Fluid Motion PARIS — Few Designers Can Balance the Exotic and the Sedate, but Dries Van Noten Does It with Ease

NORDSTROM’S DESIGNER PLAN/4 CALIFORNIA IN DEPTH/SEC. II WWDWomen’s Wear Daily WEDNESDAY• The Retailers’ Daily Newspaper • March 22, 2006 • $2.00 Sportswear Fluid Motion PARIS — Few designers can balance the exotic and the sedate, but Dries Van Noten does it with ease. For fall, he sent out looks that were light, fl owy and, in a word, delightful. His batch of tapestry- like prints was also a pleasure, as this silk and linen dress, worn with a mohair and wool scarf, shows. For more, see pages 6 and 7. Jones on the Block: $5B Apparel Giant Puts Itself in Play By Vicki M. Young NEW YORK — Jones Apparel Group is up for sale, and any buyer is likely to be a private equity player. The $5 billion company’s announcement Tuesday that it is exploring a possible sale confirms a page-one exclusive in WWD that day. Sources in the financial and vendor community said a sale could be finalized within six weeks, and Jones would not accept an offer of less than $40 a share, which would value the group at $4.56 billion. Another source said the company is already in discussions with at least one private equity company, See Jones, Page 18 PHOTO BY GIOVANNI GIANNONI GIOVANNI PHOTO BY 2 WWD, WEDNESDAY, MARCH 22, 2006 WWD.COM London Fog Files Chapter 11 WWDWEDNESDAY By Vicki M. Young tional reach of more than 10,000 stores. Sportswear David Greenstein, chief executive offi cer of the NEW YORK — The London Fog Group on Monday London Fog Group, said in a statement, “We have filed a voluntary Chapter 11 bankruptcy court pe- forged three very attractive businesses targeting FASHION tition, seeking to restructure its businesses. distinct markets, yet we fi nd ourselves without Designers delivered a crop of pretty little dresses for fall with slightly The company received a $40 million debtor-in- suffi cient capital to fund the full group’s expected 6 loosened shapes that still emphasized the waist. possession fi nancing facility from Wachovia Bank. growth. London Fog Group has determined to di- The fi nancing is subject to court approval. The fi ling vest our Pacifi c Trail business as it represents a GENERAL was in a Reno bankruptcy court. very strong group of nationally Jones Apparel Group said its board is exploring a possible sale of the The company said the fi ling was recognized, successful brands with entire company and has hired Goldman Sachs as a fi nancial advisor. necessary because it was unable A look from excellent prospects for growth.’’ 1 to secure suffi cient fi nancing for London In December 2004, London Fog The London Fog Group fi led a Chapter 11 bankruptcy petition, seeking to day-to-day operations. Fog’s fall Industries Inc. changed direction. 2 restructure its business, and is selling its Pacifi c Trail unit. This is the second bankruptcy 2006 It folded Homestead Fabrics with collection. The Costume Institute has fi nalized the designers whose works will be fi ling for the 84-year-old fi rm. The its outerwear businesses. At the part of the “AngloMania” exhibit that kicks off its four-month run May 3. rainwear and outerwear manufac- time, London Fog denied it had 2 turer fi led a voluntary petition for been sold, but investment bank- MAINSTREAM: The jury is still out whether the plethora of relaunched Chapter 11 bankruptcy court pro- ers said then that it was acquired 8 and new brands in better sportswear departments is benefi cial. tection on Sept. 27, 1999, in Dela- by Homestead, a bondholder of The Bush administration presented Congress two proposals to fi x a ware. In April of 2001, the compa- London Fog. glitch in CAFTA that has kept its promise of duty-free trade out of reach. ny emerged from bankruptcy. Homestead, which was a sub- 14 T.K. Flatley, managing director sidiary of Manchester, England- WEST: The city of Los Angeles, which defi nes urban sprawl and a life- of investment banking fi rm Avalon based Broome & Wellington, is 20 style built on the automobile, is embracing a new concept: downtown. Group, said London Fog will keep the home-textile business run by its London Fog and Homestead David Greenstein. California In Depth, a section II, appears in this issue. textiles businesses, which it will During his tenure at Home- Obituary...... 4 restructure through the bankrupt- stead, where he was president, cy process. Flatley said, “We were Greenstein took the company from Classifi ed Advertisements...... 23-27 hired well before the bankruptcy a start-up to a $100 million busi- To e-mail reporters and editors at WWD, the address is fi rstname. to sell [outerwear brand] Pacifi c ness in six years, primarily through [email protected], using the individual’s name. Trail, and sold it to Perry Ellis sales of acquired private label WOMEN’S WEAR DAILY IS A REGISTERED TRADEMARK OF FAIRCHILD PUBLICATIONS, INC. COPY- International when we found out home products. One of those ac- RIGHT ©2006 FAIRCHILD PUBLICATIONS, INC. ALL RIGHTS RESERVED. PRINTED IN THE U.S.A. London Fog needed to go through quisitions was the Guilford Home VOLUME 191, NO. 61. WWD (ISSN # 0149-5380) is published daily except Saturdays, Sundays and holidays, with one ad- the bankruptcy process.” Fashions division, which Guilford ditional issue in January and November, two additional issues in March, May, June, August and December, and three ad- The companies have an agree- Mills sold in 2002. Although ditional issues in February, April, September and October by Fairchild Publications, Inc., a subsidiary of Advance Publications, ment in which Perry Ellis will Homestead still uses the Guilford Inc. PRINCIPAL OFFICE: 750 Third Avenue, New York, NY 10017. Shared Services provided by Advance Magazine Publishers become the “stalking horse” in a brands and licenses of the division, Inc.: S.I. Newhouse Jr., Chairman; Charles H. Townsend, President & C.E.O.; John W. Bellando, Executive Vice President and bankruptcy court auction to buy its manufacturing and distribution C.O.O.; Jill Bright, Executive Vice President_Human Resources; John Buese, Executive Vice President_Chief Information Officer; David Orlin, Senior Vice President_Strategic Sourcing; Robert Bennis, Senior Vice President_Real Estate; Maurie Perl, Senior Pacifi c Trail for $14.5 million. The deal is subject operations were shut down following the purchase. Vice President_Chief Communications Officer. Shared Services provided by Advance Magazine Group: Steven T. Florio, Advance to better offers. Separately on Tuesday, Perry Ellis reported that Magazine Group Vice Chairman; David B. Chemidlin, Senior Vice President_General Manager, Shared Services Center. Flatley said the plan is to have an auction within even though fourth-quarter profi ts fell 1.4 percent, Periodicals postage paid at New York, NY and at additional mailing offices. Canada Post Publications Mail Agreement No. 10 days, subject to court approval. Avalon has asked the results beat analysts’ estimates by a penny. 40644503. Canadian Goods and Services Tax Registration No. 88654-9096-RM0001. Canada post return undeliverable for an expedited hearing. He said 65 or so compa- In the three months ended Jan. 31, the company Canadian addresses to: DPGM, 7496 Bath Road, Unit 2, Mississauga, ON L4T 1L2. POSTMASTER: SEND ADDRESS nies were initially contacted to considering buying earned $8.1 million, or 81 cents a diluted share, CHANGES TO WWD, P.O. Box 15008, North Hollywood, CA 91615-5008. FOR SUBSCRIPTIONS, the sportswear/outerwear fi rm. About half had en- compared with $8.2 million, or 83 cents, last year. ADDRESS CHANGES, ADJUSTMENTS, OR BACK ISSUE INQUIRIES: Please write to WOMEN’S WEAR DAILY, P.O. Box 15008, North Hollywood, CA 91615-5008; Call 800-289-0273; or visit www.subnow.com/wd . Four tered into confi dentiality agreements. Fourth-quarter net revenues rose 24.3 percent to weeks is required for change of address. Please give both new and old address as printed on most recent label. An institutional investor observed, “This is $213.9 million from $172.1million last year. Subscriptions Rates: U.S. possessions, Retailer, daily one year: $109; Manufacturer, daily one year $145. All other probably a good purchase. Perry Ellis has always For the fi scal year, Perry Ellis had earnings of U.S., daily one year $205. Canada/Mexico, daily one year, $295. All other foreign (Air Speed), daily one year $595. made great calls on acquisitions, but the question $22.7 million, or $2.26, up 8.2 percent from $21 mil- First copy of new subscription will be mailed within four weeks after receipt of order. Address all editorial, business, here is, can they grow the business?” lion, or $2.15, last year. Annual revenues were up and production correspondence to WOMEN’S WEAR DAILY, 750 Third Avenue, New York, NY 10017. For permissions London Fog said Pacifi c Trail has built a na- 29.4 percent at $849.4 million. and reprint requests, please call 212-221-9595 or fax requests to 212-221-9195. Visit us online: www.wwd.com. To subscribe to other Fairchild magazines on the World Wide Web, visit www.fairchildpub.com. Occasionally, we make our subscriber list available to carefully screened companies that offer products 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 MANU- SCRIPTS, UNSOLICITED ART WORK (INCLUDING, BUT NOT LIMITED TO, DRAWINGS, PHOTOGRAPHS, AND TRANSPAR- Designers Set for ‘AngloMania’ Exhibit ENCIES), OR ANY OTHER UNSOLICITED MATERIALS. THOSE SUBMITTING MANUSCRIPTS, PHOTOGRAPHS, ART WORK, OR OTHER MATERIALS FOR CONSIDERATION SHOULD NOT SEND ORIGINALS, UNLESS SPECIFICALLY REQUESTED By Marc Karimzadeh pieces were culled from the 30- year period between 1976 and NEW YORK — The Costume today. The show also includes Institute has chosen the design- historical pieces from the 18th In Brief ers whose works will be part of and 19th centuries, which will the “AngloMania: Tradition and be juxtaposed with the contem- Transgression in British Fashion” porary designs. The exhibit will ● LAST RIDE: Jean-Louis Dumas performed his last offi cial act exhibit from May 3 to Sept. 4. comprise about 60 pieces. as chief executive offi cer of Hermès International on Tuesday, The exhibit will feature a “We started with the birth of presenting the French luxury fi rm’s 2005 profi ts to its com- mix of British designers, tailors, punk,” Bolton said of the con- pany directors. The fi gures are to be released to the public on milliners, a jeweler and a cob- temporary designs. “It’s the 30th Thursday. Dumas, 68, announced last September that he was bler. John Galliano, Alexander anniversary of the offi cial birth stepping down as ceo and artistic director as of January 2006, McQueen, Christopher Bailey of punk and we wanted to start citing “personal reasons.” Patrick Thomas, an Hermès veteran for Burberry, Hussein Chalayan, then because we felt it was a who rejoined the fi rm in 2003, now has sole control of the man- Vivienne Westwood and Stella paradigm shift in terms of fash- agement helm. McCartney are the featured fashion because it introduced the ion designers; Paul Smith, Ozwald vocabulary of postmodernism.” ● NEW ADDITIONS: The third round of the CFDA/Vogue Boateng, Anderson & Sheppard, The Costume Institute has Fashion Fund will kick into high gear Thursday when the Richard Anderson, Huntsman, also chosen the dance chairs for Council of Fashion Designers of America begins accepting Richard James, Henry Poole the annual benefi t gala on May 1, applications from emerging design talents. This year, the and Carlo Brandelli for Kilgour which kicks off the spring exhibit. fund sees the addition of two new underwriters: Nordstrom are the tailors; the millinery will This year’s chairs are Camilla Al and Theory. They join underwriters Barneys New York, Juicy be by Stephen Jones and Philip Fayed, Lily Cole, Lauren Davis, Couture, Coach, Kellwood Co. and Vogue. Barneys is also Treacy; jewelry will be by Shaun Lily Donaldson, Lady Gabriela stepping up its commitment to the fund, whose winners will PHOTO BY CHRIS MOORE/COURTESY OF THE COSTUME INSTITUTE CHRIS MOORE/COURTESY PHOTO BY Leane, and Manolo Blahnik will This Alexander McQueen spring Windsor and Gemma Ward — who be announced next fall, and Gucci has made an undisclosed provide the shoes. 2005 design is expected to be part will no doubt choose to attend the donation to it. Last year, winner Trovata received a cash award “It was really hard to come to of “AngloMania.” gala in glittering gowns designed of $200,000, and runners-up Derek Lam and Thom Browne the selection of designers because by some of Britain’s brightest took home $50,000 each. In addition, Trovata was mentored by there is such a great breadth designers was determined by fashion stars. The night’s honor- Coach president and executive creative director Reed Krakoff; of creativity in Britain,” said who was the most transgressive ary chairs are Burberry chief ex- Derek Lam by Domenico De Sole, and Thom Browne by Dolce Andrew Bolton, associate curator or best represented the idea of ecutive Rose Marie Bravo and the & Gabbana USA president Glenn McMahon. of the Costume Institute at The tradition. “We felt that British Duke of Devonshire. Co-chairs Metropolitan Museum of Art. “We creativity comes from this vio- for the benefit are Burberry’s wanted the work of designers to lent crash between tradition creative director, Christopher refl ect the themes of the English and transgression, and so the Bailey; Sienna Miller, and Vogue Clarifi cation period rooms. We wanted clothes designers we have chosen re- editor in chief Anna Wintour. Harper’s Bazaar was a co-host of the Madison Avenue Blue to have a direct dialogue. That fl ect the idea of tradition and The show is sponsored by event on March 14, which was omitted from a story on page 12 made it easier for us to narrow transgression in British culture Burberry with support from last Wednesday. The event was part of Bazaar’s anticounterfeit- down our focus and selection.” and British fashion.” Condé Nast Publications, which ing initiative. Bolton said the fi nal list of The exhibit’s contemporary owns WWD.

