lingerie a magical combination.” “There’s no obvious stitching on the 40-denier microfiber garment, which is Wang said, “My tops and eveningwear have always had a delicate, designed to imitate a woven fabric,” said Scheininger. “It’s been wear-tested underwear reference, as have my bustiers and bridal gowns. This is and provides great shape and uplifting.” such a unique and creative opportunity for me to take advantage of, Special treatments include an embossed Maidenform logo on the interior of as well as the layering pieces we all love for lifestyle dressing.” the back of the bra. Maidenform’s Dream Bras are The addition of the Vera Wang name to lingerie is expected to “Each size is fitted independently,” she said. “What we did for an A cup isn’t available in sizes 32A to 40DD. add a touch of luxury and glamour to a business that’s been domi- necessarily what we do for a B, C or D cup. Colors will include five cosmetic nated in the past year by celebrity and designer lingerie with body tones and three fashion colors. Suggested retail will be $32 for the bra and $14 for coordinating panties.” names including JLo Lingerie by Jennifer Lopez at The Warnaco Maurice Reznik, president of Maidenform, would not give a sales projection, but said the launch this fall will be Group. Designer Anna Sui does lingerie in what she calls a “cre- supported by a multimillion-dollar advertising and marketing campaign beginning in October. ative collaboration” with Underglam, a Los Angeles-based lingerie firm. Other designer names said to be shopping for intimate deals NATORI HOME: The Natori Co. has signed a licensing agreement with JLA Home to produce a collection of bedding include Cynthia Rowley and Alice Roi. and coordinated bath products. The launch is scheduled for fall 2006 and will be distributed to better department — Karyn Monget stores, fine luxury linen catalogues and designer home textile specialty stores. Josie Natori, ceo of the Natori firm, said, “We have wanted to be back in the home textile market for some time, but have been seeking the right company and sourcing organization to be able to execute the signature details and embellishments that are the Natori trademark. We have found that organization at JLA Home led by Edmund Jin, a consummate entrepreneur. “This is the first time we’ll be doing an entire at-home collection of sheets, comforters, duvets and designer pillows. JLA is a young company and it’s a big step for them. I really wanted a company where I’m the brand, not one of many brands.” A showroom for the Natori home products will open later this year.

FEMMY NIGHT: More than 700 executives of the innerwear and retail industries turned out at the 30th annual Femmy Awards gala at the Waldorf-Astoria hotel in Manhattan on March 8, sponsored by the Underfashion Club. Janet A. Malecki, president of the organization, opened the festivities with professor Leonard Bess, chairman of the Fashion Design department at the Fashion Institute of Technology, who spoke about the pool of creative talent in the fashion apparel industry. Designer Eileen West received a Lifetime Achievement Award and was introduced by Charles Komar, ceo of the Komar Co. West’s sleepwear collection is licensed to the Komar firm. She asked her partner, Laney Thornton, to receive the award with her, saying, “Viva Michael Fitzgerald Les Femmys!” Three honorees received a Femmy Award: Olivier Noyon, Ceil McDermott principal and ceo of French lace specialist Societé Lucien Noyon and Janet Hercules S.A.S., who was introduced by the Noyon company’s commercial director, Michel Machart; Michael Fitzgerald, ceo of Delta USA, introduced by Dov Lautman, chairman and founder of Israeli-based Delta Galil Industries, and J.C. Penney Co. Two retail executives from Penney’s accepted the award: Ceil McDermott, senior vice president and general merchandise manager of women’s accessories and family footwear divisions, and Janet Hercules, divisional vice president of product development and director of women’s accessories and intimates. They were introduced by Charles Chinni, executive vice president and general Laney Thornton merchandise manager of Penney’s home division, fine jewelry, and Eileen West Olivier Noyon women’s accessories and family footwear. MAIDENFORM PHOTO BY ROBERT MITRA; FEMMY GALA BY KEITH SMITH FEMMY GALA MITRA; BY ROBERT MAIDENFORM PHOTO BY 10 WWD, MONDAY, MARCH 14, 2005 WWD.COM Accessories Report Accessories Mimic Fall Trends in Apparel Council Fetes By Emily Holt and Sophia Chabbott some are realizing they can’t continue to do so. Maxx jumped its opening retail price to $250 from $150. Its Market Week NEW YORK — The distance from the runway to the main fall collection revolved around three main colors: black, NEW YORK — The Accessories floor is getting shorter. dark brown and wine. Big hobo silhouettes and structured Council held its annual March For their fall lines that were shown last week, ac- book-bag styles featured brushed gold hardware. The turn- market party with the Shopping cessories vendors took cues from the Russian looks lock group included small shoulder purses in a rich Soiree and cocktail party at and use of upholstery fabrics and velvet seen during crushed velvet, much like that used in skirts and coats on Lord & Taylor Wednesday the designer collections over the last six weeks in the runway. evening. New York, Milan and Paris. Clockwise from top: “Materials have to be more classic, but the hard- The event offered a chance Richly hued paisley patterns appeared across Maxx, Nine West, ware or the treatment can be more of the moment,” for designers and retailers to categories. Tassels dangled off handbags, as well Helen Welsh. Rokoff said. network in grand style — as earrings and necklaces, and metallic leathers, Helen Welsh also increased prices on her hand- granted, the Pravda vodka a strong trend for spring, are continuing in full bags up to a maximum of $350 retail; they martinis helped. force for fall. used to top out at $300. She showed A silent auction featured But trends are not the only thing trickling large two-tone shoppers with zippers prizes such as dinner for 12 pre- down onto the main floor. These days, big- inspired by Balenciaga’s popular pared by Chef Larry Forgione, a name designer firms such as Michael Kors Lariat bag. Upholstery fabric Marc Jacobs handbag and sun- and Calvin Klein are launching better acces- popped up on her signature East- glasses and a full-page national sories collections and some companies are feel- West bag with leather trim and ad in In Style, valued at $110,000, ing the effects. similar patterns appeared on which Lynn Roberts, vice presi- “It’s definitely taken up floor space,” her scarves. dent of Echo Design Group, bid said Robert Rokoff, design director at Metallic leathers in blue, on early in the evening. Maxx, adding that retailers are usually burgundy and olive were also a quicker to give well-known brands significant part of her bag line, ample room on the floor. as well as at designer Kathy Helen Welsh, who designs hats, van Zeeland. bags and scarves, has been more “Any place I use metallics, aggressively marketing her brand retailers are loving,” van to establish a stronger reputa- Zeeland said. “And we’re tion for the consumer. selling metallics really well STEVE EICHNER PHOTO BY “Any new brand is competi- at retail right now.” tion for me,” she said. “The Shine played into scarves cream’s going to rise to the top.” as well. Long skinny styles re- Another key issue causing main among the top-selling looks. problems for many firms is the weakness of the dollar For fall, Echo and Betsey Johnson, which is licensed by Cejon against the euro. Most companies manufacture in Asia, but source Accessories, both showed heavily sequined and beaded scarves. leathers and other materials from Europe. Equestrian details were popular as hardware on bags and watch-

PHOTOS BY ROBERT MITRA ROBERT PHOTOS BY For a while, many firms were absorbing the extra cost. But now es, too. AK, Anne Klein’s better watch line licensed to E. Gluck, in- cluded a style with a colored leather strap connected to the Lynn Roberts and Lavelle Olexa silver dial with horse bits. Russian influences and the Many of the attendees use of rich velvets were anoth- praised fall’s strong, trend- er strong trend. In that mood, heavy, ready-to-wear collections, Nine West, a division of Jones which ended in Paris that day. Apparel Group, offered a “It’s so exciting to see all the printed paisley velvet hobo mixed media on the runway,” with a braided handle. said Eileen Warner, president of Jewelry designer RJ Accessories Design Holdings. Graziano put tassels on his “I’m ripping out pages [from necklaces and earrings. Gold newspapers] already.” filigree beads were also Lavelle Olexa, senior vice prominent. For fall, Graziano president of fashion merchandis- brought back velvet ribbon ing at L&T, said, “This fall, we’re chokers with jeweled pen- all going to want flat riding boots.” dants and charms, as well. By evening’s end, Yosca had “We’re continuing the beat out the competition for a charm looks, except this time pair of Missoni sunglasses and more Victorian,” Graziano the Miriam Haskell company said. “These are not so sparkly, landed the In Style ad for an these are more antique-like undisclosed sum. and have a little more history.” — S.C. Orgell and Chopard in Lawsuit NEW YORK — David Orgell is embroiled in a lawsuit with Chopard USA in a California Superior Court in Los Angeles that alleges unfair competition and breach of contract. Orgell is the nameplate of a retail store on Rodeo Drive. It is owned and operated by R & S Antiques Inc., which filed the law- suit against Chopard on Feb. 25. Orgell sells luxury watches, jew- elry and antiques. In 1996, Orgell entered into an agreement with Chopard to be an authorized dealer-retailer of its products, ac- cording to the court filing. The lawsuit said the relationship continued through 2004, during which Orgell purchased Chopard products in excess of $4.6 million for authorized resale to its clientele. Orgell said in court papers that in 2002, “Chopard opened a competing store on the same side of Rodeo Drive (within 36 feet)” of Orgell. The lawsuit said both stores sold the same Chopard products that Orgell was authorized to sell. Chopard in March 2004 ended the agreement that gave Orgell au- thorization rights to sell Chopard products, the lawsuit said. Orgell is seeking unspecified damages and punitive damages of at least $1 million. A spokeswoman from the company declined to comment on the lawsuit. WWD, MONDAY, MARCH 14, 2005 11 WWD.COM Legwear Report

Legwear Takes a Stroll on the Catwalk A paisley cutout look from DKNY. By Emily Holt and Sophia Chabbott censed to Sara Lee, combined bronze thread with a char- coal stretch knit in one style. Fogal; Ellen Tracy, a brand ▼ NEW YORK — Legwear was back on the runway for fall at the JBT Group, and the new Michael Michael Kors line and hosiery manufacturers took notice. licensed by American Essentials showed lots of gold In addition to the tights and socks shown by Marc Lurex-laced shine. Lurex was also intertwined in patterns Jacobs and Anna Sui, vendors were inspired by the with unexpected fabrics like stretch wool or fuzzy bouclé. boho bourgeois and Russian romantic stylings in design- The trend for men’s wear patterns in socks and hosiery er apparel. As a result, paisley prints and smoky metal- has gone one step beyond. Argyles have become fresh lic yarns were dominant in many collections presented again in bright pop colors like pink and melon at Hue, during last week’s legwear market. and royal blue tights with grass green contrast at DKNY, a From fishnets to solids, bronze, gunmetal and pewter Sara Lee license. The brand also showed pinstripe tights were popular metallic hues. Donna Karan, which is li- in bold colors. Others, like Givenchy, which is produced by JBT, offered charcoal and dove gray pinstripe thigh- highs contrasted with feminine black lace trim. ▼ Many firms followed the trend toward a luxe gypsy A harlequin look. Bohemia was everywhere in tights from tonal pais- print from ley cutouts in berry and forest green at DKNY to vin- Fogal with tage floral prints at Ellen Tracy. Lurex. Camel sock An overwhelming trend among hosiery manufactur- PHOTOS BY ROBERT MITRA ROBERT PHOTOS BY with gold ers this fall is comfort and technology, such as Hot Sox’s shimmer by new Comfort Collection. Kayser-Roth. “Women expect quality that they never Michael “We were getting more special requests than ever, used to — everywhere.” Michael Kors. from diabetic people who have special sock and shoe The introduction of socks to be worn with sandals, as ▼ needs [due to circulation issues] to maternity socks, well as foot cushions to comfort feet in sandals in the even men wanting seamless socks,” said Susan Spindell, line, indicates how the industry is combating annual national sales manager. sluggish second- and third-quarter sales. Comfort comes into play as the socks deliver extra Innovation contributed to the comfort trend. Donna cushioning, a seamless toe or a relaxed top. The Karan introduced its new Body Perfect collection of Comfort Collection will be supported by a print adver- slimming garments. Made of seamless hosiery, the laser- tising campaign. cut second-skin garment comes in mid-thigh and capri ▼ Givenchy Kayser-Roth Corp. recently relaunched and expand- silhouettes, as well as two levels of compression, mak- sock with ed its No Nonsense brand, which is worn by 30 million ing for a more comfortable, customized fit. woven logo. women, with offerings including fashion socks and shoe In its new Outlast line, Gold Toe has used an exclu- solutions, including flip-flop and mule liners. The line, sive fiber that maintains body temperature. Of the trend sold in food, drugstore and mass doors, aims to offer toward a more technological, and thus more expensive, quality and comfort to every woman. sock, Gary Moyer, vice president, department store “People cross-shop,” said Julia Clinard Townsend, sales, said, “Customers are willing to pay a bit more. As executive vice president and general manager of long as you make it new, they’ll buy it.” 12 WWD, MONDAY, MARCH 14, 2005

