WWD ADVERTISEMENT Women’s Wear Daily • Monday, August 22, 2011 • $3.00

SOUTHPOLE BRIDGET AT 20 A two-decade FOLEY’S journey through DIARY the urban Francesca Gregorini and landscape. Tatiana von Furstenberg dish on Section II their new fi lm, “Tanner Hall.” STYLE PAGE 17

DESIGNER WATCH Marc to Dior? Talks Get Serious

WWD By MILES SOCHA

MONDAY, AUGUST 22, 2011 Q WOMEN’S WEAR DAILY Q $3.00 PARIS — Bernard Arnault might poach a star de- signer for Christian Dior after all — and one from his own constellation of luxury brands. According to sources, the business titan is in talks with Marc Jacobs about becoming the new couturier of the fabled French house. Dior has been without a creative leader since the March ouster of John Galliano in the wake of allegations of racist and anti- Semitic outbursts. Such a move would unseat Jacobs from Louis Vuitton, the cash-cow brand at LVMH Moët Hennessy Louis Vuitton — and possibly set in motion a reshuffl ing at the French luxury giant. It is understood that Phoebe Philo, who has Pretty revved up Celine with her ultra-chic, minimalist clothes and must-have handbags, could be fi rst in line to succeed Jacobs at Vuitton. One source cautioned that a deal with Jacobs is not assured, but that the American designer and Dior management are so far “excited” about the prospect. Pleats Meetings are scheduled to take place in Paris this week between Dior offi cials and legal representa- A bit of charm goes a long way at tives for Jacobs, who is currently in New York pre- WWDMagic, Project and ENK, all paring for his signature fashion show there. of which begin today in Las Vegas Dior declined to comment. Jacobs could not im- mediately be reached for comment. and run through Wednesday. Besides Arnault, chairman at LVMH and Dior, Feminine dresses, such as this key decision makers in the designer search are Sidney Toledano, Dior’s chief executive offi cer, and polyester one by Max & Cleo, are Delphine Arnault, deputy managing director at Dior. one item on buyers’ wish lists. Should the American designer get the job, it would For more, see pages 8 to 13. surely give a jolt of excitement to Dior and Paris Fashion Week, given that Jacobs is a darling of editors and has proven his ability to mount electrifying shows SEE PAGE 14 IN WWD TODAY

Penney’s Gives Ackman OK PAGE 2 FINANCIAL: William Ackman cuts a deal to boost his holdings in the retailer to up to 26.1 percent, and gives up some voting rights. Tommy Lifts U.K. Presence PAGE 2 RETAIL: Hilfi ger is set to plant its fl ag in Knightsbridge with a new fl agship, its largest on the Continent. Worthy to Be Seen PAGE 4 INNERWEAR: ▲ Designers latest lingerie creations are too special to be referred to as simply “underwear.”

PHOTO BY THOMAS IANNACCONE; STYLED BY KIM FRIDAY MODEL: ERIN FEE/ONE; HAIR BY KAYLA MICHELE AT ATELIER MANAGEMENT FOR REDKEN; MAKEUP BY JEN MYLES AT WORKGROUP LTD. USING NARS WORKGROUP LTD. JEN MYLES AT MANAGEMENT FOR REDKEN; MAKEUP BY ATELIER MICHELE AT KAYLA MODEL: ERIN FEE/ONE; HAIR BY 2 WWD MONDAY, AUGUST 22, 2011 WWD.COM Penney’s Allows Ackman to Grow Stake Ann Profi ts Surge, Ackman has been relatively mum on his By EVAN CLARK William plans for Penney, though he played a role in Ackman bringing on Apple retail wiz Ron Johnson as Firm Eyeing Canada J.C. PENNEY CO. INC. is allowing activist the company’s next chief executive offi cer. ANN INC. ON FRIDAY reported second-quarter prof- investor William Ackman to get a bit closer, Ackman could not be reached for comment. its rose 52 percent to $24.8 million or 47 cents per di- giving him the OK to take on a “synthetic Shares of Penney’s gained 2.4 percent luted share, from $18.6 million or 31 cents per diluted long position” that could boost his stake in to $24.38 Friday. share last year, beating Wall Street analyst estimates. the retailer to up to 26.1 percent. Although shares of Penney’s rallied 9.1 Sales in the second quarter grew 15 percent and Last year, Penney’s adopted a poison percent just before Ackman revealed his comps increased 8.6 percent, the company said. pill shareholder plan designed to fend off stake in the fi rm Oct. 8, the investor’s in- Total net sales for the second quarter were up Ackman, who through his Pershing Square volvement has not kept the stock from sink- $558.2 million, compared with net sales of $483.5 Capital Management acquired beneficial ing. As of Friday’s close, shares of Penny’s million in the 2010 period. ownership of more than 39 million shares of had fallen 14.5 percent from the rise on Kay Krill, president and chief executive offi cer of the retailer, giving him a 16.5 percent stake. word of Ackman’s stake. The S&P Retail Ann Inc., told WWD that consumers responded to the The poison pill plan was amended Friday so it would not be Index gained 1.5 percent over the same time frame. fashion at Ann Taylor and Loft. The retailer is poised triggered if Ackman increased his stake as specifi ed. Penney’s fi rst-half net profi ts rose 5.4 percent to $78 for fall and beyond because “we haven’t raised our Vornado Realty Trust, in conjunction with Ackman, million as sales slipped 0.2 percent to $7.85 billion. prices — only on high-demand items,” Krill said. took a 9.9 percent stake in the chain last year, and both “The second half of the year’s going to be an ugly “Our sourcing team has done an amazing job of main- Ackman and Vornado chairman Steven Roth took seats on period for them,” said Rob Wilson, analyst at Tiburon taining product costs for all of 2011 and part of 2012.” the company’s board. Research Group. “They’re stuck with about 400 stores Ann Taylor is working on converting stores to a But even as Ackman’s exposure to the fi rm is set to in- in less-than-optimal real estate and actually own these smaller, more productive prototype of 3,700 square crease, his infl uence, in a way, is diminishing. stores. If they only had the 600 stores that they primar- feet to 4,200 square feet. About 20 units will be in “[The agreement] limited their voting rights, so re- ily lease in the more normal mall environments I think place by the end of the second quarter, and the re- gardless of how much they acquire, they agreed to reduce they’d be in a much better spot.” tailer is on track to roll out 45 in 2011. their voting stake to 15 percent, so the voting rights go Wilson described this as a “structural issue” that’s “In new concept stores, we’re seeing more high- down with the increase,” said a Penney’s spokeswoman challenged chairman and ceo Myron E. “Mike” Ullman er-priced selling because the stores look and feel of Pershing Square. 3rd and would hamper Johnson. elevated aesthetically,” Krill said. Gross margin as a percentage of net sales was 55 percent, on par with last year’s record gross margin rate in the second quarter. Selling, general and ad- ministrative expenses for the quarter rose to $265.1 Hilfi ger to Plant Flag in Knightsbridge million, versus $235.4 million in 2010. SG&A as a rently a less penetrated country for percentage of net sales declined 120 basis points By NINA JONES Tommy Hilfi ger than many of its other from the prior year to 47.5 percent. Operating in- European markets. “In the last couple come rose 39 percent to $41.7 million in the 2011 TOMMY HILFIGER is set to land in of years [the U.K. has] been doing re- second quarter, from $29.9 million in 2010. London’s Knightsbridge this fall, when ally well but the base on which we Comp sales at Ann Taylor rose 5 percent in the sec- the brand opens its largest U.K. store are growing is still not that big,” said ond quarter, with gains of 32 percent in e-commerce, on Brompton Road in November. Gehring. “It’s a market that has a lot 7 percent in factory outlets and 1 percent in the stores The 8,288-square-foot space will of potential.” Gehring declined to give channel, which was softer than expected due to bold be near Harrods, as well as branded sales projections for the new store, prints that didn’t resonate with clients. Loft’s comps stores such as Mulberry and Burberry. which is set to open Nov. 24. gained 11 percent over last year, 9 percent in stores, “We tend to do our best business In light of the current turmoil in 34 percent in e-commerce and 24 percent in outlets. where we have those locations that Europe’s markets, Gehring noted Ann’s accelerated factory-outlet strategy saw the really marry upscale retail presence that the company is “quite pleased opening of 11 new Loft units in the second quarter, for with very good traffi c,” Fred Gehring, with the business,” and regards a total of 72 outlet units. The company expects to add chief executive officer of Tommy what he calls “the extreme develop- 20 new Loft factory outlets per year. Hilfi ger, told WWD. “Especially where ments in the market” with surprise Net sales for the fi rst six months of fi scal 2011 were there’s a good international exposure “when we compare that to the day- $1.08 billion, compared with net sales of $959.7 million and international clientele.” to-day reality of the business.” in the fi rst half of fi scal 2010. Net income rose 26 per- Gehring noted that he expects the The company continues to look cent in the fi rst half of 2011 to $52.1 million, from $41.2 Brompton Road store will have “a for significant stores around the million in last year’s fi rst half. Diluted earnings per touch more” international custom- world, in major cities such as Rome, share in the fi rst half of 2011 jumped 41 percent to 97 ers than the label’s store on London’s A rendering of Hilfi ger’s Knightsbridge store. alongside stores in Asia and South cents, from 69 cents per diluted share last year. Regent Street. vintage props and works of art dotted America. Gehring said the label For the third quarter, Ann Inc. expects net sales Tommy Hilfiger added, “As the about the store. The store’s facade looks for spaces that have the poten- of $565 million and comp-store sales up in the birthplace of preppy style, England dates from 1903. tial to open “over the coming years.” midsingle digits. Fiscal 2011 total net sales are ex- is very close to my heart. London — The two-story space will carry “[There is not] an objective to un- pected to reach nearly $2.2 billion, a 12 percent in- rich in culture, history and art — is the brand’s men’s, women’s and chil- lock them tomorrow….It’s a dynamic crease over fi scal 2010. the perfect location for us to anchor dren’s collections, from the runway process that will constantly evolve,” “We are exploring Canada and are pretty sure our largest U.K. store.” lines to the Hilfi ger Denim collec- he noted. we’ll expand there later this year,” Krill said. The company said the Brompton tion. The space will also carry the Following the Brompton Road “With our new re-platform of our e-commerce site, Road store will echo the decor of the Tommy Hilfi ger Tailored collection opening, Tommy Hilfi ger will open we’ll be able to ship internationally” and learn label’s global fl agship on New York’s — the fi rst time the line of men’s tai- a 10,946-square-foot store in the which countries have the most interest in Ann Fifth Avenue, and will boast polished loring has been carried as a full col- Omotesando area of Tokyo in the Taylor. “In the future, we’ll do site personalization walnut fi xtures and oak fl oors, with lection in the U.K. spring, which will be the label’s larg- and mobile commerce as we move toward multi- details such as antique furniture, Gehring noted that the U.K. is cur- est store in Japan. channel capability.” — SHARON EDELSON

TODAY ON WWD.COM TO E-MAIL REPORTERS AND EDITORS AT WWD, SECTORS IN THIS ISSUE THE ADDRESS IS [email protected], USING THE INDIVIDUAL’S NAME. QMARKETS: See WWD IS A REGISTERED TRADEMARK OF ADVANCE MAGAZINE PUBLISHERS INC. COPYRIGHT FASHION 1,4,5,14,19 MAGIC 8,9,10,11,12,13 ©2011 FAIRCHILD FASHION MEDIA. ALL RIGHTS RESERVED. PRINTED IN THE U.S.A. RETAIL 2,16 ACCESSORIES 15 more Lou-Paris vintage VOLUME 202, NO. 38. MONDAY, AUGUST 22, 2011. WWD (ISSN 0149–5380) is published FINANCIAL 2 MEDIA 17,18 lingerie ads and more daily (except Saturdays, Sundays and holidays, with one additional issue in May, June, October and December, and two additional issues in February, March, April, August, September and looks from the Red November) by Fairchild Fashion Media, which is a division of Advance Magazine Publishers Daisy collection at Inc. PRINCIPAL OFFICE: 750 Third Avenue, New York, NY 10017. Shared Services provided WWD.com/markets-news. by Condé Nast: S.I. Newhouse, Jr., Chairman; Charles H. Townsend, Chief Executive Offi cer; FASHION: Robert A. Sauerberg Jr., President; John W. Bellando, Chief Operating Offi cer & Chief Financial DAILY QUOTE A vintage Q Meet Offi cer; Jill Bright, Chief Administrative Offi cer. Periodicals postage paid at New York, NY, and Lou the CFDA’s second at additional mailing offi ces. Canada Post Publications Mail Agreement No. 40644503. Canadian Goods and Services Tax Registration No. 886549096-RT0001. Canada Post: Lingerie group of Fashion return undeliverable Canadian addresses to P.O. Box 503, RPO West Beaver Cre, Rich-Hill, ON One of the greatest gifts that I got ad. Incubator designers at L4B 4R6. POSTMASTER: SEND ADDRESS CHANGES TO WOMEN’S WEAR DAILY, P.O. Box 15008, North Hollywood, CA 91615 5008. FOR SUBSCRIPTIONS, ADDRESS CHANGES, WWD.com/fashion-news. ADJUSTMENTS, OR BACK ISSUE INQUIRIES: Please write to WWD, P.O. Box 15008, North QEYE: See more stills from Tatiana von Furstenberg Hollywood, CA 91615-5008, call 800-289-0273, or visit www.subnow.com/wd. Please give both from my family is the ability to feel and Francesca Gregorini’s “Tanner Hall” as well as new and old addresses as printed on most recent label. Subscribers: If the Post Offi ce alerts us that your magazine is undeliverable, we have no further obligation unless we receive a corrected Resort 2012 Trend: Block Party and Fashion Rehab: address within one year. If during your subscription term or up to one year after the magazine confi dent in my decision making. Oh No They Didn’t! at WWD.com/eye. becomes undeliverable, you are ever dissatisfi ed with your subscription, let us know. You will BUSINESS: receive a full refund on all unmailed issues. First copy of new subscription will be mailed within Q See more fi nancial news and daily four weeks after receipt of order. Address all editorial, business, and production correspondence  — TATIANA VON FURSTENBERG. PAGE 17. stock movements at WWD.com/business-news. to WOMEN’S WEAR DAILY, 750 Third Avenue, New York, NY 10017. For permissions requests, please call 212-630-5656 or fax the request to 212-630-5883. For reprints of articles, please contact Scoop ReprintSource at 800-767-3263 or via e-mail at [email protected]. Visit us online at www.wwd.com. To subscribe to other Fairchild Fashion Media magazines on the THURSDAY: World Wide Web, visit www.fairchildpub.com. Occasionally, we make our subscriber list available COMING THIS WEEK Vegas (through Wednesday). California Inc. reports Delia’s to carefully screened companies that offer products and services that we believe would interest QWomen’s Wear in second-quarter sales Inc. reports second-quarter our readers. If you do not want to receive these offers and/or information, please advise us at MONDAY: Capsule, Nevada, Las Vegas and earnings. sales and earnings. P.O. Box 15008, North Hollywood, CA 91615-5008 or call 800-289-0273. WOMEN’S WEAR DAILY IS NOT RESPONSIBLE FOR THE RETURN OR LOSS OF, OR FOR DAMAGE OR ANY OTHER INJURY Las Vegas (through Tuesday). (through Thursday). TO, UNSOLICITED MANUSCRIPTS, UNSOLICITED ART WORK (INCLUDING, BUT NOT LIMITED TO, QENK Vegas, Curve NV, WEDNESDAY: American Eagle FRIDAY: Tiffany & Co. DRAWINGS, PHOTOGRAPHS, AND TRANSPARENCIES), OR ANY OTHER UNSOLICITED MATERIALS. FN Platform, MAGIC, TUESDAY: PGA Expo, Las Outfi tters Inc., Express Inc. Inc. reports second-quarter THOSE SUBMITTING MANUSCRIPTS, PHOTOGRAPHS, ART WORK, OR OTHER MATERIALS FOR CONSIDERATION SHOULD NOT SEND ORIGINALS, UNLESS SPECIFICALLY REQUESTED TO DO SO WWDMAGIC, Pooltradeshow Vegas (through Wednesday). and Guess Inc. report second- sales and earnings. BY WOMEN’S WEAR DAILY IN WRITING. MANUSCRIPTS, PHOTOGRAPHS, AND OTHER MATERIALS and Project Las Vegas, Las QPacifi c Sunwear of quarter sales and earnings. SUBMITTED MUST BE ACCOMPANIED BY A SELF-ADDRESSED STAMPED ENVELOPE. YEARINFASHION ALL OF THE STYLE, SCANDAL, CELEBRITY AND BUSINESS OF 2011. PLUS EDITORS REVEAL THE WWD NEWSMAKER OF THE YEAR. COMING DECEMBER 2011

For more infomation contact Melissa Mattiace at 212.630.3951 or [email protected] 4 WWD MONDAY, AUGUST 22, 2011

Hanky Panky’s nylon and spandex innerwear lace bralette and Skin’s cotton skirt.