4 WWD, WEDNESDAY, MARCH 22, 2006 WWD.COM Nordstrom Reveals Designer Strategy By David Moin in the back half of August or early September,’’ Koppel said. “We are learning and identifying the opportunities. NEW YORK — Nordstrom wants to put a comprehen- The buy cycle is roughly six months. We will probably see sive designer offering in at least one store in each of its some small things over the spring, but I think the more major markets, said Mike Koppel, executive vice presi- meaningful stuff will be toward early fall.” dent and chief fi nancial offi cer. The company’s merchandising has been on “a great The $7.7 billion Seattle-based chain’s emerging design- path,” with better discipline over inventory, fresher con- er strategy includes beefi ng up offerings across apparel, tent and constantly trying new things, he said. accessories and shoes to generate a “halo effect’’ that el- Private label accounts for 14 to 15 percent of evates the image of other departments, Koppel said at a Nordstrom’s total sales, Koppel said, but there is no specifi c Bank of America consumer conference here last week. growth target. “We are not out saying we are going to hit 18 The plan will put Nordstrom in more direct competi- or 20 percent.” Men’s furnishings, dress shirts and certain tion with luxury rivals Neiman Marcus, Bloomingdale’s areas of kids are “very highly penetrated areas,” he said. and Saks Fifth Avenue. “We continue to use [private label] as a tool to offer some- “While we are not going to create an overly large de- thing we are not offering through branded merchandise.” signer presence, we believe in improving designer and He also discussed denim, which “continues to be strong” insuring that in every major market we are in, we have at at premium and more moderate price points. “Today, denim least one store with a very relevant offering,” Koppel said. is still very, very relevant for us. We have a terrifi c growth Last year, Nordstrom bought Jeffrey, a retailer with two cycle with denim. There are a lot of new brands, prices are designer stores, in the Chelsea section of Manhattan and higher and we are still doing good, solid volume. We are in Atlanta, that was owned by Jeffrey Kalinsky. He now seeing growth, but certainly not at the pace we might have works on designer strategy and unearthing new design tal- seen a year or two ago.” ent for Nordstrom. Overall, comp-store sales are planned conservatively, “The acquisition of Jeffrey has been a terrifi c help in built around low-single-digit objectives. allowing us to open doors,” Koppel said. Koppel said there has been curiosity about how More recently, Nordstrom opened a few units featuring a Nordstrom will grow to the next level. “Are we going to do more sophisticated designer presentation with greater de- new formats or [add] new categories? We fi rmly believe we marcation between brands. The store at NorthPark Center have an opportunity to increase share of wallet with exist- in Dallas, with boutique areas that will be replicated else- ing target customers.” where in the 99-unit chain, offers clothing by Christian He sees women’s apparel as a “primary component” in Lacroix, Monique Lhuillier and Oscar de la Renta. The the strategy, contributing to higher gross margins, a higher adjacent Collectors sportswear area has shops-in-shops average price of unit sold and increased productivity. He for Roberto Cavalli, Blumarine, Chloé and Donna Karan, characterized Nordstrom’s target customer as primarily among others. The Via C boutique carries younger collec- female, age 25 to 54, in the $100,000-plus income bracket. tions such as Tracy Reese, Sass & Bide and See by Chloé. Koppel cited some “really great strides in terms of sell- Last year, women’s was streamlined so that all women’s ing productivity,” and said further improvements were apparel offerings were put under the supervision of a sin- possible. Last year, Nordstrom generated $369 per square gle general merchandise manager, Loretta Soffe, instead foot, which is below the company’s all-time high of $394 in of four. “We think this structure [will lead to] a more coor- 1994. He also cited improvements in gross margin through dinated execution and strategy, rather than having sepa- a reduction in markdowns, higher sell-throughs and lever- rate silos looking at it in their own way....The improved and better and bridge have been relatively weaker, Koppel aging in occupancy costs. structure will allow us to take a much more strategic ap- said. “We have an opportunity to build on the strength in The company has focused on back-offi ce effi ciencies proach to how we execute in women’s,” Koppel said. our contemporary businesses....Our wear-to-work has not and technology improvements for better inventory con- Lately, the fi rm has been on a roll, with strong sales been as robust as it should, and we see that as an opportu- trol and markdown optimization. results, though they are credited more to cosmetics, ac- nity in a variety of price points.” “We still believe that over time it will help us make cessories, shoes and contemporary apparel offerings dis- Koppel said shoes, cosmetics and accessories were better decisions over the timing and depth of mark- played in the Brass Plum, Savvy and t.b.d. departments “well developed businesses.” He added, “If you looked downs,’’ he said. “We are still learning. We have a vari- than other women’s areas. at that share relative to women’s apparel, there are ety of different businesses with their own economics. In Sales were up 6 percent on a comp basis last year and some distinct differences. some areas, we are making more progress than others.” net earnings rose 40 percent. Nordstrom’s women’s busi- “In terms of what we are doing in women’s apparel, However, most margin improvement will come from ness has had a mixed performance over the last couple of I think the key here is, we should start to see in a more leveraging occupancy costs, and to some extent through years; contemporary and young women’s have been strong, meaningful way the direction with merchandise sometime beefed-up women’s apparel and markdown optimization. Weaver to Depart PacSun Obituary It was at his direction, for example, that the LOS ANGELES — Surf brand Pacific Sunwear of California Inc. said executive chairman of the board Greg H. Weaver, who Bernard Lacoste Dies at 74 joined the company in 1987 as a vice president and rose to become chairman and chief executive officer, will retire on By Robert Murphy company introduced an array of colors in its April 1. traditional piqué polo shirts. Weaver, 52, was named executive chairman of the Anaheim, PARIS — Bernard Lacoste, the energetic and Gregarious and friendly, Lacoste will be re- Calif., company last April 1 after serving as board chairman colorful executive who for more than four membered as one of the last in a generation of since October 1997 and as ceo since October 1996. decades stewarded the Lacoste brand, died French executives in the fashion and luxury “I became executive chairman in April 2005 for a limited time Tuesday after a battle with “serious illness,” industry here who brought as much poetry as to provide a period of transition and to work on new business the French sportswear house said. He was 74. fi nance to their business. He stayed true to the development,’’ Weaver said in a statement. He cited the launch Lacoste died late Tuesday vision of French elegance and of One Thousand Steps, the accessories and footwear concept, morning after several months sophistication that he believed as a good time for his departure. “This is the appropriate time in the hospital, a spokeswoman his father embodied, while oper- for me to step down. I leave confi dent that Pacifi c Sunwear has said. ating as an astute businessman. an outstanding portfolio of retail concepts, talented people and He stepped down as chair- In 1999, he consolidated the a very experienced leadership team.’’ man and chief executive offi cer brand’s licensing structure by In the same statement, ceo Seth Johnson described Weaver’s for health reasons last Sept- inking a worldwide agreement tenure as “critical to the company’s phenomenal growth and ember, and was succeeded by his CIACCIA/SIPA PHOTO BY with Devanlay for all Lacoste success.” younger brother, Michel Lacoste, clothing. That deal led to the Neither Weaver nor Johnson returned phone calls seeking who continues to helm the fami- arrival as artistic director of comment. ly’s namesake business. French designer Christophe Weaver had been a member of Pacifi c Sunwear’s board since Lacoste was the son of ten- Lemaire, who in recent years February 1996. He joined the company in July 1987 as vice presi- nis legend Rene Lacoste, who has amplifi ed the brand’s hip dent of stores and was promoted several times, holding the titles founded the company and cre- factor and helped it resonate of senior vice president, executive vice president, chief operat- ated its famous crocodile in- with a younger crowd. ing offi cer and president, according to company literature. signia. Bernard Lacoste was Last year, 48 million Pacifi c Sunwear operates 814 PacSun stores, 96 PacSun instrumental in building the Lacoste-branded articles were outlets and 197 d.e.m.o. stores nationwide. The One Thousand family firm into one of the sold worldwide, representing Steps concept will launch in April, with six stores opening with- world’s most-recognized sports wholesale sales of 1.29 billion in the month: three in California — at the Galleria at Tyler in brands. He leveraged its pat- euros, or $1.55 billion at cur- Riverside, in Los Cerritos Mall and at the Fresno Fashion Fair rimony by extending into new rent exchange, the spokeswom- Mall — and one each at the Mall of America in Bloomington, products and founding a retail an said. By comparison, in 1963, Minn.; Providence Place in Providence, R.I., and Melbourne network, starting with the opening of the fi rst the year Lacoste took command, the fi rm sold Square in Melbourne, Fla. Lacoste boutique, here, in 1981. 300,000 Lacoste-branded items. Before joining Pacifi c Sunwear, Weaver spent 13 years at Lacoste saw opportunities in women’s and Lacoste is survived by his wife, Sachiko, Jaeger Sportswear Ltd., working in both operational and mer- children’s clothes, and also branched into and three children from a previous marriage, chandising capacities for the U.S. and Canadian stores. scents and shoes, while imbuing the brand Jacques, Camille and Beryl. Services have not — Emili Vesilind with a modern, fashionable image. been set, the spokeswoman said. BEYOND SHINY. BEYOND BEAUTY. BEYOND HEALTHY. TAKE YOUR HAIR TO THE NEXXUS LEVEL. 6 WWD, WEDNESDAY, MARCH 22, 2006

Nina Ricci Celine

Frock Talk Think ﬂ uid, not baggy. Ungussied, yet not exactly simple. For fall, designers delivered a crop of pretty little dresses with slightly loosened shapes that still emphasized the waist. WWD, WEDNESDAY, MARCH 22, 2006 7 WWD.COM

Chloé Andrew Gn Salvatore Ferragamo

Paco Rabanne PHOTOS BY GIOVANNI GIANNONI AND DAVIDE MAESTRI GIANNONI AND DAVIDE GIOVANNI PHOTOS BY 8 WWD, WEDNESDAY, MARCH 22, 2006 WWD.COM In the Mainstream Better Firms Refine Their Approach

By Julee Greenberg NEW YORK — Change is the order of the day in better sportswear. Relaunches and new brands are hitting the selling fl oors. For next fall, Nautica will enter the arena, and Calvin Klein and Liz Claiborne will each get a face-lift. Last season, Kenneth Cole Reaction (produced by Bernard Chaus) and City Unltd., (produced by Liz Claiborne Inc.) launched on the better fl oors. This comes after years in which mainstays like Jones New York, Anne Klein and Lauren Ralph Lauren dominated. It isn’t the fi rst time manufacturers have seen the opportunity for growth in the better area. About two years ago, companies hoped to fi ll the space occupied by Lauren Ralph Lauren, which at the time was produced by Jones Apparel Group. As the Lauren license was being transferred back to Polo Ralph Lauren Corp., Tommy Hilfi ger started H Hilfi ger, Jones launched Jones Signature, Michael Kors came out with Michael Michael Kors and Liz Claiborne created Realities. In the shakeout, H Hilfi ger dropped from the wholesale race, but is now being relaunched in its own retail format; Michael Michael Kors went through growing pains, but worked its way

Calvin Klein will provide a new look to retailers next fall. back; Realities went under, and Claiborne ended its license for City DKNY and re- placed it with City Unltd. “Up until about a year ago, the focus has been on the junior customer and all of the money teens have to spend,” said Marshal Cohen, chief industry analyst for NPD Group, Port Washington, N.Y. “Now the focus has shifted to the Boomer consumer, who CLAIBORNE PHOTO BY TALAYA CENTENO; NAUTICA BY JOHN AQUINO BY CENTENO; NAUTICA TALAYA CLAIBORNE PHOTO BY is gaining steam on their spending and starting to spend more on apparel than teens.” Women overall last year spent $97 billion on apparel, a number that continues to Liz Claiborne (left) hired a new designer to add a more modern look to the brand. Nautica will rise, Cohen said. In 2005, teens spent $41 billion on apparel, up from $39 billion in launch women’s better sportswear in the fall. 2004. Boomers spent $34.5 billion on apparel last year, compared with $34.3 billion in 2004. While the teen number rose signifi cantly, Cohen predicted Boomers will soon is looking for modern classic, not trendy fashion, and the labels on the better fl oor spend more than teens. have been improving their mix to meet the changing needs of the shopper. Although teens have enormous spending power, the Baby Boomers will spend more “The world, as well as fashion is changing,” said Tom Crystal, senior vice president as their disposable income increases, while teens will spend and general merchandise manager for Boscov’s, a 40-unit fam- less. “In just about two years, Baby Boomers will be spending ily-owned chain based in Reading, Pa. “Women today want to more than teens,” Cohen said. look sharper, not necessarily trendy, but modern and in good With increased competition at retail, brands are being taste. These people on the better fl oor make attractive, age- forced to take charge and make changes, he said. This compe- appropriate clothing when there is a shortage of that in other tition doesn’t happen only among brands that hang together areas of retail.” on the same fl oor, but across a wider sector. Nicole Fischelis, fashion director for Macy’s East, Liz Claiborne realizes that those changes need to take agreed. place. The company hired a new designer, Richard Ostell, to “Each brand on the fl oor has its own identity, which is a overhaul the collection and add more value and career-re- great mix for our stores,” she said. “I think the fl oor looks lated pieces. Now, with Jones Apparel Group contemplating a better than ever; everything is very aspirational and on the sale of the company (see related story on page 1), changes in right track.” that better business could be on the horizon. Fischelis said she was impressed with the new look of “This customer shops in more than one place in order to Calvin Klein, and is devoting a great deal of space to the fi nd value,” Cohen said, “so these better brands are compet- relaunch in the fall, complete with window displays on the ing with mass retailers, who are adding more fashionable Broadway side of the Herald Square fl agship. merchandise, and they are also competing with moderate, “The new designer [Chris Jackson, who joined from who are working to increase their value with better fabrics DKNY] has totally captured what Calvin Klein should be,” and added details.” she said. “It’s modern and great looking, I see great things Cohen said that 55-year-old women want to look like they for the brand.” are 35, but in a modern, more appropriate way. Fischelis also mentioned Michael Michael Kors as a strong “We see that these women still have the money to spend, brand on the fl oor. but in order for us to get her to spend it, designers need to “Michael is very involved in the line, which brings a great address her needs,” said Jill Doneger, a market analyst at The taste level and great spirit to the product,” she said. Doneger Group, a buying offi ce here. “They need to realize Fischelis said she is also doing well with pieces from City that if they lower the rise on their pants, it still cannot be Unltd. and Kenneth Cole Reaction. “They are evolving in a too low. They need to keep the sleeves on, since many women positive way,” she said. don’t like showing their arms. These were the biggest prob- Crystal said he always has success with Liz Claiborne, lems not addressed at fi rst.” Jones New York, Lauren Ralph Lauren, Anne Klein, Sigrid Designers fi nally seem to be on the right track, she said. Michael Michael Kors has gained momentum in the Olsen and Rafaella. Andrea Goldreyer, another market analyst at Doneger who better sportswear area. “Jones has always been great, but now they are even bet- follows the better sportswear market, said there has been an ter, with more novelty and added touches that really make increase in spending on career-related apparel. them special,” he said. “Liz is also doing a great job.” “There’s been a real turn-around in career,” she said. “She’s buying suit essentials, Crystal is particularly looking forward to bringing Nautica into the mix next fall. which is really new and encouraging since it’s been more casual in the past.” “I was so pleasantly surprised with Nautica,’’ he said. “It looks really great, and Goldreyer said customers are picking up on pants and jackets, which has been Denise [Seegal, president and chief executive offi cer of VF Sportswear Inc.’s Nautica good for business since jackets are usually expensive pieces on the fl oor. and Kipling brands] is a great merchant. She has a hit with this one. The collection is Retailers said that overall, the better market is on the right course. The consumer refi ned, beautiful and done in great taste.”

10 WWD, WEDNESDAY, MARCH 22, 2006 WWD.COM

Fitness dance has been a Nike Sales, Profi ts Jump in 3rd Quarter strong category at Nike. By Melanie Kletter percent to $1.4 billion, with footwear sales rising 18 percent to $1 billion and apparel sales up 6 percent to NEW YORK — Fueled by gains in the U.S. and tight ex- $366.6 million. In the Americas region, which includes pense management, Nike Inc.’s third-quarter earnings South and Central America, sales rose 41 percent in surged 19.2 percent and were far ahead of expecta- the quarter to $203.1 million. tions. Not all regions saw gains, however. European sales The company reported that profi ts jumped to $325.8 dipped 5 percent to $532.3 million, and were down million, or $1.24 a share, from $273.4 million, or $1.04 both in apparel and footwear. in the quarter ended Feb. 28, while revenues surged Sales at the company’s “other businesses” division, 9.2 percent to $3.6 billion. Analysts on average had which includes Converse, Nike Golf, Hurley, Starter been looking for Nike to earn $1.11 a share. and other brands, climbed 17 percent to $454.5 million, This was the company’s fi rst quarter operating Nike said. This area has been a key growth vehicle for under the leadership of Mark Parker, a Nike veteran the company as it seeks to build its business outside of who became president and chief executive offi cer in the core Nike brand. January. Worldwide future orders, a key indicator of growth, Parker said in a statement Tuesday, “The strength of edged up 2.9 percent over the year-ago period. This our product pipeline, brand portfolio and global reach has been an area of concern to analysts recently, since is enabling us to balance continued challenges in mar- the company said late last year that it had a slowdown kets such as Western Europe and Japan with strong in futures orders. momentum in other key markets and regions.” Gross margins fell slightly, to 43.6 percent from 44.1 In a call with analysts late Tuesday, Parker cited the percent. women’s fi tness business as a particularly strong per- In the nine-month period, earnings grew 22.8 per- former in the quarter. Nike, the world’s largest active- cent to $1.06 billion, or $4 a share, from $862.1 million, wear group, has sought in recent years to elevate its or $3.18 per share. Sales improved 9.3 percent to $10.9 women’s business with a more fashionable selection billion from $10 billion. of offerings for a range of activities, including fi tness Results were reported Tuesday after the market dance and yoga. closed. Prior to the market closing, Nike’s shares slipped U.S. revenues in the third quarter increased 14 56 cents to $84.95 on the New York Stock Exchange.

ROLL CAMERAS: American Media’s reality show may Le Labo: A New Spin on Making Scents be burning in development MEMO PAD hell, but Jann Wenner’s NEW YORK — A new fragrance marketer contribution to the candid called Le Labo here wants to challenge the Le Labo’s camera genre is coming along nicely. Casting gets under way this week notion of mass-produced fragrances. Bergamote with an ad in the new issue of Rolling Stone calling for applications. Le Labo, a boutique opened at 233 Elizabeth 22 scent. “Respected music magazine seeks dynamic, culture-conscious writers Street in the NoLIta section of downtown Man- to work at Rolling Stone and be on MTV,” reads the copy. Would-be hattan by two former L’Oréal participants will be instructed to submit videos of themselves, along executives last month, is with writing samples or links to their blogs, for a shot at one of six to based on the concept of put- eight slots on the as-yet-untitled program. Shooting is scheduled to ting the fi nishing touches on begin in mid-June. the manufacture of fragranc- BEAUTY BEAT Defying the usual conventions of reality TV, the cast members will es each time a scent is pur- be selected based largely on merit as opposed to, say, sex appeal chased at the shop. and a penchant for sociopathic When customers buy one of Le Labo’s 11 behavior, according to Gary Armstrong, scents, a maturated essential oil blend is Wenner Media’s chief marketing offi cer. mixed with alcohol and water to create a fi n- “Because this is journalism, writing ished fragrance. The process is designed to skills are going to take the lead, as take about 10 minutes, ample time for visi- opposed to ‘Do you have a lot of tattoos tors to browse shelves of raw ingredients in and are you sexy?’” he said. They’ll the 600-square-foot shop, as well as jars of also be judged on their responses to a iris and vetiver root, cedarwood, oak moss questionnaire that asks “What three and juniper berries. stories would you pitch to your editor?” Le Labo, part laboratory and part museum, and “What do you think are the most is the brainchild of Fabrice Penot and Eddie important qualities for a journalist?” Roschi. The two formerly worked in interna- “It’s totally earnest,” affi rmed Armstrong. tional marketing for Giorgio Armani fragrances; Maybe too earnest for its own good. The Penot worked on the Privé brand and Roschi last MTV reality series based on the magazine world, “Miss Seventeen,” worked on the Emporio Armani scents. also touted its own high-mindedness — and drew so few viewers that Le Labo hopes to bring consumers closer the network dropped it. But whereas “Miss Seventeen” had an all- to perfumery by deconstructing the various girl cast, the Rolling Stone show will be co-ed. That will provide the steps of fragrance production. Even the THOMAS IANNACCONE PHOTOS BY necessary frisson, said Armstrong, noting the show’s casting director name of each Le Labo scent refl ects also cast “Laguna Beach” — which easily outdrew “Miss Seventeen.” its structure. For instance, each are kept refrigerated until “There will be [sexual] tension,” promised Armstrong. moniker contains a number they are mixed with the al- Now, about that American Media show: A spokeswoman took issue — like Rose 31, Iris 39 and cohol and water. with a report in WWD Tuesday that AMI chairman David Pecker had Vetiver 46 — that denotes Each scent is built expressed reservations about giving camera crews unfettered access to the number of individual around raw ingredients the company’s offi ces. “David Pecker has no involvement in the ‘One ingredients in the scent’s processed in Grasse, Park’ project and he does not have any concerns about the journalistic essential oil blend. France. The maturated standards of AMI’s publications or about the behavior of company “People ask about the oils are composed by employees,” said the spokeswoman in a statement. “Any suggestions to raw ingredients, the dif- one of eight perfumers, the contrary are patently false and not based on fact.” — Jeff Bercovici ferences in musks,” Roschi all of whom work for fra- said during an interview at grance suppliers: Alberto T BILL: The New York Times Magazine may not have generated much the store last week. “It’s a Morillas, Annick Menardo, buzz since Gerald Marzorati took it over in 2003, but Marzorati’s way to initiate people into the Daphne Bugey, Maurice expansion of it into a group of titles that includes the T luxury and the art of smelling.” Roucel, Frank Voelkl, Fran- new Play sports brands has been among the few bright spots of the Added Penot, “We want to çoise Caron, Michel Almairac paper’s weakened bottom line. As a vote of confi dence, he was promoted bring back the spirit of fragrance and Mark Buxton. to assistant managing editor at the Times on Tuesday. In his new role, making.” Of Le Labo’s 11 fi nished Marzorati’s duties will include scouting editorial talent internally and The space is a mix of black, Fabrice Penot and Eddie Roschi scents, three are for women, working with a team of editors to map out a future for the paper. silver, brown and white motifs. A store associate three are for men, four are unisex — including “I think a big part of it is simply a recognition that....[the Times] is who mixes scents amid graduated cylinders, bot- one for babies — and there’s a home fragrance. not something that’s simply going to be a broadsheet anymore,” he told tles, closures, droppers and a scale, wears a white Fragrances are available in fi ve sizes: 15 ml. WWD Tuesday. “That to me makes this a very exciting time to be part of lab coat. White tiles line the walls on one side of for $45, 50 ml. for $115, 100 ml. for $180, a half the leadership of this place.” the shop, which features a black steel bar, oak liter for $600 and one full liter for $900. There Marzorati will also continue to have editorial oversight of the stools and an oak fl oor. The opposite wall, which are also solid scents, 10 ml. for $80; body lo- magazine, at least for the time being. “I need to be working on a is covered with a layer of tin decorated with a ba- tions, 240 ml. for $55, and bath oils, 120 ml. for tangible product. I don’t think I can function as well as an abstract roque design reminiscent of fl eur-de-lis, displays $55. In the home fragrance category, candles manager,” he said. fi nished fragrances as well as tester bottles. go for $55 each and sprays go for $70 each. As for the cushy digs that typically come with a promotion, he Scents are fi nished at the shop to prevent The shop also offers bespoke scents, a pro- exhibited a surprisingly Zen attitude: “I’m still in the same offi ce I’ve any breakdown that might occur in a complet- cess that takes about three to six months and been in for seven or eight years. I didn’t take the offi ce I was offered ed formulation, Roschi noted. “We don’t see costs $40,000. Industry sources estimate Le Labo when I got the magazine job because it had lousy feng shui....I’ll get a the point of letting it sit on the shelf for six could do sales of $1.5 million in its fi rst year. new offi ce when we move into the new building,” but that won’t happen months,” he said. “It oxidizes.” He noted oils — Matthew W. Evans until next year. — Sara James