Financial Weekly Stock Index 52-WEEK VOLUME AMT HIGH LOW P/E (00’S) LAST CHANGE WWDCOMPOSITE STOCK INDEX VS. S&P 500 RETAILERS 58.61 27.42Abercrombie Abercrombie & &Fitch Fitch 24.3 48062 57.50 0.72 35.10 21.00Aeropostale Aeropostale 22.3 47269 33.65 -0.36 29.59 11.44American American Eagle Eagle 18.3 111333 28.65 -0.14 30.34 19.98Ann Ann Taylor Taylor 15.8 73628 25.10 0.50 33.70 11.45Bebe Bebe 38.8 41639 32.97 0.21 S&P 500 3.70 1.22Bluefly Bluefly - 2556 1.35 -0.07 19.78 9.62Bon-Ton Bon-Ton 15.0 6008 19.00 1.78 29.64 17.42Burlington Burlington Coat Coat 15.2 3907 28.28 -1.12 23.63 11.31Cache Cache 19.0 2968 16.10 -0.44 32.90 18.85Cato Cato 19.3 5734 31.17 -0.88 22.24 8.84Charlotte Charlotte Russe Russe 26.3 12727 12.17 -0.22 9.64 6.23Charming Charming Shoppes Shoppes 13.7 33566 8.59 -0.36 30.25 16.91Chico’s Chico's FAS FAS 34.5 100042 27.16 -1.58 44.56 16.77Children’s Children's Place Place 33.6 21887 43.86 -0.04 53.59 33.73CVS CVS 22.2 103157 52.85 0.27 30.25 22.00Deb Deb Shops Shops 23.9 545 27.06 -2.44 27.93 15.21Dillard’s Dillard's 32.9 60024 24.38 0.39 WWD COMPOSITE STOCK INDEX 22.80 16.91Dollar Dollar General General 23.4 99114 22.21 -0.12 20.75 15.19Dress Dress Barn Barn 19.7 11013 20.17 0.47 59.21 32.40eBay eBay 65.9 856654 38.25 -3.50 36.07 25.09Family Family Dollar Dollar 21.1 49732 31.41 -0.84 63.10 42.80Federated Federated 16.0 144892 62.15 1.20 29.26 19.97Foot Foot Locker Locker 17.4 24817 28.75 0.01 25.72 18.12Gap Gap 17.3 438766 22.58 0.99 14.80 7.35Goody’s Goody's 20.2 2541 9.65 0.27 12/3 12/17 12/31 1/14 1/28 2/11 2/25 3/11 9.15 3.85Gottschalks Gottschalks 19.3 681 8.88 0.36 19.58 11.58Guess Guess 22.9 8335 15.10 -0.68 2.92 1.00Harold’s Harold's Stores Stores - 1920 1.26 0.01 27.45 13.85Hot Hot Topic Topic 24.2 42949 22.98 0.22 48.17 31.10J.C. J.C. Penney Penney 21.1 87937 48.01 1.17 128.88 32.76Kmart Kmart 9.1 320862 127.00 21.99 WWDSTOCK INDEX RETREATS 54.00 39.59Kohl’s Kohl's 25.1 114928 52.96 -0.34 27.89 18.34Limited Limited Brands Brands 17.9 76073 25.07 0.62 NEW YORK — After taking a beating on the prospects of higher gas prices this summer of $2.15 a gallon, retail and 36.87 23.04May May Dept. Dept. Stores Stores 20.4 120062 36.67 0.52 vendor shares retreated last week. 27.92 11.75Mothers Mothers Work Work 19.8 913 14.60 0.74 As a result, the WWD Composite Stock Index fell 1.2 percent to 1,161.03. The S&P 500 dropped 1.8 percent, 76.78 47.48Neiman Neiman Marcus Marcus 15.7 7022 72.86 -1.38 24.41 14.76New New York York & & Co. Co. - 4640 19.16 -1.30 week-over-week, to 1,200.08. 55.25 34.85Nordstrom Nordstrom 19.1 43016 53.69 -0.22 Aside from fuel costs, the biggest attention grabber on Wall Street last week was a bullish report from UBS ana- 29.05 17.25Pacific Pacific Sunwear Sunwear 19.8 58124 27.98 0.00 lyst Gary Balter, who tagged shares of Kmart Holdings Inc. with a $160 price target. 46.88 38.36Regis Regis 17.0 13668 40.20 -0.17 9.70 6.02Retail Retail Ventures Ventures 24.9 1438 7.32 -0.09 On Friday, Kmart’s stock jumped as investors digested the upbeat report. Shares of Kmart rose more than 14 31.85 20.95Ross Ross Stores Stores 23.2 46746 29.44 -0.97 percent in the after-trading session. By the end of the day, the stock closed up 13.3 percent to $127. Sears, 17.92 11.61Saks Saks 34.6 45037 15.22 0.20 58.13 31.21Sears Sears 34.4 393977 57.56 5.70 Roebuck & Co. also soared on the news, closing Friday’s trading session up 7.9 percent to $57.56. 22.23 12.14ShopKo ShopKo 13.2 28321 21.80 3.71 Balter upgraded shares of both retailers, who are looking to get shareholder approval on their proposed $11 bil- 42.50 31.22Stage Stage Stores Stores 13.1 11945 37.50 -2.84 lion merger later this month, to “Buy 2.” 22.83 11.51Stein Stein Mart Mart 30.3 7393 21.11 -0.72 14.08 7.57Syms Syms - 1277 13.75 0.17 In the report, Balter said the “cash flow opportunities [are] too good to ignore” and added that his $160 price 39.82 24.11Tal Talbotsbots 18.2 24305 31.62 -0.58 target is “based on the ability of the company after the merger with Sears to generate significant cash flow through 54.14 40.03Tar Targetget 25.0 116465 51.75 -0.64 asset sales, cross-selling of proprietary brands, and cost savings, particularly at Sears.” 26.82 20.64TJX TJX Cos. 18.9 114043 24.82 0.07 6.69 1.77United United Retail Retail Group Group - 269 5.93 -0.08 Still, Balter said the deal has risks. “Unlike pre-merger Kmart, the asset support does not offer as much protec- 48.47 20.95Urban Urban Outfitters Outfitters 40.0 98615 48.03 2.86 tion and the commodity nature of Sears’ key products make one key element of the Eddie [Lampert] story, price in- 60.45 51.08Wal-Mart Wal-Mart 21.6 471483 51.60 -1.50 creases, less available. Yet, the potential for cost-cutting and vendor support is compelling.” 9.18 0.69Wet Wet Seal Seal - 79240 3.34 -0.31 6.75 1.95Wilsons Wilsons Leather Leather 37.5 4735 4.58 0.46 Lampert, the hedge fund wizard who bailed Kmart out of bankruptcy, is credited with turning around specialty 31.30 24.59Zale Zale 14.2 12712 29.33 -0.90 auto parts retailer AutoZone. As a result, Balter said “Eddie stories work best early,” and AutoZone “continues to VENDORS 56.31 41.61Alberto Alberto Culver Culver 24.8 13873 50.81 -1.09 show cost savings after five years.” 46.65 35.19A Avonvon 23.4 91967 42.07 -0.33 Meanwhile, shares of Quiksilver Inc. hit a new 52-week high in New York Stock Exchange trading Friday following the 26.76 19.50Benetton Benetton 27.9 3548 20.00 -3.60 release of strong first-quarter numbers after Thursday’s market close. Spurred by revenue increases in all geographic mar- 37.35 20.16Cherokee Cherokee 19.5 3046 36.25 -0.03 59.95 35.98Coach Coach 33.8 60420 59.13 -0.37 kets and the addition of DC Shoes, the firm said net income in the three months ended Jan. 31 rose 54.9 percent to 62.18 50.00Columbia Columbia Sprtswr Sprtswr 16.0 5763 54.94 -1.84 $14.2 million, or 23 cents a share, from $9.2 million, or 16 cents, in the first quarter of the prior year. Revenues rose 26.50 17.60Elizabeth th Arden Arden - 4726 25.30 -0.83 more than one-third to $342.9 million from $256.1 million in the year-ago quarter. European revenues rose 24.9 per- 49.34 38.84Estée Estee Lauder Lauder 23.6 93527 42.68 -0.32 32.37 21.26Fossil Fossil 15.3 20368 26.05 -0.16 cent to $132.6 million and were up 16 percent in euros. The firm, based in Huntington Beach, Calif., currently expects 10.89 5.69G-III G-III 387.2 203 7.80 0.31 full-year earnings of between $1.62 and $1.65 a share on sales of between $1.48 billion and $1.5 billion. Quiksilver’s 43.20 32.77IFF IFF 17.8 12014 40.62 -1.30 shares closed the day up 6.5 percent to $34.99 after hitting the new 52-week high of $35.61 in intraday trading. 27.53 11.32Inter Inter Parfums Parfums 18.3 4134 15.00 -0.49 40.00 31.61Jones Jones Apparel Apparel 13.3 34335 33.09 -0.19 — Arthur Zaczkiewicz and Arnold J. Karr 45.10 28.00Kellwood Kellwood 11.5 14453 29.05 -0.20 37.39 24.66Kenneth Kenneth Cole Cole 16.1 5158 28.83 -0.01 43.82 32.09Liz Liz Claiborne Claiborne 13.9 42363 39.98 -0.85 4.44 2.67Mossimo Mossimo 22.5 385 3.87 0.01 WWDStock Market Index 19.80 12.99Movado Movado 18.3 2925 18.54 -1.26 Weekly % Changes Ending March 11 92.43 65.81Nike Nike 20.8 54122 86.60 -1.00 2.65 0.46Novel Novel Denim Denim - 0 1.19 0.00 47.50 33.34Oxford Oxford 14.4 5996 36.11 -0.65 Composite: Retailers: Vendors: 29.95 18.20Perry Perry Ellis Ellis 9.0 1720 22.70 -0.25 1161.03 1116.04 1426.32 Largest Gainers Largest Losers 29.95 16.45Phillips-Van Phillips-Van Heusen Heusen 121.7 13171 28.00 -0.33 42.83 31.01Polo Polo Ralph Ralph Lauren Lauren 16.7 13938 40.85 0.54 Close Change Close Change 35.61 19.25Quiksilver Quiksilver 23.1 37094 34.99 0.74 46.30 31.25Reebok Reebok 13.9 27456 45.50 0.22 Kmart 127.00 20.94 Benetton 20.00 -15.25 3.55 1.96Revlon Revlon - 186944 2.68 0.19 ShopKo 21.80 20.51 Wet Seal 3.34 -8.49 19.78 15.60Russell Russell 12.5 6076 18.47 -0.15 2.70 0.71Tarr Tarrantant - 6265 1.63 0.13 -14.50 -13.35 -21.93 Wilsons Leather 4.58 11.17 eBay 38.25 -8.38 18.25 8.47To Tommymmy Hilfiger Hilfiger 9.5 16184 11.03 0.15 Sears 57.56 10.99 Deb Shops 27.06 -8.27 14.85 0.65Tr Trueue Religion Religion Apparel Apparel 143.9 24568 13.35 -0.48 60.74 42.55VF VF Corp. Corp. 13.7 23348 58.90 -1.30 Index base of 1000 is keyed to closing prices Bon-Ton 19.00 10.34 Stage Stores 37.50 -7.04 25.84 17.57Wa Warnacornaco 23.6 21657 24.59 0.00 of Dec. 31, 2002. WWD, MONDAY, MARCH 14, 2005 13 WWD.COM Federated-May Overlap Offers REITs Opportunities

