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Mommy and Me NEW YORK — Beauty Is in a Family Way for Fall — with a New Line for Pregnant Women and Two New Infant Collections Set to Be Born

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Mommy and Me NEW YORK — Beauty Is in a Family Way for Fall — with a New Line for Pregnant Women and Two New Infant Collections Set to Be Born THE LIMITED AND GAP PESSIMISTIC ABOUT REST OF YEAR/4-5 WWWDomen’s Wear Daily • The Retailers’FRIDAY Daily Newspaper • August 19, 2005 • $2.00 Beauty Mommy and Me NEW YORK — Beauty is in a family way for fall — with a new line for pregnant women and two new infant collections set to be born. Mama Mio, a skin care and body care collection designed for pregnant women, will bow at Bath & Body Works in October; Baby Shea, a new baby skin care line from Caswell-Massey, is set for a September debut in specialty stores, and Lil’ Dipper, a skin care line for infants, will arrive at Los Angeles’ Kitson next month. For more, see page 7. Pump Up the Volume: Tommy Shares Leap on Sale Frenzy By Vicki M. Young Hilfiger was seeking a buyer on the Stock Exchange. More than 5.7 Y BRYN KENNY NEW YORK — Shares of Tommy newspaper’s Web site Wednesday million shares changed hands, which Hilfiger Corp. surged 10.9 percent evening. is well ahead of the stock’s average Thursday on news the company is Investors pushed the company’s trading volume of 531,078. Shares of for sale. stock price up by $1.76 to close at Hilfiger reached a 52-week high in WWD broke the story that $17.87 Thursday on the New York See Tommy, Page 2 PHOTOGRAPHED BY JOHN AQUINO; STYLED B BY PHOTOGRAPHED 2 WWD, FRIDAY, AUGUST 19, 2005 WWD.COM U.S.-China Import Deal Faces Final Hurdle By Evan Clark Chinese exporters, would prefer a broad agree- ment that replaces the uncertainty of the safe- WWDFRIDAY WASHINGTON — U.S. negotiators, after wrapping guard process with a more predictable environ- Beauty up what were described as productive talks with ment that allows for cohesive planning. the Chinese Wednesday night, face at least one With importers seeking to minimize trade re- GENERAL more round to reach a long-term comprehensive strictions and the domestic textile firms favoring Shares of Tommy Hilfiger Corp. surged 10.92 percent, or $1.76, to close at agreement on textile and apparel imports. a deal that holds imports to near safeguard 1 $17.87 on the NYSE Thursday, on news the company is for sale. The discussions are likely to resume this growth levels, a pact that might not fully satisfy month in China. any faction, but would be deemed a fair compro- U.S. negotiators wrapped up “productive talks” with the Chinese, but will “Both China and the U.S. are working toward mise, seems possible. 2 have to meet again to reach a long-term deal on textile and apparel imports. a broad solution that provides greater certainty Experts with knowledge of the talks said the Although second-quarter sales were flat, Gap Inc. notched a 39.5 percent for the textiles market,” said a spokesman with proposals brought by the U.S. and China at the 4 rise in earnings, thanks in part to a decrease in operating expenses. the U.S. Trade Representative’s office, which is negotiations in San Francisco this week had sub- Limited Brands reported a 23.6 percent drop in second-quarter earnings leading the talks. “The U.S. would like to reach a stantial differences. and said third-quarter and full-year profits could miss estimates. deal soon, but we are not interested in a bad “They still have a good amount of work to do,” 5 deal. Throughout this process, we are closely said Jonathan Gold, vice president of global sup- Mitchells, the Westport, Conn.-based upscale retailer, has made a deal to consulting with domestic manufacturers and re- ply chain policy for the Retail Industry Leaders 24 merge with Marshs, a Huntington, N.Y.-based store. tailers, as well as with Congress.” of America. China’s apparel and textile imports to the Gold said the two sides may reconvene during SUZY IS ON VACATION U.S. jumped 46.6 percent to 7.9 billion square the last week of this month after exchanging ad- Classified Advertisements........................................................................27 meter equivalents valued at $10.8 billion during ditional proposals beforehand. To e-mail reporters and editors at WWD, the address is the first half of this year — the first six months “We don’t want to see a restrictive deal put in [email protected], using the individual’s name. since the countries of the World Trade place,” Gold said. “We want to see something that Organization dismantled the global system of is flexible, has good growth rates and will account WOMEN’S WEAR DAILY IS A REGISTERED TRADEMARK OF FAIRCHILD PUBLICATIONS, INC. COPYRIGHT ©2005 FAIRCHILD PUBLICATIONS, INC. ALL RIGHTS RESERVED. PRINTED IN THE U.S.A. quotas that regulated trade for three decades. for actual trade, and won’t be trade restrictive.” VOLUME 