12 WWD, WEDNESDAY, MARCH 22, 2006 WWD.COM

the house’s couture ateliers. And he showed his signature collections SFA’s Andrew Jennings at the crescendo of New York Fashion Week, complete with a Fashion Scoops Podcast. HOUSE RULES: How do you stick Goodness knows how riding hats STATEMENT PIECE: She may Upbeat on Italian Labels a round peg in a square hole? and barrel-shaped plaid suits design them, but Kate Spade is Fashion editors surely will try as might fi t into a Goth, grunge or no fan of the “It” bag — so she’s NEW YORK — Saks Fifth by shared knowledge, that the they plan their fall-winter shoots Eighties shoot, but that’s what designed a handbag to criticize Avenue’s Andrew Jennings be- fastest-growing fi rms are those and incorporate full-on Balenciaga creative license is for — and don’t it. The accessories designer, in lieves Americans have an en- that embrace “the power of sup- retro regalia into their themes. forget the handbag while you’re at collaboration with artist Hugo during love affair with Italian ply chain management” and di- Turns out the French fashion house it. The house also is asking that no Guinness, has created a limited- fashion and has suggestions on is requesting that all designs accessories be shot without a total edition canvas bag accented at the how to keep the romance alive. “be shot as complete looks to look — unless it is a still life or corner with the word “It.” Each Jennings, Saks’ president portray what was represented close-up shot. bag in the run of 150 will be hand- and chief operating offi cer, re- on the runway,” what designer printed by Guinness and will retail ceived the Friendship Award Nicolas Ghesquière described as a WATCH THIS PAGE: Marc Jacobs exclusively in either Kate Spade from Gruppo Esponenti Italiani, “reference collection” based on continues to populate his quirky boutiques or Colette in Paris for an organization of Italian entre- the Cristobal Balenciaga archives. ad campaigns with surprising $250 beginning this spring. “The preneurs, at a luncheon at the personalities. To wit: His ‘It’ bag concept is a comment Rainbow Room here last week. forthcoming fall campaign for Marc on the insanity that is going on In his speech, Jennings said Jacobs, just shot by photographer in the handbag industry today,” he’s optimistic about the future Juergen Teller, will star actress said Andy Spade, chief executive for Italian brands in America,

Jennifer Jason Leigh and makeup ofﬁ cer. “Everyone is trying to but that they’re faced with RICCARDO CHIONI/AMERICA OGGI PHOTO BY artist Dick Page. For the Marc by come up with the ultimate ‘It’ bag. challenges. He advised Italian Marc Jacobs ads, it’s all about Hugo is a friend and we decided ﬁ rms to “have both a physical the versatile model Malgosia, to collaborate because he has an and personal presence in every Andrew Jennings and Lucio Caputo, who will model both the women’s odd and irreverent sense of humor market they operate in....The president of GEI.

PHOTO BY GIOVANNI GIANNONI GIOVANNI PHOTO BY and men’s looks. But it looks like perfect for the project.” powerhouses in Italian fashion, Jacobs is moving on to plan B chez Spade and Guinness also will whether it be Marzotto, Armani versify by selling across men’s, Louis Vuitton. Word has it talks to be working on a collection of fi ve or Dolce & Gabbana, appreciate women’s, accessories and fra- have Lindsay Lohan star in the next tote bags featuring prints that will that people make or break busi- grance at both contemporary Vuitton campaign hit a snag and a be available next spring. nesses,” Jennings said. and designer price levels. replacement is still undecided. “Zegna is a good example His other points: Understand The Kate Spade of matching people with local market complexities, be open- APPLE OF HIS EYE: Karl Lagerfeld “It” bag, made presence. They moved quickly minded, fl exible and willing to up- is still very much in a New York in collaboration in the U.S. in 1980 to establish a date the business model and have state of mind. The designer plans with artist Hugo ‘footprint’ with a smart team of the right resources. “Establishing to return to Manhattan this Guinness. professionals in sales, merchan- a presence takes people, time, spring — May 17 to be precise dise and design. And by so doing, money and patience.” — to present his latest Chanel showed they meant business. Jennings concluded on a cau- cruise collection, This requirement may sound tionary note. “The authenticity which is usually simple enough, but you would be of products is a universal issue. unveiled in Paris surprised by the number of orga- So too is the increasing pressure (last year on a fl eet nizations that assume technology for European luxury companies of double-decker can replace human contact.” to outsource the manufacturing buses). Details, Jennings also said the best of components or fi nal assembly including the location, Italian companies think glob- to more cost-effective jurisdic- are forthcoming, but ally, but act locally. “They devel- tions.” While Americans may Lagerfeld is known op market intimacy. They truly be used to having German cars for making a splash connect with their customers created by a multinational team, whenever he comes to and develop long-term, profi t- “care must be taken with luxury town. Last December, able relationships....Show me a items from fashion houses that he shuttered the Chanel consistently successful Italian remain inextricably tied to a A Balenciaga fl agship to present brand in America, and I’ll show country of origin. Customers may runway look. his pre-fall “satellite” you a management that has in- be willing to accept changes in collection, made with help from vested time and resources to the manufacturing location but understand its partners’ retail they must be given reasons to operations.” continue to believe in the inher- Jennings stressed that “genu- ent value of Italian products.” Student Organizes Show for AIDS Charity ine partnerships” are driven — David Moin NEW YORK — Liz Grossman idea was to use something we Tory Burch, Nike and Penguin. Ferragamo Flagship hopes to use fashion to raise really liked, which was fashion, There will be a silent auction money for a good cause. to raise money for charity.” selling donated items from W Grossman, a Horace Mann Just this year, Grossman and Hotels, Bliss Spa, Salvatore High School sophomore and the her friends started Fashion Ferragamo and Judith Leiber, Set to Open in India daughter of Mindy Grossman, Forward, a school club that uses among others. Nike will also vice president of global apparel fashion to raise money to help provide specially designed T- By Alessandra Ilari rector. “The Indian government at Nike, has organized a fashion orphans with AIDS in Africa. So shirts, printed with the Fashion is starting to understand that show for charity with the help of far, Fashion Forward has held a Forward logo, for sale at the MILAN — Ferragamo is east- it’s more advantageous for them her friends. coat drive this winter, and it is event. ward bound. if consumers buy locally rather “A very respected teacher, Grossman’s hope that the fash- Invited adults are asked to The Florentine luxury than shop abroad.” Andrew Taylor, moved to Africa ion show at 7 p.m. April 21 at pay $75 for tickets, or $80 at the goods house will open its fi rst Ferragamo’s Indian part- to work for a school there,” Liz Pressure, 110 University Place door. Invited students are refl agship in Mumbai, India, on ner is SSIPL Luxury Fashion Grossman said. “Since he went in Manhattan, will raise $10,000 quested to pay $35, or $40. March 24 and three days later Private Ltd., a footwear dis- there, we have kept in touch, for a scholarship for an orphan “So many children are losing will officially inaugurate its tributor that brought Nike to and I’ve learned how devastating with AIDS to attend Taylor’s their futures because of this ter- fi rst outpost in Ho Chi Minh India but then embraced more the AIDS epidemic is over there. school. rible disease,” Grossman said. City, Vietnam, after it opened upscale brands. It’s the worst and fastest-grow- The show will feature designs “The least we can do is help.” softly last December. Martin estimated the store ing [AIDS] rate in the world. Our from Elie Tahari, Heatherette, — Julee Greenberg The 1,620-square-foot Mumbai will have sales of between $1 store is located on the Grand million and $2 million in the Hyatt Plaza and will house all of fi rst year. Ferragamo’s products, including Pioneers in Vietnam, Martin Richemont Sells Old England Department Store accessories, scarves, ties, fra- said Ferragamo chose Ho Chi grances, eyewear and apparel. Minh City — Saigon until the LONDON — Compagnie Financiere Richemont sheet, cash flow or results. The disposal follows The store is furnished in end of the Vietnam War — in the SA, the Switzerland-based luxury goods com- that of English men’s wear brand Hackett Ltd., typical Ferragamo style — wal- south of the country, to start un- pany, has sold the French department store Old which Richemont sold last summer to Torreal nut chests, aluminum shelves, folding its business there. “Even England SA to Tercade SA for an undisclosed S.C.R. SA, a Spanish investment company, for an limestone floors and chain Hanoi, which is in the north, is price. undisclosed price. mail details. an interesting city. We shall wait Tercade is a holding company controlled by Old England operates a 21,600-square-foot flag- “We started considering India and see how this country devel- Olivier Goldberg. “Old England was not a core ship on Paris’ Boulevard des Capucines and has about three years ago, but went ops for us,” said Martin. part of our luxury business,” said a Richemont two other stores, in Lyon and Toulouse. The high- ahead with the plan only after He added that in the medium spokeswoman. She declined further comment. end store specializes in the sale of traditional we found the right partner,” term, he expects the 756-square- The statement said the transaction would have English brands including Turnbull & Asser, said Hervè Martin, Ferragamo’s foot store in Ho Chi Minh City to no material impact on Richemont’s balance Church, and Smythson. product marketing managing di- reach retail sales of $1 million. In Memory of Oleg Cassini A dynamic man whose design and vision have withstood the test of time. We will miss you. 14 WWD, WEDNESDAY, MARCH 22, 2006 WWD.COM Bush Proposals Aim to Rectify CAFTA By Evan Clark and Kristi Ellis public and Costa Rica — are subject to du- only to countries in the Caribbean Basin prove the pact. ties that exceed 30 percent, in some cases. Initiative until they join CAFTA. This option Wilbur L. Ross, chairman of Inter national WASHINGTON — The Bush administration That is the opposite of the accord’s in- has the advantage of being clearly retroac- Textile Group, which includes Burlington presented Congress with two proposals to tended effect. Honduras and Nicaragua tive, but does not become effective until a Industries and Cone Mills, put plans for a fi x a glitch in the Central American Free might be ready to fully implement CAFTA country enacts CAFTA, Quesenberry said. denim plant in the region on hold because Trade Agreement that has frustrated pro- next month, changing again how duties The other solution would be to go back of the uncertainty about implementing the ducers in the region and kept the accord’s are applied to some goods from those or into the Caribbean preference program pact. Ross had hoped to start construction promise of duty-free trade out of reach. other countries in the region. and change the defi nition of where coun- on a denim mill in Nicaragua or Guatemala The seven countries in the deal were “It’s going to take a legislative fi x,” tries may get materials and still qualify in January and had not ruled out building expected to start implementing it simul- said Scott Quesenberry, special textile for duty-free treatment. plants in both countries. taneously, but so far only the U.S. and El negotiator in the offi ce of the U.S. Trade “That [fi x] has the advantage of being “We were quite far along,” he said. “We Salvador have done so. Representative. able to be done immediately,” Quesenberry have a location picked, the plant design and Ratifi cation of CAFTA pulled El Sal- Quesenberry discussed two possible leg- said. “The disadvantage is we will have to the equipment. Everything is all laid out, vador out of the Caribbean Basin Initiative, islative changes with staff members from make it clear in the legislation that this is but it doesn’t really work without a couple a U.S. preference program that also offers key Congressional committees via confer- meant to have a retroactive effect.” of the countries, in our case Nicaragua and reduced duties. That means goods made ence call Tuesday. One plan would amend The problem won’t truly go away until Guatemala, joining CAFTA.” in El Salvador using materials from other CAFTA so that countries in the agreement the legislatures in all the CAFTA countries Jim Chesnutt, president and chief exec- countries yet to join CAFTA — Guatemala, get rebates on duties paid in the interim. implement the deal — a goal complicated utive offi cer of National Spinning Co. and Honduras, Nicaragua, the Dominican Re- This retroactive treatment now applies by Costa Rica, which has yet to even ap- chairman of the National Council of Textile Organizations, has had to pull his yarn dyeing out of Guatemala and bring it back to North Carolina. Chesnutt, who was sending his yarn to Guatemala for dyeing and on to El Salvador for sweater production, was almost forced to pay a 32.6 percent duty on 150,000 sweaters produced in El Salvador because Guatemala has not offi cially been cleared to enact CAFTA. He

Scott Quesenberry STYLEMAX™ April 1–4, 2006 Fall 2006 was able to get his shipment to the U.S. before El Salvador’s entry into CAFTA on March 1. “I had it commissioned-dyed in Guatemala, but now I have to dye it in Burlington, N.C., and it takes away my flexibility,” Chesnutt said. “I have to dye it here now and wait until I get another order to ﬁ ll a container, or ship a partial container to El Salvador, which is more costly. It has caused people to go elsewhere rather than trying FOUR DAYS to do business under a confused scenario.” THOUSANDS OF APPAREL AND ACCESSORY LINES Even companies committed to the region have pulled back ONE, CONVENIENT SHOW FLOOR to some degree. “We’ve had a slight shift out of there toward Asia, but nothing really that signiﬁ cant,” said Jim Calo, senior vice president of operations for VF Sportswear Inc., a division of VF Corp. Calo said the company would keep production in the region because of its ability to get goods Introducing our vastly expanded to the U.S. quickly and the cost savings that duty-free treatment will eventually create. contemporary area showcasing the industry's leading “We’re still hopeful that we’re going to be able to reach back into what we’ve done so far this year resources. This is the place to discover premium denim, and be able to get that stuff duty free,” said Calo. “Unfortunately, you have to pay that duty up young and better contemporary, emerging designers and front, so there’s a cash lag.” The wait for CAFTA to become For discounted hotel and airline rates, a reality has been too much for log on to www.merchandisemart.com directional labels that move this industry forward. some, said Erik Autor, vice presi- or call Mart Travel Services at dent and international trade 800.528.8700. counsel at the National Retail Federation. For more information or to register for “A number of retailers have STYLEMAX, visit our Web site or call The Merchandise Mart • Chicago probably thrown up their hands 800.677.6278. in disgust and said, ‘That’s it, I’m going to Asia,’” he said. “It has For exhibitor information, please call just been incredibly frustrating 312.527.6011. for retailers. It’s too bad. I think people initially were very excit- ed. It’s just been so botched.” WWD, WEDNESDAY, MARCH 22, 2006 15 WWD.COM Novelty Key at SIMM Agatha Ruiz de la Prada