By Amy S. Choi atypical department stores such as Neiman Marcus and Wal-Mart More Bloomingdale’s stores NEW YORK — In nearly 100 to malls. Southern California, could be coming to a mall near malls in the U.S., the overlap of where The Westfield Group con- you as Federated converts Federated and May store an- trols a significant chunk of the redundant properties. chors — say, where a Macy’s and malls with both Federated and Robinsons-May operate side by May stores, may see the most of side — will lead to a handful of this activity. The Australian- Bloomingdale’s conversions, and based REIT has lead the industry more importantly, a healthy dose in adding both Target and Wal- of store closings, which mall Mart to its Shoppingtown region- owners will happily embrace in al mall format, and can be count- order to fast-track the develop- ed on to do more. ment of more modern malls. Simon Property Group, the The real estate investment largest mall owner in the coun- trusts that own the majority of try, has done all of the above. the 93 malls where both Federat- Richard Sokolov, president and ed Department Stores and May chief operating officer, has said Department Stores have at least he would welcome the opportu- one anchor already are eagerly nity to buy back vacant depart- populating their shopping cen- ment stores resulting from the tional department store very opportunity for us.” solidated amongst themselves ters with “category killers,” dis- merger, citing Simon’s success in strongly and we think that it will The potential closing of de- and the net result for us is that count stores and restaurants. A converting underperforming continue to be a strong compo- partment stores due to company our shopping centers overall vacant department store is just Lord & Taylor stores into Nei- nent in our markets,” explained consolidation will strengthen have become stronger. Frankly, what the REITs need. man Marcus anchors or category Lebovitz. “There will continue the market overall while hasten- the barriers to entry [for devel- Meanwhile, an analysis of the killers. In 2004, the REIT added to be rationalization, no ques- ing the modernization of the re- opment] have become higher be- overlap by WWD revealed mar- 32 new mall anchors and big tion, and situations where the gional mall. cause there are fewer depart- kets in Southern California, New boxes to their properties, includ- department stores have too “This is very much a Darwin- ment stores to fuel new centers, Jersey and Philadelphia to be the ing Dick’s and Barnes & Noble much square footage in a mall. ian retailing world that we live which therefore makes existing likeliest targets for REITs to take on the category-killer side, Tar- We’re working with them to fig- in,” said Macerich’s Coppola. centers more scarce, drives up back anchor stores. The analysis get and J.C. Penney on the dis- ure out a way to reallocate that. “There are many, many depart- the values and drives up the showed that, in the densest area count side and Nordstrom and But that’s a good thing. That’s an ment stores that have been con- rents.” of concentration, a merged Neiman Marcus on the luxury Federated-May entity would op- side. It expects more of the same erate more than one anchor store in 2005, planning to add 22 more in 29 different regional malls in big boxes to its malls. The REIT Southern California. The most will probably be the biggest re- common overlap in this market is cipient of empty former May de- Macy’s and Robinsons-May. In partment stores — it is the ma- some malls, such as Fashion jority owner in nearly 30 malls Island in Newport Beach, it with both Federated and May would operate three anchors. nameplates. In New Jersey, the market The Macerich Co., which owns with the next-highest level of 63 malls nationally, has gone overlap, there are nine malls after category killers, as well, with both Federated and May adding 12 big-box stores and stores, mostly Lord & Taylor and eight anchors in 2004. It owns 11 Macy’s nameplates. In Philadel- malls with anchors from both phia, seven malls overlap depart- Federated and May, mostly in ment stores, and in Boston, seven Southern California. “We have malls. Although preliminary gone through each of our proper- terms of the merger deal indi- ties where we have overlap, and cate that most, if not all, of May’s in virtually all of them, we think nameplates nationally will be that there are significant oppor- converted to Macy’s stores, in the tunities for upside if there were majority of the malls with both to be a consolidation,” said Mace- Federated and May stores, a rich president and chief execu- Macy’s nameplate already exists. tive officer Arthur Coppola in a Across the board, the REITs company conference call. Given that own these overlap malls are that the majority of his malls in- anxious about getting their clude both a Macy’s and a Robin- hands on an empty store. They sons-May, those opportunities have plenty of ideas about what may include converting the to do with the space. Robinsons-May to a Blooming- For example, so-called “cate- dale’s or bringing in high-produc- gory killers,” such as Dick’s ing big-box retailers and restau- Sporting Goods, Borders, Barnes rants like a Dick’s or Cheesecake & Noble and Crate & Barrel, Factory. which focus on a single category CBL & Associates Properties, of product and then dominate which owns 69 regional malls that market with big-box stores, and is the biggest mall owner in are a large draw for consumers, the Southeast, reported a similar but are normally built in clumps analysis. It only has one mall, the in power centers rather than in Monroeville Mall in Pittsburgh, malls. Because they are so large, with an overlap of Federated developers often don’t have and May stores, but “both stores enough land to add them to ex- are performing well and we do isting properties, but rely on not anticipate any material im- bankruptcies and consolidations pact to our portfolio should a to give back underperforming merger occur,” said Stephen department stores. Big upscale Lebovitz, president, in a confer- casual restaurants, such as ence call. The Monroeville Mall Cheesecake Factory and Cali- has both a Lazarus and a Kauf- fornia Pizza Kitchen, also are fit- mann’s. In looking at other major ted into these spaces. mergers, the REIT also has 66 Developers also have pounced Sears stores in its portfolio, but on empty stores in order to capi- does not believe that a Sears- talize on the recent demand for Kmart entity will close any of the both luxury and discount goods mall-based stores based on an from the same shoppers, adding earlier statement from Sears. a combination of traditional and “We believe in the conven- 14 WWD, MONDAY, MARCH 14, 2005 WWD.COM Financial

Less,” the complaint said. Topeka, Kan.-based Payless is alleging violations on five Quota Elimination counts, including trademark infringement and breach of contract and seeks an unspecified amount in Could Be a ‘Factor’ damages. Target did not return a call for comment. By Ross Tucker Louis Vuitton Malletier and Payless,” according to the ● ● ● Marc Jacobs International have complaint filed on Feb. 23. Designer Jay Strongwater filed NEW YORK — Among factors, companies that take on responsibility reached a settlement in their However, Target holds the a lawsuit against Liz Claiborne for a firm’s receivables for a fee, the elimination of quotas on Chinese dispute with The Wet Seal rights to the phrase “Expect Inc. and Kohl’s Corp., accusing apparel has not fully affected the industry. But it will, they said. regarding sales of knockoff More. Pay Less.” According to the companies of What is unclear is how price points at the consumer level play handbags. On Feb. 24, the 1999 agreement, included manufacturing and selling out. Some say retailers and suppliers will reap the benefits of Manhattan Federal Court in the complaint, Target said it knockoffs of two of his compact lower-priced goods, and not pass it on to the consumer. Judge Louis L. Stanton would not present the “Pay mirror designs. The complaint, David Milberg, president of Milberg Factors Inc., said uncertainty dismissed the lawsuit based on Less” portion of its “Expect filed March 1 in Manhattan and conservative planning on the part of manufacturers late last year the terms of the settlement More. Pay Less.” trademark in Federal Court by Jay likely prevented the lifting of quotas from having a larger impact. agreement. Details were not a larger size. However, the Strongwater Inc. and Weingeroff “Manufacturers were not altogether clear as to how this was disclosed. Vuitton and Jacobs complaint said the words “Pay Enterprises Inc., said Claiborne all going to play out,” said Milberg, president of Milberg Factors filed their original complaint Less” appear in a larger size on manufactured copies of Inc. “Heading into 2005, some clients were taking a wait-and-see in September, accusing the Target’s long-haul trailers. The Strongwater’s Chinoserie and approach.” teen retailer of selling copies of shoe retailer deemed certain Bloomsbury designs, which As a result, Milberg believes it is still too early to determine Vuitton’s “Theda” and “Sac de in-store signage and coupons to were then sold at Kohl’s stores. the impact the absence of quotas is having on the market. “My Nuit” handbags, as well as a violate a portion of the The complaint alleged one general sense is that not a lot has happened,” he said, adding copy of Marc Jacobs’ “Venetia” agreement stating that “in no count of copyright infringement that orders for most goods currently being sold were placed last bag. The items were sold at Wet case...shall the letters ‘Y’ and and asked for an unspecified year. Still, Milberg does not expect dramatic price-point deflation Seal’s Arden B. stores, ‘L’ touch nor shall either letter amount in damages. to kick in anytime in the near term. according to the complaint. extend into the vertical plane Strongwater’s compacts retail Stanley Officina, president of Sterling Factors, believes the ● ● ● of the other letter.” The for $100 to more than $325, end of quotas will ultimately benefit just a few individual compa- Payless Shoesource Worldwide complaint also accused Target while the Kohl’s versions were nies. In terms of its effect on the broader industry, Officina char- has filed suit against Target of using the phrases “Pay Less” listed at $15. Claiborne would acterizes the end of quotas as a nonevent. “We have not seen any Corp. in federal court in and “Party More. Pay Less.” as not comment on pending significant adjustments or changes,” said Officina. “My clients Kansas, accusing the mass well as “Eat Well. Pay Less.” litigation. Kohl’s did not return are not realizing any significant change in price.” retailer of violating the terms with the intent of establishing a call seeking comment. Officina also doesn’t believe cost benefits will ever reach the of a 1999 agreement between its own trademark. Strongwater’s Mr. and Mrs. consumer level. “It’s not going to work its way down the food the companies dictating the “It appears that Target has Potato, covered with 25,000 chain. Because you eliminate the cost of quota, everyone along manner in which the words embarked on a marketing multicolor crystals and on sale that chain is going to take a little bit of the piece,” Officina said. “Pay Less” may be used. campaign to expand trademark for $8,000 each, were featured Milberg said his clients still have concerns about having all Payless holds trademark rights use of its ‘Expect More. Pay in Neiman Marcus’ annual their production coming from one country. “Clients are leery of for the phrases “Look Smart. Less.’ mark by creating multiple Christmas Book last year. being too dependent on any one resource or country, they want to Payless,” and “Buy More, variants which reiterate Pay — Ross Tucker keep some diversity to protect themselves,” said Milberg. Manufacturers were not altogether “clear as to how this was all going to play out.…Some clients were taking a wait-and-see approach. — David Milberg, Milberg” Factors Inc. “People also have to realize that there are production con- straints,” Milberg added. “Despite how quickly it’s growing, China only has so much capacity. I get the sense that people are feeling their way through this right now.” There are also concerns that China may be more interested in devoting resources to apparel manufacturing, which garners higher profits than textiles. However, factors say this trend is only anecdotal at this point. Michael Stanley, executive vice president with Rosenthal & Rosenthal, believes department stores have the greatest opportuni- ty to benefit from the elimination of quotas. “I think there’s been an immediate surge of profitability for the importers,” said Stanley. “I think initially there’s going to be a windfall for the importers.” That windfall should be short-lived. “It won’t take long for stores to start demanding some concessions on pricing, particu- larly the department stores,” Stanley added. While Stanley believes consumers will see some price-point de- flation, the biggest benefit will be from offering garments made from higher-quality materials. “Consumers are acclimated to pay certain prices for certain garments,” said Stanley. “That doesn’t need to change, but they’ll realize they can buy a better quality good for the same price. Stores will really be able to exploit the better quality.” Meanwhile, recent government data shows that when quotas were in place, China was able to maintain its growth momentum in 2004. In a Commerce Department report released Feb. 10, total appar- el and textile imports to the U.S. rose to $82.8 billion from $77.43 bil- lion in 2003. China’s apparel and textile exports to the U.S. in- creased 25 percent to $14.5 billion from $11.6 billion in 2003. China’s share of U.S. textile imports rose to 32.2 percent during the year, while its shares of all U.S. apparel imports rose to 15.1 percent. “If you are willing to subsidize your industry at the rate China is willing to subsidize its industry, you can take enormous chunks of market share away from other players,” said a spokesman for the American Manufacturing Trade Action Coalition. The commerce report also drew attention to the strides other countries made over the course of 2004. Imports from Pakistan increased 10.3 percent, or 276 square meters equivalent, while imports from India rose 14.9 percent, or 248 million SME. South Korea, Mexico, Indonesia and Cambodia were among the other countries that posted positive apparel and textile gains for 2004.