Stella McCartney’s nylon, silk and elastane lace bra worn over With & Wessel’s merino wool What bra and skirt. Stuart Weitzman Lies sandals. Above Lingerie designers are making a real fashion statement for spring with bras too special to simply be called “underwear.” In fact, they look lovely as ever when paired with long, fl uid skirts and harem pants. — Bobbi Queen

Josie by Natori’s nylon and spandex bra and Josie Natori’s rayon and nylon skirt.

PHOTOS BY KYLE ERICKSEN WWD MONDAY, AUGUST 22, 2011 5 WWD.COM

▲ Undrest’s Chantilly cotton and polyamide bra worn over La Perla’s silk and viscose lace bra.

Eres’ lace-trimmed, silk satin bra and Elise Aucouturier’s silk chiffon harem pants and tunic, worn as a skirt. ANT: DANICA TERLITSKY; PHOTO ASSISTANT: MARGAUX SWERDLOFF MARGAUX PHOTO ASSISTANT: DANICA TERLITSKY; ANT: MODEL: CAROLINE/MUSE; HAIR MICHELE SALVADORI FOR MARIO DIAB HAIRCARE AT L’ATELIER NYC; MAKEUP BY CABIRIA ROSADO; FASHION ASSIST CABIRIA ROSADO; FASHION MAKEUP BY NYC; L’ATELIER AT FOR MARIO DIAB HAIRCARE MODEL: CAROLINE/MUSE; HAIR MICHELE SALVADORI ADVERTISEMENT

“A PART OF THE UNIVERSE OF CIRQUE DE SOLEIL WILL BE FEATURED ON EACH OF THE GARMENTS IN THE FORM OF A PATCH OF CLOTH TAKEN FROM A REAL CIRQUE DE SOLEIL COSTUME.” ADVERTISEMENT

THE TWO COMPANIES SIGN A WORLDWIDE PARTNERSHIP AGREEMENT

Inspired by the universe of Cirque du Soleil and envisioned by the Desigual creative team, the fi rst Desigual Inspired by Cirque du Soleil collection brings together the worlds of art, show business, and design to create a painstakingly crafted collection of clothes and accessories.

“Cirque du Soleil and Desigual have a great deal in common,” says Mario D’Amico, Senior Vice President for Marketing at Cirque du Soleil. “Desigual shines forth in the textile sector as a highly creative brand with different optimistic designs. Cirque du Soleil has brought a similarly creative, innovative spirit to the circus and the world of entertainment.”

“Our cooperation agreement represents the joining of two emblematic global worlds which share a passion for arousing emotions and developing products which are so creative and innovative as to produce the most memorable experiences for people. A partnership of the two brands is one of the most natural things in the world seeing as they both grew out of a very similar world view: both are children of 1984 and both are possessed of a pronouncedly non-conventional nature, both connect emotionally with their audiences through their universal language...both are creators of the WOW effect” adds Manel Adell, CEO of Desigual.

The collection, made up of more than 60 different garments and accessories for men, women, and children, is divided into three distinct lines: “Costumes,” “Troupe,” and “Human Expression.”

“Costumes” draws its inspiration from the eye-catchingly bold spirit of the Cirque du Soleil performances, and is built around the concept of multiculturalism. The spectacular style of the clothes and painstaking care devoted to the hand-crafted details and prints, worked in the most artisan of styles, all faithfully convey the Desigual soul.

“Troupe” is a refl ection of the spirit of the teams that guide the two brands. It features the traditional circus colors—white, red and black— in a baroque show that accentuates skillful acrobatics and theater. The line features prints of characters and scenes from different Cirque du Soleil shows on hand painted panels. The Desigual style is evident in the remarkable details, crafted in gold, blue, and red foil.

“Human Expression” draws its inspiration from the mystery of night. This provocative line infuses the spirit of the dramatic arts with a distinct sexiness. Elaborate cotton embroidery and sequins combined with fl ashes of silver and red foil create beautiful red fl owers, faces, and striped prints, evoking emotion.

Each garment in the collection carries a cutting taken from a real Cirque de Soleil costume on its label—irrefutable proof of the magic of Cirque de Soleil in the magic of Desigual.

Desigual Inspired by Cirque du Soleil will be available online in November at desigual.com. Beginning in December, fi nd the collection at any of the 8,000 points of sale that Desigual boasts worldwide, including over 200 brand stores and shop-in-shops in the choicest of department stores. Cirque du Soleil will also set aside space for the sale of the collection at its shows around the world.

Las Vegas Convention Center | WWD MAGIC | Booth #76500 8 WWD MONDAY, AUGUST 22, 2011 WWD.COM wwdmagic

A few ways to unwind after a day Chillin’ in the Desert at the trade shows. 1. SWEET SPOT 2. SUNNY ATTITUDE 3 The Sugar Factory American The Tropicana hotel is making Brasserie at the Paris Las changes with the sun-loving set Vegas hotel keeps the sweet in mind. Part of its ongoing $180 tooth satisfied 24/7. The million renovation is a new Nikki’s 22,000-square-foot space Beach outpost, a beach club with features a restaurant, gelato cafe, locations in sunny cities all over the chocolate lounge and — of course world, including Saint-Tropez, Cabo — a store. San Lucas, Marrakech and Marbella. “It’s fun and colorful, and This Nikki’s comes in three parts — there’s something for everyone,” beach club, cafe and nightclub. said owner Steven Davidovici, The Club is a full acre, opened who estimates an average of over Memorial Day weekend, and nearly 500 customers an hour on has already hosted parties for the weekends. More than 7,000 celebrities including Britney Spears guests attended Sugar Factory’s and Rihanna. The outdoor day club grand opening in March hosted by offers poolside atmosphere with Kim Kardashian, who carried in a lounge chairs and white daybeds. special edition diamond-encrusted Cabanas are available for rent, with lollipop valued at $1 million. A premium bottle service and nibbles. retail version with a rhinestone Café Nikki serves American stem is available for $25 at the cuisine with brunch until 2 p.m. store, which also has locations daily, as well as breakfast, lunch at The Mirage Resort and Casino and dinner and an outdoor happy and the Miracle Mile Shops inside hour from 4 to 7 p.m. weekdays Planet Hollywood. with $5 specialty cocktails, The brasserie menu includes specialty ceviche and a sushi bar. smoked salmon frittata, grilled Finally, Club Nikki is a full black angus filet and decadent nightclub experience with late-night 4 5 desserts like the $36 lollipop partying in a 16,500-square-foot goblet for four and the 24-scoop all-white interior. King Kong sundae. The Chocolate Nikki’s Beach Club Lounge serves a selection of Tropicana Las Vegas chocolate fondues ranging from 3801 Las Vegas Boulevard South $28 for a tasting for two to Tel.: 702-739-3688 $1,000 for an arrangement of Beach Club hours: Monday to Friday, Dominican dark chocolate and a 7 a.m. to 7 p.m.; Saturday, 9 a.m. bottle of Dom Perignon. to 3 p.m.; Sunday, 11 a.m. to 8 Nicky Hilton, Eva Longoria, p.m. Cee Lo Green and Carmen Electra Nightclub hours: Wednesday, Friday have been spotted treating and Saturday, 10:30 p.m. to 4 a.m. themselves to the new sweet spot. Cover charge: $20 for women and Sugar Factory American Brasserie $30 for men. Paris Las Vegas Cafe hours: Sunday to Thursday, 3655 Las Vegas Boulevard South 7 a.m. to midnight; Friday and Tel.: 702-331-5100 Saturday, 7 a.m. to 2 a.m. Hours: Open daily, 24 hours. Web: nikkibeachlasvegas.com — ALEXANDRIA GEISLER — LEXY LEBSACK 3. MODERN BURLESQUE 4. GREEK TO ME 5. BIRD’S-EYE VIEW The Gallery Nightclub at Planet Seafood from the Mediterranean is Flying above the Las Vegas Hollywood, which opened in April delivered daily to the Cosmopolitan Strip with 360-degree 1 with a birthday bash for Kourtney to maintain the fresh Greek menu views is just another day at Kardashian and a performance by served at Estiatorio Milos. the office for the team at Cee Lo Green, features a playful With locations in Montreal, Adventure Helicopter Tours. and sexy ambiance, scantily clad New York and Athens, restaurateur Claiming to be the only tour dancers and a built-in Pussycat Costas Spiliadis brought this in Vegas with “100 percent Dolls Burlesque Saloon. Along upscale Greek seafood restaurant guaranteed window seating,” with the usual dance floors and to the Strip last December. passengers can take day or bars, there’s a 4,500-square- Signature dishes include the night excursions. Six tours are foot venue-within-a-venue where Milos Special (slices of paper- available, from a quick view of the bartenders wear lingerie and thin zucchini and eggplant fried the Strip to a trip including the perform impromptu burlesque and served with tzatziki and Strip plus Red Rock Canyon or routines in elevated bathtubs, kefalograviera cheese for $29); a Hoover Dam. Tours are narrated on platforms or on a rhinestone- grilled Mediterranean octopus with by the pilot and offered in studded carousel horse. revythada ($26) and classic grilled 11 languages. Services are The the 20,000-square foot fish (from $40 to $89). available 24 hours a day, with club was designed by Amy Kim, Nearly 300 wines are stocked, complimentary shuttle service part of the team that created the including a robust selection of to all major hotels. 2 SLS hotel in Beverly Hills. The bottles from Greece, France and Guests begin each result is a vintage Gothic aesthetic California. Wines by the glass adventure with Champagne filled with framed photos of range from $6 to $25. and refreshments, and can voyeuristic images, chandeliers, For lunch, a seafood prix-fixe upgrade to a “doors off” a stripper pole, candlelit glass is offered, including an appetizer, tour, in which the doors of fireplaces, ornate lighting, two bars, entrée and dessert for around $20. the MD520 jet copter are VIP booths and multiple rooms. A Guests can dine on the terrace removed during the flight for a dance platform snakes through the or in the dining room, while gustier and more exhilarating VIP tables to create a multilevel smaller dining and wine rooms experience. experience in one room. can accommodate private parties. Each tour can hold up Gallery Nightclub Estiatorio Milos to six passengers and lasts Planet Hollywood Resort and Casino The Cosmopolitan of Las Vegas between 15 and 40 minutes, 3667 Las Vegas Boulevard 3708 Las Vegas Boulevard and reservations are suggested. Tel.: 702-818-3700 Tel.: 702-698-7900 Adventure Helicopter Tours Hours: Wednesday to Saturday, 10 Hours: Lunch, daily, noon to 2:30 500 East Cheyenne Avenue p.m. to 4 a.m. p.m. Dinner, Sunday to Thursday, Tel.: 855-359-7331 Cover charge: $20 for women and 5:30 to 11 p.m.; Friday and All passengers must present $30 for men; 21 and over. Saturday, 5:30 to midnight. government-issued ID Web: gallerylv.com Web: estiatoriomilos.com Web: adventurehelicoptertours.com — L.L. — L.L. — L.L. CROWD PLEASER. DJ Apparel, LLC. All rights reserved. Copyright 2011. “Not Your Daughter’s Jeans”, “NYDJ” and its icon logo, and “Lift Tuck Technology” and its logo, are registered trademarks of NY and its logo, Technology” Daughter’s and “Lift Tuck Jeans”, “NYDJ” and its icon logo, “Not Your

nydj.com 10 WWD MONDAY, AUGUST 22, 2011 wwdmagic Balancing Fashion and Price from $3.50 for brass charms to $70 for gold- By KHANH T.L. TRAN plated shells, sea urchins, red cinnabar and semi-precious stones. LOS ANGELES — When WWDMAGIC opens its “[Retailers] are making more sure bets than doors today to thousands of buyers shopping in taking risks,” she said. “Before, they chose what the Las Vegas Convention Center’s North and they liked. Now I fi nd they rely on me to choose Central Halls, designers and manufacturers must their line for them. They are afraid to say what manage a complicated balancing act. The chal- they think right now.” lenge? Figuring out how to raise their profile To aid retailers on the quest for new brands, while dealing with higher costs amid demands WWDMAGIC is launching Heart of Prêt near from retailers and consumers for better margins the White section with as many as 30 brands and fair pricing. that regularly exhibit in France’s Prêt à Porter “We have ups and downs,” said Nally Park, de- Paris. These labels are participating in a U.S. signer and co-owner of contemporary label Nally trade show for the fi rst time. Underwritten by the & Millie, echoing the sentiments of many exhibi- French government, the show will feature lines tors. The Los Angeles-based company is now on including 2026 Paris, Didier Parakian, DP Jeans, the upswing, emerging from the verge of bank- Mado and Paul Brial. ruptcy two years ago when it had sales of $2.5 mil- Furthermore, Swim at WWDMAGIC Sponsored lion. Tallying annual sales of $10 million, which by ISAM, hailed as the largest swimwear expo are projected to double next year with the intro- on the West Coast, is expanding its presence to duction of woven bottoms like Bermuda shorts more than 10,000 square feet. New brands join- and capris wholesaling for $44, Nally & Millie is ing the show this season include Jantzen Girl, grappling with a 20 percent surge in costs for ev- Bleu/Rod Beattie, Raisins, Esther Williams, Roxy, erything from fabrics and washes to ink for ·· sub- Maidenform Swim and Modern Amusement. limation printing and the sewing and cutting it “The more interesting stuff we have for the does in Los Angeles. buyers in one place, the more valuable the time “I’m trying to stay within the price range for they spend with us,” said Chris DeMoulin, presi- the customer,” Park said. “I cannot jack up the dent of MAGIC International. price the next day.” On the fl ip side, MAGIC also wants to make Finding the sweet spot in pricing can be a the show worthwhile for exhibitors by generating challenge. buzz in the blogosphere. The bloggers are consid- “People are shopping at Hit Or Miss and Target ered infl uencers who help shape the thoughts and like it’s candy,” said Cindy Bapst, designer of Union buying habits of consumers. Last February, when of Angels in Palm Beach, Fla., who tries to keep MAGIC opened the show to a variety of bloggers the average retail price for her Bohemian-inspired including Sea of Shoes and Style Section LA, it women’s line at $125. “And counted 1.2 million con- people are buying high-end sumer touches — mea- things. It’s the middle ones sured as the number of who are not doing as well as [Retailers] are making people reading a blog, they used to.” Twitter post, Facebook and Besides pricing, manu- other content posted from facturers also face the more sure bets the show. challenge of maintaining At this show, DeMoulin their profi t margins. than taking risks. said MAGIC aims to double “It used to be you’d sell it the number of consumer for $25 and [retailers would] — TRUDY MOYLAN, ZOE & SAGE touches to 2.5 million. put it out for $50 for a [100] Bloggers expected percent mark-up,” said Lori at this edition come Robbins, vice president from RedSoleDiary.com, of sales at Los Angeles-based Sienna Rose. “Now StyleRepublicMagazine.com, TheMaykazine. they’re looking for a 75 percent mark-up.” com and Hypebeast.com. DeMoulin expects as With $20 million in annual sales, Sienna many as 50 bloggers covering all the shows in Rose relies on its library of 2,000 prints to en- MAGIC Marketplace. liven casual tops that are sold at Bloomingdale’s, “From an exhibitor standpoint, we’re break- Nordstrom, Lord & Taylor and Macy’s. Retail pric- ing through the B-to-B wall to get their line out es run between $48 and $78. to the most infl uential consumers in real time,” “We’re trying to maintain our prices and we’re DeMoulin said. “You make an investment to go to working on smaller mark-ups so that we can give a trade show. We want that investment to pay off more to the retailer,” Robbins said. “We have to in as·· many ways as possible…You don’t just go to have the volume now.” a trade show to transact business. You build your Still, price can be relative. In the case of business. You interact with infl uencers.” New York-based accessories company Alexia Judy Dermer, national sales manager for Crawford Inc., which sells to specialty stores Miraclebody Jeans in New York, is optimistic like Joyce Leslie and department stores includ- that her investment in the show will pay off ing Nordstrom, retail prices are capped at $75. with a good edition in August that will outdo Even then, Kimberly Bianco, Alexia Crawford’s last February’s event. A division of Miraclesuit designer, said, “Price is one of the main factors Swimwear, the three-year-old denim line ca- but it’s not the most important….People are ters to women who like trends such as wide-leg more willing to go up $10 to $15 more in spend- trousers, linen trousers and colored denim but ing per purchase.” want a good fi t with stretch fabric and reason- What trumps price is fashion, Bianco said. able prices. Its retail range is between $110 At WWDMAGIC, she’ll display feathers, animal and $140. charms and antique silver and gold fi nishes. “If people want to stay in business and do busi- “It’s defi nitely more fashion-oriented rather ness, they need to bring merchandise into [their than price-oriented,” she said. “They’re looking stores],” she said. “They might be buying a little bit for what’s on trend right now, what celebrities closer [to season] but they’ll defi nitely be buying.” are wearing, what stylists are choosing for them A sure bet is that retailers will buy what fl at- to wear.” ters women. Pauline Nakios, owner and creative In a challenging economy, many buyers are director of Lilla P in New York, is capitalizing on gravitating toward tried-and-true bestsell- the trends for long lengths, colors and stripes in ers, according to Trudy Moylan, designer and her line that retails from $45 to $165. Besides an owner of Zoe & Sage, a Los Angeles-based orange pima cotton-Modal slub jersey dress that accessories company that sells to boutiques is shorter in the front and longer in the back, in Rhode Island, Connecticut and North she’s also offering a cowl-neck top with stripes Carolina, and national retailers such as Urban alternating in color combinations such as gravel Outfitters. In the fall collection that she will and lemongrass. offer at WWDMAGIC for immediate deliveries, “A cowl neck is always pretty because the Native American-inspired beaded strip ear- stripes end up draping,” she said. “Trend may be rings catch the eye, as do vintage-style button trend, but at the end of the day, a woman wants rings and necklaces. Wholesale prices range what looks good on her.” WWD MONDAY, AUGUST 22, 2011 11 WWD.COM