By Barbara Barker She skipped the fair — “too mainstream” — in favor of local showrooms and a stop at the SIMM-sponsored MADRID — The Spanish trade fair SIMM featured novelty Pasarela Cibeles runway shows in the days follow- and a healthy dose of glamour for fall, but some vendors ing the trade show to catch Ailanto, one of her key re- said the overall show did not meet their expectations and sources. She said she’s picking up a group of Sixties-in- noted the summer edition is usually more robust. spired baby-doll dresses and separates by the Barcelona The strongest lines at the show, held here last month, label. featured novelty knits with spidery textures, cables and Pasarela Cibeles featured 31 designers — established asymmetric details for stretched-out sweater coats, cardi- Spanish names and newcomers — and 26 shows. gans and a few dresses; snappy sportswear with print and A few of the highlights: fabric mixes such as polyester and corduroy, and crushed ● Amaya Arzuaga’s edgy volume plays, crinkled or pleated materials, from outerwear to fl irty evening fabrics and a sober palette of khaki, gray and black styles. — either daring plunge backs and tucked-under bubble “Glamour is key for fall. In general, women are dress- skirts or fl yaway tops and pencil silhouettes, paired ing younger and sexier,” said Joyce Antaki, Spanish agent with over-the-knee boots on 4-inch stiletto heels and for After Six, a division of Medici, a London maker of long punky gloves. special occasion dresses and evening-wear. She report- ● Agatha Ruiz de la Prada’s schoolgirl jumper dressed solid bookings, mostly from the domestic market. Hot es and sparkly leggings under puffy heart-trimmed coats items included a short strapless cocktail dress in crinkled and trapeze-style dresses in signature rainbow colors, taffeta, wholesaling for $105; animal prints; gold; dentelle and her bridal debut — four models only (the full collec- lace, and pattern mixes in silk chiffon instead of tradition launches in June). “Every year, the clothes get more tional jersey. wearable,” she remarked backstage after the show. In noting their disappointment with the show, some ● Ailanto’s homage to Peggy Guggenheim, includ- exhibitors cited a thin buyer turnout and less than satis- ing ladylike Art Deco-inspired dresses in burgundy and factory sales. hunter green, structured Calderesque jacquards and “The show was weak in terms of sales and contacts patched rabbit-fur wraps. Amaya Arzuaga were just OK,” said Alberto Sobrino, export manager of ● José Miro’s skinny knit dresses with below-knee Fuentecapala, a high-end Madrid label featuring tradi- lengths and a futuristic fl avor, high-waisted novelty tional silhouettes and impeccable tailoring for men and denim and decidedly Mugler-like cuts — Miro worked women. for the defunct French house from 1996 to 1999. “We’re targeting retailers from China, Russia, India and the Middle East through the Madrid fair — but main- A bridal look from ly for franchising opportunities. Our strategy for emerg- Agatha Ruiz de la Prada. ing markets is to develop franchises and open stores.” A franchised unit in Beijing is planned by the end of the year, he confi rmed. With one freestanding store in Madrid and a second location “co-owned” in Moscow, Fuentecapala sells through 750 Spanish points of sale and 40 doors in the ECHEVARRIA JUAN PHOTOS BY U.S., including Neiman Marcus, Saks-Jandel and smaller specialty boutiques, Sobrino said. “We plan to grow the American and Canadian markets and we’re expanding the brand in Europe — where the company has a solid customer base — by opening additional showrooms and sales networks.” He said buyer interest focused on colorful yarn-embroidered wool jackets, British-inspired blazers with ribbed elbow patches and striped linings and decorative skirts. Wholesale tags range from $84 to $240. Regarding Asian competition, he said, “We have no problem with China or any other country. They produce a medium- to lower-priced product and we do the opposite.” On the other hand, “Basics are a very tough sell. In today’s market, you have to offer something different — a lot of hand-work, for example — and that’s expensive. Some makers have no choice but to produce off-shore. You have to justify the price,” said Mireia Bisbe, second- generation manufacturer of special occasion dresses whose eponymous label is based in Barcelona. “The fair Ailanto’s homage to is disappointing. Retailers are holding back. There’s a cli- Peggy Guggenheim. mate of insecurity and confusion in the market.” Echoing other exhibitors, she pointed out that summer is traditionally a stronger season for Spain’s product offering because winter here is short, followed by January sales that last through February. “The weather is to blame for this winter’s diffi cult selling season,” she claimed. “It wasn’t cold enough.” Her bestsellers were tulle and lace-trimmed dressy separates in a subtle taupe and a lean chocolate brown velvet sheath with embroidered lace detailing. Wholesale prices range from $185 (for the dress) to $285 (for the separates). Velvet and lace are both signifi cant fall trends, Bisbe added. According to offi cial fi gures, the four-day fair drew 31,500 trade visitors, down marginally from last winter. Foreign participation increased slightly — to about 10 percent of the total. “There is a tendency to judge a fair’s success by the number of visitors, but international participation and exhibitor satisfaction have to be taken into account,” said SIMM director Pola Iglesias. “We measure our success in terms of the quality and quantity of supply and demand. At this edition, the levels of both were maintained; there were no ups or downs. “Even though foreigners came from 69 countries, there was little change in buying patterns over February 2005, which is consistent with what is happening in the rest of Europe,” she added. Better retailers said fall purchases aren’t wrapped up yet, “but I’ll spend about the same as last winter,” said Sonia Ruiz, owner of the Deli Room, a trendy shop in central Madrid. 16 WWD, WEDNESDAY, MARCH 22, 2006 WWD.COM Marketing ‘Spreers’ Find Strength in Numbers By Betsy Lowther SINGAPORE — Eighteen-year-old Joanna Wong loves TOP SHOPS: SPREE ENTHUSIASTS’ 10 FAVORITE SITES TO BUY FROM “American Idol,” pop music by singers like Celine Dion, and graphic T-shirts from American Eagle Outfitters. The fi rst two aren’t any problem to get in her home RANK WEB SITE WHAT’S HOT THE 411 city — satellite TV and music megastores like HMV are 1. Abercrombie Logo Ts Fake takes sold in Singapore stores don’t look right. easily available in Singapore. But the American Eagle T-shirts are another matter. The company has no stores 2. GoJane Girly separates Updated every Saturday; good sales. in Singapore — or anywhere in Asia — and even though the brand is sold on one of the relatively few U.S.-based 3. Hollister Co Surfer chic In sync with Singapore’s never-ending heat. Web sites that will ship abroad, buying a $19.50 T-shirt would cost Wong a budget-busting $25 in international 4. Aéropostale Handbags, graphic Ts Sprees easily hit $200 in just a few hours. shipping fees. 5. Eyeslipsface Low-cost cosmetics The ELF makeup line is priced at $1 per product. So, what’s a graphic T-shirt loving teen to do? Nothing, until last fall, when Wong discovered online 6. ASOS Celebrity-inspired looks Turn-up HotPants, Kate Moss style, are on offer. spreeing, a growing trend among Singapore youths who want the cool foreign fashions they see in magazines and 7. Forever 21 Ahead-of-the-curve items Has the goods weeks ahead of Singapore store. on TV but can’t fi nd at home. On a small but rising num- 8. Threadless Unusual T-shirts Blogs and designer interviews create a community. ber of local online forums, the term “spree” has come to defi ne a group of shoppers who combine their shop- 9. Drugstore Beauty products for less Undercuts prices at local stores. ping lists and make one large purchase together from an online retailer based abroad. The participants split 10. Taiwan Yahoo Shoes, accessories Quicker deliveries than from U.S.-based sites. any shipping costs and added taxes to get the goods back SOURCE: WWD ANALYSIS OF SPREE FORUMS AND INTERVIEWS WITH SINGAPORE SPREE SHOPPERS, FEBRUARY 2006 to Singapore, which dramatically lowers the fi nal price from what their purchase would have cost if each had bought and shipped it on their own. ed they are from online merchants that accept The concept suits a teen’s budget, which gravi- Singapore credit cards. tates toward small, lower-priced purchases. In Clearly, the use of such services is good news Wong’s case, that means the American Eagle Ts, for Singapore’s growing spree community, which her favorite Bonne Bell Lip Smackers ($1.60 each) is mostly made up of tech-savvy, trend-following and trendy tops from budget-friendly Forever 21. females in their teens and twenties. Spreeing ap- She got hooked on spreeing through an online peals less to older consumers, who either have forum at sgspree.livejournal.com and has become the income to shop the Web on their own or don’t one of the group’s most active organizers. She BETSY LOWTHER PHOTOS BY have the computer know-how to try. compiles and places an order and distributes the Most spree participants love shopping online purchases when they arrive in Singapore. because they can fi nd outfi ts, makeup and ac- Spree organizers don’t get paid, but Wong cessories that they can’t get at home. “It’s cool doesn’t mind because spreeing has opened up a to have things that no one else does,” said Wong whole new range of fun fi nds. Liang Lin, a ponytailed 17-year-old technology “Shopping online is so much easier and cheap- student who monitors the spree site she cre- er than going to a store,” said Wong, a college stu- ated, spsspree.tk, from an ever-present laptop. dent who organizes about one spree a week and “If you’re wearing something different, you’ll get spends as much as 20 hours a week shopping on- stopped on the street, because people want to line. “But only when it’s not exam time, because know where you bought it.” then I have to study more.” The status appeal is strong: Liang Lin’s spree Wong does about 90 percent of her shopping via site, launched about a year ago, has more than 450 cyber-sprees. “I can’t even remember the last time members. The site holds about three sprees per I bought something in a store,” she said. week — “but double that during school holidays,” Singapore’s strong economy and wide exposure she said. Typically, from 10 to 30 people shop dur- to Western brands have made the city-state a shop- ing each spree. ping hub in Southeast Asia, so it is natural that Most are looking for unique variations of the its status as a leader in shopping trends would ex- Theodora Kwok, 18, said she “once went a little crazy and bought lip gloss in casual, comfortable styles they usually wear. tend online. More than 80 percent of Singapore’s every color” at eyeslipsface.com. Theodora Kwok, 18, a chatty, self-confessed Internet denizens have shopped online, making an Internet bargain-hunter, is obsessed with the average of fi ve to six purchases a month, the same deals at oldnavy.com — and she’s even gotten her number made by consumers in Taiwan and China. 22-year-old brother into spreeing there. She likes Like Singapore, they are key e-commerce markets Old Navy’s fl ip-fl ops and denim miniskirts; he in Asia, according to an ACNielsen global study likes the graphic Ts. released in October. “Everyone in Singapore is already wear- Even as tactics such as spreeing have helped ing brands like Quiksilver,” Kwok said of labels make online shopping more accessible, there are bought in local stores. “But if you can buy at old- other hurdles to surmount when ordering from navy.com, you get something no one else has, and abroad. it’s much cheaper, too.” About 41 percent of medium- and large-sized Kwok has used spreeing to stock up on Avon online merchants won’t ship to foreign addresses mascara, funky T-shirts from DavidandGoliathtees. or accept foreign credit cards for purchases, creat- com — she’s been eyeing one that says “Boys are ing a signifi cant problem for local cybershoppers. Stupid” — and more than 40 bottles of O.P.I. nail The reasons: fear of fraud, and the challenges of polish, which is available in Singapore but, like logistics and payment infrastructures. many imported products, costs about twice what Such issues are being addressed by new ser- she pays for it online. For Kwok, spreeing also vices such as ComGateway, a Singapore-based on- has another, more practical purpose: a chance to line shopping system intended to make it easier fi nd cool clothes that fi t her size 14 frame. for local customers to shop on Web sites based “Most girls in Singapore are really tiny, so abroad. The service, which launched its pilot pro- stores only stock small sizes,” said Kwok, who, gram last June in a partnership with MasterCard like many others, pays for her purchases with and local Singapore bank DBS, provides custom- money from her allowance, which is about $250 ers with a billing and shipping address in Oregon Since she started spreeing last fall, Joanna Wong, 18, has been buying about a month. “I can fi nd so many more things that fi t where they can send their purchases. Then, for a 90 percent of her clothes online. Here, Wong browses in a Marks & Spencer me online.” fl at rate of $17.50 for as much as 1 kilo (plus $2.50 department store, in Singapore’s Paragon shopping mall. Though most spree sites have made the proper additional kilo) the company redirects the cess routine, it is not always hassle-free. Many packages to the customer in Singapore within a week. The bank partnership provides spree shoppers share stories about organizers who stole the money instead of placing customers with a credit card address that is recognized by U.S. merchants, and a sys- an order, or a shirt that looked great online but was a weird color and the wrong fi t tem to guard against fraud. when it arrived. In addition, returns are a big problem for spree shoppers purchasing “If you’re a consumer shopping online and you are able to see but not buy, it can from Web sites based abroad because of the high shipping costs to return items to the be a very frustrating experience,” said Danny Lim, chief executive offi cer of Creditel, U.S. Most simply resell their unwanted purchases on local online auctions. the parent company of ComGateway. “We wanted to help make it a possibility.” Despite such risks, spree enthusiasts said one great fi nd makes it all worth the In the fi rst six months of the pilot program, about 3,500 customers signed up for the effort. service. Since then, ComGateway has processed an estimated $500,000 in orders, with “I saw this green bikini with pink Scottie dogs on ‘The O.C.,’” said Kwok, with a about 60 percent of them for apparel and accessories. This response has prompted grin that reveals black and pink braces. “On delias.com it was about $30, which I plans to expand the service to other countries in the Middle East and Asia, including thought might be too expensive. But then I saw the exact same one at the mall here China, by the end of this year. for more than [$200]. Singapore’s postal service is assisting online shoppers in a similar fashion, via “When I saw how much it costs here, I just had to have it,” added Kwok, who re- vPost, which routes packages to Singapore from an address in California, provid- turned to delias.com and bought the item. IN TRIBUTE TO

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WWW.DAVIDSBRIDAL.COM/OLEG 18 WWD, WEDNESDAY, MARCH 22, 2006 Jones Apparel Group Peter Boneparth Sidney Kimmel Through the Years

1970: Sydney Kimmel founded Jones Apparel Division of W.R. Grace & Co. and became president. 1975: Kimmel and a partner bought the Jones division from W.R. Grace & Co. and incorporated it as Jones Apparel Group. 1987: After almost 10 years of profi tability, Jones suffered net losses beginning in 1985 and running through 1987: The company returned to profi tability in 1988 following a successful turnaround. 1991: Jones became a public company on May 15, when it was listed on the New York Stock Exchange. 1993: Jones purchased the Evan-Picone label. 1995: Polo Ralph Lauren Corp. and Jones established a licensing agreement that resulted in the Lauren by Ralph Lauren line. 1996: Jones reaches $1 billion in sales. 1998: Jones purchased Sun Apparel Inc. in October. Sun produces jeanswear and sportswear that are marketed under the Polo Jeans Company brand. Jones also announced its fi rst public debt offering, $265 million in senior notes due in 2001, and a $550 million bank credit facility to pay for the acquisition. 1999: In June, Jones announced the completion of its acquisition of Nine West Group Inc. Nine West includes Nine West, Easy Spirit, Bandolino and Enzo Angiolini labels. 2000: Jones acquired the Canadian license for several Polo Ralph Lauren brands in April. In July, the company acquired Victoria + Co. Ltd. 2001: Jones completed its acquisition of Judith Jack LLC, a manufacturer and distributor of women’s jewelry sold in better department stores and specialty retailers, in April. In June, Jones acquired the McNaughton Apparel Group. 2002: Jones completed its acquisition of Gloria Vanderbilt Continued from page one sumer conference. “Our strategy has been really very Apparel Group in April. In August, Jones purchased RSV but the name of the fi rm could not be learned. simple, if you put it into some sort of formula. If you Sport Inc. and related companies, also known as L.E.I. Looking at the pool of fi nancial players who made have the best brands and you combine with the opera- 2003: Kasper Ltd. was acquired by Jones in August, a investments in the apparel and retail sector over the tional excellence, you maximize your operating cash deal that encompassed brands that include Kasper, Anne past year, companies likely to eye Jones include Apax fl ow, and that’s going to make you a long-term winner,” Klein, Le Suit and Albert Nipon. Jones agreements with Partners Inc., which just bought Tommy Hilfi ger; Apollo Boneparth said. Polo Ralph Lauren ended in 2003 following a dispute Management LP; Cerberus Capital Management LP, Merrill Lynch analyst Virginia Genereux said in between the two companies. which owns Mervyn’s, and the Texas Pacifi c Group, a research report released late Tuesday that it was 2004: In July, Jones completed its acquisition of Maxwell owner of Neiman Marcus Group and J. Crew. “odd” that Jones’ statement “would seemingly preclude Show Co. Inc. In December, the company completed its Jones’ announcement Tuesday caught many in the a breakup, which in our view would optimize share- deal for luxury retailer Barneys New York Inc. industry and on Wall Street off guard because Jones holder value.” She said, “Selling the brand piecemeal SOURCE: COMPANY WEB SITE. has consistently delivered sales growth and is not con- optimizes shareholder value, but a successful auction sidered a distressed company. However, its stock has may require leaving some on the table for a fi nancial been fl at for the past few years, trading in the $30 range. buyer.” Still, she said, there are challenges to a “multi- Barneys for nearly $400 million in December 2004. But Shares of the stock ended the day Tuesday up 13.04 per- front auction” that might make selling the entire com- Cooper agreed that if one were to analyze the Neiman cent to $34.84. pany “more likely.” Marcus sale to two private equity fi rms, Texas Pacifi c In a briefl y worded statement after trading on Jones’ For her part, Genereux does not see a specifi c stra- Group and Warburg Pincus, multiples have gone up by stock was halted Tuesday, the company said it has hired tegic bidder for Jones, given the size of its valuation about 30 percent since the sale of Barneys. Goldman, Sachs & Co. as its fi nancial adviser “to assist and brand profi le. Instead, she thinks a private equity Harrison said although private equity fi rms have in this process.” Jones also said, “Contrary to recent fi rm would be a more likely successful bidder. “We see joined together on other retail deals, they have tradi- press reports, the company the Jones situation as fairly tionally shied away from apparel because of the sea- is not currently considering unique in that the stock sonality, cyclicality and ever-changing fashion tastes. the divestiture of any of its has dramatically underper- But Jones would be different because its business is businesses or divisions.” Jones Apparel Group formed for the past fi ve years more diverse. The statement went on and management’s operat- A sell-side analyst noted that many of the moderate to say that Jones would not ing skill has been called into brands under Jones’ umbrella appear to be weakening “disclose developments with question, leading the board compared with similar brands owned by competitor respect to the exploration of a to consider alternatives,” Liz Claiborne. The analyst emphasized that the Jones possible sale unless and until Genereux wrote. brands, given the right management, could be turned its board of directors has ap- “It’s pretty straight for- around. The analyst expects the buyer to be a fi nancial proved a defi nitive transaction ward,” said Marc Cooper, player, who would then sell off parts of the operation or a decision not to proceed managing director at Peter while keeping Barneys New York. The new owner might with a sale of the company is J. Solomon, the investment use the cash from the sales of the divisions to try to buy Millions made.” But during a previous- banking firm that sold the Saks Fifth Avenue, the analyst speculated. ly scheduled address Tuesday Kasper and Anne Klein Jones said it wasn’t planning to sell the assets indi- to a Merrill Lynch investor brands, as well as Barneys vidually, but private equity fi rms are expected to circle conference, Peter Boneparth, New York, to Jones. “The around the businesses, hoping Jones changes its mind. chief executive officer, was board is saying, ‘Are we bet- “This is where you have the sum of the parts possibly more forthcoming. ter off selling or staying as worth more than the whole,” said one institutional During the question-and- an independent company?’ It investor. answer session, the ceo said goes to growth and valuation. The sale of Jones in its entirety is likely to gener- the company is very focused on shareholder value. The board is being very opportunistic.’’ ate a price tag of at least $37 a share, said one fi nancial Jones’ board, he said, is “looking at both the external Cooper said the current acquisition environment is an source. The source added that a breakup of the com- and internal factors, both what our business looks like, exciting one because private equity has money to spend pany could bring as much as $40-plus per share. what the valuation of the share price is, what we think — about $100 billion worldwide — and investors are still Under a breakup scenario, said one former invest- is out there. I think that they [the board members] are very much interested in the fashion and retail space. ment banker, Barneys could get a $1 billion price tag, doing the prudent thing. So, it is not like it happens on a Cooper added the public market place is not making while Nine West is likely to be worth about $1.8 billion. one-day event; it is obviously an ongoing discussion for it easy for large fi rms such as Jones because it is “hard- The rest of the business, which includes a wholesale a long period of time.” er and harder to grow, and harder and harder to capture volume of $1.5 billion annually, is worth about $3 billion, Boneparth’s otherwise prepared remarks given more and more of the share of consumers’ wallets.” or a total of $5.8 billion. After subtracting about $1.15 before the Q&A session were similar to an address Financial investors believe Barneys alone could be billion in debt, with 114 million shares outstanding, the the ceo made a week ago at the Bank of America con- worth $1 billion, but Cooper wasn’t so sure. Jones bought price tag is about $40 a share. WWD, WEDNESDAY, MARCH 22, 2006 19 WWD.COM on the Auction Block