16 WWD, MONDAY, MARCH 14, 2005 WWD.COM First Quota-Free Month: China in Charge

By Kristi Ellis al Council of Textile Organizations, noted that seven textile mills have already WASHINGTON — Unrestrained in global closed this year, while 12,000 apparel and The Growing Market Share Gap trade for the first time in 24 years, China textile jobs were lost in January. flooded the U.S. market with apparel and “This is not conjecture, this is not a Top Five Importers of Textiles and Apparel in January textiles in January, prompting U.S. tex- trend, this is reality,” Johnson said. “That is tile and fiber producers to ratchet up the why the U.S. government needs to act fast.” Percent pressure on the Bush administration to The coalition filed 12 safeguard peti- stem the rising tide. tions based on the threat of market dis- 24 The debate over whether China’s ris- ruption in October targeting $1.9 billion ing economic dominance should be cur- in Chinese imports for further quota re- 22 tailed intensified with the release Friday straints. At the time, the groups sought to 20 of the U.S. Department of Commerce’s preempt what they asserted would be 2004 January trade data. As worldwide im- surges in imports in the U.S. once quotas 18 ports of textiles and apparel entering the were lifted on Jan. 1. However, those pe- 2005 U.S. in January rose 6.4 percent to 3.8 bil- titions and the government’s review 16 lion square meters equivalent, China’s process have been caught up in a legal shipments increased 19.83 percent to battle and suspended by a preliminary 14 1.14 billion SME. injunction for the past two months. China’s share of U.S. textile and ap- Tantillo said if the coalition files mar- 12 22.5 parel imports grew to 29.4 percent on a ket disruption cases, the safeguard re- 18.6 volume basis compared with January view process could take four months and 10 2004. China’s share of U.S. textile im- China would have a chance to build up ports grew to 35 percent, and its share of its trade levels before quotas were im- 8 apparel imports rose to 21.7 percent. posed. However, if the government self- A coalition of U.S. textile and fiber pro- initiates, it might cut out two months 6 ducers and the UNITE HERE union — from the review process, Tantillo said. 8.5 4 6.2 poised to file China safeguard petitions “We’re preparing to place as much pres- 4.8 7.6 4.6 4.3 based on actual market disruption using sure on the government as possible to self- 3.9 3.5 the current U.S. import figures — said the initiate,” he said. “Obviously, if they don’t, 2 data validated their concerns that China we’ll take matters into our own hands.” China Mexico India Hong Kong Canada will monopolize global apparel and textile Jim Leonard, deputy assistant secre- production and decimate the U.S. industry. tary of textiles and apparel at Commerce, Importer and retailer groups, on the said in a statement, “There is a significant *DOLLAR MARKET SHARE REPRESENTED. SOURCE: COMMERCE DEPARTMENT’S OFFICE OF TEXTILES AND APPAREL other hand, accused the domestic indus- increase in apparel imports from China. try of exaggerating the numbers and said We are concerned about the impact of this I don’t see anything that is out of line with the statistics showed that several Central increase on our trade and our industry.” American countries, as well as others, Leonard noted the U.S. will raise the “what we’ve been expecting for a long time. competed toe-to-toe with China in issue as part of the dialogue with the January. They said the trade report dis- Chinese to “reinforce U.S. concerns over — Erik Autor, National Retail Federation” counted the argument that China will our textile trade disparity and to seek steamroll every foreign apparel and tex- solutions.” Importer and retailer groups claimed country with China. tile supplier, and did not support the call A Commerce spokeswoman said offi- China’s increased trade was only part of Julia Hughes, vice president of inter- for the government to self-initiate action cials could not comment on the textile in- the picture. national trade at the U.S. Association of to restrain China’s trade. dustry’s calls for self-initiation. “If there “I don’t see anything that is out of line Importers of Textiles & Apparel, which “The numbers released by the govern- is evidence of market disruption, we will with what we’ve been expecting for a has fought the government’s right to re- ment today confirm our predictions and consider the issue on its merits and make long time,” said Erik Autor, general coun- view the threat-based petitions in court, fears in regard to China’s ability to ex- a decision on any action based on the sel and vice president of international said many countries reported sharp in- port massive amounts of goods to the U.S. facts,” the spokeswoman said. trade at the National Retail Federation. creases in apparel exports to the U.S., in the apparel and textile sector, and to The increases in several import cate- “Imports from China are up as we ex- proving they can compete with China in a begin to monopolize the U.S. market,” gories from China targeted by the coali- pected, but not at levels that are out of quota-free environment. Apparel imports Auggie Tantillo, executive director of the tion in the threat-based cases were star- line with the end of quotas and the shift rose 27.9 percent from Honduras, 20.7 American Manufacturing Trade Action tling. Imports of women’s and girls cotton of business from high-cost producers like percent from El Salvador, 13.3 percent Coalition, said at a news conference. trousers surged by more than 1,000 per- Hong Kong to China.” from Bangladesh, 20.3 percent from “For the better part of the year, we have cent over a year ago, while imports of Autor contended that one-third of Cambodia and 28 percent from Vietnam. heard from importing and retailing inter- men’s and boys’ cotton trousers leapt China’s increase in apparel imports “The key element is we are seeing in- ests that our predictions were exaggerat- 989.6 percent. Imports of women’s and came from a shift in business from Hong creases from China, but we are also see- ed. We actually heard from the Chinese girls’ cotton shirts rose 522.6 percent, Kong and Macau, which posted declines ing a very strong increase from Western themselves and they said not to worry, shipments of synthetic filament fabric in exports to the U.S. of 35 percent and Hemisphere countries that rely on U.S. that they would self-moderate their activ- rose 278.6 percent, imports of man-made 25 percent, respectively. Hong Kong and yarn and fabric,’’ Hughes said. “It’s pret- ity. They were either inaccurate or misin- fiber underwear increased 210.3 percent Macau participate in an outward pro- ty clear we are seeing a shift going on in formed, and we were correct.” and women’s and girls’ man-made fiber cessing arrangement that allowed im- the sourcing pattern, but the story isn’t Cass Johnson, president of the Nation- trousers gained 89 percent. porters to use co-production in either that all of the business is going to China.” Subsidy Trade Bill Reintroduced in Congress By Joanna Ramey Thursday on the Senate floor. Tamara Browne, a lobbyist for an industry coalition In addition to nonmarket loans to manufacturers, pressing for countervailing duties for nonmarket WASHINGTON — A bill that would target imports from Collins said China’s artificial depression of the value of economies, said the outlook is good for the SOS Act to China and other nonmarket economies that produce its currency was “the most glaring subsidy.” China is gain traction this Congress. Browne said the bill could be goods with the help of government subsidies was rein- considered a nonmarket economy because of its state- more easily embraced by GOP leadership in the House troduced Thursday in the House and Senate. owned enterprises, banking system and central control. and Senate, and by President Bush, than a more sweep- Supporters of the Stopping Overseas Subsidies Act The measure would direct the Commerce Depart- ing measure introduced by Sens. Lindsey Graham (R., said it is a nonpartisan effort to combat China’s mount- ment to permit U.S. industries to file antifair trade com- S.C.) and Charles Schumer (D., N.Y.), that calls for impos- ing incursion in the U.S. market in apparel, textiles, plaints against nonmarket economies, alleging that im- ing 27.5 percent tariffs on all Chinese imports until the furniture, metals and machinery. The bill has broad port prices are being held down because of foreign gov- country stops depressing the value of its currencies. support among Republican and Democratic lawmakers ernment manufacturing subsidies, resulting in harm to The administration has refused to directly intercede who said Congress and the Bush administration haven’t U.S. producers. A 1979 law permitting so-called counter- on the currency issue and instead has sought to prod been aggressive enough in fighting unfair trade prac- vailing duty cases to be filed has been interpreted by the the Chinese into change. Bush continues to face criti- tices in the face of U.S. manufacturing declines. agency to cover only market economies. cism within his own party for not being more aggres- “Now that China has the capacity to be a key inter- Countervailing duties are punitive tariffs of varying sive on China. national economic player, the country has repeatedly amounts that are levied on a case-by-case basis if “The growing trade deficit between the U.S. and refused to comply with standard international trading Commerce and the International Trade Commission China has escalated to a historic high, resulting in losses rules and practices,” Sen. Susan Collins (R., Maine), a find a foreign manufacturer has been subsidizing its of [U.S.] jobs and for many a way of life,” Rep. Phil lead sponsor with Sen. Evan Bayh (D., Ind.), said exports to the detriment of U.S. producers. English (R., Pa.), an SOS Act sponsor, said in a statement. PHOTOS BY DAVID TURNER AND TALAYA CENTENO