Gracia’s silk WELCOME romper. to the Urban Behavior clutch; BCBGeneration oxfords. TROPICS Sultry silks and exotic prints make for one steamy spring season. — Kim Friday

Cartise’s polyester and spandex maxidress.

Jessica Simpson Collection’s polyester jacket and cotton T-shirt; BB Dakota’s cotton and spandex shorts. LTD. USING NARS USING NARS LTD.

Jack’s cotton dress. Costa Blanca bag.

PHOTOS BY

THOMAS IANNACCONE WORKGROUP JEN MYLES AT MANAGEMENT FOR REDKEN; MAKEUP BY ATELIER MICHELE AT KAYLA HAIR BY FARDO/ONE; MODELS: ERIN FEE AND EMELY 12 WWD MONDAY, AUGUST 22, 2011 wwdmagic

ing myself to low prices or in between.” The retailers haven’t found price hikes from vendors to be a major prob- Buyers: Caution Heading to Vegas lem at the moment. At The Emerald Isle, lines that primarily use cotton did she spends, and she wants quality. We are stock market has been going up and down, elevate prices $1 to $2 per item, but By RACHEL BROWN trying to give it to her at a good price.” they [are less] afraid to spend, so retailers Burchell said, “It hasn’t been so much Despite the shaky economic environ- are willing to experiment a little more with that it has had to affect the bottom line.” THE WILD STOCK market gyrations roil- ment, retailers reported that their ordering different styles,” she said. Price increases have been greater for ing Wall Street aren’t rocking stores on Main budgets aren’t shrinking. For the most part, Kelli Burchell, owner of The bridal at Maya Palace, where Copplin Street to the same extent, but many retail- they said budgets would be equal to or slight- Emerald Isle Boutique in Las Cruces, has seen brands raise prices as much as ers headed to WWDMAGIC are behaving ly above last year’s. Having survived N.M., called business at the store “a lot 10 to 25 percent. like their shoppers — and being careful the worst of the economic downturn, better” than last year. When it comes “There’s always a little bit of resistance,” about where they put their money. they related stories of business im- to new orders, however, she said, “We she said, gauging customer reaction. “Of Kara Moeller, owner of La provement, albeit under the strain are still being conservative. Buying is course, it’s very diffi cult for us, too, because Contessa in Tucson, Ariz., senses of unrelenting uncertainty, lofty so different now, because I feel like if the overhead is more expensive as well. shoppers are nervous about the un- unemployment and heavy com- I need more merchandise, more prod- Sometimes we give customers a break, de- settled economy. “They are buying petition from department stores uct, all I have to do is get on the phone pending on what they are getting, but some- closer to when they need. They and online retailers. and get it.” While she is on the hunt for times, [when we show] other lines that are are defi nitely watching their Although Susana B. spring offerings at WWDMAGIC and less expensive, they go in that direction.” money,” she said. Securing Copplin, president of Maya other trade shows, she often has a hard Unlike in previous seasons, retailers said purchases, she continued, is Palace in Tucson, described time fi nding them. homing in on a few key trends is more diffi - about “that personal touch the local economic situation “It is disappointing when you spend cult, especially in denim. Feldman said fl are and knowing what they al- as “up and down, like ev- money going to the shows to see the sea- styles are particularly hot but that silhou- ready have and trying to erywhere else,” she added, son that is supposed to be there, and ettes are fi nding audiences across the board. work around that versus “It has been better overall they are showing what you have already “Remember when the skinnies came on trying to sell them another than it was last year.” seen,” she stated. strong two years ago? You couldn’t put on pair of black pants they al- Her budget for cruise Keeping a diverse array of prices and a boot cut. It looked ridiculous,” she said. ready have.” and spring merchandise is making sure there are items affordable “Now, you can wear a fl are, a skinny, a baby Jaime Feldman, buyer bigger than last year’s. for almost all shoppers remain important boot cut, and everything looks great. It’s for Miami-based A Nose for “Last year, I think it was retail strategies. At La Contessa, Moeller great for the retailer.” Clothes, which will soon really bad because custom- no longer sells pants for $260 and above, Moeller wondered if the breadth of open its seventh store in ers didn’t want to spend but she doesn’t have pants below $50, ei- denim shapes is confusing to shoppers. Weston, Fla., said, “People money. Even though the ther. Her shoppers are price conscious, “I believe most people are still think- don’t shop now, because she said, but they aren’t running to the ing [about] the skinny leg, and that is re- they have nothing to do. I Retailers are looking for a nearest discounter. ally almost passé,” she said. “That wider am fortunate to have a really variety of jeans silhouettes. At Maya Palace, Copplin said dresses leg is very strong in Europe, and it has nice customer that wasn’t so Here, Vigoss’ jeans with start at $50 but the sweet spot is in the been for a while. It is going to be anything affected by the economy, but BCBGeneration’s top and $250-to-$450 range: “I concentrate on [in terms of silhouettes.] You are going to she is still cautious about what V Frass’ scarf. something for everybody instead of limit- see skinny to full leg.”

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MAGIC ...... Punto Blanco Es Collection Rosalita Mc Gee / Missing Johnny Z&L Anjara Garcia Naulover

Mrket ...... Torras

L_WLYPLUJL4VKH,ZWH|HVU[OLUL[ ^^^MHZOPVUMYVTZWHPUJVT MVYTVYLinformation WSLHZLKVUV[OLZP[H[L[VJVU[HJ[\ZH[! ^^^HNY\WHJPVU[L_[PSVYN WWD MONDAY, AUGUST 22, 2011 13 FOR MORE ONES TO WATCH, SEE WWD.COM WWD.com/ fashion-news. Ditto’s shorts. Ones to Watch Brands that are making their debuts at WWDMAGIC. By Marcy Medina

prices from $38.50 which was not really being of- “We want to offer newer and to $43.50, jackets and fered at the time.” fresher styles along with different vests from $33.50 to $43.50 Today, those are again two stitches and pocketing for a look and T-shirts for $18.50. of the hottest trends in denim, that is authentically vintage,” DITTOS “The Dittos brand was very making the timing of the re- he said. “We’re getting back into Seventies denim brand Dittos particular to Western style but launch “impeccable” said quality and small details and fit.” is relaunching for spring. After still a very luxury and want- Nakash. “Naturally, we are tak- Although the focus is still on Yala’s being produced under license ed brand at the time,” said ing the available trends in the jeans, Dittos now offers shorts, wrap and by Frankie B. for two sea- Jordache owner Steven Nakash, market now, color and pastels, skirts and logo T-shirts that blend maxiskirt, sons, Dittos’ parent, Jordache recalling the heyday of the and working off of that,” he said. the Western flair of Texas (where T-shirt and Enterprises, has taken the line 33-year-old brand. “What we Bottoms include flare and the brand was born) and the rock- scarf. back in-house and is rolling out went for was a more fashion-ori- skinny silhouettes, with plenty of band influence of Los Angeles jeans and bottoms at wholesale ented and color-driven denim, the trademark double yolk stitch. (where it’s always been made).

YALA Yala is not your mother’s organic clothing, but in designer Chelsea Morgan’s case, it is her mother’s company. What began as a sleep- wear line called DreamSacks in 1996 has since evolved into a lifestyle brand rechristened this Looking for year as Yala, comprising natural- fiber clothing for men, women and babies, as well as accesso- ries, home and travel goods. financing? Founded by Ashland, Ore.- based family Nancy and Larry Morgan and daughter Chelsea, the company uses fabrics made Let’s talk. from sustainable fibers — or- ganic cotton, renewable bamboo viscose and silk — colored with low-impact, azo-free dyes. We have been a CIT client for From its collaborative design seven years. When we needed a process to socially responsible sourcing, manufacturing with lender to support our company’s carbon-offset credits, shipping by electric vehicle and paperless growth it was natural for us to billing, Yala has become a key example of sustainable business look to CIT. They understand our practices. Hoping to expand its niche business and they understand reach beyond the U.S. and retail. CIT is the market leader.” Canada at WWDMAGIC, Yala is also launching a new line at the SEAN COMBS, FOUNDER show: Free Soul, a collection of JEFFREY TWEEDY, EXECUTIVE VICE PRESIDENT handmade scarves, necklaces SEAN JOHN and bracelets made by women from India’s Untouchable caste, who have found financial inde- pendence through Yala’s partner- ship with microfinance company Build A Nest. Sean “Diddy” Combs is a fashion icon Yala will also be showing fall and founder of the company that bears immediates including its best- his name. With the support of CIT, the selling tunics, leggings and cash- Sean John brand grew into one of the mere scarves, and maxiskirts, most dominant sportswear brands in reversible scoop-neck tank tops America. CIT’s financing has allowed the and sweaters. Wholesale prices company to grow both domestically and range from $12 to $59. “Sizes internationally while having the flexibility go from XS to XL, and my mom to seize opportunities in the marketplace and I designing together can navigate two generations,” said as they arise. Chelsea, 30. Want to talk about how CIT Commercial Before starting Yala, Nancy, Services can provide financing for your 59, was a teacher who worked business? Visit us at cit.com or call in Southeast Asia and Central 800-248-3240. America. “I was interested in an- thropological and global issues and always dreamed of having a business that combined culture and fashion,” she said. Chelsea, who spent her early ■ childhood in China and learned Credit Protection Working Capital

Chinese before English, went to Factoring ■ Import/Export Financing school at Dartmouth and joined Debt Restructuring ■ Growth Financing the company after graduation. “Chinese comes in handy when we go there for sourcing,” she © 2011 CIT Group Inc. CIT and the CIT logo are registered service marks of CIT Group Inc.

PHOTOS BY THOMAS IANNACCONE PHOTOS BY said. 14 WWD MONDAY, AUGUST 22, 2011 Jacobs to Dior Talks Get Serious {Continued from page one} and create hyper-luxurious clothes and accessories. Jacobs, who signed on as Vuitton’s artistic director in 1997, has been in the throes of renewing his employment contract at the leather goods powerhouse. Those discussions have now been put on the back burner, pending the outcome of the Dior discussions. Jacobs and longtime business partner Robert Duffy also have long-term agreements with LVMH, which owns Marc Jacobs International. Duffy would be part of the package should Jacobs move to Dior, and is deemed piv- otal to any deal. As for eventual succession at Vuitton, LVMH has already held preliminary discussions with Philo, and the London- based talent is described as “intrigued” by the project, ac- cording to one source. Should the scenario play out, Philo would likely de- sign Vuitton in addition to her duties at Celine, suggesting Vuitton might take a more toned-down approach in its post- Jacobs period. The American designer has brought a whirlwind of at- tention to Vuitton by staging theatrical and eclectic fashion shows, collaborating on leather goods with high-profile artists like Stephen Sprouse, Takashi Murakami and Richard Prince, and hiring celebrities including Jennifer Lopez, Madonna and Uma Thurman to pose in Vuitton fashion campaigns. According to sources, when Arnault began installing hot designers at his stable of dusty heritage brands in the Nineties, his initial discussions with Jacobs centered on Dior as a potential successor to then-designer Gianfranco Ferré. However, Dior’s president at the time, Francois Baufume, evidently vetoed that idea, clearing the way for Galliano to move over from Givenchy to Dior, and for Jacobs to take on the challenge of inventing a ready-to-wear image for Vuitton, a famous maker of trunks and leather goods founded in 1854. Should the American designer get the job, it would surely give a jolt of excitement to Dior and Paris Fashion Week. Arnault has often waxed poetic about the importance of matching a designer’s talent with a brand’s essence. “Had I hired Marc Jacobs for Dior and John Galliano for Louis Vuitton, it would not have worked as well for both brands, even though both designers are geniuses of their own,” he told WWD in 2003. To be sure, Jacobs is today surrounded by a glittering cir- cle of celebrities and artists, a leap from the smaller cadre of downtown New York characters with whom he was associated earlier in his career. The designer, who received the CFDA’s Geoffrey Beene Lifetime Achievement Award in June, talked about the growing confidence in his work that has come with age and experience. “I guess there’s a little less naïvety in it. Going through the learning process and working here and in Paris, I personally think we’ve built a strength in terms of editing,” he told WWD at the time. “Also, through becoming healthier and more confi- dent [as a business], there’s a sense of security and less fear.… I don’t feel like we’re sticking our necks out when we’re doing a show like before. We’re all in this because we love fashion and part of that love for fashion is being unapologetic.” Jacobs is also an intriguing media character. His gym- toned and tattoo-paved body, stints in rehab and eventful love life has all been fodder for the tabloids in recent years. Marc Jacobs taking his bow at his most Throughout his fashion career, he has proven adept at recent Louis Vuitton women’s show. putting an inimitable and playful spin on the iconic style of other designers, having referenced Yves Saint Laurent, Chanel, Rei Kawakubo and Andre Courreges in collections for Vuitton and his own fashion house over the years. His champions at LVMH are at a Paris cafe, and told the court that he remembered nothing about the incidents. confident he could update and refresh Dior, which has strong codes and is not in Public prosecutor Anne de Fontette called for a fine of no less than 10,000 euros, or need of drastic reinvention. $14,300 at current exchange. The court will deliver its ruling on Sept. 8. He also has the star power to eclipse Dior’s recent turmoil, including a cou- Dior executives have said they will take all the time they need to find a new de- ture collection last July that was drubbed in the press. It was designed by Dior’s signer, and consider all options. studio headed by Bill Gaytten, a longtime Galliano deputy prized for his pattern- It is understood they have approached a wide swath of potential candidates to making skills. succeed Galliano, including Lanvin’s Alber Elbaz, Balenciaga’s Nicolas Ghesquière, It is widely believed that the Gaytten-headed studio is designing the spring 2012 Alexander McQueen’s Sarah Burton, Haider Ackermann and Hedi Slimane. Dior collection to be presented here next month. According to sources, Elbaz and Ghesquière, both of whom have equity stakes in The ouster of Galliano — and the search for a new couturier at Dior — has gripped their fashion houses and strong personal commitments to their brands, have with- the industry. drawn themselves from the running. Burton, meanwhile, is said to have rebuffed The creative architect of Dior’s impressive growth trajectory and one of the most overtures. Talks with Ackermann and Slimane did not end in an agreement. acclaimed fashion talents of his generation, Galliano stood trial in June at the High Riccardo Tisci, the couturier at Givenchy, is also considered a dark-horse candi- Court here. date. He has earned a cult following for his darkly romantic, Goth-inflected approach He blamed work-related stress and multiple addictions for a series of altercations to fashion, and has been championed by Delphine Arnault. WWD MONDAY, AUGUST 22, 2011 15 WWD.COM accessories A tribal necklace by Trends Key in Offsetting Weak Economy Ben-Amun.