Analyst Jennifer Black of the fi rm that bears her He said Jones decided to go to the retail route, with its the French, who are almost in every area.” name said, “This is very signifi cant. I think this is a piv- Barneys acquisition, but its brands have gotten old, as Trading in shares of Jones was halted at 10:06 a.m. otal point in the apparel industry — the beginning of have its customers. during Tuesday’s New York Stock Exchange session a series of changes. It is a good move for Jones, and in Jassin said Jones didn’t go after a lot of younger when the stock was at $33.69. Trading was stopped the best interests for shareholders. The company still brands because they were too small, and the company awaiting news from the company. Just past 11 a.m., has the brands that consumers want, and those brands had a sales threshold for acquisitions that are $100 mil- Jones released its statement saying it is exploring the [eventually may be in] different formats, depending on lion or more. sale of the company. how a buyer can better position the brands.” Harry Bernard, executive vice president and chief Shares of the company then zoomed to $35.50 Andrew Jassin, partner in the Jassin O’Rourke marketing officer of Colton Bernard, said much of — above the most recent 52-week intraday high hit in Group, a consulting fi rm here, said, “On a divisional [Jones’] “business is stuck in the toughest segment of the March 2005 — when trading resumed around 11:15 a.m. basis, Jones hasn’t been doing as well. Some of their market unless they start acquiring other luxury fi rms… — With contributions from Arthur Zaczkiewicz, competition, Oxford Industries and Liz Claiborne, are but then they’ll be competing on a global scale. They’ll Meredith Derby, Lisa Lockwood, Amy S. Choi looking at younger opportunities [brands] to acquire.” be facing VF in the moderate area, and the Italians and and Liza Casabona The Brands And Stores © Dallas 2006 Center Market

Wholesale Better Apparel: Jones New York, Jones New York Signature, Jones New York Sport, Jones Jeans, Jones New York Country, Jones New York Dress, Jones New York Suit, Nine West, Anne Klein New York, AK Anne Klein, AK Sport, Anne Klein Dress, Kasper, Albert Nipon, Evan-Picone Dress, Le Suit

Wholesale Moderate Apparel: Jones Wear, Jones Wear Jeans, Nine & Co., Bandolino, Norton McNaughton, Gloria Vanderbilt, Evan-Picone, Energie, Erika, l.e.i., Jeanstar, A/Line, Pappagallo, Rena Rowan, Glo/Glo Girls, Whip- O-Will, C.L.O.T.H.E.S., W

Footwear: Bridget Shuster, Circa Joan & David, Albert Nipon, Garolini, Boutique 58, Nine West, Nine West Kids, Enzo Angiolini, AK Anne Klein, Bandolino, Easy Spirit, Nine & Co., Westies, Pappagallo, Gloria Vanderbilt, Mootsies Tootsies, Mootsies Tootsies Kids, Sam & Libby, Sam & Libby Kids, Dockers Women, Jones Wear

Accessories: Bridget Shuster, Anne Klein New York, Judith Jack, Jones New York, Nine West, Givenchy, Bandolino, Nine & Co., Gloria Vanderbilt, A/Line, Napier, l.e.i. C & BE SEEN

Retail Stores/Number of Units: Nine West/224 Easy Spirit/125 Enzo Angiolini/16 Bandolino/24 What is a center but a place to be seen, to find yourself as well as what you’re seeking.

® Outlet Stores/Number of Units: FashionCenterDallas. Where greatness is required and inspiration is in vogue, all year round. In March, Nine West/160 we’re holding Women’s & Children’s Apparel & Accessories at the same time as the Gift & Home Market. Jones New York/156 Easy Spirit/110 Incredible cross-buying opportunities. Unbelievable first nods to Fall. Stein Mart/104* 214.655.6100 or 800.325.6587 dallasmarketcenter.com Kasper/81 Anne Klein/35 Treza/15 Barneys New York/12 Joan & David/1

* LICENSED FOOTWEAR DEPARTMENT 20 WWD, WEDNESDAY, MARCH 22, 2006 WWD West L.A. Conﬁ dential: City of Fre

Downtown Los Angeles. RICHARD PRICE/GETTY IMAGES

By Michelle Dalton Tyree Santa Monica and other affl uent nearby cities, as well as Los Angeles neighborhoods like Westwood, are more LOS ANGELES — The city that defi nes urban sprawl and geared to pedestrians and have fl ourishing boutiques a lifestyle built on the automobile has a new idea for and restaurants. itself — it’s called downtown. Downtown retail growth has been slow, despite an in- The eight-square-mile district that has been an un- fl ux of people moving into apartments and converted lofts derachieving zone of offi ce buildings, low-end retail that start at about $500,000. Luring merchants with reno- shops and cultural institutions is starting to attract de- vated spaces, a critical mass of people and myriad con- velopers who view it as one of the last frontiers in this sumer services is key to changing perceptions about down- 470-square-mile Southern California metropolis. town as a strictly in-and-out destination, experts said. Los Angeles, like Atlanta, Dallas and other major Paul DeArmas, creative director of Fred Segal Beauty U.S. cities, is trying to tap into the desire of young pro- in Santa Monica, the beauty arm of the trendy retail- fessionals and empty-nesters for an urban lifestyle er, rents an apartment downtown near the Fashion of residential, entertainment, cultural and retail Institute of Design and Merchandising and is among options that is enriching and frees them from the growing number of Angelenos who want to hours of commuting and dealing with home get into what they predict will eventually be a maintenance. Developers and municipal fl ourishing district. offi cials see an opportunity for profi ts, “I’ve done my homework on downtown,” beefi ng up tax rolls and invigorating the DeArmas said, “and people who don’t see core of cities. the potential are blind.” Perhaps nowhere are the possibili- DeArmas said he was particularly bull- ties and challenges of downtown rede- ish after a 2005 demographic study by the velopment more formidable than in Los Downtown Center Business Improvement Angeles, the hub of a fi ve-county market LAST OF THREE PARTS District that put the median household in- of more than 20 million people. come of residents at about $90,000 and pegged “Downtown might be fi nally coming back,” said Tridib the average dweller as single and between the ages of 23 Banerjee, a professor at the University of Southern and 34 years old, statistics that are enticing to businesses. California School of Policy, Planning and Development. Offi cials at organizations that promote economic “The trends are quite good and the market has taken off.... development, such as the Downtown Center Business There’s a growing number of singles, single professionals Improvement District and the Valley Economic Develop- and Baby Boomers moving back to the city as it has be- ment Corp., hope that others see the potential as well, come very expensive for young professionals to fi nd sin- and that within the next fi ve to 10 years the area can gle-family homes and they are [instead] buying condos.” attract well-known names like Fred Segal. Founded in 1781 as a Spanish settlement, Los Even now, the profi le of downtown residents is be- Angeles has never been known for a thriving urban cen- ginning to emerge. Among those who have relocated is Paul DeArmas on the ter. The city morphed into sheer sprawl marked by a David Jansenn, 60, chief administrative offi cer for the roof of his downtown system of more than two-dozen freeways. Traffi c is per- County of Los Angeles. In addition to working in the apartment building.

petually heavy or moving at a crawl. And Beverly Hills, neighborhood, Jansenn and his wife traded in their TYLER BOYE PHOTO BY WWD, WEDNESDAY, MARCH 22, 2006 21 WWD.COM eways Discovers Downtown

Pasadena home for a two-bedroom rental on the 24th ﬂ oor of a building in the Bunker Hill area of down- The Walt Disney Concert Hall. town. Bunker Hill in the late 19th century featured stately Victorian houses and is now home to cultural venues such as the Dorothy Chandler Pavilion and the Frank Gehry-designed Walt Disney Concert Hall, which opened in 2003. Although consumer-friendly businesses, including

food markets, are still lacking, Jansenn said, “You don’t BIBIKOW/GETTY IMAGES WALTER have to worry about all the challenges of home owner- ship...like the roof leaking and yard work. I get to walk by Disney Hall every day...we absolutely love it.” The greater downtown area is loosely defi ned as the district that lies within Interstate 10, the 101 and 110 freeways and the Los Angeles River. Much of the new housing has been concentrated in the historic district — from Second Street to Ninth Street and Hill Street to the river. “This is the area that is the most ripe for retail,” said Warren Cooley, project director of the Historic Downtown L.A. Retail Project of the Valley Economic Development Corp., a nonprofi t that has a contract with the city to attract retailers. The housing construction push started in 1999 when the Los Angeles City Council passed the Adaptive Reuse Ordinance, which made it easier for developers to con- vert older offi ce buildings to loft dwellings by eliminating some zoning requirements and allowing the structures to be upgraded. Since then, at least 4,000 housing units have been built and 6,000 are in the pipeline, offi cials said. The Valley Economic Development Corp. estimated has made doing business downtown almost too good to that by the middle of this year, there would be 13,000 to pass up. But it hasn’t been easy for the former set deco- 14,000 lofts and condos in downtown Los Angeles with rator, who lives in a loft downtown and whose eclectic about 20,000 residents. Many retailers are looking for at store carries everything from wall beds to pieces once least double that population before making a commit- used by movie studios. ment. But estimates are that as many as 50,000 people “We pretty much sunk everything we own into this, may be living downtown within the next four years. including our houses,” said Reams who owns a simi- Yet it isn’t simply more residents that will breathe life lar store in Big Bear, Calif., 100 miles northeast of Los into the area, Cooley explained. What’s needed is more Angeles, which he is selling.” I lost $100,000 [on the nightlife and leisure options coupled with basic services. downtown store] this fi rst year.” “Once you get a critical mass with those two, then you But sales have been picking up in the last six months, begin to change the retail environment,” he said. “And and the store is already generating sales that the Big that’s when things like women’s specialty stores and oth- Bear location took three years to reach, said Reams, who ers become interested in the area.” is considering opening up a second downtown spot. So far, courting nightlife and restaurants has been Another element in growing downtown is Los the easier part. The Golden Gopher bar, housed in a for- Angeles’ 73-mile metro rail system, which averages mer speakeasy, attracts plenty of hipsters, as does the about 253,000 riders per day during the workweek. New Standard Hotel, a go-to spot for a crowd that loves to sip York’s subway system, by comparison, spans 660 miles of mojitos and linger around the rooftop pool. track and carries about seven million riders daily.

The Gansevoort Hotel, which bowed in Manhattan’s ADAM SMITH/GETTY IMAGES Still, city planners hope that expansion of the system Meatpacking District in 2004, is scheduled to open a 170- Gridlocked freeway traffi c. will help to propel downtown’s momentum. There are room Gansevoort West next year. The hotel will be in a blueprints for a new light-rail line that would go from 1914 Beaux Arts building at Grand Avenue and Ninth on fashionable hotels such as the Viceroy in Santa Santa Monica into downtown and the gold line from Street. It will feature a glass-bottom rooftop pool and Monica and Maison 140 in Beverly Hills. She is work- Pasadena to downtown is being extended into the Little two rooftop lounges connected by a glass sky bridge, as ing on the renovation of the Art Deco Eastern Columbia Tokyo district and to East Los Angeles. Offi cials are also well as an 1,800-seat amphitheater. Lofts at Broadway and Ninth Street, which her hus- exploring the westward expansion of the red line, which Several major mixed-use ventures that meld enter- band’s company, the Kor Group, is developing. runs from North Hollywood to downtown. tainment and retail are also in the works. While hotels, lofts and huge projects such as LA Live In addition, there are discussions about introduc- Adjacent to Staples Center, home of the Los Angeles and Grand Avenue are under way, wooing the goods and ing streetcars to the district, said Victor Franco, senior Lakers, Clippers and Kings, will be LA Live. The six-block, services providers has proved more diffi cult, said Carol vice president of government affairs for the Central City $1.5 billion development from Anschutz Entertainment Schatz, chief executive offi cer at the Downtown Center Association, which represents business and property Group is to be completed in stages and fully operational Business Improvement District, a coalition of 480 prop- owners. by 2014. It will feature the 7,000-seat, $90 million Nokia erty owners. “Los Angeles used to have the largest streetcar sys- Theatre, which is slated to house the Latin Grammy “But we are starting to see all kinds of interesting tem in the world in the late 1800s,” Franco said. “So the Awards, Espy awards, concerts and more. LA Live will signs, such as the construction of a [50,000-square-foot] idea would be to use it to circulate people downtown also have a nightclub and a 20,000-square-foot plaza. Ralph’s grocery store at Ninth and Flower Street,’’ she and activate streets that are dormant at night — such as Nearby, the $1.8 billion mixed-use Grand Avenue said. The $110 million project, which is to open next the fashion district and theater district.’’ project located east of the Walt Disney Concert Hall is year, will include residential units as well as some While downtown’s reinvention may be a boon to set to launch its initial phase in 2009. Gehry is designing smaller retailers. many, it is also a source of concern for residents such as a hotel and condominium tower for space. The project Schatz said the business improvement district is also Magnus Walker, founder of the alternative apparel line will also feature about 250,000 square feet of retail and courting a Trader Joe’s grocery store, and has received Serious Clothing. a 16-acre park. The entire development is set to be com- interest from bookstore chains. “It’s got an overkill, gold-rush mentality where people pleted by 2012 or 2013. “We’re not seeking the Crate & Barrels and the Gaps just have to be downtown,” said Walker, who has oper- “It’s premature to say, specifi cally, but for the fi rst because we think you can get that anywhere,” she said. ated his business in the district for 15 years and runs it phase, we imagine a mix of a high-end grocery store, “We’re looking for more unique retail.” with his wife, Karen Caid. While Walker and Caid are health club, bookstore, fi ve or six restaurants, some Downtown needs merchants who can weather the part of the growth, they hope to help make the area more small gallery and retail space and possibly a night- growing pains, said Jack Keyser, chief economist at the of a neighborhood by developing intimate dwellings. club,” said Bill Witte, a partner of Related Companies Los Angeles Economic Development Corp. “Instead of building monster complexes, we want to of California, the project’s developer. “Right now, they have to [realize that] if they opened build a more boutique loft experience,’’ he said. “Part “It’s about creating an identity for downtown and in- in the next year, they might not see sales, but they are of what we feel we have to offer is that we’re not part of troducing a true mixed-use project, but also a signifi cant buying into their future,” he said. this Vegas-style development that they call lofts.” amount of public space,” he said. “At the end of the day, There are incentives. A federal empowerment zone The pair moved downtown in 1994, relocated to the I think it will be defi ned as much by its public spaces as encompasses most of the historic district, from about Hollywood Hills and then moved back. The company’s by its signature buildings.” Second Street to Ninth Street and from the east side of headquarters also houses their former loft, which they Downtown is becoming more attractive to archi- Hill Street to Alameda Street. Businesses in the zone rent out for TV shows such as “America’s Top Model” tects, interior designers and hoteliers. The prestigious qualify for electricity rate reductions, employer wage and music videos. Southern California Institute of Architecture has its credits and other benefi ts. “What we gain from downtown is the opportunity to headquarters in the area. Rich Reams, co-owner of Loft Living, a 14,000- do multiple things: clothing, movie-making, develop- “I get calls all the time to do work downtown,” said square-foot furniture store, is one of the independent ment,” Walker said. “Believe the hype now; the buzz is interior designer Kelly Wearstler, who has put her stamp retailers who decided to roll the dice. He said the city happening.” 22 WWD, WEDNESDAY, MARCH 22, 2006 WWD.COM Material World Doubles Up in East, to Head West