WWD The College Issue Section II: April 28 Close: April 8

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By Ross Tucker

NEW YORK — Jamie Foxx’s date for the Oscars, his 11-year-old daughter, Corrine, strolled the red carpet toting a Kathrine Baumann-designed decorative handbag in- spired by Foxx’s movie, “Ray.’’ For Baumann, the thrill of seeing her work at such high-profile events has been tempered by the realization that knockoffs will invariably follow. Stealing her design concepts and selling the fakes for a fraction of the cost of an orig- inal — $795 to $2,950 at retail and far higher for a one-off — wasn’t something Baumann once thought possible because of the intricacy and detail of her products. But during a Henri Bendel trunk show in New York in 2001, a customer told her Manhattan retailers were peddling forgeries of her work. “It was hard for me to believe that someone could actually make a copy,” she recalled. Baumann walked through several Manhattan stores to see for herself. What she found convinced her she had to take steps to protect her business. She saw only one choice as a small business owner without the funds to hire lawyers and investigators. Baumann took the unusual step of searching for fakes her- self, even traveling to China to get to a manufacturer. The more than 500 pages of evidence Baumann has compiled, often through use of hidden video cameras, has aided in the arrest and conviction of one Manhattan retail- er on charges of copyright infringement, and convinced a lawyer to take her cases on contingency. She estimated that she has gotten as many as 75 percent of the fakes off the streets, and there are no signs she’ll let up. “I knew no one would take my case on contingency without proof, so I needed to prove that my intellectual property rights were being violated,” Baumann said. “As a result, I ended up doing the detective work myself.” Baumann’s plight exemplifies the extremes to which a small business owner may have to go to protect their intellectual property rights, and get the attention of govern- ment enforcement officials. A tenacious Midwestern work ethic has carried Baumann, an Ohio native, through a long and varied career after being the first runner-up in the 1970 Miss American Pageant. Over the next 15 years, she worked as an actress, appearing in TV shows such as “M*A*S*H” and “The Dukes of Hazzard.” She opened her first office in Beverly Hills in 1988, designing custom rhinestone- studded jackets and chaps that became popular enough that they eventually were worn by entertainers including Cher and Madonna. In 1993, she started studding handbags with Swarovski crystals. “I like versatility and I designed things for myself,” Baumann said. “I started with belts and then a few months later, started doing bags.” The bags put Baumann’s designs in the limelight. Before the knockoffs proliferat- ed, Baumann said she employed 48 people, produced 4,500 to 5,000 handbags and ac- cessories a year and had estimated sales of $2.4 million. By 2001, when Baumann re- Designer Kathrine Baumann. alized she had a problem, her bags had become a regular sight on the red carpet. She was eventually forced to lay people off and believes the knockoffs cost her millions in potential revenue. had I not chosen to interrupt it,” Baumann said. “It made sense to do it rather than Pirating designs has gotten even easier since Baumann started her business, with entertain the thought of closing.” rapid improvements in technology that allow for the development of faster and On business trips to New York, Baumann spent free time canvassing stores to cheaper manufacturing methods. According to the International Trade Commission identify fakes. “I sometimes stayed a few days after a show to do my research,” she and the International Chamber of Commerce, global piracy and counterfeiting in- recalled. “My investigation took over a year-and-a-half and I’m still doing it on pend- creased to an estimated value of $456 billion in 2003 from about $60 billion in 1998. ing cases.” A January telephone survey by the Gallup Organization of 1,304 adults chosen at Baumann started gathering evidence by mapping out the 20 locations she found to random found that 13 percent of Americans had purchased counterfeit or imitation be selling her designs. As Baumann spoke with store managers and made purchases goods in the last year. When it came to brand-name clothing and jewelry, more than — with some store owners presenting Baumann’s own product guide for her to choose half of those who bought fakes said they were aware the items were phony. from — a picture of how the stores were connected developed. The survey found that the number one reason consumers decided to buy fakes was In some cases, several family members jointly owned and ran multiple stores. that they were easily available. The second most popular factor was the belief that Checking the labels of shipping boxes that had been left in the open helped identify a the imitation was of the same quality as the original, but at a better price. common supplier. From time to time, Baumann also was able to hire a private investi- “Americans believe groups who manufacture and sell counterfeit goods are moti- gator. Using that information, Baumann created a flow chart illustrating the connec- vated by many of the same reasons that consumers choose to buy them,” Chris tions between stores and a supplier. Stewart, a global brand manager with Gallup, said in a Gallup Poll News Service com- A hidden video camera proved to be one of her most effective weapons. “I got very mentary. good at panning and using my own body as a tripod so it wouldn’t jiggle,” she said. Baumann wants to change attitudes toward fakes, but protecting her business is With the help of her graphic designer, Baumann edited video of the products in the the priority. Conducting her own inquiries means taking time away from the day-to- different stores and compiled freeze-frame images of the fakes. “We’d circle things in day operations of her business and potentially putting her own safety at risk, some- the images, then pull it out and put it next to a real one,” she said. “We had pages of thing she doesn’t feel was a matter of choice. “We would have had no business left comparisons.” WWD, MONDAY, MARCH 14, 2005 19 WWD.COM ercover War on Knockoffs

During one undercover operation, Baumann asked a retailer if he had attended a recent accessories show in Milan. The owner said he had and, when baited by Marcia Gay Harden, Baumann, said that while there he had met Judith Leiber and “the Clinton girl,” with her 2001 Monica Lewinsky. Oscar and her “I asked him if he had met Kathrine Baumann at the show. He said yes, that she Baumann clutch. was beautiful and that she wanted everyone to buy her purses. I told him, ‘Somehow, I knew she’d be like that.’” The evidence Baumann accumulated was enough to convince lawyers to take her cases on contingency. Last year, Baumann’s lawyers filed almost a dozen separate lawsuits against stores and their owners for selling knockoffs of her designs. Four of those lawsuits were filed on Feb. 13, 2004, in Manhattan federal court, naming 26 companies and individuals. Unspecified monetary settlements have been reached and permanent injunctions imposed in five of the cases. One injunction listed 74 specific Baumann designs that could no longer be sold by a retailer. New complaints are to be filed. Baumann’s determination was infectious enough for friends such as Shawn King, wife of CNN’s Larry King and Baumann’s friend of more than 15 years, to agree to go undercover with her. King’s reasons for joining Baumann in her knockoff hunt at the Los Angeles Gift Show extended beyond friendship. “I probably have at least 15 of her bags,” King said. “It was ticking me off. I view them as an investment. She does make only so many of a bag so they are collectors’ items.” King said the number of knockoffs found in just a few hours was “astonishing.” Agents from the U.S. Customs Service got involved in late 2002 after Baumann was one of the only small business owners to speak at an intellectual property rights meeting in Washington. “Her information was presented in a very organized and professional manner,” said Jane Hekel, a senior special agent with Immigration and Customs Enforcement, the investigative arm of the Department of Homeland Security responsible for going after the people, money and materials behind organized crime. “It definitely acceler- ated the process,” said Hekel, who worked on a case that was initiated as a result of Baumann’s evidence. An affidavit submitted by Hekel as part of the government’s complaint in TYLER BOYE BY BAUMANN WENN/LANDOV; FOXX PHOTO BY a case filed in December 2002 said Baumann delivered her evidence to Customs in August 2002. By November, Hekel was posing as a New York buyer for a fictional Houston wholesale company at one of the stores Baumann had identified. Hekel placed an initial order for four handbags with Ali Zaidi, who told Hekel he owned six Manhattan stores. Several weeks later, Hekel and her agents placed an order for 119 additional bags with Zaidi. On Dec. 17, Hekel entered the Eebele Paris store on West 57th Street in Manhattan to pick up the order, then arrested Zaidi. Customs agents confiscated almost $1 million worth of fake merchandise, Hekel said.

Zaidi’s lawyer, John Thoedorellis, declined to com- ▲ Jamie Foxx, and his daughter Corrine, carrying her Baumann bag ment. at this year’s Oscar ceremony. Hekel said in an affidavit that, while Zaidi was in custody, he admitted the bags were Baumann copies and Benge-Knight said. “She had basically just had enough.…We that customers bought them because they were cheaper. had no choice — she doesn’t have the capital or time to sue; Zaidi said he did not understand why Baumann’s bags her company would have died. She felt she had to go and I were so expensive. He was so baffled that he had taken a couldn’t let her go alone.” trip to Saks to compare her bags with the ones he was selling. In November 2003, only four days after their discussion, the Zaidi pleaded guilty to criminal copyright infringement in two were on a plane to find the Chinese manufacturer whose name Manhattan federal court on March 12, 2003, was sentenced to two Baumann stumbled upon after a shipping company’s lawyer called years of probation and ordered to pay Baumann $6,700 in restitu- her to find out why the government had seized one of their shipments at tion. Zaidi could have faced up to three years in prison. “Baumann as- the port. sisted from the beginning to the end of the investigation,” Hekel said. The results of the trip were better than anticipated. “We bought her own stuff that The government’s case proved what Baumann had discovered herself: Despite they had copied, we got photos, we got some more names of suppliers,” Benge-Knight that tags indicated the bags were made in Italy, they were actually coming from said. “We left with more connections and product. We obtained a lot of evidence.” China. Understanding her enemy meant finding suppliers, which required a risky Baumann is hoping to use this evidence to convince Chinese officials to raid suppliers. trip to China. Baumann is out to educate the public on how knockoffs and counterfeiters harm “I had to go,” Baumann said. “I had to know where this was coming from and what small businesses. She is working on launching Just Say No to Counterfeits, a coalition kind of people were doing it.” of manufacturers committed to stopping counterfeiting and knockoffs. Wendy Benge-Knight, Baumann’s friend and neighbor, a recent graduate of Duke “You have to personalize this,” Baumann said. “The problem large corporations law school, agreed to postpone taking the California bar to go with her. have is people look at them as a faceless entity that does not feel. We need people to “It was about two in the morning and we were just talking about her situation,” understand this affects people’s lives.” 20 WWD, MONDAY, MARCH 14, 2005 WWD.COM SIMM: Large Crowds but Orders Slow