190, NO. 38. WWD (ISSN # 0149-5380) is published daily except Saturdays, Sundays and holidays, with one additional The Bush administration countered this Gold said the existing situation is difficult for issue in June, July and November, two additional issues in April, May, August and December, and three additional issues in February, March, September and October by Fairchild Publications, Inc., a subsidiary of Advance Publications, Inc. PRINCIPAL surge in May with new quotas on $1.31 billion in importers and that any deal would be an im- OFFICE: 7 West 34th Street, New York, NY 10001. Shared Services provided by Advance Magazine Publishers Inc.: S.I. Newhouse, Jr., imports under the safeguard provision China provement. Textile groups were more wary of an Chairman; Steven T. Florio, Vice Chairman; Charles H. Townsend, C.O.O.; John W. Bellando, Executive Vice-President and C.F.O.; Jill agreed to when it joined the WTO in 2001. accord that would let more Chinese imports into Bright, Executive Vice-President_Human Resources; John Buese, Executive Vice-President_ Chief Information Officer; David Orlin, Senior Vice-President_Strategic Sourcing; Robert Bennis, Senior Vice-President_Real Estate; David B. Chemidlin, Senior Vice-President_General Petitions for six additional safeguards are pend- the U.S. Manager, Advance Magazine Group Shared Services Center. Periodicals postage paid at New York, NY and at additional mailing offices. ing, with a final decision set for Aug. 31. “It sounds like the U.S. came prepared to en- Canada Post Publications Mail Agreement No. 40032712. Canadian Goods and Services Tax Registration No. 88654-9096-RM0001. Domestic textile firms charge that safeguards, gage constructively, but the Chinese did not nec- Canada post return undeliverable Canadian addresses to: DPGM, 7496 Bath Road, Unit 2, Mississauga, ON L4T 1L2. POSTMASTER: SEND ADDRESS CHANGES TO WWD, P.O. Box 15008, North Hollywood, CA 91615-5008. FOR SUBSCRIPTIONS, ADDRESS which cap annual growth in a given category at essarily,” said Missy Branson, senior vice presi- CHANGES, ADJUSTMENTS, OR BACK ISSUE INQUIRIES: Please write to WOMEN’S WEAR DAILY, P.O. Box 15008, North 7.5 percent and can be renewed through 2008, dent of the National Council of Textile Hollywood, CA 91615-5008; Call 800-289-0273; or visit www.subnow.com/wd . Four weeks is required for change of address. Please give both new and old address as printed on most recent label. First copy of new subscription will be mailed within four offer a life raft in a flood of imports. Importers, Organizations. “From what I’ve heard, the ideas weeks after receipt of order. Address all editorial, business, and production correspondence to WOMEN’S WEAR DAILY, 7 West however, say they unnecessarily hurt trade and that [the Chinese negotiators] were floating were 34th Street, New York, NY 10001. For permissions and reprint requests, please call 212-221-9595 or fax requests to 212-221- raise consumer prices. completely unreasonable and not something that 9195. Visit us online: www.wwd.com. To subscribe to other Fairchild magazines on the World Wide Web, visit www.fairchildpub.com. Occasionally, we make our subscriber list available to carefully screened companies that offer products Textile firms and importers, as well as our industry could ever accept.” and services that we believe would interest our readers. If you do not want to receive these offers and/or information by mail and/or e-mail, please advise us at P.O. Box 15008, North Hollywood, CA 91615-5008 or call 800-289-0273. WOMEN’S WEAR DAILY IS NOT RESPONSIBLE FOR LOSS, DAMAGE, OR ANY OTHER INJURY TO UNSOLICITED MANUSCRIPTS, UNSOLICITED ART WORK (INCLUDING, BUT NOT LIMITED TO, DRAWINGS, PHOTOGRAPHS, AND TRANSPARENCIES), OR ANY OTHER UNSOLICITED MATERIALS. THOSE SUBMITTING MANUSCRIPTS, PHOTOGRAPHS, ART WORK, OR OTHER MATERIALS FOR CONSIDERATION SHOULD NOT SEND ORIGINALS, UNLESS SPECIFICALLY REQUESTED TO DO SO BY WWD IN WRITING. MANUSCRIPTS, PHOTOGRAPHS, AND OTHER MATERIALS SUBMITTED MUST BE Tommy Shares Vault on Sale Talk ACCOMPANIED BY A SELF-ADDRESSED OVERNIGHT-DELIVERY RETURN ENVELOPE, POSTAGE PREPAID. Continued from page one whose name, along with Jones, is revenue was $115 million com- intraday trading, climbing to frequently mentioned as a pared with $163 million for the $18.76. Its 52-week low is $8.47. potential buyer of consumer same year-ago quarter. He noted The stock was the third-highest brands. that lower volumes across all Quote of the Week price gainer on the NYSE A portfolio manager last businesses resulted primarily Thursday. The company’s market month said he believed that “Liz from reductions in the number of “I don’t want the capitalization jumped $140 mil- and Hilfiger” also had an doors and decreased orders on a lion, climbing to $1.64 billion from exploratory discussion. He comparable-door basis by the Jessica Simpson $1.5 billion on Wednesday.
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