ATLANTA — Material World, the fabric, sourcing and Material World by either fall 2007 or spring 2008, von Gal said. technology show that launched a New York event in New York, 2005. “The West Coast gives us access to the Pacifi c Rim, September, is expanding to a biannual format in New as well as to the vertical garment producers and the ap- York and will start on the West Coast by spring 2008. parel industry in California,” he said. After beginning in Miami in 2001, Material World is Material World’s three-shows-in-one format plays seeking a more global audience, organizers said. The to globalization of the U.S. apparel industry. A growing existing spring show at the Miami Beach Convention segment is the sourcing show, with around 135 booths. Center will continue, targeting primarily regional and Technology Solutions, a separate show that launched a Western Hemisphere manufacturers, contractors and few years back, also has 135 booths, addressing trends sourcing managers. such as Radio Frequency Identifi cation. Tim von Gal, executive vice president of Atlanta- The American Apparel and Footwear Association, a based Urban Expositions, producers of Material World, partner of Material World, holds board meetings and ed- said demand in New York, the center of the U.S. design ucational seminars at the shows, which should continue community, can support a twice-a-year format and draw to draw U.S. manufacturers, von Gal said. a more international exhibitor base and audience. “Our biggest challenge is keeping our attendee base, This fall’s show, set for Sept. 26 to 28 at the Jacob K. gions. The fi rst New York spring show will begin in 2007 the sourcing and purchase managers of the most sought- Javits Convention Center in Manhattan, will have 60 to or 2008, at the convention center. after U.S. design houses here, rather than the European 70 percent more exhibitors than last year’s 325, includ- Though no dates and locations are set, plans call for and Asian shows,” he said. ing a deeper penetration of Far East and Near East re- a large-scale West Coast event, probably in Los Angeles, — Georgia Lee Apparel Prices Decline 0.4% IN MEMORY At Wholesale By Evan Clark WASHINGTON — Wholesale prices for domestically produced women’s and girls’ apparel fell OLEG CASSINI 0.4 percent in February compared with the same period last year. Prices on all goods dropped more than economists expected amid declines in the food and energy areas. Registering its biggest dip since April 2003, the Labor De- partment’s Producer Price Index declined a seasonally adjusted 1.4 percent for all fi nished goods in February. The index had increased 0.3 percent in January and 0.6 percent in December. “The acute pressures that we saw in terms of prices in the fourth quarter of 2005 have mod- OC, erated,” said Brian Bethune, U.S. economist at Global Insight. YOU WERE MY VERY DEAR FRIEND Most of those pressures came from a steep rise in energy prices. AND WILL BE FOREVER MISSED. “The core rate, when you ex- clude food and energy, was up 0.3 percent, but there was nothing in there that looked like it was out of line,” he said. “Overall, I would say, on the core side, it looked pretty good.” MARIANNE, James F. Smith, director of the Center for Business Forecasting at the University of North Carolina MY THOUGHTS AND DEEPEST at Chapel Hill, said the report “says, probably, there’s not very CONDOLENCES GO OUT TO YOU. much infl ation in the pipeline, but you’d be well advised not to draw huge conclusions from the PPI.” Economists prefer to look at the Consumer Price Index, which rose 0.1 percent in February, to gauge infl ation. This is particu- WITH LOVE, larly true in apparel, since the CPI measures all goods sold at BUTCH ELIAS retail, while PPI concerns only U.S.-made clothing, which accounts for only about 10 percent of the pie. Though consumer prices appear to be in check, Smith still expects the Federal Reserve Board to raise interest rates twice more, to 5 percent. He said that could cool off the economy too much. Within the women’s and girls’ area in February, wholesale prices for dresses fell 3.7 percent from a year earlier, while nightwear was down 4.8 percent, and jeans and slacks dropped 2 percent. Prices on knit shirts and blouses rose 2.4 percent. WWD, WEDNESDAY, MARCH 22, 2006 23

Ecommerce Content Associate Maxstudio.com a leading brand in contemporary women’s clothing seeks an Ecommerce Content Associate. The Ecom- merce Content Associate will assist with all product photography, digital retouching and database maintenance. Must be knowledgeable in Photoshop, general photography, and Win- dows. Must be a team player. Position located in Pasadena, CA and does not qualify for relocation. Good benefits available. Please fax your resume to 626-797-3251or email to [email protected] EOE,M/F/V/D

Online Store Manager High-end belt and handbag company seeks motivated individual to run its online store. Responsibilities include; processing orders and shipping, maintaining site with current merchandise information, strategizing methods for obtaining traffic and customer service. Candidate must have prior experience with running an online store and be detail oriented. Excellent communication skills are required. Please fax resumes to: (310) 231-9949 or e-mail to: [email protected].

Private Label Sleepwear & Daywear manufacturer group is seeking L.A office based: 1.National Sales Manager/ Sales Executive Min. 5 yrs exp & strong relationships with major retail. Excel- lent communication skills & self-motivation & team working. 2.Sales Coordinator Min. 3 years in Sales/product development experience with good merchandising skill. PC knowledge and can work independently. Please email or Fax Resume and expected salary to [email protected] or fax to: 213 623-8337

ACCT REC MANAGER Fast-paced apparel co seeks experienced A/R Manager Invoicing * Credit Memos * RA’s Work with Factor. LA based position. [email protected]

STORE MANAGER R-Mine Bridal Couture Is looking for an individual who can perform multiple tasks efficiently in a fast paced DESIGNER AND DEVELOPER environment. We are seeking someone who is personable, Nau, Inc. is a new, direct retail, technical outdoor sports apparel and lifestyle clothing company based in Portland, OR. It’s different than any place highly energetic, motivated, you’ve ever worked. We won’t make anything unless it can be made NATIONAL SALES MANAGER detail oriented, organized and sustainably-with respect to the planet and to the people involved in its creation. works well with our clients to The Designer uses advanced design skills to create original, innovative CONTEMPORARY NOVELTY KNITS EXCITING OPPORTUNITY establish new and existing designs that showcase nau’s unique brand point of view. The Designer W/ RAPIDLY GROWING LA MANUFACTURER. SEASONED accounts. The position requires researches the global market to understand trends, color direction & break- PRO W/ PROVEN ABILITY TO DRIVE SALES, OPEN NEW through tech, & participates in setting the design philosophies & standards. ACCOUNTS, AND PROVEN CONTACTS W /DEPT. / SPECIALTY strong sales skills, a back- STORES. COMPETETIVE SALARY + COMMISSION + BENEFITS. ground in fashion and a team Requirements: 8 years of design exp in sportswear concentrating on player. Word, Excel and men’s apparel; exp with denim in strongly preferred; Bachelor’s in Design; FAX RESUME W/ SALARY HISTORY TO 310-396-2097 proficiency with Adobe Illustrator; demonstrated understanding of pattern EMAIL: [email protected] Quickbooks a plus. making, draping, materials, trims and garment fit/construction; travel 15%. Located in Studio City, CA. The Developer is responsible for driving the product development process Call: (818) 505-9064 to ensure on-time development, engineering and accurate documentation of the line while achieving price point and margin goals. They will manage Director Of Sales the product development timeline developing products that meet or exceed (POSITION BASED IN LOS ANGELES) pre-determined gross margin targets, and communicating the specifica- Licensed Jewelry Company (www.lucas-design.com) seeks a tions and product details to the sourcing organization and suppliers. Sales Director with 7+ years of sales experience in fashion Requirements include : 8 years of product development exp Bachelor’s De - accessories. Jewelry experience highly desirable. Experience gree; exp in the development of knits, woven bottoms (denim ) and sweaters building and running a sales team is integral for this job. preferred; understanding of design through production process and supply chain; proven performance history with domestic and offshore vendors and Extensive Trade show experience required, & domestic travel manufacturers; knowledge of garment fit; travel 20%. to visit customers and sales reps will be necessary. PATTERNMAKER Please send resumes to [email protected]. Email resume to: [email protected] Position available for qualified 1st patternmaker. Must have experience at Creative Graphic designer level & an excellent Textile Artist sense of proportion. Must (Los Angeles, CA) SALES be computer familiar, fast, Wendy Hil Must have thorough knowledge REPRESENTATIVES accurate and have ability to PATTERNMAKER and experience in textile, color and LA based women’s contemporary drape unusual garments, L.A. based women’s contemporary paint development, embellish- co. seeking exp’d & motivated and work independently to clothing line seeks in house ments. Knowledge of fine arts and individuals to join our team. All meet deadlines. Based in first - production patternmaker graphic design is essential. Must positions require min. of 3 yrs. exp. Los Angeles, CA. 10 years experience preferred. be skilled w/ applicable computer Submit resumes to: Fax Resume to Sandi Email: [email protected] programs, and be creative in hand [email protected] 213-489-1615 or fax resume: (213) 892-8012 craft techniques. Fax resume to 818-345-7560 24 WWD, WEDNESDAY, MARCH 22, 2006

EDGE*nyNOHO FOR EMERGING DESIGNERS A STORE LIKE NO OTHER Have your own selling space at 65 SUPPLEX*TASLAN Bleeker Street. Street Level, prime Largest Supplier of IN-STOCK Woven retail location. (Between Broadway & Solid Fabrics. Available in all Finishes. Lafayette). Sell your designs directly Domestic/Export. [email protected] to your customer from this unique Venture Worldwide department store created for emerging 1-800-4-SUPPLEX 212-580-1684 designers. We are looking for unique womenswear & menswear designers, hat designers, beauty product designers, eyewear designers, pet products, and much more. For more info please visit our website www.edgeny.com or call Alex or Dede at 212-358-0255. Cash For Retail Stock & Closeouts. No Lot Too Big or Too Small. Call CLOTHES-OUT: (937) 898-2975

PROFITABLE Prom Dress Business Profitable, reputable 14 year business w/ revenue of $500K, 200 customers, New Ladies’ Beaded and net income of $120K. Inventory Evening Dresses sold out; Operable from anywhere USA Overstock 700-800 available for Call Nick: 800-640-7469 immediate delivery. Call 973-439-1196

JOBBER/EXPORTER We buy better goods. All categories, including fabrics. Immediate $$. Please call 212-279-1902

CONTRACT KNITTING Paco Jeans Available 5 & 7 cut flat bed shima seiki Wanted: Graphic Artist Immediate Computerized Samples Junior’s Jeans/Tops Contact: Hampton Industries Call: (973) 574-8900 Fax: (973) 574-9042 Style Cads/Artwork E-mail: [email protected] Must Know Mac Illustrator Must show portfolio Please Email resumes: [email protected]

Embroidery Production Allovers/Edges/Medallions/Venise Lace Domestic Sample Mfg Available China & Domestic Production Call Tom @ (201) 945-2727 10,000 sf Open Space Patterns/Samples/Production Minutes from Lincoln/Holland Tunnels Couture sewing & cutting, show sample, Jersey City Heights/Quiet bldg/Low price no min prod. 240 W 38th St, 2nd Floor PRODUCTION MANAGER Ideal for storage, shipping, office, or mfg. T: 212-221-9304 E: [email protected] Will subdivide Call: 201-222-1931 Calypso, a high end clothing company seeks a candidate PATTERNS, SAMPLES, with extensive exp. in production for its Private label with an 1407 BROADWAY PRODUCTIONS ability to manage & lead the production team. The candidate SHOWROOMS/OFFICES All lines, Any styles. Fine Fast Service. must have leadership quality and diversified knowledge in all TREBOR MGMT Call Sherry 212-719-0622. the facets of overseas & domestic production including fabrics, Bob Forman 212-944-6094 x 314 trims, garment construction and costing in high end market. PATTERNS, SAMPLES, 14th-40th St. Showroom-Hot Lofts Strong contacts with overseas factories and following. 900, 1500, 2200, 3500, 9000 PRODUCTIONS Minimum 8-10 years experience required with a degree in Prime Manhattan Scott 212-268-8043 Full service shop to the trade. search- www.manhattanoffices.com Fine fast work. 212-869-2699. fashion. Strong computer skills and communication skills needed. Please indicate salary requirement. For Space in Garment Center Patterns/Samples/Production Fax resume to: (212) 625-0763 Attn: Production Snaps, Eyelets, Covered Bottoms Helmsley-Spear, Inc. Any Style - Full Service 212-880-0414 Call Johnny: 212-278-0608/646-441-0950 APPAREL

Search For Space In Garment Center Showroom/Office/Retail - no fee Accounts Receivable www.midcomre.com Public traded fashion co. seeks a staff Or Call Paul 212 947-5500 X 100 accountant. A/R collection & chargeback exp preferred. Must have excellent excel skills. Please email or fax resume to: APPAREL, HOME FASHION & E: [email protected] F: 212-695-9483 ACCESSORY SEARCH DIVISION Asst to Sales Manager BUYERS WANTED Opportunities with the best fashion Leading off price distributor seeks an justretail.com companies in the following area’s: individual to assist sales manager. National Specialty Retailer located in •Operations/Manufacturing Communication and computer skills a Philadelphia requires Buyers and/or •Production must. We offer opportunity for growth. Associate Buyers who can move quickly Administrative •Design Fax 212-840-8333 /[email protected] into buying positions. Send your resume 530 7th AVE SHOWROOM •Finance in confidence to: Fax: (877) 633-2207 Corner showroom facing 7th Ave. full Assistant - Converting E-mail: [email protected] Textile/Garment Co. seeks a dynamic •Technical Design windows, about 3500 s/f. Contact: •Administrative Support 917-886-7648 or 212-391-1636. & self-motivated individual with the AUGUST SILK ability to provide strong support for •Graphic / CAD Design domestic and international sourcing. •Sales / Marketing Product Manager/Production Coordinator CAD DESIGNER Responsibilities include entering greige •Product Development Min- 3 to 5 years experience in sweater goods, PO’s & contracts. Communicate •Merchandising product development/production control. TEXTILE with suppliers & brokers on all aspects Ensuring time lines are followed. Issue & Home textile firm seeks CAD Designer of purchasing/imports. 1-3 yrs. exp. Allen Platt Partner track production orders, Communicate with min 2 years experience. Must be E-mail: [email protected] [email protected] w/ overseas offices. Computer knowledge, highly creative adaptable and organ- high productivity level and excellent ized. Must be knowledgeable about Jennifer Glenn V.P. textile design. Require strong comput- [email protected] org. skills a must. Email resumes to: 8th Ave #555 24/7 Attendant [email protected] er skills: Adobe Photoshop and Illus- Beautifully Renovated, light, window Ph. (212) 465-8300 trator - knowledge of Pointcarre and offices. 870- 7200 sq ft Punto a plus. Resume w/salary req to: Owner 212-695-0005 Or 718-387-0500 Suzanna Fax 212-213-1683 ADMIN/SALES [email protected] ASST/FRONT DESK ASSISTANT DESIGNER Accessory Co. seeks reliable, persona- Experienced in eveningwear. BRIDAL SALES COLOR ASSOCIATE ble, multi-tasked individual to work in Import experience a plus. Leading Women’s Apparel Co seeks an quick paced atmosphere. Good com- Computer literate. Organized, self starter. EXECUTIVE outgoing & ambitious entry-level puter skills in Word, Excel and E-mail. Please Fax resume to: (212) 302-9325 professional with basic color & textile Resp. for phones, corresp. & gen. We are seeking a highly motivated, testing knowledge to assist Manager of Well established & growing office duties. Fax resume: 212-302-2753 energetic sales professional with a Color & Testing. Must be detail ori- luxury bridal or designer background ented, organized & dependable w/ Bridal/Eveningwear Company to join our wholesale Bridal division. excellent clerical and computer skills. located in central Florida Assistant Merchandiser/ Successful candidates must have a Fax resume: 212-827-3062 Attn: MD Admin Since 1967 strong working knowledge of sales/ W-I-N-S-T-O-N Product Development operations as it pertains to retail stores Local & International Clients Lifestyle & bedding Co. seeks organized, and have 3-5 years of selling experi- Compliance Growing 17 to 20 percent a APPAREL STAFFING creative individual. Responsibilities to ence. Strong computer skills (Microsoft Chargeback Analyst year see info and pics @ DESIGN * SALES * MERCH include identify emerging trends, design Office Suite) a must. Extensive travel ADMIN * TECH * PRODUCTION concepts & hands on sourcing for kids required. Seeking a highly motivated, analytical www.floridacapital.com (212)557-5000 F: (212)986-8437 & tweens division. 2 yrs experience a person to analyze and dispute CB’s Email resume with subject header received from our retailers. Excel a must. Great opportunity.Email Resume to: “Bridal Sales” to: Agent, 941-924-2378 [email protected] or Fax 212-643-0684 must. Salary+incentives. Email resume recruiting @verawang.com & salary req to: [email protected] WWD, WEDNESDAY, MARCH 22, 2006 25