By Barbara Barker Miguel Palacio Jesus Del Pozo MADRID — Bigger isn’t always better. There were 1,100 exhibitors at the SIMM show, held last month at the Juan Carlos I fairgrounds here — the largest vendor participation in the fair’s 26-year history, and a 14 percent hike over the previous February edi- tion — but quantity did not necessarily translate into in- creased sales. “There isn’t much joy in the [Spanish] market lately,” said Mireia Bisbe, a second-generation producer of spe- cial occasion dresses whose eponymous label is based in Barcelona. “Generally speaking, brands have taken over and the winter season was a tough sell. Retailers are overstocked and they’re paying close attention to price. They are not in a buying mood.” Buyer interest focused on slim, feminine silhouettes like a daring above-the-knee gold lace party dress with stitched satin bra and a wholesale tag of $325, or 249 euros at current exchange. “It’s sexy but not provoca- tive,” Bisbe added. Her line is distributed through 600 domestic sales points. Italy, where the firm has four showrooms, and the U.K. are her strongest foreign markets. “We had lots of visitors but not many orders,” con- firmed Yolanda Moreno Ruiz of Madrid-based shirtmak- er Mirto. “There’s a certain disheartenment out there and buyers are reacting with caution.” She said retailers were shopping for feminine styles in stretch cotton and shiny fabrics with satin “number one” for detailing. Hot colors for fall are solid orange and a range of greens including pistachio. Wholesale prices are around $78 to $85, or 60 to 65 euros. Mirto’s men’s shirt line is carried in more than 100 U.S. doors, and based on its success, its four-year-old women’s line continues to target American shores, Mor- eno Ruiz said. “Despite the soft dollar, the U.S. is doing better and sales are up.” She cited Puerto Rico and Mexico as “important emerging markets.” The biannual SIMM show, which closed Feb. 14, is Europe’s second largest apparel fair after Düsseldorf ’s Antonio CPD. Vendors from 43 countries spread over slightly Pernas more floor space than February 2004 — about 409,000 square feet in six pavilions. Overall traffic rose marginally to 31,666 visitors, in- cluding 3,059 foreigners — 75 fewer than last winter’s edition. Major buying groups came from Portugal (57 Ailanto percent), Italy (5 percent), France and Greece (4 percent each) and Mexico (3 percent). Exhibitors agreed a terrorist car-bomb that exploded a few blocks from the fairgrounds only 48 hours before SIMM’s inaugural had no effect on its commercial results. On the other hand, they concluded, Asian competition did. Echoing other vendors, veteran exhibitor Julie Sohn said, “I’m just a little guy. I can’t compete with China’s pricing, but I can fight [the competition] with design.” In addition, she is upgrading quality, “especially my fabrics.” New York-born Sohn, who is based in Barcelona and has a self-named line, said, “The Spanish market is ei- ther hip and modern or very classic. New-generation stores with younger owners are pumping up the sector’s energy levels. In general, mid to high-end retailers don’t Lemoniez attend the Madrid show. They rely on local showrooms and hotels. For me, this fair is for contacts. The appoint- “Spain doesn’t have the image or design clout of ‘Made ments — and sales — come later.” in Italy’ brands, so quality and value are key,” he added. For fall, the Parsons-educated designer’s hits include Tacked on to the trade fair, the SIMM-sponsored runway a group of delicate spider-lace layers in putty-colored presentations, Pasarela Cibeles, featured 28 designers — wool viscose over a long taffeta skirt or pants. The se- established local names as well as newer players — and 24 ries wholesales from $105 to $195, or 80 to 150 euros. shows. Inspirations came from a geographical range from The show’s major categories were party dresses with Nijinsky to Frida Kahlo, while key trends included pattern- plenty of frou, contrasting textures, beads, metallics and rich fabrics and texture mixes; longer lengths, floor-sweep- glitter; great-looking knits, including coats, dresses, ers and swingy, voluminous shaping; layered metallics; up- capes, shrugs and chunky sweaters; embellished cotton dated denim separates and outerwear; vibrant color com- denim; novelty Ts, and traditional silhouettes with im- bos, and black. Among the highlights: peccable tailoring. ● Ailanto’s Russian influence and coherent presenta- Fuentecapala, a 63-year-old Madrid-based label, con- tion including beautiful original florals — à la Celia tinues to capitalize on its men’s wear expertise in the Birtwell, some said — and floaty dresses with flounces women’s line, called Fuentecapala Mujer, a more conven- and tiers. tional range of coats, jackets, dresses, skirts and blouses. ● Miguel Palacio’s draped satin tops with longer- For instance, a tweed jacket with suede trim has a hand- than-fingertip sleeves and signature low-rise hipster made feeling with a hidden inside pocket and stitching pants and a few slinky goddess dresses — all in black. details. Average wholesale price is $234, or 180 euros. ● José Miro’s dresses, coats, ponchos and a cape in With a solid export business in Europe, Scandinavia, baby-fine wool tulle with lots of plush fringe in camel, Russia and China, Fuentecapala also sells through 40 heavy cream, mocha and face-powder pink. doors in the U.S., including Neiman Marcus and smaller ● Amaya Arzuaga’s much-heralded return to Cibeles boutiques, according to director Oscar Vargas Sanz. after an eight-year hiatus. She has been showing — and Fuentecapala recently opened a New York showroom selling — in London and Milan. Amaya went with winter on West 57th Street. white, red and black, always her favorite color, turned “We’re a known name, well-positioned in Spain — up in a duo of sexy knee-length dinner dresses piped in 750 points of sale for women’s and men’s — with cheap- gold and a ton of extra fabric for all those folds and er price points than Italy. flounces she used to create volume. J. ECHEVERRIA PHOTOS BY WWD, MONDAY, MARCH 14, 2005 21 WWD.COM Soft Sales at Hypermarkets Euratex Urges New Quotas on China By John Zarocostas their own evidence. They noted that the Chinese Deflate Carrefour Earnings export data may include shipments that have not GENEVA — The European Apparel & Textile yet reached the EU borders. By Robert Murphy France, while it rose 9.4 percent Organization, also known as Euratex, has called for But the European industry is also hot under in the rest of Europe. the European Union to institute special safeguard the collar over the stalling by Mandelson in devel- PARIS — Carrefour, the world’s “We can gain market share in measures to stem the surge in imports from China. oping the guidelines that the industry needs to second-largest retailer behind France,” said Duran, who added In a move to put political focus on the highly file China safeguard petitions. EU officials said Wal-Mart, on Thursday reported a the company will continue to charged issue and force a reluctant EU Trade they are still in the process of assessing the possi- 24 percent fall in second-half net make investments to reduce Commissioner, Peter Mandelson, to act, Euratex ble safeguard guidelines and indicated there is no profit, deflated by lackluster sales prices. Meanwhile, Duran said urged the EU to trigger safeguard quotas on 12 timetable when they will be ready. at its key French hypermarkets. Carrefour would continue to sell product categories, including knitted jerseys and The delay, said some Brussels insiders, may be Meanwhile, the French re- unprofitable businesses. pullovers; trousers and shorts of wool or cotton; due to political differences among EU member tailer said it had sold unprof- He said the objective set in women’s and girls’ blouses; women’s and girls’ states and Mandelson on how to proceed. itable chains in Mexico and September to sell 1 billion euros, dresses; women’s and girls’ woven overcoats and Some industry executives are apprehensive they Japan as part of a wide-ranging or about $1.2 billion, in assets had raincoats; pantyhose and tights; socks; bras, and might be presented with guidelines that might be strategy to pay down debt and almost been reached. “We have woven fabrics of flax and ramie. difficult to implement, while others feel such meas- reorganize operations, both in already raised 900 million euros,” “The time has now come to limit the seemingly ures might not correspond with Mandelson’s vision, France and internationally. he said. “We will sell other busi- voracious appetite of Chinese exporters for the which has the completion of the Doha round of Second-half net profit fell to nesses in countries where we are European market,” said William Lakin, Euratex global trade talks as his top priority. 850 million euros, or $1.06 bil- not among the top three retailers director general. Francesco Marchi, Euratex director for econom- lion, from 1.11 billion euros, or in terms of market share.” $1.3 billion, a year ago, reflect- He said Aeon, Japan’s largest ing exceptional charges includ- retailer, paid about 81.5 million The time has now come to limit the seemingly voracious ing closures, divestments and euros, or $101.4 million, for Car- “ restructuring, Carrefour said. refour’s eight hypermarkets in appetite of Chinese exporters. Full-year net profit declined Japan; and that Mexican retail- ” 15 percent to 1.38 billion euros, er Chedraui paid about 425.6 — William Lakin, Euratex or $1.72 billion, behind analysts’ million euros, or $529.4 million, Only EU member states or the European ic affairs, said China’s textile exports, including fab- consensus expectations. Second- for Carrefour’s 29 hypermarkets Commission can formally request the special ric, yarn and carpeting, to the EU countries in half sales increased 3.3 percent in that country. China safeguard. China agreed to the mechanism January increased 48.2 percent over the same to 38.12 billion euros, or $47.42 Carrefour has been involved in when it joined the World Trade Organization. month a year earlier. Similarly, China’s apparel ex- billion. Dollar figures are at the a vast reorganization. In Febru- Mandelson, in a statement Friday acknowledg- ports to the EU in January increased by 50.7 per- average exchange rate. ary, controlling family sharehold- ing receipt of the Euratex request, said, “I’m also cent to $976.7 million over the same period last In a news conference, Carre- ers helped eject Daniel Bernard, conscious of the potential damage to the industry year, he said. four’s recently appointed presi- who had been chairman and chief in developing countries. I am monitoring the sta- In the targeted categories, such as women’s dent of the management board, executive for 13 years. Over the tistics closely, and I am in direct and active con- shirts and blouses, Chinese exports in January Jose-Louis Duran, declined to last couple of years, Bernard had tact with the Chinese authorities. I will take ap- jumped 244 percent, and exports of bras in- provide profit or sales projections struggled to stimulate sales in propriate action at the appropriate time.” creased by 493 percent. for the year. He also refused to France, where discount competi- However, Euratex and EU officials differ on a Contrary to the calls for action, China told a pinpoint sales developments over tion has recently grown fierce. host of issues, including the data used by the in- WTO session on Friday that, with the end of the the first two months of the year. Besides Duran, who was ele- dustry umbrella group, which represents 170,000 quota regime, textiles and apparel should be But Duran said Carrefour vated from chief financial officer, companies and 2.5 million workers in the 25 EU treated now the same way as any other product would continue price cuts in the company appointed Belgian member countries. with no special treatment. France in an attempt to shore Luc Vandevelde, who oversaw In the absence of complete import data from Munir Ahmad, executive director of the up market share. During the restructuring of Britain’s Marks all the EU national customs authorities — only 10 International Textiles & Clothing Bureau, the 24- past few years, Carrefour has & Spencer, as president of the out of 25 had forwarded complete data for member country umbrella group of developing been hurt by fierce discount supervisory board. January — Euratex instead used Chinese export country exporters that includes China, said, competition in France. The changes will be put up for data that showed huge increases in volume. “These are early days yet. Before we get such Carrefour said EBIDTA for approval at a general sharehold- Senior EU officials admitted they do not have spinning arguments, it’s better to wait and see for 2004 declined 6.4 percent in ers’ assembly here this April. full figures for January and said they need to have at least a six-month period to see what happens.”