over 30 years, which is helpful. We feel that [given] ris- BY ALEXANDRA STEIGRAD and RACHEL STRUGATZ ing prices, we must maintain the integrity of the brand until material costs are lowered.” BATTLING SOARING GOLD PRICES, rising labor costs, Like Basically Brazil’s handbags, Ben-Amun’s trendy stock market volatility and an already cash-strapped con- baubles don’t generally exceed $500, which makes both sumer, accessories designers have charged forward with brands members of the venerable yet highly competitive an antidote that they hope will cure their business woes. world of accessible luxury. With the intention of luring new customers, designers “In today’s economy, consumers will only spend exhibiting at ENK’s Accessories Circuit and Accessories if they feel they’re getting great value for the price,” the Show, held at New York’s Jacob K. Javits Convention said Manevitz. “We currently have less of a markup to Center from July 31 to Aug. 2, maintain the same prices placed their bets on trends our customers have grown like rose gold and oxidized Bamboo Style’s to expect. Right now we are silver jewelry, semiprecious hand-woven clutch. absorbing the percentage of stones such as opals and increase.” pearls, and handbags made But even higher-end from natural materials brands are sensitive to en- like bamboo and exotic suring that their consum- skins (both real and fake). ers have a strong balance “I feel that the con- of price and value. sumer is very worried Consumers are still about the economy,” looking for a certain said Sara Taublib, PHOTO BY THOMAS IANNACCONE level of “sophistication STEVE EICHNER PHOTO BY owner and designer of in design and crafts- Basically Brazil LLC, manship,” even though a handbag company that’s feeling the pinch of rising there’s less wealth and disposable income out costs. “It’s been a bumpy road. I’ve kept my overhead there, according to Phillips Frankel designers and low. I think that’s the only way to survive right now.” founders Danielle and Lisa Frankel. In order to keep costs down, Taublib has decided to With retail prices between $700 and $8,000, Phillips use less leather in her bags, but she said she isn’t will- Frankel has found a “new market position” in the wake of ing to move her brand’s manufacturing base to a country rising market prices — and it’s one they’re running with. where materials and labor are less expensive. Since launching the brand in August 2010, the de- “I don’t want to be China,” she said, emphasizing the signers have been using 14-karat gold, which they said importance of brand authenticity. “I’m looking for a cus- has provided their customers with “greater durability “People want to see authenticity more and more,” said tomer who is looking for something different.” and long-term value.” It’s also been a way for the brand Jay Kim, the owner of Bamboo Style, an Indonesia-based Isaac Manevitz, designer and founder of jewel- to keep costs down, but consumers don’t seem to mind. company that makes handbags from sustainable materi- ry brand Ben-Amun, In fact, last als like rosewood, silk cocoon, sea grass and palm leaf. agreed, stressing the sig- A trio of 14-karat gold and sterling month Harrods — What initially prompted Kim to start the brand in nificance of consistency silver cuffs by Phillips Frankel. which tradition- Indonesia six years ago wasn’t the price of labor but the and brand tradition. ally focuses on abundance of natural materials there. “We haven’t started 18-karat gold fine “Indonesia is paradise for bags,” he said, adding that using different materi- jewelry collections buyers have been flocking to snap up some of his more als, we cannot compro- — began carrying unusual items, like a clutch woven from Vetiveria root. mise on the quality of Phillips Frankel in “Costs may be cheaper in Indonesia, but the way I our collections,” he said. its London flagship, see it is, how much value do [workers] create?” he said, “We have kept produc- and in three days referencing the amount of time it’s taken for his employ- ing in our factory in New saw a 25 percent ees to gain technical proficiencies. “The most important York in the Garment sell-through and thing is the way we make our product. It’s different. It’s

District as we have for STEVE EICHNER PHOTO BY placed a reorder. not mass produced.

A carryall in leopard and linen from the collection’s Edelman to Launch Handbags Parisian group. WHEN BROWN SHOE CO. bought Sam Edelman just cludes four subcollections that will launch at better over a year ago, both companies had a common goal — specialty stores and department stores, including to further develop Edelman into a lifestyle brand by Bloomingdale’s, Nordstrom and Holt Renfrew, as well growing its core businesses and extending its reach to as online at Shopbop and Piperlime. other product categories. The Signature collection consists of classic Zeroing in on that, Edelman will make its first foray canvas totes and carryalls with expandable zip- outside footwear with a spring 2012 line of handbags pered gussets with vachetta trim in an assortment and small leather goods. of prints, as well as black-and-white snow-leopard- Edelman has teamed with New York-based Schifter print haircalf styles. + Partners, the maker of Gwen Stefani’s L.A.M.B. and Nodding to European style, the Parisian Street Harajuku Lovers collections, to create an aspirational collection includes saddlebags, satchels, messenger line inspired by the streets of Paris and New York’s rol- bags and totes in leather and linen. Leather colors licking disco days. “I believe there is an unbelievable opportunity in the market right now for Sam Edelman handbags,” said Sam Edelman, president of the eponymous brand. “Handbags are a natural evolution to our already suc- include terra-cotta and dove gray, and leather and cessful footwear collection. Our girl has always looked linen mixed bags include black with leopard-print to us to set the trends, so I’m looking forward to intro- linen and nude with natural highlighted linen with ducing this new category.” rose gold hardware. Over the first four years, Edelman’s Studio 54-inspired Discotheque line con- Edelman expects the new line sists of clutches, chain-strap pouchettes and soft hobos to bring in about $10 million. In available in color-blocked looks, python-embossed 2009, Edelman amassed sales of leathers, suedes and leopard-print haircalf, all with $34.1 million, according to a regu- gold deco inscribed hardware. latory filing by Brown Shoe last Finally, the Neo-Modern collection includes mini March. When it was acquired last cross-body pouchettes, bowler bags, large satchels and year, Edelman said it grew to $60 totes in mixed materials like black python-embossed million in sales since its incep- calf hair and chartreuse snakeskin. tion in 2004. The line will be exhibited at FN Platform at MAGIC The handbag line, which in Las Vegas on August 22 to 24. ranges from $98 to $498, in- Disco-inspired pouchette and suede clutches. — A.S. 16 WWD MONDAY, AUGUST 22, 2011 WWD.COM

INNERWEAR A rendering of the Adam store opening in NoLIta Lou-Paris Making U.S. Push

By KARYN MONGET A vintage ad from the LOU-PARIS is making a comeback in the U.S. seventies. The 65-year-old French bra brand has opened an office in New York and all logistics including inventory and shipping will be managed by the Fruit of the Loom logistics facility in Monroeville, Ala., said Krista Tonra, U.S. sales director. Lou-Paris, among the top luxury intimates brands in Europe, is known for its signature colors, fashion styling and innovative fabric combinations. The brand, a part of Vanity Fair Brands LP, became part of the Fruit of the Loom portfo- lio in 2005 when FTL acquired the Vanity Fair Brands inti- mates business from VF Corp. Lou-Paris is headquartered at Expanding Adam the Vanity Fair offices in Paris. After the acquisition, Lou-Paris underwent a renaissance and returned to its roots: intimate apparel that has a strong Adds NoLIta Unit look of fashion with luxurious embellishments that also pro- vide optimal fit for the modern woman’s lifestyle. The aes- By SHARON EDELSON thetic reflects the philosophy of the brand’s creator, the late Lou Faller, a gymnast who designed a bra collection in 1946 NEW YORK — With the unveiling of a 1,008-square- because she could not find a bra with a fashion edge that of- foot Adam store in NoLIta on Sept. 3, designer Adam fered comfort and support. Lippes will have downtown Manhattan covered.

Tonra said the goal is to expand distribution to the nation- Lippes’ new store at 211 Elizabeth Street is ex- wide status in the U.S. that Lou-Paris claimed in the Eighties pected to do $2 million in first-year sales and will and Nineties when the brand was an important fashion re- complement an Adam unit at 678 Hudson Street in the source for major stores as well as specialty boutiques. Meatpacking District. “We needed to manage the brand in-house, that was key,” Not that Lippes is ignoring women in Manhattan who explained Tonra, a long-time member of the intimate apparel live above 14th Street. “For our next store in New York, industry. “Fruit of the Loom has such a great logistics struc- we’ll look on the·· Upper East Side,” Lippes said. “We do ture with warehousing and full EDI incorporated in the logis- really well uptown [Adam is sold at Bergdorf Goodman, tics, and I believe this will be a tremendous asset in building Saks Fifth Avenue and Bloomingdale’s]. Three would be the brand in the U.S. where the market potential is huge.” An ad a great number of stores to have in Manhattan.” The Lou-Paris brand is currently carried at 75 high-end bou- image Lippes has taken a relatively low-key approach to tiques in the U.S. including the Intimacy specialty chain. from the opening stores. When he opened a pop-up store in his Fashion is the brand’s key asset, said Tonra. eighties. hometown of Buffalo, he had no idea it would prove to be “You see a lot of basic product in the market. But we are so popular. The store will celebrate its three-year anniver- very fashion driven and unique fashion is the brand’s DNA. sary in October and is no longer considered temporary. After Lou-Paris refocused its vision beginning in 2005 to 2007, “Kellwood [which acquired Adam in 2010] is very fo- the brand took off like crazy in Europe again. Lou-Paris is cused on freestanding retail expansion,” Lippes said. now the third top-selling brand at Galeries Lafayette,” said “They’re very interested in key cities.” Lippes revealed Tonra. “We are very optimistic about the U.S. market.” that he’s also looking for retail space in Los Angeles. She added that styles available in Europe will be sold in the U.S. Bras will be cup-sized 32 to 40 in three groups: Contour cups A to E; demi-cups B to E, and full cups B to F. Regarding price points, Tonra said, “We’ve been able to What I love most about lower prices by 23 to 28 percent because we are much more cost efficient with logistics.” For example, bras that formerly the Meatpacking store is retailed for $125 will now be priced $69 to $99. “I think retailers will be very happy to see our sharper that it feels very much like prices,” she said. Annual wholesale sales were not available. But the Lou- Paris brand, which is also found in Germany, Spain and someone’s home. Australia, generates sales in excess of $75 million, according — ADAM LIPPES to industry estimates.

“Kellwood has great market- ing and public relations teams,” the designer added. “The re- sources that have been at our disposal are amazing. We’re just about done with our spring 2012 runway show, which will be on Sept. 10. We used to be done the day before the show.”·· Lippes will fill the NoLIta store with “stuff that I love,” he said, including antiques, books about art, architecture and pho- tography from Rizzoli, Taschen and Assouline, and objects Lippes picks up during his trav- els. The store, which has mod- ern and prewar elements, was designed by Roman & Williams. “What I love most about the Meatpacking store is that it feels very much like some- one’s home,” Lippes said. “The new store is directly next to the Elizabeth Street Gardens, which is such a little gem. This part of Elizabeth Street is one of the most beautiful blocks in down- town Manhattan.” Lippes, who launched his label in 2004 with a T-shirt, trans- formed it into a full contempo- rary sportswear brand in 2007 called Adam Adam Lippes. The collection was subsequently re- branded as Adam. In February, Adam will introduce handbags. “Of course, that will lead to shoes, with a partner,” Lippes said. ON HOLD Judge pauses Louboutin-YSL trial to wait for appellate court ruling. PAGE 19. WWD STYLE Christian Louboutin

Francesca Gregorini and Tatiana von Furstenberg share a great deal, most recently, the fi lm “Tanner Hall,” set for release next month, which they wrote and directed together. They also share a love of fl ea markets, “a walking meditation,” according to von Furstenberg. Here, the two women photographed in her Los Feliz home, appointed with a fl ea-market harlequin and fresh-faced bust, the mascot for a friend’s script about gender identity. The painting was done by artist Konstantin Kakanias, who plays the dance instructor in “Tanner Hall.” For more, see page 18. Hall Monitors

