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Jacket Required NEW YORK — After Fall’S Broody Palette, Giorgio Armani Lightened up Collezioni’S Line for Resort

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Jacket Required NEW YORK — After Fall’S Broody Palette, Giorgio Armani Lightened up Collezioni’S Line for Resort The Inside: Retail’s Top WomenPg. 12 TOMMY’S DONE DEAL/3 BUSH RULES ON CHINA/3 WWD WWDWomen’s Wear Daily • The Retailers’THURSDAY Daily Newspaper • May 11, 2006 • $2.00 List Sportswear Jacket Required NEW YORK — After fall’s broody palette, Giorgio Armani lightened up Collezioni’s line for resort. The designer played up jackets in every which way, with an emphasis on shorter shapes and clean lines. Here, for example, Armani Collezioni’s cotton and elastin jacket and cotton and elastin denim pants. For more, see page 8. Beginning a New Era: Federated Posts Loss On May Merger Costs By Vicki M. Young NEW YORK — Federated Department Stores Inc.’s bottom line for the first quarter of its “transition year” was heavily weighed down by the costs of merging with May Department Stores. The retailer on Wednesday posted a $52 million first-quarter loss, but managed to beat its own guidance and said its integration of The May Department Stores Co. remains “solidly on track” as sales soared. Meanwhile, the books are out for both Lord & Taylor and the Bridal Group businesses. Federated is said to be seeking $1.2 billion for Lord & Taylor. See Federated’s, Page 13 PHOTO BY JOHN AQUINO PHOTO BY WWD.COM WWDTHURSDAY Sportswear FASHION ™ Fall’s frilled looks feature ruffl ed cuffs and collars on fi tted blazers and 6 denim that goes dark in shades of black, gray and burgundy. A weekly update on consumer attitudes and behavior based on ongoing research from Cotton Incorporated GENERAL Federated Department Stores’ bottom line in the fi rst quarter of its “tran- 1 sition year” was weighed down by costs from merging with May Co. TAG, YOU’RE IT! Fred Gehring became ceo of Tommy Hilfi ger Corp. and vowed to rebuild What Price Tags Say to Women 3 the U.S. wholesale business and continue on a fast track abroad. The Bush administration refrained again from declaring China a currency They say that you can’t judge a book by its Monitor, nearly one in five female respondents 3 manipulator, drawing sharp criticism from lawmakers and lobbyists. cover, but many women do believe that a price tag cites mass merchants as their primary resource for DISH: After making jeans for brands such as Levi’s, Gap and Old Navy, speaks volumes about the garment’s perceived and apparel, nearly equaling those who favor chain 10 Colombia-based Faro Group is doing its own line of premium denim. practical worth. stores for their wardrobe building. “A garment’s cost exercises a significant power “No matter where they shop, women want to be BEAT: After going public in 2005, sports brand Volcom, whose motto is “Youth Against Establishment,” is ready to spread its retail wings. over consumers,” tells Kimberly smart shoppers and that comes 11 Canzani, Director of Marketing down to price,” considers Bastos. for the Manhattan Mall, located “To their credit, retailers have EYE in New York City’s historic really helped train consumers to Talking with actor Gael Garcia Bernal, whose latest fi lm, “The King,” out Herald Square. “It is one of the anticipate when and where there 4 next week, received an early lashing in Variety for its violence and incest. key determinant’s in assessing a will be a sale and now, women Classifi ed Advertisements.............................................................14-15 garment’s worth and ultimately, are reacting accordingly and price does influence whether the buying.” To e-mail reporters and editors at WWD, the address is fi rstname. customer will buy it or not.” They certainly are. If a price tag [email protected], using the individual’s name. WOMEN’S WEAR DAILY IS A REGISTERED TRADEMARK OF FAIRCHILD PUBLICATIONS, INC. COPY- According to the Cotton speaks volumes about a garment, RIGHT ©2006 FAIRCHILD PUBLICATIONS, INC. ALL RIGHTS RESERVED. PRINTED IN THE U.S.A. Incorporated Lifestyle Monitor™, the prospect of a bargain beckons VOLUME 191, NO. 101. WWD (ISSN # 0149-5380) is published daily except Saturdays, Sundays and holidays, with one ad- ditional issue in January and November, two additional issues in March, May, June, August and December, and three ad- price remains the number-one rather suggestively to many ditional issues in February, April, September and October by Fairchild Publications, Inc., a subsidiary of Advance Publications, women. In fact, two out of three Inc. PRINCIPAL OFFICE: 750 Third Avenue, New York, NY 10017. Shared Services provided by Advance Magazine Publishers piece of information important Inc.: S.I. Newhouse Jr., Chairman; Charles H. Townsend, President & C.E.O.; John W. Bellando, Executive Vice President and to a garment purchase for an women told Monitor that they C.O.O.; Jill 