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Sample Room Manager GREAT OPPTY Bra/Foundation Samples Salesperson - Well est’d NY importer of Design & Fit, All Sizes. First prototype, Marc Jacobs Int’l. seeks highly costume jewelry/access seeks exp’d. Small Production. Call: (978) 682-8008 self-starter w/proven following to sell or Email: [email protected] organized and detail oriented volume retailers across the country. individual to manage sample Base + comm. Mr. B T. 212-594-4455 room development of first/ F.212-594-4466 email: [email protected] PATTERN/SAMPLES production patterns. Must Reliable. High quality. Low cost. Fast work. Small/ Lrg production 212-629-4808 have good understanding of sewing, patternmaking and Patterns/Samples/Beading design. Min. of 5 yrs. exp. Duplicates Cut & Sew WE ARE GROWING! in couture/dress market Fast & Full Service- Production required. Position available Sourcing/Design Call Johnny: 212-278-0608/646-441-0950 Accessory Exchange, a diversified Handbag and Accessories Company is seeking immediately. Fashion Jewelry PATTERNS, SAMPLES, several talented and motivated individuals for exciting career opportunities. Successful Fashion Jewelry Co seeks Excellent comp/benefits sourcing and design person. Resp. for PRODUCTIONS package, international, merchandising, sourcing and design of All lines, Any styles. Fine Fast Service. manip. goods for high vol. fashion jew- Call Sherry 212-719-0622. team-oriented setting. elry mfr. Must have est’d mfg. contacts worldwide. Travel a must. Salary commensurate w/exp. Email resumes: PATTERNS, SAMPLES, Fax resume to: [email protected] or fax 212-268-4209 PRODUCTIONS 212-343-2960 Attn: DD Full servcie shop to the trade. Fine fast work. 212-869-2699. SALES EXECUTIVE EOE/M/F/D/V This HOT handbag division seeks a top Sales Professional with a strong following in PTTNS/SMPLS/PROD Designer High qlty, reasonable price. Any de- the Junior handbag market. The individual must be a real self starter who is detail Novelty Sweater CO. seeking new sign & fabric. Fast work. 212-714-2186 designers. FT/PT positions available. oriented and extremely organized. Merchandising skills, inventory planning ability One year exp required. Co. has great are a must. atmosphere for creativity. Please fax your resumes to 212-268-8320 Designers Immed. Mens Tops-Illustrator $35K H A N D B A G S Womens Tops $40K [email protected] EXECUTIVE SALES ASSISTANT Designers Immed. Sr Designer-Activewear $100’s We are looking for an extremely organized detail-oriented individual to assist VP in Sr Designer-Casual, Knits/Wovens $100K [email protected] Accountant all aspects of our growing handbag division. Strong computer skills a must. Previous Designer to $120K. Current exp in young sales, merchandising experience a plus. Great growth opportunity for the right mens + boys tops. Woven, knit. Must hang NAUTICA individual. w/We’reFirst,Apco, Farugi, Point Zero, Staff Accountant Quiksilver, etc. Call 973-564-9236 Agcy. Designer to 125K current exp in moderate Responsibilities include G/L closings, PRODUCTION COORDINATOR priced women’s full fashion sweaters + preparing financial statements, budgeting, knits. Well known branded co. Proficient forecasting, and financial analysis. This candidate must be a detail oriented individual who is good at multi-tasking in Illustrator. Call 973-564-9236 AGCY Candidate must be college grad with 2- and good with numbers. This position requires daily communication with our Hong 5 years exp. Strong analytical, problem Design Position solving, & computer skills. JD Kong Office. Heavy monitoring of purchase orders, deliveries and sample requests. Edwards and apparel ind. exp. a plus. Children’s Wear Competitive salary and medical benefits Gerson & Gerson Inc. is looking for package. EOE Please e-mail resumes to: [email protected] fresh design talent in new born and infant E-mail: [email protected] girl dresses. Portfolio required. Will also consider Free Lance. Please email For Space in Garment Center A/R - CHARGEBACK resume for an appointment to: Helmsley-Spear, Inc. Fast growing company in Brooklyn [email protected] 212-880-0414 seeks an AR - Chargeback Specialist EDI Coord. to $40K. Minimum 1 year with 3 years analysis and recovery ex- experience in EDI for apparel compa- Showroom / Office / Retail perience of chargebacks from major de- ny required. Edison, NJ location. Call We find you space-best deal-no fee partment stores. Competitive salary. 973- 564-9236 JARAL Agency sublet 525 7th/ready Please email resume to: Garment Center Real Estate [email protected] Call Paul 212 947-5500 X 100 FABRIC BUYER Major private label apparel mfr in the Assistant Designer need of highly organized Fabric Buyer. Showrooms & Lofts Expanding designer co. focusing on Import and domestic. Must also under- BWAY 7TH AVE SIDE STREETS occasion dressing offers an exciting stand retail and catalogue brand testing Great ’New’ Office Space Avail oppty. Previous work exp. of at least requirements. 1 to 3 years experience. ADAMS & CO. 212-679-5500 2-3 yrs. w/ a domestic or Int’l house a Computer literacy essential. Reply to att: HR Dept. Fax: 212-354-6202 SOHO - 10 Greene Street must! Competitive salary & benefits. 1,400 sq. ft. Retail Space E-mail: [email protected] FASHION DESIGNER/ Dumann Realty (212) 505-6300 www.dumann.com ASSISTANT CONSULTANT Major Men’s Urbanwear Co. seeks a tal- PATTERN-MAKER ented fashion designer/consultant to Sportswear manufacturer seeks well- design men’s clothing & accessories. organized assistant pattern-maker. Will also analyze fashion trends & pre- Fax resumes to 212-736-3496 dictions and confer with associates. Req. BA in Fashion Design or equivalent. 3+ Assistant Purchasing yrs exp. 40hrs/week. Send resumes to: Wicked Fashion d/b/a Southpole Manager 140 Kero Rd., Carlstadt, NJ 07072 Fast growing company in Brooklyn seeks an Assistant Purchasing Manager Graphic Artist $50-55K with 3 years experience in purchasing, Progressive accessory co. seeks expd imports & customs. Competitive salary. graphic artist with min 3 yrs licensing/ Please email resume to: character or branded accessories exp. [email protected] Jewelry/watch exp a Big plus! Fax resume to Carla: 201-894-1186 or Bookkeeper A/R, A/P to 35K. Min 1 yr. email: [email protected] exp req’d. Mdtn co. Excel. Word. KARLYN FASHION RECRUITERS Customer phone skills. Asst. at front desk. Good growth oppty. Call 973-564- Graphic Artist Immed 9236 JARAL Agency Girls $50,000 Bookkeeper/Office Manager [email protected] Fast paced Accessory Co. seeks exp’d., GRAPHIC ARTIST 1407 BROADWAY highly responsible individual to manage Weareseeking an experienced, creative 1200 Sq. Ft. furnished showroom on 20 person company. Full Bookkeeping/ individual with strong girls background. high floor available for sub leasing. Computer/Major Store knowledge req’d. Individual will work closely with our Tel: (212) 764-1200 Cell: (201) 818-6160 Fax/E-mail note/salary requirements to: design staff, translating concepts and 212-504-3186 / [email protected] Customer Service and Designer ideas to create and develop prints. Showrooms - 5th Ave + Madison Designer / Freelance Working knowledge of Illustrator and Lofts - 32-40th Wood Fl. + Light Bra Merchandiser Repair Department Associate Designer Growing NYC luxury handbag co. seeks Photoshop necessary. Prime Manhattan Jon 212-268-8043 Large childrenswear company is seeking experienced designer to work alongside Please fax resume to (212) 239-2766 Search- www.manhattanoffices.com Lunaire, a leader in full-figure bras, is Luxury Handbag Mfr.- Midtown Office. looking for a bra merchandiser w/ a Computer Skills Necessary- Good Tele- adesigner to do infant/toddler boys. creative director. Designer must be able strong market sense & product devel- phone Skills. Excellent Benefits. Must be able to sketch, and do prints. to do spec drawings, have computer ex- opment experience. Email resume to Fax Resume to Joan S. 1-212-760-0223 Knowledge of product development a perience, and understand hardware and Merchandiser/Sales [email protected]/Fax: 212-725-0089 plus. Will work closely with entire de- leather. Fax resumes to: (212) 343-2739 Major import company seeks individual Designer-Accessories sign team. Individual must have good with sales and merchandising exp. in MAC skills and must be proficient the women’s athletic market. Should Buyer in Miami Seeking person for licensed handbags with Photoshop/Illustrator. & backpacks for young men’s and juniors. possess contacts in both the mid tier Swimwear/sportswear/intimate apparel Fax resume 212-239-2766 Designer and specialty store distribution. Excellent SUBLET/SHARE WTD. buying exp. necessary for a national Must be proficient in MAC, OSX, Adobe CS. Accessories firm looking to sublet/ Email resumes: [email protected] HANDBAG DESIGNER salary and benefits. retail company. Competitive salary & Please fax resume to 212-239-2766 share 300-400 sq. ft. for occassional benefits. Include salary history. or fax: 212-714-1607 Major handbag manufacturer seeks a showroom use. Call: (646) 206-9661 E-mail resume: [email protected] DESIGNER/Artist-2+ yrs w/ accessory talented designer to work with Product importer doing pop price generic Development team to create new prod- ORDER ENTRY CAD Supervisor to $100K. Current exp DESIGNER uct lines to specialty chain stores and Must be organized, experienced design/boards/artwork/MAC nec. $50-60K Est’d children’s import co. seeks exp’d in mens or womens. Proficient on Les Richards Agcy; Call (212) 221-0870 department stores. Must be creative, with apparel background. U4IA. Illustrator. Photoshop. 1411 boys designer for outdoor line. Must well organized, and detail oriented. E-mail: [email protected] Broadway. Call 973-564-9236 AGCY Hang w/ Timberland/ Woolrich/Dickies. Min. 2 years of experience required. Min 5 yrs exp with ability to manage Retail background and ability to spot Patternmaker Jamaica, Queens, for lease-approx Customer service $45-50K. Min 3-4 yrs entire design process from concept to trends a plus. Travel required. We offer 40,000 sq. ft. fully equipped garment current exp in apparel or footwear or finished product & capable of working an excellent salary and benefits package 1st Patternmaker/Draper warehouse with racking system, a/c offices accessories co. OK. Must have dealt w/ in a fast paced environment. Prof in that is commensurate with experience. Est’d. Dress/Sportswear Co. seeks person & loading docks. Available immediately. Sears or JC Penney or dept stores or Illustrator/Photoshop. Email resume: Please email resumes to: w/experience in Eveningwear & Social Call landlord 516-997-2442 chains. Call 973-564-9236 Agcy [email protected] [email protected] Ocassion. Fax resumes: 212-768-1301 WWD, MONDAY, MARCH 14, 2005 23

Accessories/Bath/Cosmetics Looking for sales person with strong following. Good opportunity. Email resumes to: [email protected] Accessories Sales Established body jewelry\accessories official licensee of Betty Boop and Strawberry Shortcake manufacturer looking for a corporate salesperson with 3-5 years experience. Fax resume: 212-566-2801(Attn: Jack) or E-mail: [email protected] Intimate Apparel Outside & Inside salespeople needed for an intimate apparel co. Salary + comm. Contact James at 646-339-2975 or fax resumes to 212-725-2256. MILLAGE INC. Seeks Professional Sales Associates Nationwide. Experienced Sales Reps presently selling established and Dept. store connected. Nationwide qualified candidates must have solid relationships with upscale jewelry and watch accounts. Must be detail-oriented, possess strong communication and follow-up skills. Select Territories Available. GREAT COMMISSION! Please fax resume to: (213) 763-6152 or Email: [email protected] Attention: Mike Massih