PHOTO BY STEFANIE KEENAN

ad performance is a 52 percent jump has been known to be vocal about the MEMO PAD over last year’s September issue. media’s need to ask hard-hitting ques- The issue comes out on August 27. tions, set up his own company, News — JOHN KOBLIN and Guts Media. Apparently, HDNet’s JOURNAL ENTRY: While Sally Singer founder, Mark Cuban (who handed over her latest cover of T: RATHER GOOD: Nearly owns the NBA’s Dallas The New York Times Style Magazine five years in as anchor Mavericks), has lived up to the relatively unknown jazz singer and managing editor of to his promise that Rather Esperanza Spalding, editor Deborah HDNet’s “Dan Rather would have complete edi- Needleman is going conventional: Reports,” the august torial and creative control Rachel Weisz is WSJ’s September newsman is polishing up of the weekly hour-long cover girl. “Summing Up,” a mem- investigative journalistic On the cover, Weisz is dressed in oir due out in the spring. show. “This is an unprec- an Alexander McQueen herringbone Rather said the book will edented, liberating and trench and is standing in a pose that examine “things I have joyful experience for me,” reveals plenty. The September issue lived” from the late Nineties he said. also includes an interview with Marc on, including his CBS The 79-year-old has Jacobs and Robert Duffy and an Evening News departure. also brought home some eight-page spread that shows off the “I cannot remember a hardware in the process. back rooms and ateliers of Hermès. time when I have enjoyed “Dan Rather Reports” Needleman’s fi rst September myself professionally as has been nominated for issue delivers some good news: WSJ much as I do now,” said three Emmys and took clocks in at 124 total pages and 57 ad Rather, who logged 43 years home one in 2008 for pages — both records for the three- at the network before exit- News and Documentary. year-old magazine. A Wall Street ing in 2005. The following — ROSEMARY Dan Rather Journal spokeswoman said that its year, the broadcaster, who FEITELBERG 18 WWD MONDAY, AUGUST 22, 2011 Fast Friends of “Tanner Hall” HOLLYWOOD LOVES a good coming- make a movie, you have to way heighten of-age story. While typically such tales the drama, way heighten the conflict, and Amy Ferguson, Brie Larson, unfold in front of the camera, the people it has to be worthy of cinema. So it’s not Rooney Mara and Georgia King. who make movies come of age as well. true to life.” The upcoming “Tanner Hall” may While Mr. Middlewood’s fixation with prove the maturation benchmark Kate works the creepy side of comic re- for its novice directors, Tatiana von lief, the Fernanda-Gio relationship is han- Furstenberg and Francesca Gregorini. dled seriously. The directors determined Fast friends after meeting back when, as to make her the initiator of the sex scene, freshmen at Brown, theirs has been a 20- so as to avoid predatory undertones. year relationship of constant interaction, Asked about a comment she made for including collaboration on some small, the project’s press notes, that “the sex in informally produced short films. the film isn’t riveting,” Gregorini qualifies “Tanner Hall,” their first full-length her remark. “Whether it’s sex or accom- feature, is set for limited release on plishment or anything, where the story Sept. 9. The directing/writing partners lies is always in the journey. It’s never the boast high-profile bloodlines — Tatiana, destination,” she says. “It’s the interplay be- the daughter of an esteemed fashion fig- tween [Gio and Fernanda] and what they’re ure who with her husband Barry Diller both searching for and running from that will host this Saturday’s gets them into a compromised screening in Southampton; sexual situation. The psychol- the less-obviously named ogy behind that is what we fo- Gregorini, the daughter cused on, but the actual scene of Barbara Bach and step- is quite riveting.” Gio, she daughter of Ringo Starr. Yet continues, “is as lost as they it’s the sudden emergence are in his own time and space. of the film’s star into the One thing that hopefully we celebrity stratosphere that achieved in this film is that it’s helped seal a distribution not a morality tale.” deal with Anchor Bay Films Similarly, the two women for the movie shot in 2008 sought to avoid what they con- with dark hair and green eyes. Their only plains. “What time and luck have given and shown at film festivals sider a common foible of teen- requirement: that the girls look good in- us is a commercial movie with a star in the following two years. centric films: talking down dividually and together. Not wanted, the leading role.” When cast, Rooney Mara to that audience. “It doesn’t Gregorini declares: “a Hollywood, body- The filmmakers lavish praise on that was not yet with her dragon Bridget Foley’s pander, and even the humor by-aerobics kind of look.” Her partner star, who presented as very unstarlike tattoo. As Fernanda, she an- Diary is quite elevated,” offers adds, “What I will say, there was nobody when she showed up to read for Lucasta. chors an ensemble that in- Gregorini. “The complexity of beautiful that couldn’t act.” “She seemed like a little high-schooler cludes Georgia King, Brie their emotions is portrayed to As Lucasta, Ferguson is “earnest, a from New York state, really adorable,” Larson and Amy Ferguson as the central the best of our ability. It’s not reductive. The little bit awkward and struggling with her Gregorini recalls. “And so disarming boarding-school quartet; Chris Kattan and performances that everyone brought to the sexuality,” says Gregorini. “She’s so beau- because she was so un-Hollywood. She Amy Sedaris as Mr. And Mrs. Middlewood, table were layered and complex.” tiful and lanky and natural-looking, and came in these silly little sneakers and the former hot in the crotch for Larson’s Another cliché avoided: focusing she doesn’t even realize. She’s just earthy, jeans.” After Mara aced her audition and Kate. Tom Everett Scott plays Gio, the mar- on teens’ oft-chronicled lust for stuff. poetic, you know — she’s from Ohio.” won the part, the directors set out to find ried man whose attentions to Fernanda are “Unfortunately, teenagers — materi- Larson took Kate from what could Fernanda — daunting, Gregorini notes, of the requited sort, and Tara Subkoff, his alism [tempts them everywhere] all have been a clichéd, obvious portrayal because “she’s a very internal character.” pregnant wife. the time and consumes them,” von to, Gregorini says, “a unique take on They kept coming back to Mara, and ul- The primary story is of Fernanda’s Furstenberg notes. Rather than portray the tease.” Adds von Furstenberg, “She timately gave her the lead. “At the time, sexual awakening. This plays out amidst the girls as obsessive label mongers, makes me think of my dad — intelligent she hadn’t done many movies and wasn’t the multileveled relationships among the the intention was to reveal elements mischief. She has the most vitality of all really trained. It really is all so natural,” students, including the good-girl/bad-girl of their personalities in their clothing of them, the most life force, a very funny she adds. counterpoint of Fernanda and Victoria choices and the ways in which they dec- sharpness. We literally offered her the “She is reserved,” von Furstenberg part that day.” chimes in, “but it’s filled with dignity... Conversely, King She’s not strategic or guarded like some was almost not cast actors. She’s really courageous. She’s as Victoria, the film’s available and open.” British antagonist. As Gregorini and von Furstenberg King has done such look forward to the release of “Tanner highbrow fair as Hall,” both are on to their next proj- Rosamond in the ects. Gregorini is in preproduction for 2006 miniseries “Jane “Emanuel and the Truth about Fishes,” Eyre,” and was famil- also with Mara. Von Furstenberg is writ- iar with the board- ing another screenplay. Each feel the im- ing-school genre, pact of their upbringings on their work having played in, — willing or otherwise. among other movies Gregorini learned from her mother’s so set, 2008’s “Wild career choices even as she took issue with Child” with Emma them. “I really resented that she was an Roberts. While on a actress, because when she was working, trip to Los Angeles, films took a very long time to make, so she the Scottish actress was gone from home for very long stretch- embraced the chance es,” she offers. “But I guess the exposure Rooney Mara and to read for the role to the world of creativity…With my step- Tom Everett Scott. of an American girl. dad in music, having that as a backdrop, The directors found and having grown up, at least in my early her audition labored. years, visiting different sets, it definitely (King), Kate’s party girl proclivities and orated their rooms — style “from with- Then she said good-bye — in her natu- had an influence on me. As an artist, my Lucasta’s (Ferguson) could-be-a-phase, in,” she says. “It’s not through acquir- ral accent. “She was focusing so hard need and desire to tell stories is the ulti- could-be-the-real-thing emerging lesbian- ing things.” This served a second, quite on keeping an American accent up mate driving force.” ism. Along the way, mothers are less than practical goal as well: cost containment, that it was really impairing her act- For her part, von Furstenberg focuses lovely; fathers, never mentioned; two mar- as many looks were sourced from von ing,” Gregorini says. The directors thus less on the creative aspect of growing up riages, in crisis, and the boarding school Furstenberg’s closet. decided a little linguistic diversity on a child of fashion than on more clinical experience portrayed as the often-dark Perhaps the film’s most stunning campus might not be a bad thing, open- considerations. “Making a movie and epicenter of essential epiphanies and the avoidance: technology. No one tweets. ing the door to what von Furstenberg being at the helm of such a big enter- formation of lifelong bonds. No one checks Facebook, nor even sends calls “an incredible performance.” prise, I really realized how much I knew Von Furstenberg attended boarding the quick text. The directors argue that It was the casting of Mara, however, about making executive decisions, mak- school; Gregorini commuted to one. The such here-and-now activity would have that ultimately secured the film’s distri- ing them quickly, and sticking to them,” two returned to the birthplace of their detracted from the essence of their story. bution deal. “Tanner Hall” premiered she says. “One of the greatest gifts that friendship, Providence, Rhode Island, “There’s something beautiful about at the 2009 Toronto Festival, where it I got from my family is the ability to feel to shoot the film. “When you write some- being folkloric and timeless,” says von was accepted into the World Cinema confident in my decision making. Just thing, inevitably, [personal histories] Furstenberg. “This story could happen to Competition; in 2010, it won the Gen watching them be good leaders, I think are your references. So I would say the anybody at any time, anywhere.” Art Grand Jury Award for Best Feature, that it was really helpful to me, even in characters are consultations of differ- Now, about that casting. Gregorini and but ultimately didn’t find a buyer. “We times of high stress and uncertainty. ent aspects of ourselves and people we von Furstenberg took no physical presup- were told that we had a very commercial “You know,” von Furstenberg con- knew,” says von Furstenberg. “But they’re positions to the process, no parallel to movie but that we didn’t have a star in tinues, “our movie came in on time and

all very fictional characters…In order to searching for Scarlett O’Hara as written, our leading role,” von Furstenberg ex- within budget.” JESSICA MIGLIO STILLS BY WWD MONDAY, AUGUST 22, 2011 19 WWD.COM

Mediate will be hitting the links for FASHION SCOOPS the Audemars Piguet Ambassadors Cup held at Liberty National Golf Club in Jersey City, NJ. Monday. PAUSE BUTTON: Christian Louboutin can ingredient,” the judge said, musing The tournament celebrates the breathe a sigh of relief — at least that designers use color just as a launch of the luxury brand’s Royal temporarily. chef uses “salt and pepper,” or a Oak Offshore Chronograph 44mm New York federal Judge Victor Marrero, writer uses the word “the.” watch. Following the tournament, who is overseeing Louboutin’s lawsuit For now, those questions can the firm will host a party for 150 against rival Yves Saint Laurent, be tabled. According to experts, people held at the clubhouse decided Friday to put the case on hold the appellate court will likely put where DJ Cassidy, who provided until the appellate court can rule on his Louboutin’s case on the fast track, music for Audemars’ partnerships preliminary injunction decision. which in legal speak means a with Shaquille O’Neal and LeBron This comes on the heels of the decision could come down in the James, will be spinning music late court’s decision to deny Louboutin an next few weeks. into the night. injunction barring the sale of a red Radar by Fashion GPS. monochrome pump created by YSL. EXTRA, EXTRA: In another sign of the FOOD FOR THOUGHT: As part of Filed in April, Louboutin alleged that growing importance of accessories “Fashion Feeds New York,” a new YSL infringed upon its red-sole mark, in the mix, Ralph Lauren is staging a Geared for editors, buyers, designers monthlong initiative designed to which it obtained in 2008. special spring 2012 accessories preview and publicists, Radar will allow users help the underfed, DKNY and other Part of the court’s recent ruling during New York Fashion Week. It’s the to RSVP to all of their Fashion Week in- fashion companies will host trunk included speculation that Louboutin’s first of its kind, and this being Ralph, vites all once in one place. Once invited, shows and in-store promotions. The red-sole trademark should be canceled it won’t be standard showroom fare. Radar-ites create profiles on the mem- event coincides with Hunger Action altogether. Soon after that decision was For the Sept. 14 affair, the company is bers’-only site and can then grant a col- Month. delivered, Louboutin filed an appeal. flipping the first floor of the women’s league or assistant access to manage their As of Sept. 8, visitors to an online On Friday, both sides appeared flagship at 888 Madison Avenue into schedule if they are so inclined. Aside CharityBuzz auction can bid on items before the judge in a case an accessories salon, showcasing bags from having a one-stop shop for RSVPing from Ferragamo, Miu Miu, Oscar management hearing, so that and shoes and other accessories for and event details, showgoers will also de la Renta and others. In addition, Louboutin could prove its mark is the season to come. The event, from have the bar codes needed to access companies are also going to have “jeans integral to its brand and that the color 8:30 a.m. to 10 a.m., will also give various shows. Radar will sync with any days” that benefit Fashion Feeds New red is more than simply decorative. international editors in town for the smart phone and a Radar iPhone app will York Day, by encouraging employees Lawyers for Louboutin argued that week — and locals who haven’t had be introduced by Fashion GPS later this to wear their favorite pair of jeans in it would be able to accomplish this in a chance yet — to see the women’s month. All of this was welcome news to return for a donation to City Harvest. discovery. flagship, which opened last October in Kolb. “Instead of getting six p.r. agencies Each dollar donated allows City Harvest Although the judge said he “was not a limestone, Beaux-Arts mansion the sending you six different invitations, you to rescue and deliver close to four entirely persuaded” discovery would company built from scratch. have everything in one place,” he said. pounds of food. clarify this issue, he felt it would make As for how many post-show events he “City Harvest feeds the city that more sense for the Court of Appeals ON KOLB’S RADAR: Expecting just under 200 will get to next month, Kolb said, “Unless feeds our inspiration and we have been to wrestle with his recent ruling first, invitations to various New York fashion it is a CFDA event or something manda- a proud supporter of the organization before he considered canceling the shows and presentations next month, the tory that number is zero.” for over five years,” said Patti Cohen, plaintiff ’s trademark altogether. CFDA’s Steven Kolb will keep everything in executive vice president of global “There is something different order with Radar, the new software being TEEING UP: Golfers Vijay Singh, Ian Poulter, marketing and communications for about fashion. In fashion, color is an unveiled today by Fashion GPS. Anthony Kim, Graeme McDowell and Rocco Donna Karan International. Fleece Is the Word industries (clients include Glamour, By VENESSA LAU Marie Claire, Condé Nast Traveler and For more career opportunities log on to WWDCareers.com. Elle). She’s the editorial counterpoint to TWO NORWEGIANS meet at a party in Tolnæs’ business savvy. Still in need of New York. He’s just visiting; she lives someone with design expertise, the two here. He’s a singer on the side; she lends hired Michelle Kim, an Anna Sui alum. Spaces him her guitar. They fall in love, move to The resulting collection injects a cool Oslo and get married. edge to those de rigueur wool staples — What could be the plotline of a block- from slouchy T-shirts, dresses and wrap COMMERCIAL buster rom-com is actually the backstory sweaters to lingerie and hosiery, in su- REAL ESTATE behind new label With & Wessel, launched perfine merino wools with raw edges or ASSISTANT BUYER/MERCHANDISER Growing online plus size apparel re- GRAPHIC DESIGNER this year by Stian Tolnæs and Cathrine satin details. “We’re especially excited tailer seeks dedicated candidate to Ladies /Kids Access co. seeks graphic support all buying/merchandising designer, must have experience in YTE ALLENDE Wessel. Seven years after they first met, for spring because that’s the challenge functions. Must have strong analytic, package design & spec development the duo is now back in Manhattan and of wool,” says Kim, noting that upcom- interpersonal, & computer skills as for final production. Must be proficient well as strong fashion sense. Low in Photoshop, Illustrator. opening a flagship store in NoLIta. ing offerings include flyaway dresses and Showrooms & Lofts $30k’s to start, PLUS health benefits Email resumes to [email protected] But they haven’t completely left draped halter tops. BWAY 7TH AVE SIDE STREETS & vacation days. Located in Central NJ. Great ’New’ Office Space Avail Email: [email protected] Ladies casual sptswear importer seeks: Norway behind; the boutique, slated to “Our wool is so thin, you won’t believe ADAMS & CO. 212-679-5500 Prod’n Coord. - Detailed, org’d w/ min. open Sept. 8 on Elizabeth Street, will it’s wool. It feels like silk,” Tolnæs adds. DESIGNER ...... $85K 7 yrs. impt prod’n exp. knits/woven. Mens Branded underwear Tech Design Asst. - Min. 2 yrs. exp. in offer a slice of Scandinavia, with antique “The perception that you can’t wear wool Jennifer Glenn SRI Search 212 465 8300 Spec w/ pattern knowledge & fit. [email protected] Sales Acct. Exec. - 2-3 yrs. sptswr exp. larch flooring and Aspen trees suspend- in the summer is going to change.” Email resume w/ Sal: [email protected] ed from the ceiling. Wholesale prices for the men’s and F/C BOOKKEEPER The collection is hinged entirely on women’s line range from $34 to $114, Fast growing bedding products company PINK ROSE CLOTHING seeks full charge bookkeeper for Women’s apparel manufacturer seeks - that comfy Norwegian with innerwear run- wholesale business to national retailers - ASSOCIATE DESIGNER staple: wool. “The fab- ning from $11 to $25. and .coms. Candidate must have - PRODUCTION COORDINATOR A look wholesale, factor, chargeback and - PRODUCTION ASSISTANT ric has been the survi- Retailers include AR/AP experience, college degree and - TECHNICAL DESIGNER vor factor of Norway for from With Anthropologie, P45 in proficiency in quickbooks and excel. Please send resume to Stella Won @ & Wessel. Excellent communication skills and [email protected] or a while,” says Tolnæs. Chicago and A.Smith in detail orientation required. Position Tel#: 917-475-9337, Fax#: 917-475-9390 based in NYC. Please send resume and “The North Pole explor- Niigata, Japan. salary requirements to: ers, they wore wool. The As for the curious [email protected] old national costumes of moniker, there’s some Norway — all wool.” Norwegian history here, Tolnæs came up with too. With & Wessel is the the idea for the label name of the now-defunct while at his previous firm founded by Wessel’s Looking for salesperson to sell socks job as vice president of grandfather, Andreas /hosiery to discounters. Should have 2+ years exp, with customer base. brands and marketing at Bredal Wessel, and her Brooklyn location. Call 718-369-1300, Swix, a Norwegian com- granduncle, Bror With. Ask for Freddy. pany that produces ski The company imported Sales - Jeans/Denim poles, wax and skiwear. early-day DKW cars and Exp’d in Jeans/Denim showroom/private label sales rep wanted. Highly motivated “I saw a huge opportu- motorcycles to the coun- and est’d contacts with major chain, nity on the wool side,” he try (the firm later merged discount and dept stores. Travel req’d. [email protected] says. “I thought, ‘How can with Audi), and manufac- Tel: 212-947-4846 Ext.109 you expand this line to be tured the famed Rottefella more fashionable?’ But ski bindings, which With SALES REP Accessory co. seeks salesperson with the sports world is very actually invented. experience in hair accessory/jewelry nonconfirming. Very fast I “The name has a lines for specialty/mass markets. Email resume to: [email protected] understood I would have history in innovation, to do it externally.” craftsmanship and en- Enter Wessel, a pho- trepreneurism,” says tographer working in the Tolnæs. “And that’s the (800) 423-3314, or email [email protected]