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; Maurie Perl, Senior overwhelming percentage of purchase the latest styles on sale Vice President_Chief Communications Officer. Shared Services provided by Advance Magazine Group: Steven T. Florio, Advance women. In the fourth quarter at the end of the season, versus Magazine Group Vice Chairman; David B. Chemidlin, Senior Vice President_General Manager, Shared Services Center. Periodicals postage paid at New York, NY and at additional mailing offices. Canada Post Publications Mail Agreement No. of 2005, 79.7% of female at full price at the beginning of 40644503. Canadian Goods and Services Tax Registration No. 88654-9096-RM0001. Canada post return undeliverable “Price definitely conveys a Canadian addresses to: DPGM, 7496 Bath Road, Unit 2, Mississauga, ON L4T 1L2. POSTMASTER: SEND ADDRESS respondents indicated price was the season. CHANGES TO WWD, P.O. Box 15008, North Hollywood, CA 91615-5008. FOR SUBSCRIPTIONS, of essential interest, far surpassing sense of value. As consumers, “If I see something that I can ADDRESS CHANGES, ADJUSTMENTS, OR BACK ISSUE INQUIRIES: Please write to WOMEN’S WEAR DAILY, P.O. Box 15008, North Hollywood, CA 91615-5008; Call 800-289-0273; or visit www.subnow.com/wd . Four other factors like fabric content, we want to purchase what we wear and it’s on a good sale, I know weeks is required for change of address. Please give both new and old address as printed on most recent label. laundering instructions and even perceive as special and cost plays it’s going home with me,” tells Subscriptions Rates: U.S. possessions, Retailer, daily one year: $109; Manufacturer, daily one year $145. All other U.S., daily one year $205. Canada/Mexico, daily one year, $295. All other foreign (Air Speed), daily one year $595. designer name. into that process.” JoAnne, a forty something mother First copy of new subscription will be mailed within four weeks after receipt of order. Address all editorial, business, — Milton Pedraza, and production correspondence to WOMEN’S WEAR DAILY, 750 Third Avenue, New York, NY 10017. For permissions “Price remains the number-one of two in Central Florida. “I can’t and reprint requests, please call 212-221-9595 or fax requests to 212-221-9195. Visit us online: www.wwd.com. To motivator for women, whether Luxury Institute resist the rush of a bargain!” subscribe to other Fairchild magazines on the World Wide Web, visit www.fairchildpub.com. Occasionally, we make our subscriber list available to carefully screened companies that offer products and services that we believe would they are buying on sale or at regular “We have customers ask us interest our readers. If you do not want to receive these offers and/or information by mail and/or e-mail, please advise all the time when a big sale might be coming,” us at P.O. Box 15008, North Hollywood, CA 91615-5008 or call 800-289-0273. price,” says Melissa Bastos, Manager of Market WOMEN’S WEAR DAILY IS NOT RESPONSIBLE FOR LOSS, DAMAGE, OR ANY OTHER INJURY TO UNSOLICITED MANU- Research for Cotton Incorporated. “Cost plays into Canzani relates. “They definitely plan ahead.” SCRIPTS, UNSOLICITED ART WORK (INCLUDING, BUT NOT LIMITED TO, DRAWINGS, PHOTOGRAPHS, AND TRANSPAR- ENCIES), OR ANY OTHER UNSOLICITED MATERIALS. THOSE SUBMITTING MANUSCRIPTS, PHOTOGRAPHS, ART WORK, how she feels about a certain piece of apparel and if But the experts insist that there are times when OR OTHER MATERIALS FOR CONSIDERATION SHOULD NOT SEND ORIGINALS, UNLESS SPECIFICALLY REQUESTED it fits with her lifestyle.” all planning and budgeting gets thrown by the A price tag becomes an oracle of sorts, consulted wayside, often by a quick look in the mirror. “We frequently during the decision making process have customers that come in and find something to answer such shopping that makes them look younger, In Brief queries as: Is it a bargain? Is INFORMATION IMPORTANT thinner and sexier and when it too extravagant? If it’s so TO GARMENT PURCHASE they find it, they are not as apt ● ACTIVE PURCHASES: In a move to strengthen control over to look at the price tag. They global brands, Adidas said Wednesday it has repurchased the inexpensive, will it wear well? 05Q4 How often will I wear it to know that no matter what the distribution rights for the Reebok brand in Russia, Ukraine, get my money’s worth? “Price PRICE 79.7% cost, they’ve found their own Kazakhstan, Belarus, Uzbekistan, Armenia and Azerbaijan from relates to value; women make FABRIC CONTENT 51.3% best value,” Cohen relates. ZAO RBK-Retail, Reebok’s Russian distributor. Adidas Ltd. Moscow will become the exclusive distributor of Reebok prod- so many judgment calls on that MADE IN USA OR IMPORTED 32.0% This “can’t-afford-not-to- LAUNDRY INSTRUCTIONS 48.2% ucts effective Jan. 1. ZAO RBK-Retail will act as the key account one little tag,” observes Lynn buy-it attitude” is playing out for the Adidas Group.
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