SALES $75 - $125K Missy, moderate activewear to dept stores Jennifer*Just Mgmt* 800-544-5878 [email protected] SALES ASSISTANT Leading watch co. seeks person with exp to assist National Sales Manager in all aspects of business. Candidate must be detail oriented, team driven, with excellent communication and follow-up skills. Previous accessory experience a plus. Must be proficient in Excel & MS Word. Email: [email protected] SALES ASSISTANT/ SALES EXECUTIVE A.C.T. International Apparel Group Inc. ADMINISTRATIVE Dynamic NYC based International gift currently seeks the following: & accessories Co. has an excellent oppty. ROSETTI HANDBAGS for a salesperson with contacts in this field, 3-5 yrs. exp. proven sales record, •V.P Sales- 10 years experience in the intimate apparel market. Has a great opportunity for an indiv w/ strong communication & follow-up skills. Will report directly to President/CEO. exp (1-2 yrs) as buyer or from wholesale Generous compensation pkg. Please fax fashion industry. Must be highly mo- resume w/ cover letter to: (212) 535-1664 tivated & extremely organized to assist •Account Executive- 5 years expereicne intimate apparel with major mass market accts. SALES EXECUTIVE with majors and specialty stores. Diversified responsibilities include: Successful, trendy handbag co. seeks Interacting with sales, customers & self-motivated salesperson with chain/ production, High volume of PC •Production/Technical Position: reqiuirements-fluent dept/specialty store knowledge. Min. of spreadsheets (Excel), & Showroom functions. 3-5 years exp. in handbag or related ac- reading, writing, speaking English and Mandarin. Knowledge Please Email resume to: cessory sportswear market. Attractive of garment construction and spec development. [email protected] package with excellent benefits! or fax to 646-452-5571 Fax resume to VP: 212-244-5897 Excellent salary & benefits. Computer skills a must. SALES Sales Assistant Major lifestyle manufacturer seeks ex- Fax Resume to: 212-889-8411 Women’s apparel company seeks assistant perienced account executive relation- for Senior Sales Executive. Must be ships with mass and mid-tier a+. Must Patternmaker Immed. computer literate, self starter, and very be highly motivated, detail oriented Childrens Production Coordinator detail oriented. Minimum of 3 years’ Technical Designer to $70K. Current team player. Fax resume to 212-643-0684 experience in apparel industry. Technical Designer $60,000 Large childrenswear company is looking Men’s & Women’s Contemporary Jeans exp. in knits. 90 % Cut N Sew. 10 % full [email protected] for a production coordinator to track Fax resume to Shari (212) 302-3872 Co. seeks Technical Designer to join fashion sweaters. Midtown better to VP Sales/Marketing to $175K+ deliveries from overseas factories. Exp. our team. Candidate must be able to bridge co. Call 973-564-9236 Agcy Must have missy daywear/loungewear necessary. Good computer and commu- flat sketch on computer, create & Jennifer*Just Mgmt* 800-544-5878 Piece goods Mgr. $75-80K. Current exp. nication skills necessary. correct patterns and grade garments. [email protected] in mod. to better piece goods. Sourcing/ Fax resume 212-239-2766 SAMPLEMAKER Girls swimwear company seeks Knowledge of jean construction req’d. negotiating for goods worldwide. Compu- Must be very detail-oriented w/good terized. Mdtn Co. Call 973-564-9236 Agcy F/T experienced Samplemaker. Must be fast, accurate and have computer and communication skills. Production Coordinator prior experience in swimwear. Adobe Illustrator and Acrobat experi- PLANNER/to $65k Private label ladies sportswear co. seeks Call (212) 944-6695 for an interview. ence required. Competitive Benefits! For mjr. Accessory manuf/ imp. co. Req: detail oriented and well-organized indi- Fax resume to: 212.967.1541, attn: HR 5yrs. planning expr., from SKU’s to cate- vidual. 3-5 yrs. experience communicat- gory planning. Must have Retail Link. ing w/overseas factory, issue cut ticket, Partners On Line(a+). E-mail resume: follow-up on fabric, trim, and garment Seamstress/Tailor - COUTURE [email protected] flow. Strong computer skills a must. Min. 10 years experience. Build corsets/ (Fax) 917-591-2521 (Tel) 212-481-1941 Please fax resume to: (212) 268-3654 Exp. w/chiffon. Fax or E-mail resume to: 212-664-1581 / [email protected] Accessory Sales Exec. Production Immed. Seeking exp’d Sales Rep. for women’s Prod’n. - Fashion Jewelry accessories line. Strong working rela- Seeking highly exp’d. individual w/full Manager-C/S Knits, Pvt Label $100K SHIPPING COORDINATOR [email protected] tionships at Dept. and Specialty Store knowledge of mfg. Costume Jewelry. Kearny, NJ Spts. Mfr. seeks a bright is a must. Please fax: (201) 592-8344 Ability to move jewelry from production individual w/ min 5 yrs exp in the to shipping req’d. Please Fax or E-mail garment industry working w/ major SALES DIRECTOR HANDBAG SALES REPS Production Mgr $80-100K. Current exp in retail chains. Complete knowledge in Unique, hand-dyed silk handbag line note/salary requirements to: private label devel womens woven moder- 212 504 3186 / [email protected] tracking orders, preparing pick tick- currently seeking Sales Reps w/est’d. ate priced sportswear required. Supervise ets, bills of lading, as well as perform- upscale specialty contacts and/or eclectic 4. Strong in Time & Action calendar. Liai- ing all necessary EDI tasks a must. boutiques. All territories open. Call: son w/ designers, sales + buyers at stores Extensive correspondence with show- 734-327-0058 E-mail: sueshields38@hot Production Assistant like Kohls. Call 973-564-9236 Agcy. MANDARIN/ENGLISH room. Competitive salary & benefits. Fast-growing, Los Angeles-based Fender® brand seeks Key mail.com or Visit: http://emerging Character, a leading Sleepwear manu- Email resume to: [email protected] attitudes.tripod.com/handbags facturer, seeks experienced (minimum Accounts Sales Manager for new line of Men’s and Women’s 2 years) apparel pro. Superior compen- Production Openings Watches. Fender® apparel, headwear, footwear, and jewelry sation. Midtown location. E-mail: Order Administrator- sptswr-Westchester Loc. SPEC TECH Inventory Control Mgr-Activewear-L.I. Loc is already well established in the market. The qualified candi- [email protected] Fast paced, Private Label firm seeks Spec date must have wholesale accessories sales experience, with Production Coordin-Walmart & CTL Bkgrd Tech person to provide Sketch and Spec, Production Coordin-Cut N Sew Knits do Fits, Production Packages, and com- relationships at specialty store, mall and department stores. Sourcing Coordin-BiLingual-Sptswr Mfr municate with overseas factory. Chinese PRODUCTION ASST. See Other Listings @ E-mail resume to: [email protected] Established Westchester based apparel speaking a plus. Good salary. www.ApparelStaffing.com E-mail resume to: mfg. seeks motivated self starter for Or Fax Resume to: (212) 302-1161 entry level position. The candidate will [email protected] assist our product development team with Lab dips, trim, shipping, etc. 1-2 Retail analyst/planner $80-90K. Current Tech Designer $70-90K. Current exp in years exp a plus. Please E-mail your exp in Demand Management. Large mid- Hands-On Prod’n. Mgr. resume to [email protected] or sportswear or dresses, knits or woven. Proven ability; Computer skills; Complete town apparel co. Excel growth oply. Call Web PDM nec. For Philadelphia co. Fax: (914) 328-7941. 973-564-9236 JARAL Fashion Agency process from Design to Ship & Sales, Will relocate. Call 973-564-9236 Agcy. Package sourcing. Quality, logistics, costing, fittings, patterns, managerial Production Coordinator RETAIL SALES skills, monitor deadlines, cut down mark- Contemporary design house seeks skilled Technical Designer downs, strong negotiating skills, techni- professional to handle all aspects ofpro- ANALYST Leading children’s wear importer seeks cal construction. Can Travel. E-mail to: duction coordination. Responsible for: Apparel company seeks individual with an experienced tech designer with prodmanagement@comcast.net scheduling, costing, fittings, overseas knowledge of apparel business and knowledge of garment construction communication, order placing & tracking. high volume accounts. Excellent com- and developing specs. Must have Sr. Sales Executive Strong computer and technical skills munication and Excel skills required. strong communication, organizational Strong contacts mass & mid tier. required. Fax resume & salary req’s to: Walmart / RetailLink exp. a must. and computer skills. Seeking serious growth opportunity. (212) 398-9695 Please fax resume to: (212) 202-7897 Fax resume to: 212-967-4954 Call: Michael 609-707-5413 24 WWD, MONDAY, MARCH 14, 2005 WWD.COM

Josh Agle and Cindy Bradley, here, and PICKUP ARTISTS Agle’s kooky NEW YORK — First-time authors characters, the Andrea Lavinthal and Jessica twins and Slinky, Rozler say dating is dead, and below. they’re shedding some light on its replacement with their new book, “The Hookup Handbook: A Single Girl’s Guide To Living It Up” (Simon & Schuster). Hooking up, under Lavinthal and Rozler’s definition, is an all- encompassing Gen-Y lifestyle choice. It’s often fueled by alcohol; includes petting, smooching, groping, or full- on sex, and applies to anything on the relationship continuum from the one-night stand up to, but not including, the serious boyfriend. “Hooking up is about not being ready to settle,” explains Lavinthal, a beauty editor at — where else? — Cosmopolitan magazine. “You’re still finding yourself and having fun, not forcing yourself to be in a relationship you’re not ready for.” Which makes for a book filled Jessica Rozler and with first-person accounts (Pepper, Andrea Lavinthal 25, says, “A hookup is anything but sex.”), quizzes (How Shameful Was Your Walk of Shame?), typecasting (the Ex- Boyfriend, the Urban Metrosexual, the Older Man) and a “Sex and the City”- inspired quiz called “What’s Your Hookup Style?” (One sample question: “True or False: Manolo Blahniks.”) For those who are wondering exactly what a Walk of Shame is in the first place, a list of hookup-centric vocabulary is even included (Lavinthal and Rozler define it as “having to walk home from someone else’s residence after a Fancy a Shag ? hookup…identifiable by disheveled hair, smudged mascara and an outfit that just doesn’t look right at 10 a.m. on a Sunday”). LOS ANGELES — A groovy world of lounge lizards and martini mavens Lavinthal, all citified sorority girl in knee-high Michael Kors boots and limbo in the expressively campy paintings of the artist known as Shag — honey-colored highlights, and the more cerebral, reserved Rozler seem at first née, Josh Agle. But while Agle has managed to translate his iconic imagery glance an unlikely pair, but it was these differences that drew them together. eye® into a wildly successful range of spin-off products — from cocktail sets to They met as journalism majors at Syracuse University, where they got together gift wrap — turning his flat, two-dimensional imagery into a full-length to write an article on hooking up after realizing that everybody was doing it but dance musical (complete with a Greek chorus) was no easy task. that no one quite understood what it meant. Still, Agle views the new murder mystery called “Shag With a Twist,” bowing Friday A couple of years later, out of college and living in New York, hooking up was at the Los Angeles Theater Center, as a natural transition. still a very real part of their — and their friends’ — lives. (Both Lavinthal and “I look at it as almost a collection of paintings. If you go to a gallery, you would see Rozler are still single.) “We were like, everyone’s still talking about hooking up,” that my paintings relate to one another thematically. This is kind of the same thing,” says Rozler, who now works at a small book Agle says from his midcentury-modern home in Orange County. publishing company. “I mean, people date, but His limited-edition works celebrate the Sixties hipster lifestyle, complete with tikis, not in the traditional sense.” après-ski scenes, buxom babes in go-go boots and mythical creatures in Rat Pack poses. What’s replaced it, they say, is text Among his avid collectors are messaging, e-mails, and an all-around more Courteney Cox Arquette, Ben laissez-faire approach to the experience of Stiller, Nancy Sinatra and Rob finding a mate. “When you can send a message Zombie. Lisa Kudrow is on a to someone’s cell phone that says, ‘Meet up list to buy her own Shag later,’ instead of making a concrete plan and painting. So, too, are the sticking with it, by definition everything is executives behind iconic more casual,” says Lavinthal. figures such as MGM’s Pink And it’s become more and more of a reality, Panther, who have enlisted Agle they say, as increasing numbers of women hold to reimagine the character. out on the serious relationship while they pursue To bring the Space Age to a career, a social life and time for themselves. stage, Agle collaborated with “It’s like boyfriend-lite,” says Lavinthal. “Our San Pedro City Ballet director parents told us we could be anything, do anything Cindy Bradley, costume and we believed that. So why settle for a guy designer Joel Berlin and set when you’re not sure he’s, like, The One?” designer Doug Smith. — Bryn Kenny It was actually Bradley who came up with the idea of a Shag musical two years ago. She Last Thursday night, Catherine Deneuve, sleek could actually see his aesthetic work perfectly as dance. and understated in Azzedine Alaïa, added a “When I saw a cocktail shot of Gallic glamour to an napkin by him I thought, that’s otherwise mundane New York a world I would like to be able week when she was honored to step into, to bring to life, so Chic at the Alliance Française’s others could feel like they “La Nuit des Etoiles” stepped into a Shag painting. It of the benefit at Daniel would be visually exquisite,” restaurant, which kicked she says. Bradley finally sealed the deal when she gave Agle a videotape of her singing off “Rendez-Vous With with her old band, The Wigs, circa 1981. “When I saw the clip of her band, they were Week French Cinema 2005,” the wearing vintage clothing with vintage hair, playing vintage instruments, and I knew that annual French film festival at she understood,” recalls Agle. Bradley envisioned a swizzle stick-toting Shag world Lincoln Center. As waiters wove about a murder at a Tupperware party. between the tightly packed guests with their Like Agle’s work, the characters come to life in a riot of color and camp. The perfect husband, Eldon, wears a brassy yellow and orange plaid jacket. Seductress Kitty sports trays of foie gras and frogs’ legs, Deneuve was a curly black tail, slinky red dress and tiny black ears. The bubbly Siamese twins tucked into a corner booth away from the Shimmy and Shake are connected via their purple hair. chatter of the cocktail hour. Asked how it felt In order to realize the outlandish shapes of Agle’s imagination, Palm Springs-based to be honored, the screen legend responded designer Berlin had to do quite a bit of creative tailoring. Bras were added to create the coyly. “I’ll have to think about that…It’s better torpedo busts and superstrength waist cinchers for an exaggerated hourglass figure. than a blow!” she said, between long drags on Even so, Agle still finds the whole extravaganza a bit intimidating. “As an artist, you her cigarette — the only offender of can sit in your studio. You have your paint and your canvas. You are sort of a one-man Bloomberg’s sumptuary codes that night. You operation. With something like theater, it takes dozens and dozens of people. As an artist can take the girl out of Paris, but you can’t who is used to doing it myself, it’s daunting, but works out really well.” take the Paris out of Deneuve. — Elizabeth Khuri Catherine Deneuve SHAG PHOTO BY JOE FLAZH; PICK-UP ARTISTS AND DENEUVE BY STEVE EICHNER AND DENEUVE BY ARTISTS JOE FLAZH; PICK-UP SHAG PHOTO BY