PHOTO BY THOMAS IANNACCONE; MODEL: ALEXANDRA T/IMG; HAIR AND MAKEUP: SERGEY LOGVINOV FOR DIOR AT BEAUTYWINGNY.COM; STYLED BY MA STYLED BY BEAUTYWINGNY.COM; FOR DIOR AT T/IMG; HAIR AND MAKEUP: SERGEY LOGVINOV THOMAS IANNACCONE; MODEL: ALEXANDRA PHOTO BY fashion, travel and music feeling of our brand.” SHOWING AUGUST 21–23 Men’s at MRKet Las Vegas | Booth # 624 & 625 Women’s & Swim at Moda | Booth # 1049

Call 866-519-8218 for more information or to schedule an appointment WWDMILESTONES

BUILDING A BILLION-DOLLAR BRAND MARKETING THE BULLY PULPIT DENIM TRIMS DOWN KGROUP LTD. USING MAC COSMETICS; STYLED BY KIM FRIDAY USING MAC COSMETICS; STYLED BY KGROUP LTD. Southpole at

A TWO-DECADE20 JOURNEY THROUGH THE URBAN LANDSCAPE.

Polyester twill bomber jacket with cotton and spandex denim jeans and leather sneakers. PHOTO BY GEORGE CHINSEE; MODEL: MARINA/FORD; HAIR BY KAYLA MICHELE AT ATELIER MANAGEMENT FOR REDKEN; MAKEUP BY JEN MYLES AT WOR JEN MYLES AT MANAGEMENT FOR REDKEN; MAKEUP BY ATELIER MICHELE AT KAYLA GEORGE CHINSEE; MODEL: MARINA/FORD; HAIR BY PHOTO BY 2 WWD MONDAY, AUGUST 22, 2011

SECTION II WWD.COM

WWD MILESTONES The Southpole Journey The route to a $1 billion retail business. By David Lipke

1899: David and Kenny Khym’s bags, footwear, headwear and cold grandfather, Ki-sun Khym, is one of weather accessories. A 2007 look Research shows the first Korean immigrants to the from Wckd. Southpole as U.S., moving here with the help of 2007: As part of its marketing ef- the fifth-largest Christian missionaries. forts, Southpole sponsors an out- denim brand in field billboard at Shea Stadium, the the U.S. 1926: Ki-sun Khym moves back to former home of the New York Mets. Korea after earning a degree from the University of Nebraska. 2008: The White Tag brand is launched. 1977: Ogden Khym, son of Ki-sun, and father of David and Kenny 2008: The A. Prodigee brand is Khym, moves from Korea to the launched. Riverdale section of the Bronx. 2008: Southpole inks a license for 1981: David Khym takes the fam- infant and toddler apparel. ily savings of $10,000, plus a $5,000 line of bank credit, and opens L&L 2008: Against All Odds opens Menswear in the Brownsville sec- stores in California, just before the tion of Brooklyn. financial crisis.

1989: The Khym brothers move the 2009: Against All Odds files for store to Jamaica, Queens, and re- Chapter 11 bankruptcy in January name it Metropolitan Total Fashion. and emerges in December. The company now operates 24 stores on 1991: David and Kenny Khym start the East Coast. their own line as Wicked Fashions Inc. White Tag Sears 1995: The Southpole began in picked up brand is founded, under 2008. Southpole the Wicked Fashions in 2002. parent company.

1995: Kenny Khym founds the Against All Odds retail chain as a mall-based streetwear store, eventually grow- ing it to almost 80 stores.

2001: Southpole transi- tions from a premium brand to a midtier brand and enters J.C. Penney for the first time.

2002: Southpole is picked up by Sears.

2002: Southpole is awarded the J.C. Penney Divisional Award for Men’s Apparel.

2002: The Lot29 brand is launched using licensed cartoon characters. The A. Prodigee brand is now on hiatus but the com- 2009: The RS by Ryan Sheckler was launched pany will relaunch it in coming sea- brand is launched. in 2008. sons under a different concept. 2010: The RS by Ryan Sheckler 2003: Southpole launches a juniors brand is shuttered. line. The brand is awarded the J.C. Penney Divisional Award for 2010: The WT02 brand launches. Women’s Apparel. 2010: Southpole is the fifth-largest 2003: Southpole inks a Japanese denim brand in the U.S., behind distribution license with Wise Levi’s Wrangler, Lee and Calvin Harvest. Klein, according to NPD Group figures. 2004: David Khym is selected as Ernst & Young’s Entrepreneur of 2011: Southpole launches its the Year. “Speak up, Step up” anti-bullying campaign. 2005: Pop star Ciara is featured in Southpole juniors advertising. 2011: Southpole relaunches its Web site from a business-to-busi- 2006: Southpole launches acces- ness format to a consumer-oriented sories with the addition of hand- branding site. 20th anniversary ® on their Southpole congrats to 4 WWD MONDAY, AUGUST 22, 2011

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WWD MILESTONES Pole Position Two Korean brothers start an apparel company that emerges as one of the biggest players in urbanwear. By David Lipke

ANYONE LOOKING for a tale of the base with lower-priced product. The mythic American dream realized may Kenny Khym following year, Southpole was picked find a classic example in the story of up by Sears. David and Kenny Khym, brothers and “Going into the midtier was the most founders of Southpole, which this year important milestone for the company be- marks its 20th anniversary in business. cause it opened the brand up to such a Their family came to the U.S. in wider audience,” said Khym. “Southpole 1977 when their father moved to the was the pioneer in making…[urban] Riverdale section of the Bronx from trend-right apparel accessible to Middle South Korea. In 1991, the duo founded America ahead of others.” the young men’s and juniors brand and Today, the sweet spot for Southpole its parent company, Wicked Fashions denim runs from $24.99 to $29.99. In Inc. The Southpole brand now rings up fleece, it’s $19.99 to $29.99, and in $1 billion at retail and is sold in more T-shirts, it’s $12.99 to $14.99. Denim than 5,000 department and specialty now accounts for 32 to 35 percent of store doors. total sales; fleece for 20 to 22 percent; Since taking a sales hit following T-shirts for 30 percent, and non-denim the 2008 financial crisis and making fashion from 10 to 15 percent. a round of layoffs, Southpole’s sales “Our biggest strengths are fashion, have been growing at a steady 8 to 12 quality and our competitive prices, percent clip annually, on the strength which I don’t think a lot of people can of its robust sourcing operations, sharp do in the way we can,” said Art Matura, focus on competitive pricing and fast- Southpole’s senior vice president of evolving designs that appeal to its core sales, who is among about 500 employ- customer base in the midtier channel. ees of the brand. “In the fashion business, passion is Describing the company’s partner- the number-one most important thing, ship strategy with retailers, Khym but then comes market research and explained, “Our foremost objective

understanding what the trends are,” is maximizing customer satisfaction said Kenny Khym, who is president of and [retailers’] profitability. In other Wicked, which began as a single dis- words, we aim to become a ‘solution count men’s wear store in the inner-city provider,’ delivering what they need Brownsville neighborhood of Brooklyn. when they need it. There are various Today, Khym oversees the day-to- programs we provide, from replenish-

day operations of the company out ment to retail sales analysis providing of its Fort Lee, N.J., headquarters, a merchandising solutions. All efforts seven-story building emblazoned with are aimed at creating a win-win sce- a prominent Southpole logo just off nario for all parties involved.” the George Washington Bridge. In ear- While Southpole is an urban-ori- lier years, Kenny directed strategy and ented brand, its appeal crosses a wide product development planning while ·· swath of the youth demographic, ac- older brother David ran the company. cording to company research. That’s es- David now holds the chairman title and pecially true in today’s market, where focuses on long-term growth strategies. there’s been a wide-scale blurring of The elder Khym also oversees the {Continued on page 6} Southpole Foundation, which provides scholarships to community college stu- dents in the New York and New Jersey area and provides grants to health and social-services organizations. Southpole today is sold in more than 1,000 doors of J.C. Penney, 600 units of Sears, 480 doors of Stage stores, STEPHEN SULLIVAN PHOTO BY 300 Peebles stores and 70 doors of Gordmans. Department stores account for 80 percent of sales and independent specialty retailers for 20 percent. In our definition, the term About 50 percent of Southpole sales are in young men’s, 25 percent in ju- ‘urban’ does not equal niors and 25 percent in kids. Unlike its current incarnation as a midtier brand, Southpole started life ‘hip-hop.’ Urban is a much as a premium urban brand, selling jeans for $60 at a time when Levi’s cost larger realm that may about $35, noted Kenny Khym. The big- gest category for it back then was the encompass hip-hop. puffy “bubble” jacket. “It was a big trend, and we were competing with brands like Bear USA, It’s a widely accepted The North Face and Triple Fat Goose. But I remember The New York Times misconception to correlate did a trend story, and maybe six of the 12 photos were of people wearing urban fashion with hip-hop, Southpole jackets on the street,” said Khym, recalling that symbolic moment for the brand. but we think otherwise. In 2001, Southpole decided to enter — KENNY KHYM the midtier market via J.C. Penney’s David Khym and target a much larger customer ··

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{Continued from page 4} recalled Khym. “Back then, if you sold lines between the urban, skate, street Merry-Go-Round, you were the toast and progressive sportswear sectors, of the town. Our product was unique where diverse brands like LRG, Stüssy, — we came up with denim sets with Levi’s, Rocawear and WeSC all com- velvet patches. This was something pete for a broad range of young cus- nobody had seen.” tomers. In fact, according to an NPD Fast-forward 20 years, and study commissioned by Southpole, the today among the key challenges for brand’s customer base is equal parts Southpole and the industry in general white, African-American and Hispanic, are rising costs for sourcing and pro- with each accounting for about a third duction, particularly the skyrocketing of sales. price of cotton. “In our defi nition, the term ‘urban’ “We’ve been faced with extreme dif- does not equal ‘hip-hop.’ Urban is a fi culties in pricing, and this has been much larger realm that may encom- unprecedented,” said Khym. “However, pass hip-hop. It’s a widely accepted one of our advantages is our estab- misconception to correlate urban fash- lished global production base. China ion with hip-hop, but we think other- still serves as a prominent sourcing wise,” said Khym. base. In the long term, our infrastruc- Key branded competitors for ture will play a critical role in setting Southpole include Rusty, Zoo York, ourselves apart from other players in Tapout, Ecko and Rocawear, added the market. Our unparalleled sourcing Matura, while private label brands capability and supply chain manage- like Arizona and St. John’s Bay com- ment will provide a fi rm foundation for pete with it on the lower end of the any type of fashion business.” price spectrum. (Interestingly, though, The company maintains sourcing Wicked’s retail division, Against All and production offi ces in Shanghai Odds, sells those brands alongside and Guangzhou, China; Karachi, Southpole in its chain of stores. For Pakistan, and Dhaka, Bangladesh. The more on Against All Odds, see page 8.) company operates a 400,000-square- However, Khym — who originally foot distribution center in South studied to be an electrical engineer Brunswick, N.J., as well as another at CCNY before switching to a busi- distribution facility operated by a ness major at Baruch College — sees third party in California. his competition in even larger terms. Due to increased raw materials and “Anyone who is able to address the production costs, Southpole has raised needs of our target consumer lifestyles prices by 8 to 12 percent, depending and divert consumption from the cur- on category, over the past year. “The rent market is a potential threat. We reaction so far has been steady, with even see iPhones and video games no big negative responses,” as competition,” he explained. “They said Matura about the have created a new lifestyle that youth increases. “We were previously were not as immersed in, able to get ahead of but now are taking away disposable in- some of the cost in- come that otherwise might have been creases by taking spent on our products. Ultimately, our some big positions competitiveness depends on how we on certain categories, can deliver to our wearers the cool- like plaid shorts, and ness and freshness they [want] to ex- we’ve passed some of press themselves.” those internal savings on For spring, key men’s trends at to customers.” Southpole include cleaner and slim- The overall business mer silhouettes, brighter colors, climate since the reces- stripes, utility themes and non-denim Spring 2010 sion of 2008 has also forced bottoms. In juniors, the company is fo- Southpole to rethink its cused on more fast-fashion deliveries business practices. that hit of-the-moment styles. opening their men’s clothing store in “It turned “Retailers’ open-to- “Department stores lack the ca- Brownsville, called L&L Menswear, out that our abil- buys have tightened up pacity to deliver fast-fashion rela- with $10,000 in family savings and ity to identify hit and they want to shift tive to specialty stores,” noted Khym. a $5,000 line of credit. Their father, items was often far liability to the whole- “Southpole is working to provide the Ogden Khym, was born in Ogden, Utah, ahead of the curve saler’s end,” Matura solution to that challenge.” after his father, Ki-sun Khym, moved and local suppliers pointed out. “We have The Khyms have been besting to the U.S. in 1899 with the help of could not produce suffi - to maximize our own challenges ever since they got their Christian missionaries. Ki-sun Khym cient quantities in a timely capabilities in terms start in the apparel business in 1981, was one of the earliest Korean immi- manner. This eventually led of allocation by grants to this country and he earned a us to work directly with ven- door, stock analysis degree at the University of Nebraska dors abroad, where there was and replenish- before moving his family back to Korea a greater variety of offerings and ment systems. in 1926. Ogden returned to the U.S. where we often had direct input So, if I have a with his own family in 1977. into what was created,” said Khym. store that is “Brownsville was a tough area but “Instead of waiting for the right prod- doing 20 per- the key money was low and the rent ucts to be developed, we decided to de- cent of sales was cheap. It was a good opportu- velop those products ourselves. Leather sneakers. on 10 percent nity,” recalled Kenny Khym, who was “We called it Wicked because when of stock, I should still fairly new to America and in high our customers would come into the increase that allocation to 30 percent of school at the time his brother David store and see something they liked, sales on 20 percent of stock. Allocation opened that fi rst store. The younger they would say, ‘Wow, wicked!’ — as in planning is key. Everyone on my team is Khym worked after school, transport- wicked good, not wicked bad.” not just an account executive, but really ing merchandise on the subway from The brand name was changed they are mini business managers. It’s not wholesale dealers in the Garment to Southpole in 1995, after a South just about selling in product anymore.” District to the store in Brownsville. Korean expeditionary team reached On the licensing front, key current “Lee colored denim was big at the the South Pole. “The term Southpole partners for Southpole include Vida time,” Khym remembered. refers to the spirit of challenge and International for shoes, Concept One In 1989, after the store’s landlord adventure,” noted John Um, executive for headwear and cold weather acces- decided to jack up the rent by several- vice president. “It’s also not tied to a sories, Colors in Optics for eyewear hundred percent, the Khyms moved particular country, so it can be used ef- and Adjmi Apparel Group for infant their retail business to Jamaica, fectively in different markets.” and toddler apparel. Other categories Queens, and founded a new store, Among the fi rst important custom- include bags, small leather goods, ju- called Metropolitan Total Fashion, ers of Wicked Fashions and Southpole niors intimates, sleepwear and hosiery. which remains in business. Two years was the now-defunct Merry-Go-Round (For more on licensing, see page 18.) after moving the store, the Khyms young men’s chain, which was then The company has plans to seek li- A. Prodigee founded Wicked Fashions to develop omnipresent in malls across America. censees for underwear, watches and was aimed and wholesale their own line of urban “I drove to the headquarters in accessories, and international markets. at suburban men’s wear. Maryland by myself with the samples,” {Continued on page 8} shoppers. STILL LIFE PHOTOS BY GEORGE CHINSEE STILL LIFE PHOTOS BY KPMG LLP congratulates Wicked Fashions on 20 great years. kpmg.com