Director of Sales Training Seeking a candidate to develop and lead sales training for Young Designer collection has three new positions available: US Fashion, Fine Jewelry and Watches. The position is based in our New York Corporate Office, but requires both domes- Trim Buyer tic and international travel. The ideal candidate has: Capable of sourcing, organizing, and distributing trims to our • 8-10 years experience in retail sales training domestic factories. Three years experience required. • Background in instructional design and retail performance analysis Knit Specialist/Product Development • Excellent communication skills and presence To assist Designer in the development & production follow • Strong computer skills through of our knit collection. • Luxury goods background preferred. Swimwear Sales Position We offer an attractive salary and an outstanding benefits Dedicated to servicing & growing our swimwear accounts. package. For immediate consideration please send your 3 yrs exp working w/ swimwear specialty & department resume with cover letter including salary history to: stores. Young designer/contemporary exp preferred. [email protected]. Great benefits and opportunities! No phone calls, please. We regret that we are only able to Please Send Resumes to Personnel: respond to those who are invited for an interview. Fax 646-349-4367 EOE M/F/D/V. Email: [email protected]

SENIOR COSTER $50-60K SPORTSWEAR Must Be Able To Break Down A DESIGNER Garment. Girls Dress Mnfg Technical Designer [email protected] or 212-947-3400 Industry leader seeks fashion Major women’s moderate pro to join our talented updated sportswear co. is Customer Service/ team. Must have 5 years’ seeking a talented designer ladies’ bottoms exp., incl. with 5-7 yrs. exp. Candidate Shipping Manager denim, w/patternmaking and will be designing for a major UK Designer brand seeks Customer Svc. grading knowledge. Be public updated co. Must /Shipping Mgr. to produce pick tickets, responsible for spec, fit organize shipping to stores, liaison with have a strong background in corporate office, customers and store evaluations, technical sketches updated wovens and knits management. Computer literate and and daily communication for pants, skirts and jackets the ability to be self-motivated and w/suppliers. Must be a highly work as part of a team. with a strong knowledge of Please fax resume to: (212) 840-2481 or organized, computer literate prints and fabrics. Must be E-mail: [email protected] multi-tasker. Comprehensive able to shop stores for the compensation package. newest trends and have an Data Entry Position Please fax or e-mail resume, understanding of development Apparel wholesale company is seeking incl. salary requirements to: time lines. Position based in someone to enter orders, process billing CW @ 212-827-9917 or Boston with frequent travel and assist in customer service. Should [email protected] be familiar with AS400 system & EDI. to New York. Please fax resume to: (212) 575-2214 Excellent Salary And Benefits Designer E-Mail or Fax Resume Better priced womenswear manufacturer [email protected] Design Assistant seeks sportswear designer with min 2 years exp. designing collections for 617-332-3260 Design DSGR GIRLS - INF/TOD OPEN $ Finance DONNA DEGNAN department stores. Background in Major co. seeks experienced creative Women’s sportswear company seeks contemporary market at big plus. Must individual to do licensed girls playw’r Chargeback energetic individual to assist in all be able to run a sample room and work aspects of design room duties. Source with patternmakers. Great opportunity A.D. FORMAN ASSOC. Analyst Collector and manage trim & fabric libraries, flat for growth. Salary commensurate with 450 7th AVE (AGCY) 268-6123 DESIGNER Nationally recognized apparel manu- sketch, Illustrator. Great presentation experience. FABULOUS OPPORTUNITIES skills a plus. Fax resume: 212-629-4625. Fax resume to 212-382-0237. Junior & Missy Sportswear facturer seeks a Chargeback Collector Looking for dynamic designer. Ideal FREELANCE & PERM to analyze and research charges to Menswear Designer ASST. MERCH DESIGNER candidate must have 5-8 years exp. Luxury Menswear Co. seeks a creative, determine proper resolution, reconcile and focus on new ideas and trend. ASST. PROD multiple accounts, and code incoming Design Assistant Dynamic and trendy garment Co. energetic, and organized Designer w/min. HANDBAG PROD DEV. seeks an experienced and talented Must have the ability to present ideas 5 years experience in similar high-end chargebacks. Responsible for disputing F/T Asst Designer position available and concept clearly on board and work HANDBAG PATTERNMAKER claims and recovering money for the for a dynamic Childrenswear Co. Must designer for daytime and evening market. Extensive knowledge of all as- Send resumes ASAP!!!! wear. Excellent opportunity. closely with India and China suppliers. pects of men’s design including fabric, company as well as interfacing with be very organized, detail oriented and Send resume to Amit:-Fax: 212-398-2579 Email: [email protected] accounts payables to retrieve necessary be able to understsand design con- Please fax resume to: 212-382-3623 trim, and fit. Knowledge of Photoshop/ or email at [email protected] Illustrator and PDM required. CT based. paperwork. Follows up on returned struction, tech packs, lab dips, strike merchandise and unapplied cash. Factor offs, and submits. Proficienty in Illus- DESIGNER E-mail resume as a Word attachment to: [email protected] exp is a must and apparel exp is a plus. trator and Photoshop a must. A gener- Est’d. Special Occasion Dress Co. seeks Good communication skills required. ous compensation package will be innovative and creative Designer with Designer - Merchandising offered to the right candidate. For consid- knowledge of current trends, colors, Jr/Contemporary Sweater /Outerwear Design FASHION CAREER OPPORTUNITIES Please fax your resume along with eration, please email your resume to: Co seeks exp’d designer for imports. salary history, in confidence, to: and fabrics. Must have background in Raider Jean Company Ileen Raskin, Apparel 212-213-6381 [email protected] Missy or Jr. Special Occasion. Please Must be team player w/ fresh ideas for (212) 869-5242; or email to: the Jr. market. Knowledge of sweat- Nancy Bottali, Accessories 212-213-6386 [email protected] EOE M/F E-mail resumes in confidence to: Assistant Designer Ed Kret, Textiles/Apparel 212-213-6384 [email protected] ers, flat sketching & proto specs req’d. Established Young Men’s and Boy’s DESIGNER Good benefits. Excellent work envi- Sportswear Company seeks a design [email protected] ronment. Email resume attn: Dora assistant for the New York office. Assistant Designer [email protected] / fax 212-398-2087 www.raskinexecsearch.com For fast paced women’s outerwear Minimum 3-5 yrs. garment experience, company seeks indiv who is extremely proficient in Adobe Illustrator & FINANCIAL organized & computer knowledgeable. DESIGNER DESIGNER - SILK PRINTS Photoshop. Responsibilities include ANALYST Overseas communication concerning 5 TO 7 YRS. TECH EXP A PLUS generating initial computer illustrated Growing Baby Wear Co. is seeking a style sketches, CAD’s, and completing samples and approvals. Salary com- talented designer with a minimum of 5 [email protected] Nationally recognized apparel mfr is mensurate with experience. 800-544-5878 technical production packages. Candi- seeking a Financial Analyst. The ideal years experience in Newborn, Infant date must be organized and able to Please email resume to: and Toddler design. Experience with Fashion Recruiters! candidate must have strong analytical [email protected] follow directions. Please email resume skills with a proven track record in licensed properties and Baby industry to Indra: [email protected] a plus. Please send your resume to: Incredible Comp + analyzing existing business systems, DESIGN processes and workflow. This includes, DESIGNER ASSISTANT E-mail: [email protected] or DESIGNER Benefits! $100K+! , attn. Ralph Kassin but is not limited to, budgeting, for Intimate Apparel Company. Look- Fax: (212) 967-8108 Well est’d Importer of Women’s sleepwear YM/Boys Sweater/ forecasting, expense and inventory ing for a perfectionist! A fast learner, & lingerie, seeks a fashion CAD designer Leading NYC Fashion Recruiting Firm seeks Fashion Savvy Recruiters! control, and sales GP analysis. 4 plus detail-oriented, organized and self- DESIGNER - Jr. Sweater with at least 3 years working experience. Knit Designer years of related experience. Apparel motivated, along with a willing Major NY sweater co. seeks a highly Must be well organized, detail oriented, Fast growing NY based sweater co. with MUST have recruiting/sales/marketing or fashion background. Full Time and industry exp. a plus. Bachelor’s degree attitude and great work ethic. Must creative designer with min. 3-5 yrs. technical, creative and proficient in major licensees seeks a highly motivated, in finance and/or accounting is a must. have construction knowledge & ability exp. Candidate must have technical Photoshop and Adobe Illustrator. We organized, creative designer. Individual Freelance Opportunities. to create flat sketches in Illustrator. sweater knowledge & proficiency with offer a great working environment good should have a min. of 3 yrs. exp. with Amazing Opportunity! Please fax your resume along with Associates degree in fashion required. CAD. Must be detail oriented & work benefits & a salary based on experience. knowledge of sweater construction & Join us at the fourthFLOOR! your salary history, in confidence, to: Lingerie/sleepwear experience is a well in a fast paced environment. Please email or fax resume to Att: Mary cut/sew knits. CAD exp. a must. E-mail Please send resumes to: (212) 869-5242 or: email to: plus. Please fax resume: 212- 842-4050. E-mail: [email protected] E: [email protected] F:212-448-0926 resume to: [email protected] [email protected] [email protected] EOE M/F 26 WWD, WEDNESDAY, MARCH 22, 2006