© 2011 KPMG LLP, a Delaware limited liability partnership and the U.S. member firm of the KPMG network of independent member firms affiliated with KPMG International Cooperative (“KPMG International”), a Swiss entity. All rights reserved. Printed in the U.S.A. The KPMG name, logo and “cutting through complexity” are registered trademarks or trademarks of KPMG International. 24510NSS 8 WWD MONDAY, AUGUST 22, 2011 ··

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WWD MILESTONES {Continued from page 6} However, the brand was shuttered in Currently, Southpole has one licensee 2010 after just a few seasons. in Japan and another covering the en- Going forward, a key initiative is tire European market. the new WT:02 brand, which launched “Our key focus right now is on China last year as an upscale, modern, young and Latin America, and we are actively men’s line, primarily for specialty seeking partners in stores. The collec- those regions,” said tion features clean Jean Luc Rim, direc- silhouettes, utility- tor of marketing and li- We are a brand inspired outerwear, censing for the brand. resin-coated fabrics While Southpole is and slim-fit denim the fl agship brand of developer. meant to compete Wicked Fashions, the with brands like company has a num- We translate G-Star and Diesel. ber of other brands “The brand con- in its portfolio, while lifestyles into cept targets metro- several others have politan young men been launched and who are in their discontinued over the brands. early 20s and are years. Lot29, which — KENNY KHYM intelligent, inde- was launched in 2002 pendent and mas- and focused on ap- culine,” said Khym, parel and outerwear adding the brand adorned with licensed cartoon charac- will makes it debut in mezzanine-tier ters, is currently on hiatus but is set for department stores soon. a relaunch under a new concept based “There’s a product design and de- on social media and digital platforms velopment team that we internally call in the near future, said Khym. The Kitchen, toiling every day to bring Other brands in the Wicked sta- fresh concepts to introduce to the ble that are winding down in- market. We are a brand de- clude White Tag, which tar- veloper. We translate life- gets midtier shoppers with styles into brands. We a denim-focused line heavy ·· create new brands on mixed martial arts and businesses that elements and graphic our retail partners prints, and A. Prodigee, may also reap the which is aimed at sub- benefi t from.” urban shoppers with Looking back surf and outdoors on the past 20 looks reminiscent of years, Khym said Abercrombie & Fitch the most signifi cant or Hollister. lesson he’s learned One of the com- is the importance of pany’s more ambi- communication — as tious launches was in well as having the right 2009 when it introduced people in the right jobs. the RS by Ryan Sheckler “We have to make sure brand focused on the A Canvas fedora. that the company has the street and skate market. right people on the bus,” he Sheckler was a high-profile profes- said, “the wrong people off the bus, and WT:02 is a key new brand sional skater with his own MTV reality the right people in the key seats before that launched last year. show at the time, called “Life of Ryan.” we fi gure out where to drive the bus.” Against All Odds Living Up to Its Name ON A LOWER LEVEL of the Southpole head- “I thought we’d end up having 1,000 stores,” quarters building in Fort Lee, N.J., is the retail said Khym. team for the Against All Odds chain of urban However, the company’s growth trajectory streetwear stores. was abruptly reversed by the fi nancial crisis The company is a separate corporate entity of 2008 and the resulting retail implosion. The from Southpole, but is owned by the Khym fam- timing of the economic downturn couldn’t have ily. David Khym is chairman of both companies been worse for Against All Odds, as it had just and Kenny Khym is president, overseeing the opened a string of stores on the West Coast, day-to-day operations of both Southpole and where the subprime mortgage mess was espe- Against All Odds. cially acute. The company operates 24 stores currently, “The expansion to the West Coast was a di- including eight units in New Jersey, nine in saster,” said John Um, executive vice president New York, three in Pennsylvania, and one at Wicked Fashions Inc., Southpole’s parent. store each in Connecticut, Massachusetts, On Jan. 5, 2009, Against All Odds fi led for Maryland and Virginia. Chapter 11 bankruptcy protection. At the time, Apart from selling Southpole merchandise, it had shrunk to 64 stores — but the Khyms Against All Odds offers brands like Rocawear, worked with creditors and the court for a year Ecko, Zoo York, Levi’s, Ed Hardy, Jordan, The to devise a plan to keep the chain open, rather North Face, LRG, New Era, G-shock and D.C. than liquidating. The company emerged from Kenny Khym started Against All Odds in Chapter 11 on Dec. 27, 2009, paying off unse- 1995 as a mall retailer catering to the burgeon- cured creditors a 14 percent return. ing urban streetwear category. It was an early “Kenny really wanted to be able to keep em- player in the game — Rocawear was founded ployees who had worked for many years with the that same year and Sean John wouldn’t launch company,” said Um. “Even though we shut down until 1998 — and by 2000 the chain had rev- most of the stores, we retained the majority of enues of $15.5 million in about half a dozen employees. That really impressed the bankrupt- stores. cy judge and also the credit committee, after “It worked as a great antenna for our whole- they heard about our people retention strategy.” sale operations,” said Kenny Khym of using the Khym said the company is carefully consid- chain as a laboratory and testing ground for its ering expansion opportunities again, as there own Southpole brand. are good real estate deals available in some The company added stores throughout markets because of the still-fragile economy. the Aughts, growing to almost 80 stores in 15 As for the business itself, which trimmed states on both the East and West Coasts and in another 40 stores in the past two years, he Florida. Sales reached $78.7 million by 2005 summed up: “It’s not setting the world on fi re, A display at Against All Odds. and grew to $121.1 million by 2007. but it’s doing nicely now.” — DAVID LIPKE PHOTO BYJOHN AQUINO PHOTO BYJOHN

10 WWD MONDAY, AUGUST 22, 2011 SECTION II

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We

the ’90’s With everything Nineties having a fashion comeback, Southpole’s urban aesthetic, mixed with a lifestyle sensibility, looks and feels perfectly on trend. — Alex Badia

Vest, shirt and denim jeans, all in cotton.

Nylon vest, polyester T-shirt and cotton denim jeans.

Polyester sweater and shorts and cotton denim jeans.

Cotton sweater and T-shirt and polyester shorts.

Hats and belts by Southpole. WWD MONDAY, AUGUST 22, 2011 11 WWD.COM NT: MERCEDES PSL BASS MERCEDES NT:

PHOTO BY JEFFREY COHEN MODELS: ELIJAH AND SALIEU @ RED, CHRIS @ WILHELMINA AND JANOS @ RE:QUEST; HAIR BY ANNA BERNABE FOR HAIRGUM USA; FASHION ASSISTA ANNA BERNABE FOR HAIRGUM USA; FASHION HAIR BY MODELS: ELIJAH AND SALIEU @ RED, CHRIS WILHELMINA JANOS RE:QUEST; 12 WWD MONDAY, AUGUST 22, 2011

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Cotton and polyester tracksuit and leather sneakers. ▼

Turn S AT WORKGROUP LTD. USING NARS; FASHION ASSISTANT: ANNIE AUCHINCLOSS ASSISTANT: USING NARS; FASHION WORKGROUP LTD. S AT IThe Southpolet girlOn works a wearable mix of comfortable favorites, such as the polo shirt and tracksuit with on-trend styles for a look that is uniquely hers. — Kim Friday ▼ Cotton and polyester polo shirt and cotton, polyester and spandex denim shorts worn with a signature newsboy cap.

PU and canvas sandals. ▼ PHOTOS BY GEORGE CHINSEE; MODEL: MARINA/FORD MODELS; HAIR BY KAYLA MICHELE AT ATELIER MANAGEMENT FOR REDKEN; MAKEUP BY JEN MYLE MANAGEMENT FOR REDKEN; MAKEUP BY ATELIER MICHELE AT KAYLA GEORGE CHINSEE; MODEL: MARINA/FORD MODELS; HAIR BY PHOTOS BY

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WWD MILESTONES ▼ Acrylic knit dress and PU sandals.

Cotton and rayon romper accented with

sunglasses and leather sneakers. ▼ ▼ Studded denim thongs.

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company’s founding fabric. A key player in outer- Baggy looks from 2006 worn by R&B wear, one of Southpole’s fi rst big hits was the puffy artists Marques Houston and Omarion. jacket. But, as happens to so many companies seek- ing a foothold in the young men’s business, jeans were practically a prerequisite to be taken seriously in the marketplace. Southpole answered the call early on but it wasn’t until about 10 years ago that it began to grow into the staple it’s become today. “We’re a young men’s-driven brand, and it took off fi rst in young men’s, then in ju- niors and fi nally in children’s,” Kim said. The timing was right. Not only had Southpole built up the fi scal, merchandising and marketing muscle to meet — and to a degree anticipate — de- mand, but the baggy silhouette, especially in the young men’s market, translated into an opportunity to give teen and young adult consumers something they didn’t already have in their closets — a loose- fi tting silhouette easily lending itself to design modi- fi cations, as well as occasional parental disapproval. The emergence of the silhouette and maturing of the company helped make it an important denim- based “urban lifestyle” brand for stores ranging from midtier giants like J.C. Penney and Sears to fashion specialty stores like Dr. Jays, and even a smatter- ing of sporting goods chains, which liked the way it worked with their footwear assortments. By 2010, Southpole’s denim business had bal- looned into one of the top men’s jeans brands, com- ing in at fi fth — behind only Levi’s, Wrangler, Lee and Calvin Klein — in sales that year, according to research by The NPD Group of Port Washington, N.Y. The success of denim hasn’t always translated into success above the waist. “We have introduced a denim jacket every season, but it is a fashion item based on seasonal trends,” said Kim. “Likewise, denim woven shirts are fashion items. Top pieces are more trend- driven and don’t drive as much volume as bottoms.” However commercially viable they might or might not be, the merchandising of the tops is always co- ordinated with that of the bottoms, the executive pointed out. Denim accounts for about 40 percent of the com- pany’s young men’s business, plus or minus 5 per- cent, depending on the season. Figures in the kids’ portion of the business are similar although, with a wider range of items from which to choose, denim’s share of the juniors business is about 30 percent. Kim allows that the market is moving to- ward “cleaner” denim fi nishes and less fi nishing in general. Yet, demand

for sandblasted denim is “still strong.” He noted that the trend toward colored denim has been apparent in both young men’s and juniors. “Many of our customers, such as Denim on a Diet Penney’s and Sears, have enjoyed success with our colored denim. It’s Trimmer styles are moving in where superbaggy very much on trend now,” he said. Even with the persistent de- looks once ruled. By Arnold J. Karr mand for sandblast, Southpole is initiating moves to embrace a more eco-friendly approach SOUTHPOLE’S DENIM business might be slimming A trimmer look to denim, in its embrace of both down, but it’s hardly getting smaller. from 2011. cleaner fi nishes and raw denim. Denim remains the biggest single contributor to Southpole continues to rely the company’s sales, accounting for about 40 percent on overseas suppliers for its of the total of about $1 billion, and shows no signs of denim and jeans, with Pakistan, diminishing. But the look of the line, which was total- Bangladesh and China cited ly dominated by baggy silhouettes in the early years as the three most important of its existence, has slimmed down considerably. markets. Many of its pro- The company introduced slim and skinny fi ts into ducers have been affili- its young men’s mix in 2008. The styles have become ated with the company increasingly important, even as the brand has been for more than a decade. working to come up with the appropriate successor While trends with- to the ultrabaggy silhouette that was integral to the in the jeans category growth of the business — especially in young men’s are certain to change — and the overall enterprise. with the passage of “Our original young men’s baggy fi t was one of the time, denim’s im- most important items in the history of our business,” The “slim straight fi t” has become portance has been said John Kim, head merchandiser for Southpole’s a staple in the line, while Kim and his consistent. young men’s division. “Before 2008, the baggy fi t was merchandising colleagues “keep work- “Denim is always the 100 percent of our denim business. It’s downtrending ing to make the ‘right baggy fi t’ by trim- most important and biggest category in street- now, but it’s still running at about 40 percent of total ming down our original specs.” and sportswear,” said Kim. “Of course, denim fl uc- denim business, and we expect it to constitute 20 to Although a key component of the tuates from season to season, but it is a core ele- 25 percent in the future.” business today, denim was hardly the ment of the business.”

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WWD MILESTONES Hook Me Up Licensing has been a steady element for the brand. By Vicki M. Young

SOUTHPOLE’S LICENSING MACHINE might the brand is also sold at independent specialty re- not be the biggest engine in the ’hood, but it’s a tailers, like Dr. Jays. key revenue driver because the brand’s partners “Even after 20 years, this is still a great brand. have remained true to its aesthetic, even as it has It has stood the test of time, whereas others have evolved over time. come and gone,” Hafif concluded. With eight licenses currently in operation, Eyewear is licensed to Colors in Optics Ltd. Southpole executives continue to scout for more Founded in 1978, the firm is known for its use of vi- opportunities, according to Jean Luc Rim, director brant colors in its frames, especially cherry red, co- of licensing, but he acknowledged that connecting balt blue and violet. with the right licensee can be difficult in these tur- The Southpole Sun Collection for men and bulent economic times. women features embellishments in rhinestones, a That’s because licensing agreements require prominent Southpole logo placement and intricate certain minimum guarantees, and given the con- detail work. The collection is sold in department cerns over consumer spending, companies are less stores and specialty retailers. willing to make those commitments, he explained. Rhona Hutton, vice president and head of de- “We want partners who are capable of develop- sign for the eyewear maker, said, “The Southpole ing the business and pushing the category, rather customer loves identification. They like bling and than riding our coattails,” Rim said. they like color.”

About 10 percent of Southpole’s wholesale vol- The collections — one each for men and ume is generated through licensing, he said. women — feature 24 pairs of sunglasses and coor- Concept One Accessories, founded in 1999 by dinate with the Southpole color scheme and theme brothers Sam and Bernie Hafif, produces headwear for each season. and cold-weather items for young men and boys “Southpole is different from the other brands under the Southpole brand. Concept One holds that we have. This is a fun brand that has taken more than 60 licenses for such brands as Batman, off,” Hutton said. Budweiser, Disney, Ecko Unltd., Enyce, Levi’s Red The brand’s biggest (and longest-running) li- Tab, Rocawear, Sean John and Zoo York. censed category is in footwear, which is produced Sam Hafif, chief executive officer, said, “What’s by Vida Shoes International Inc. and covers young really genius about Southpole and the Khym fam- men’s, juniors and kids’. An array ily is that they went after what was at the time Southpole is searching for a new licensee for ju- of licensed the hottest segment of the apparel market — nior intimates. Because it never has had a deal for merchandise. streetwear — but at a [value] price point. While young men’s and boys’ underwear, it could either most brands such as Rocawear, Phat Farm and enter a licensing agreement just for junior innerwear Sean Jean focused on the upper-tier distribution, or sign on with a manufacturer that can also produce the Khyms went after the midtier, but they did it underwear for young men and boys, Rim said. without taking anything out of the product.” The company also recently ended its handbag Hafif explained that the product still fea- license for the junior category, although it is in tured embellishments that in some ways were discussions with a potential new licensee. “better than that found in the top-tier prod- In hosiery, Berkshire Hosiery had held the li- ucts.” He said Southpole is a big performer at cense for juniors, but that has now been expanded J.C. Penney and Sears. to include young men’s and kids’ as well, said Rim. “This is still a very aspirational brand for Other categories are leather accessories, in- [some] kids to buy,” Hafif said. cluding small leather goods like wallets and belts Over the years, the licensed product for head- with RGA Leatherworks, and infants’ and toddlers’ wear and cold- weather items has changed as the are manufactured by Adjmi Apparel Group. Southpole brand has evolved. The brand’s apparel is sold in Europe through “When we signed the license, the brand was Jungbold & Moreno-Stolz Distribution, in special- big on the oversize T with big graphics, so we had ty stores in Germany, the U.K., France and Spain, the big baseball cap. The product line has evolved according to Rim. JMSD markets the regular line from Ts to woven tops, and for [hats] we now have and the basic athletic program under the SP Pure more fedoras and bombers. The headwear has Collection moniker. evolved into fashion pieces. We work very closely The company also has had a distribution license with their product development team from a color, with Wise Harvest since 2003 to market apparel and graphic and fabrics perspective,” Hafif said. accessories throughout Japan, and Rim said the Besides midtier stores like Penney’s and Sears, company is also eyeing expansion in Latin America.

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WWD MILESTONES Staying True Retailers point to a key-item focus and value pricing as critical to the brand’s success in stores. By Jean E. Palmieri

THERE AREN’T MANY BRANDS in the urban space that can boast a 20-year history and $1 billion in an- nual retail sales. But that’s just what Southpole has built by maintaining a laser-focus on its target cus- tomers and seamlessly evolving with them over the past two decades. As a result, the brand has become a pervasive pres- ence around the U.S., counting over 5,000 department and specialty stores as customers, including more than 1,000 J.C. Penney units, 480 Stage Stores, 300 Peebles and 70 Gordmans as well as countless independents. The secret to the brand’s success, retailers report, is its ability to home in on key fashion items each season at prices that are not out of reach of the young shopper. “J.C. Penney has been a retail partner with Southpole since the fall of 2000,” said Steve Lawrence, executive vice president and senior general merchan- dise manager of men’s, home and children’s for the Texas-based retailer. “We launched in 200 stores and Southpole is currently in all Penney stores.” Lawrence said that over the past five years, the urban market has changed dramatically and Southpole has been nimble enough to keep up. “The urban landscape has gone through a sig- nificant change in the last five years,” he said. “No longer do urban customers dress head to toe in their The Southpole shop favorite brand. Today, they may combine a shirt from at J.C. Penney. their favorite brand with a pair of jeans [from an- JOHN AQUINO PHOTOS BY other brand]. Here again, Southpole has succeeded by offering a tremendous value relative to other within its young men’s department: action sports, var- stores in 39 states under the Stage, Peebles, Goody’s, urban brands. Also, the aesthetic of urban brands has sity prep and urban. And within the urban part of the Palais Royal and Bealls names, Southpole is the evolved, driven less by all-over logo looks. Southpole business, Southpole remains a top performer. “number-one resource in young men’s collections,” has moved with the market and today, many of the “We merchandise it as a collection, but at the end according to Jack Matzer, senior vice president and tops reflect a clean, modern aesthetic.” of the day, they’re more of a key-item brand business,” general merchandise manager of men’s, young men’s, That aesthetic, according to Lawrence, appeals Schettino said. “They’re really good at that.” children’s, juniors and shoes. “It’s a very important to a broad range of customers. “One of the keys to Within Sears stores, Schettino said the company resource for us. We’ve carried it for almost nine Southpole’s success has been that the brand appeals uses “visual amplification presentations” on the floor years. It’s been successful as a brand because it fo- to a wide consumer base,” he said. “We’ve enjoyed to call out the Southpole brand to customers. And as cuses on its core competencies.” a strong boys’ business up through young men’s. The a “highly promotional” business, Sears spotlights its Matzer said that “starting in 2008, the whole urban Southpole customer has proven to be very loyal and value-oriented specials as well. For instance, “We do a landscape changed but Southpole stayed true to the updates his wardrobe with the latest styles, season hat and T-shirt combo that is very successful,” he said. customer. They also keep their costs in line and offer over season.” Historically, among the great value.” And Southpole has proven to most popular items have been So while other brands in the urban market “come be up to that task, updating its T-shirts, polos and fleece, and go, Southpole has stuck to its roots, offering offerings to keep the mix — and Schettino said. “Those have urban fashion at a great price. They didn’t try to be customers’ closets — fresh. been the big drivers.” The com- too young.” “Southpole’s formula has pany’s denim, which is a cat- Within the Stage stores, Southpole is merchan- been to continuously update egory “in transformation,” has dised as a “key-item fashion brand,” he said, with the line with the most current morphed significantly over the emphasis on T-shirts, polos, denim, fleece or shorts, urban fashion trends, at mar- past few years to stay on-trend. depending upon the season. It’s carried in all stores, ket-leading prices,” Lawrence Southpole was important when although the presentation is larger in more-urban said. “Southpole also approach- the “oversize, baggy” look was skewed doors. es the business with a hybrid key, but in recent years has Like Schettino, Matzer is confident that Southpole classification/collection ap- “trimmed down” in response to will continue to be a key resource moving forward. proach. Within the collections, the market, he said. The same “The landscape changes every day, but the fact they build large volume key holds true with tops. Polos were that they’re still a prominent brand shows their item programs with solid polos, bulky a few years ago, but have adaptability,” he said. thermals and basic denim.” become tighter. He also pointed to the company’s strong sourc- Gary Schettino, vice presi- “Those are minor changes ing structure, which allows it to “keep prices in dent and general merchandise in the big picture, but it has line.” Additionally, “they’ve reduced sku’s, which manager of men’s for Sears, has kept them alive,” Schettino has helped them streamline the brand. They’re been a customer of Southpole’s said. “As a company, they have nimble, they deliver well and on time — that’s big. since his days at Mervyns. really transformed over the They also have good management in place and “We had a huge Southpole years from street to urban and they’re good partners.” business at Mervyns up until then young men’s contempo- Jeff Gordman, president and chief executive offi- the end,” he said of the now-de- The brand is a key rary,” Schettino said. “They’re cer of the Omaha, Neb.-based Gordmans, which oper- funct West Coast-based depart- resource at Sears. trying to diversify and create ates 72 stores around the Midwest, said Southpole is ment store. subbrands. The urban element the “leading opening-price brand in our young men’s Now at Sears, the brand is is still a factor, but the mix department,” and in fact, is one of the top brands in the linchpin of the retailer’s young men’s department. now speaks more to a contemporary guy.” the entire store. “We are focused on the young men’s business — He continued: “The beauty, and what we love The retailer started carrying the line in 2003 and it’s a really important strategy for us,” he said. about young men’s, is that it’s the fastest element over the years has watched as Southpole “increased Sears has traditionally appealed to older men, within the men’s business. The lifestyle and trends its key item offering, diversified its lifestyle op- who visit the stores for its well-respected hard-goods change frequently and not a lot of brands have last- tions,” and evolved into a monthly delivery program. brands, but the new merchant team is spotlighting ed. Southpole has proven to be adept and a market- Although items such as denim, hoodies and T-shirts the younger businesses. segment leader.” And Schettino expects the brand are historically among the best sellers, Gordman said “The older core customer is so important to us,” to continue to have a strong position at Sears in the the stores are successful in merchandising the line as Schettino said. “But the younger customer shops future. “As long as they keep their finger on the pulse a lifestyle brand. more frequently and reacts to trends more quickly. of the customer, retain the Southpole DNA and keep Calling Southpole management “dynamic,” and Young men’s is critical to the transformation of Sears up with the market, [I’m sure it will continue to be a “very smart” businesspeople, Gordman said that and we want to develop it.” growth brand for us.]” based on the store’s “long and robust history, we’re As a result, Sears is focusing on three distinct areas At Stage Stores, which operates more than 800 confident that the partnership will continue to grow.”

22 WWD MONDAY, AUGUST 22, 2011

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WWD MILESTONES ’Net Work The brand has revamped its Internet efforts and focus. By Jean E. Palmieri

WANT TO REACH A YOUNG CONSUMER? Send a The new site is Facebook open-graph enabled, al- text or Facebook message. lowing users to “like” certain items on the site. Users It’s no secret that Southpole’s target customers can also customize their experience by selecting are attached to their computers and smartphones from three backgrounds — young men’s, young wom- 24/7. So it makes perfect sense to use those devices en’s or summer 2011. to build a brand message. That’s just what Southpole There’s a Mix ’N’ Match fashion moodboard tab, did last month when it relaunched and revamped its an interactive feature where visitors can select dif- Web site, southpole-usa.com. ferent pieces from the Southpole collection to create Before 2009, the company’s Internet effort was their own look. Those looks can then be shared with more of an electronic brochure geared toward its friends on Facebook. corporate clients. And as recently as this spring, the The Southpole Style community board allows users site was still very corporate-driven. Seasonal prod- to share photos of themselves in their favorite Southpole Southpole’s revamped Web site. ucts were barely showcased — only updated when looks. “We love seeing how consumers pair our pieces look-books were uploaded. On top of that, the site de- and integrate them into their wardrobes,” Rim said. relationship and dialogue we have with our custom- pended on flash technology while other companies Polls allow visitors to weigh in with their opinions ers,” Rim said. “This is a forum for us to share pieces were converting to a more html-friendly format. on different questions — a recent query asked cus- of culture that inspire our creative process and give But that all changed this summer when the new tomers to select their favorite season — and can be customers a deeper understanding of who we are.” site went live. linked to social networks. There’s a “Featured Looks” section, which replac- “The Web site is an increasingly important tool for The company also employs blogs on the site to serve es the electronic look book and allows the company us to communicate who we are as a brand to consumers as a “platform for us to communicate our marketing to post a variety of product images and styled shots as opposed to just our corporate partners,” said Jodi Ju, campaigns, including our current ‘Speak Up, Step Up’ from its ad campaigns. senior creative designer for Web and print at Southpole. multiplatform anti-bullying initiative as well as our Other features on the site include a store locator, a The upgrade stemmed from the company’s desire partnership with the World of Dance competition,” Rim special section for the press, and corporate informa- to have “a more active dialogue with consumers, es- said. (For more on these initiatives, see pages 24 to 26.) tion, all of which are updated frequently. pecially as Facebook and Twitter have become in- The blogs fall into two separate categories: “Yes, One thing the site doesn’t do, however, is sell prod- dispensable points of contact,” said Jean Luc Rim, That’s Fresh,” a spot to feature the latest Southpole prod- uct. “As a wholesaler we do not have e-commerce,” Southpole’s director of licensing and interim direc- ucts and trends that are generating buzz internally, and Rim said. “With the Web site, we can now feature tor of marketing. Flash technology became outdat- “Extra, Extra!” This blog is where the company posts sto- product images from our seasonal collections. ed as the iPad surged onto the scene, and the com- ries relating to the news, entertainment or the arts. Southpole’s product offering is greatly regionalized pany sought to provide a “better representation of “This gives us a platform to articulate our brand — the Web site allows us to show our entire selection Southpole as a lifestyle brand.” identity outside of just clothing and strengthen the of available items that we curate ourselves.”

Southpole On 20 years in the fashion world. We look forward to another 20 years!

Financial Strength and Exceptional Claim Service

David G. Sayles Insurance Services Chubb Group of Insurance Companies 899 Lincoln Avenue, Glen Rock, NJ 07452 Warren, New Jersey 07059 • www.chubb.com Recognizing 20 years of cutting-edge style Staying ahead of the fashion curve is what has allowed Southpole to create urban streetwear that people have loved to wear for 20 years.

Everyone on the Trade Capital team at Wells Fargo Capital Finance heartily congratulates Southpole on its lasting success.

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of Success Story 24 WWD MONDAY, AUGUST 22, 2011

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Southpole had a prominent billboard at Shea Stadium during the 2007 baseball season.

The Bully Celebs like Ciara and Nick Cannon helped build the brand, but now Southpole is making an anti-bullying message the focus of its marketing. Pulpit By David Lipke

ON A JULY NIGHT IN 2007, Southpole chairman David That grand gesture is emblematic of Southpole’s heavy Khym strode out to the mound of Shea Stadium, the former investment in advertising and marketing over the years. home of the New York Mets, and threw out the ceremonial Numerous hip-hop, R&B and pop stars have appeared in first pitch. Southpole was the sponsor of the team’s first “hip- its advertising campaigns, including Ciara, Nick Cannon, hop night” and 12,000 kids at the game were gifted branded Omarion, B2K, Mario, 3LW and “America’s Next Top T-shirts for the occasion. During that year, an imposing Model” winner Jaslene Gonzalez. Southpole billboard loomed over the outfield at Shea, as well. {Continued on page 26} BROOKVALE INTERNATIONAL WOULD LIKE TO CONGRATULATE SOUTHPOLE ON ITS FIRST TWENTY YEARS AND WISHES IT CONTINUED SUCCESS LONG INTO THE FUTURE.

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Visit maerskline.com for more information, or call 973.514.5000. 26 WWD MONDAY, AUGUST 22, 2011

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A frame from the current anti-bullying video campaign.

▲ Mario in a 2007 ad.

A 2009 {Continued from page 24} campaign. Southpole’s celebrity endorsers contributed signifi cantly to its brand awareness and growth, said Kenny Khym, president of Southpole and its parent, Wicked Fashions Inc. However, as the brand’s consumers have become more diverse — and the urban market overall has evolved into a multicultural demographic — Southpole has ad- justed its reliance on musicians and actors, tak- ing a different approach to marketing. “Our consumers today come from every walk of life across America,” said Khym. “There are Southpole fans who not only listen to hip-hop, but also to rock ’n’ roll and other music. We feel that one particular celebrity might not correctly represent what Southpole means today. “Over the course of our evolution as a brand, we’ve realized that Southpole encompasses much more than hip-hop music. We still focus on music as an essential part of our marketing strategy, as ▲ A 2009 it is an essential factor of American youth, but sponsorship. A 2003 ad with greater scope beyond music as well.” featuring Southpole has reduced its print spending B2K. over the past couple of years, as the economy has slowed. The company spent $2.3 million on print in 2009 and $469,000 in 2010, according to Kantar Media fi gures. The brand is currently focused on events, pro- motions and online initiatives, said Jean Luc Rim, director of marketing and licensing. This year, Southpole is sponsoring the World of Dance, a traveling dance competition and exhibition with upcoming dates in San Francisco, Seattle, Toronto, London, San Diego, Boston, Chicago and Hawaii. As part of that sponsorship, Southpole has launched an anti-bullying public service cam- paign called “Speak up, step up.” Dancers and hosts will call attention to the campaign during World of Dance events, said Rim. Southpole has also created YouTube videos featuring dancers from the tour. In one spot, dancers named Bones Hill and Havoc explain A 2007 billboard. to two young girls: “Bullying is so played out. So speak up, step up.” The videos are featured on Southpole’s Facebook page, where viewers can win tickets to World of Dance performances. The campaign will also be highlighted in a radio initiative this fall, with partner stations Hot 97 in New York and Power 106 in Los Angeles. “We want to stand for greater causes than just fashion, and would like our consumers to partici- pate in them and feel good as well,” said Rim. “As even President Obama has said, bullying is a serious social problem among youth in America. We may not be able to provide a cure or solution to this problem, but want to raise awareness and contribute to seeking the remedy.”

Congratulations to Southpole on 20 years of success

From small beginnings to international success, HSBC is proud to have supported Southpole’s growth.

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Issued by HSBC Bank USA, N.A. ©2011 HSBC Bank USA, N.A. Member FDIC. SHOWING AUGUST 21–23 Men’s at MRKet Las Vegas | Booth # 624 & 625 Women’s & Swim at Moda | Booth # 1049

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