SPECH TECH Major NY based better dress & suit manufacturer seeks exp’d technician to support its pattern making & production teams. Responsibilities include attend fittings, take accurate fit notes, work w/ pattern makers, prepare construction details specs & communicate w/ overseas factories on various technical issues. Must be a team player, computer literate on e-mail & excel, and ability to work in a fast paced environment. Dress exp a plus. Excellent opportunity. Benefits/401K. Fax in confidence with Hanky Panky Ltd. is an established fashion lingerie salary requirements to HR: (201)964 5892 SR. DESIGNER - BOTTOMS company that proudly produces in the Metro NY Area. CREATIVE/TECHNICAL Due to the brand’s fast growth we are looking for [email protected] candidates at both the Manager and Assistant Manager 800-544-5878 levels in the Merchandising and Production areas. Sweater Tech Designer Branded womenswear manufacturer MERCHANDISE PLANNING MANAGER AND seeks sweater tech designer with min 2 yrs import exp. Must be able to flat ASSISTANT MERCHANDISE PLANNING MANAGER sketch, have technical knowledge of sweater yarns, stitches, and graphing. These positions are liaisons between the design, sales, technical Background in contemporary market a design and purchasing areas. The right candidates will have big plus. proven experience with the creation, supervision and mainte- Fax resume to 212-382-0237. nance of line development charts to track the status of all fabric TECH DESIGNER/ and trim from initial concept through production. They will FASHION APPAREL review costing, evaluate line pricing and manage raw material Pet Accessories Co. needs designer proficient in Illustrator and Photoshop. Must inventory needed to make market samples for timely line and have 2-3 yrs. experience. Fax or e-mail private label presentations. Understanding of sales planning and resume and salary requirements to: trend analysis along with superior computer skills, a strong 646-486-1336, [email protected] detail orientation and good interpersonal skills are a must. Tech Designer Secaucus co. seeks Tech Designer full- PRODUCTION PLANNING SUPERVISOR AND fashion sweaters; cut & sew knits. Must have complete knwldg sweaters, ASSISTANT PRODUCTION PLANNING SUPERVISOR yarns, stitches. Must be exp’d in These candidates will have experience with the entire production specing, fittings, grading, comn w/ vendors. Excel, & Illustrator exp. a process and will plan, manage and analyze the style inventory must. 5 yrs exp. Salary commensurate First Patternmaker Order Entry / Product Development to ensure timely delivery of initial orders and replenishment with exp. FULL TIME. Fast paced womenswear manufacturer Fax Dir Tech Design: 201-866-0387 seeks first patternmaker experienced Shipping Specialist Coordinator reorders. They will coordinate with the sales, purchasing and in both sportswear and dresses. Must Northern NJ based Infant wear Co. NYC manufacturer seeks experienced Seeking highly motivated & detail ori- production departments to ensure that all key delivery deadlines TECH DESIGNERS be able to drape and flat pattern min 2 Order Entry / Shipping Specialist to designs a day. Experience in contemp- ented individuals. Will be responsible are met and that cutting tickets are maximized for optimum guaranteed all orders are processed in for all phases of production approvals: Full Time & Freelance orary market a big plus. a timely and accurate manner. Respon- Fax resume to 212-382-0237. lab dips, fabric/print approvals & daily productivity. Experience in managing fashion distribution and Jr, Msy, Plus Sportswear sibilities include: order entry, down communication w/ overseas. Strong assortment strategies and seasonal planning budgets is a A growing apparel Co. seeks very -loading orders via EDI, working closely communication skills req’d & must be organized, detail oriented, team-players with inventory/procurement to deliver a team player. Knowledge of Outlook, must along with excellent computer and written skills. with min 3-5 yrs exp in fitting with live Graphic Artist order status, tracking/running production Word & Excel a must. 2-3 yrs experience. Major apparel company seeks Graphic models, grading and specing. Knowledge reports, responding to inquiries and Email resume to Attn: JNC Hanky Panky offers a competitive salary and benefits of Patternmaking & Excel are essential. Artist with experience in toddler 4-6x providing exceptional customer service. [email protected] boys. Individual must be very creative package in a team-oriented atmosphere. Please send salary Be able to communicate well with Candidates must have a minimum of 2 overseas vendors to follow through all and detail oriented. Responsibilities yrs. experience and possess knowledge Production Assistant $30-35K. Min 1-2 history and requirements along with a cover letter to: include executing the art from start to aspects from 1st fit to production in a of major retailers Routing Guides. yrs exp in apparel. Bilingual Chinese deadline-oriented environment. finished packages for production. Will Computer proficiency a must. Knowledge [email protected] or Korean required. Computerized. Pls fax resume to Judy at 212-354-8948 work with mock up samples and the of SAP a plus. College graduates only. Call 973-564-9236 Jaral Fashion Agency (Please indicate the job you’re applying for in the subject line) embroidery dept. Must be able to Please email your cover letter and work in fast paced environment. resume (including salary requirements) Technical Design Please fax resume to 212.239.2766 to: [email protected] Production Coord. Receptionist/Gal/Guy Friday Assistant Knitwear Manufacturer of Women’s Sportswear Knitwear co. seeks exp’d individual ORDER PROCESSING/ Hand-Tailored, Custom & RTW seeks energetic self motivated person for technical design and production. IMPORT Women’s Wear Candidates should possess working Production Assistant Extraordinary Opportunity who wants to learn the business from COORDINATOR EDI SPECIALIST Designer handbag co. seeks highly the inside. Person should possess good knowledge of the following: tech NYC menswear importer has immediate High-end women’s wear seeks exp’d packs, production specs, fittings and organized, detail orientated, motivated coord. to run small but growing prod. interpersonal skills, be organized and Nationally recognized apparel manu- openings for an experienced Order Production Asst. Ideal Candidate will dependable. Besides answering phones lab dips. Minimum 2 years experience in facturer is seeking an Import Coordinator Processing / EDI Specialist. Candidates studio in Long Is. City. Manage prod. knitwear. Great opportunity for growth. have 3 years experience in overseas calendar; tailors, cutters, pattern- and greeting people, person will help with a minimum of 3 years experience must have at least 2 yrs. experience in handbag production, including making with sales and design dept’s as well. Salary and benefits commensurate to coordinate documentation, and update order entry, EDI processing and know- making for jackets, dresses, evening with experience. Please send resume to: tech packs, reviewing pp samples wear, pants, & tops. Knowl. of table Please fax Resume to 212-239-7332 in-transit information into AS400 for ledge of major retailers Routing Guides. and sample tracking. Experience working Box#M 1010 all F.O.B. shipments. Complies with L/C Working closely with warehouse and patterns, GGT, custom adjustments, c/o Fairchild Classified with Better market. Candidate will be fit, construction, fine tailoring techni- guidelines, corresponds with overseas sales to deliver order status, tracking liaison between Production Manager 750 Third Avenue, 5th Fl vendors daily, and ensures customs and shipping. Computer proficiency a ques, & fabrics essential. Knowl. of New York, NY 10017 and Design Team. They will work with Korean useful. Candidate is highly or- broker has proper documentation for must. Salary + Benefits. Design team for market prep, line sheets, Receptionist/Office clearing. Proficient in Excel & Word. Please email resume to: ganized, detail-oriented, proactive, sample orders and design changes. able to manage fast-paced environ- Assistant Technical Design Detail oriented & ability to multi-task [email protected] Candidate must possess strong com- in a fast-paced environment. or fax to: 917-510-0472 ment, sense of humor. Excel, Word, Sweater Company seeks organized Assistant puter skills and sketching ability. Need Outlook, QuickBooks. Min 3 yrs exp. individual.Duties include greeting to be able to multi-task in a fast-paced Northern NJ based Infant wear Co. Please fax your resume along with Salary commensurate w/ exp. Benefits. customers, answering phones, ordering Seeking highly motivated & detail orien- salary history, in confidence, to: environment. Salary Commensurate Resume: [email protected] office supplies, assisting sales staff PATTERNMAKER with experience. Send resume to: ted individuals. Must have strong know- (212) 869-5242 Or E-mail: and maintaining showroom. Must ledge of specs, fit evaluation, construct- [email protected] EOE M/F Concept to Production E-mail: [email protected] or have excellent phone manner and Leading Intimate Apparel Co. seeks Fax: (212) 777-5125 ion & grading. Must be a team player & experienced patternmaker with a min- Production desk appearance. Excel, word and communicate with overseas. Knowledge imum of 3 years experience. Excellent Designer collection seeks experienced Photoshop elements knowledge a must. of Outlook, Word a must. 1-2 yrs exp. IMPORT COORD NJ $45K communication skills, knowledge of Production Assistant technical production person to coordinate Please fax resume to 212-768-2102 Email resume to Attn:JNC Track shipment by Boat & Air grading, fabric YY’s, Outlook, Excel, Entry-level position available for over seas production. Must be organized, [email protected] [email protected] or 212-947-3400 Word and Lectra. ladies apparel tops production. detail oriented, be able to multi task & Please fax resume and salary reqs to Computer literate a must; including have knowledge of garment construction. Technical Design Assistant (212) 481-7498 attn: Miriam Excel. Fax/Email resume: 212-768-7856 Please, fax resume to: 212 563 6215. [email protected] Unique position in mens/boys garment JEANSWEAR PROD’N COORD $70K SALES ASSISTANT comp. for individual with an eye for Costing, P.O.’s, Cut Tickets, PC Established sportswear company seeks design and technical detail. Individual [email protected] or 212-947-3400 PATTERNMAKER Production Assistant Production Director/ Sales Asst. that is friendly, organized, will be responsible for receiving garment Couture Co. seeks experienced, well motivated & a team player. Must have tech packs from outside vendor and Fashion Accessories Co. seeks production an excellent communication & follow organized team player with backroom assistant that has experience with either Merchandising following garment from sampling to * JOBS *JOBS *JOBS * responsibilities. Able to create from Established mfr. seeks a candidate up skills, computer literate. Familiar production. Candidate must possess *Artists: N/I/T-Girl-Boy-Jr.-Young Men Target or Walmart. Great Work environ- with AIMS a plus. Friendly environment. sketch thru finish. Fax Resume: ment. Must have 2-3 yrs. experience. with min eight to ten years work expe- thorough knowledge of garment *Designer or Assoc-Layette-Baby Gift Sets 212-481-1968 rience. Ability to communicate with Competitive salary & benefits. construction, exceptional organizational *Designer-Assists-assoc boy-girl-jr-missy Fax or e-mail resume & salary req. to: Please fax resume to: (212) 221-3622 646-486-1336, [email protected] design team and retail buyers. Knowl- and follow up skills, ability to clearly *Designer Assist/CAD 1-2 yr exp. edge of fabric, garment construction communicate details to patternmaker *Designer Girls 4/16 Denim Very Jr. Driven PATTERNMAKER and costing for coats. Overseas and and overseas sample room and ability *Designer Girls 4/16 S/W Exciting License NYC based company seeks patternmaker domestic travel required. Great salary to work in a fast paced/quick turn *Graphic Artist/Boys 8/20 T-shirts for 1st pattern. Flat patternmaking. and benefits for the right candidate. environment. Adobe Illustrator req. *Product Assist or Coord.-Lab Dips, etc. Ability to drape a plus. Fast paced and Please fax resume to 212-643-0593 SALES ASSISTANT Growing Junior/Missy Denim co seeks Must be detail oriented. *Product MGR-Accessories or Apparel friendly environment. 5+ years experi- Please fax resume to 212.239.2766 *Production Assistants and Coordinators ence preferred. Please fax resume with PRODUCTION ASSISTANT sales asst who is highly organized, *Production coords - bilingual Chinese $ HI salary requirements to 212-290-2708. detailed oriented & computer literate. Hydraulic jeans seeks motivated and Production Manager Wal-Mart exp preferred but willing to Technical Designer *Sales Assistant - Showroom Exp $ HI detail oriented person to assist production *Technical Designers & Assistants KNIT PRIVATE LABEL train. Opportunity for growth. Excel- A well est’d women’s apparel importer mgr. Duties include involvement in lent benefits. Send resume to : seeks a candidate w/3-5 yrs experience. *Technical Designer Boys 2/20 Denim $HI PATTERNMAKER all phases of garment production from Minimum ten years experience in all *Technical Designer - Hosiery - Knits phases of knit sportswear production. [email protected] Must be knowledgeable in patternmaking, Seeking highly skilled Freelance initial order to final delivery and com- garment construction, fittings, specs & Call (212) 643-8090; fax 643-8127 (agcy) Patternmaker in swimwear. Must have munication with factories. Strong com- Work with sales team / factories from costing thru shipping. Establish labor be able to communicate detailed com- work area or their own sample room. puter skills a must. Great Opportunity! ments to overseas & domestic factories. Please fax resume to: (212) 750-1516 Fax resume to HR @ 212-719-1521 price and follow up shipping. Respon- sible for construction & quality control. Must be computer literate in Excel. Logistics/Prod Coord or Email: [email protected] Pls fax resume attn: SC (212) 302-3872 Childrenswr mfr seeks very organized, Computer literate. Please fax resume SEWERS/TAILORS detail oriented indiv to track shipping Production Assistant to Karen 212-947-7218. Women’s Couture Co. seeks from factories. Exp w/frt forwarders Piecegoods Buyer Leading Apparel Importer seeks experienced highly skilled individual . Technical Designer /customs a plus but will train right Leading childrenswear mfr seeks experienced, detail oriented individual Knowledge of cutting a plus. Childrenswear co seeks TD w/extensive candidate. Must know Excel. Fax detail oriented indv to handle purchas- for fast paced NY office. Duties include Production/ Call 212-869-2296 knowledge of garment construction resume to HR at (212) 763-1667 or ing & sourcing of materials for 807 assisting pre-production manager, and patternmaking. Will be req’d to do email: [email protected] production. Must have knowledge of follow-up fabric and garment purchasing, Traffic Coordinator yields and labor breakdowns. Must be domestic & imported goods w/ excel- writing PO’s, follow-up with overseas Growing sweater company seeks detail oriented, organized & work well lent color sense. Friendly/high paced factories, and color submissions to production coordinator for fast paced under pressure. Willing to train. Merchandising Assistant office environment. Benefits/401K Pls Wal-Mart. Strong communication and environment. Ideal candidate must be SEWING Benefits/401K Email or fax resume to: Pvt label sptswr co has immed. oppty for send resume to: Fax 212-763-1667 or computer skills a must. Fax resume well organized, AS / 400 / Excel / Word INSTRUCTION WRITER [email protected] / 212-763-1667 energetic multi-tasker to support merch E-mail: [email protected] with salary requirements to: literate and with some traffic experience. Simplicity Patterns seeks sewing &designteamfrom product conception Mark Rubin at (212)444-6019 The ability to multi-task, act proactively instruction writer w/ education / back- TECHNICAL DESIGNER to Mgmt. of order related details. Must and communicate efficiently with ground in garment, craft and home dec Major better womens sportswear mfr behighly organized and detail oriented management and overseas vendors is sewing. Must be able to write technical seeks seasoned pro w/ min 7 yrs exp in & have 1-2 yrs exp in similar capacity. PRODUCTION ASSISTANT desired. Competitive salary offered. step by step instructions for patterns on establishing fit, spec & construction Proficiency in Photohsop & Illustrator & Leading Women’s apparel company Fax resumes to: 212-512-0674 site in our NYC office. Home Econom- guidelines, communicating w/ retail knowledge of Wal-Mart systems preferred. seeks Production Asst with 1-2 yrs exp. ics Degree or comparable exp desirable. clients & oversea factories, managing E-mail resume w/detailed cover letter to: Planners & Dir. of Allocation 70-150K Must be highly motivated, detail Knowledge of sewing req’d & computer all fit approval & tech issues. Must [email protected] Asst. Buyers/Buyers 50-100K oriented, team player. Receptionist $29K knowledge helpful. Excellent benefits. have computer skills in Excel & Acrobat. Executive Assistants 50-100K Responsibilities to include but not + Full Benefits Send resume to: Simplicity Pattern Co., Knldge of pattern making & PDM a Marketing Mgr.-Cosmetics 70-80K limited to: Issue purchase orders, WIP Busy showroom seeks upbeat, cheery 2 Park Ave, 12th Fl, NY, NY 10016, Attn: plus. Pls fax resume & salary history to: Office & Billing Asst. Human Resources Asst. 40-60K tracking, daily communication w/ over- person with great communication HR or email: [email protected] 212-239-1610 Many other oppty’s TEMP & PERM seas factories, style product maintenance. skills to answer phones and meet/greet Est’d. Clothing Co. seeks motivated, hard Fax: 212-986-7708 Must possess good communication, customers. Email resumes as a Microsoft TECHNICAL DESIGNERS working individual with great computer Email: [email protected] organizational & computer skills. word attachment: [email protected] *TD Bet Bridge Runway Dsgner $90-125K skills. Knowledge of EDI Billing for Dept. Excellent opportunity for the right *TD Better Bridge Contemp Mkt $85K Stores, order processing, and familiarity person. Salary commensurate with SOURCING MANAGER *TD Target/Partners Online SW $60-80K w/routing of major retailers req’d. Must RECEPTIONIST/FIT MODEL Intimate apparel company seeks Prodn Assist/Coord $35-65K experience, excellent benefits. Junior denim company seeking office *TD Jackets/Pants/Skirts $65-70K work well with others and be an "all Strong Math/PC/Excel. Cut Tickets candidate with global experience to *TD Kids/Boyswear $70K rounder", able to assist w/all general Please email or fax resume: help. Excellent computer skills re- source sleepwear and panties. Must Time ’n Action. Factory Exp A+ Fax: 212-328-1230 quired. 40 hour weeks. *Spec Tech- Wovens $35-$55K office duties. Seeking long-term, stable [email protected] 212-947-3400 have strong relationships with factories. [email protected] 212-947-3400 candidate. Fax resume to: 212-840-9310 E: [email protected] Fax resumes to Gisela: 212-869-4442 Please fax resume to: (212) 779-8298 WWD, WEDNESDAY, MARCH 22, 2006 27

OUTLAW SALESPERSON Fast paced Junior Co. seeking Fashion design studio seeks high energy, well connected team player. We design & sales person for corporate mfr a variety of lines. Studio showroom. 3 yrs min exp. in NY & our own factories in dealing with dept. stores. in China. & specialty chain stores. For info call 718-428-8828 The highly anticipated launch of this Junior / Contemporary West Coast based position. Sportswear line requires the exceptional talents of the following: FAX RESUME 213 613 2281 SENIOR DESIGNER Candidates must be cutting edge, trend savvy, innovative and able to design/direct from initial concept through production. Must have extensive knowledge of wovens, denim, knits and trim. Minimum 5 years experience in the junior/contemporary market. Highly organized and fast paced. Technical skills Retail Coordinator for CA Bay Area include CAD, PDM, Illustrator / Photoshop, flat sketching and Elie Tahari is currently looking for a Retail coordinator who presentations. will visit department stores (Neiman Marcus, Saks, ASSISTANT DESIGNER Bloomingdale’s, Macy’s west) in the San Fransisco area. Candidate should have at least 3 years of extraordinary retail Highly organized, self-motivated with good work ethic. Must sales experience, and preferably has established relation- have strong sketching and specs, knowledge of garment con- ships in the stores. struction. Team player with excellent communication skills. Job responsibilities include, but are not limited to: Photoshop / Illustrator. Web PDM a plus. • Merchandise the floor and give product knowledge TECHNICAL DESIGNER (2) seminars. DENIM BOTTOMS & WOVEN TOPS / • Work with stores to determine associate sales goals. KNITS - C & S AND SWEATERS • Assist and sell ET on the floor and help with events. Knowledge of pattern, measuring, construction and fit. Illus- • Work together with specialists and management in order to grow the ET business. trator / Outlook / Excel a must. Daily communication with overseas vendors. Interaction with design, merchants and • Excellent communication skills (work with stores as well as corporate buying office). production teams. Web PDM a plus. * MERCHANDISING OPPORTUNITY * • Includes traveling once a month and some work on Please fax resume to: (631) 514-3131 weekends. Lenzing the leading International fiber manufacturer seeks dynamic (Please indicate on cover letter the job you are applying for.) Qualified candidates should email their resume to: Home Furnishing/Textile Merchandiser. Textile background required [email protected] with subject line reading with considerable experience in the home furnishings market with established " Retail Coordinator ". contacts through -out the industry on all levels. Ability to coordinate global Please visit www.elietahari.com for information about sourcing opportunities and communicate with management at all levels Elie Tahari products. of the apparel chain. Excellent presentation and communication skills required. Proficient in Microsoft Outlook, Excel, Word and Power Point. SOHO Boutique Mgr We are searching for an innovative, Travel Required. detail oriented self starter who loves Excellent Benefits, 401K and competitive salary. working with people and is passionate about fashion! You must have proven Please send resume to: [email protected] track record in selling with full understanding on how to run a retail store. UPDATED MISSY Min. 3+ years of retail management Growing updated missy sportswear / exp required. Compensation: competi- sweater / active co. seeks salesperson. tive salary + bonus. E-mail resume to: Must have strong relationships w/ dept SMILES [email protected] & chain stores. Fax resume to: Technical Design Production Assistant 866-281-4962 NY-based Women’s Apparel Importer seeks a person ACCOUNT EXECUTIVE who can sketch tops, pants, skirts, jackets and dresses. LEI Knits and Active, a division of Jones Apparel Group Responsibilities also include: issuing initial size spec’s, is seeking an Account Executive with 5+ years of experience measure garments, issue fit comments / updates, in handling major department stores & specialty chains. communicate with overseas factories and have good Position will interact with Sales, Design and Merchandising. understanding of pattern making and garment construction. [email protected] REQUIREMENTS: Experience in managing large and small NEED A FABULOUS SHOWROOM? *Atlanta 9th floor atrium *31 yrs exp.* Global Sourcing / volume areas, ability to interpret retail numbers for gross *Strong specialty store following* margin, stock level, turn opportunities, ability to have financial *Extensive road travel* Prod Exec TECHNICAL Rick & Sarah Miller Call:404-525-1707 Seeks new challenge. Professional with Traffic/Import Coordinator accountability internally, inventory levels brought to a plan, expert technical, negotiating and man- ILLUSTRATOR individual store plans, plan out customer business, plan by agement skills. Money making history in Fast past sportswear company seeks TIBI season. Must have excellent computer and communication ladies/juniors sprtswr for mass market, individual with 2-3 years experience to Will follow up on shipments and mid tier and dept stores. Please reply to: work in busy design dept. Must know coordinate drop shipments. Must have skills. Some travel required. 212-877-0249 / [email protected] Photoshop, Adobe Illustrator and CAD. knowledge of quota, customs and Must have knowledge of garment con- freight booking. Excel, Outlook, Aria struction and details. Must be detail req’d. Email resume Attn: Sara To be considered for this position please apply at: Senior VP Licensing oriented, organized and able to work [email protected] http://careers.jny.com and reference job #1533 BROAD EXPERIENCE in a team oriented environment. SUCCESSFUL PRO Please fax resume to: Phone 212-861-1128 (212) 302-1980 An EEO/Affirmative Action Employer Contemporary Sales Reps Tampa, FL based contemporary embellish- Sales Associate Excellent Opportunity ed Sportswear Co. seeks aggressive Sales Transprint USA, leading heat transfer Reps with well established accounts to Home Textiles print co, seeks self-motivated person to Seeking exp’d. Sportswear/Denim sell line to boutiques and majors accross sell designs in all markets. Must have SALESPERSON w/strong relation- the country. Territories available. Account Executive selling exp & good organizational skills. E-mail: [email protected] Importer/Converter seeking individual; Must be team player and able to work in ships in Private Labels & Dept. Tel: 813-890-8989 / Fax: 813-890-8987 self initiative with good communication fast paced environment. Excellent Stores to work with our NY show- and organizational skills for customer Benefits. Fax resume to: 212-967-5099 room. Fax or E-mail resume to: service & product development for the Attn: David Morrison, Sales Mgr. SALES home textile, decorative fabric & finished [email protected] 212-730-1616 Knitted/woven/sweater outwears vertical products business. Knowledge of [email protected] factories in China. Office in NY seeks Turkish and textiles degree are a plus. commission based Sales Reps. Fax or email resume to: Email: [email protected] F: (212) 714-2021 ACCOUNT MANAGER E: [email protected] Missy and Junior apparel manufacturer Sales Reps Wanted looking for salesperson to open addi- Sales Person CA based Missy updates separates Co. tional accounts. Must have strong SALES EXECUTIVE We are looking for dynamic Sales Person seeks Sales Reps. All territories. secured relationships. Must have done SALES / ADMIN for Junior and Missy Sportswear. Ideal Tel: 510-791-8608 / Fax: 510-324-8704 Updated Knitwear, Tank & T-shirt Co. Leading Childrenswear Manufacturer business with such relationships with- is seeking an energetic and motivated candidate must be w/ 5-8 yrs exp. w/ an in the last month. Relationships must seeking exp’d Salesperson. Must have existing account base. Apply with strong existing relationships and est’d account executive for it’s layette and Sleepwear Sales Rep have a minimum of $1,000,000 in sales baby gift division. The ideal candidate expected terms. Send resume to Amit: Private label mfr, looking to sell mod- per year. Fax resume to: 212-840-0500 contacts with all classes of trade. Fax: 212-398-2579 erate to better sleepwear line directly E-mail resume to: [email protected] will have at least three years experience in the baby industry plus a strong Email: [email protected] to retailers & catalog companies. understanding of character licenses. E-mail: [email protected] This is an exciting career opportunity! E-mail: [email protected] or Agent R.E.D. Int’l Fax: (212) 967-8108, attn. Ralph Kassin SALES REP FOR Featuring globally marketed European brands. We’re looking to expand our SALES ASSISTANT NYC-METRO AREA family & searching for an energetic NY wholesale co. seeks exec Asst. w/ at individual with a natural inclination Laces, Embroideries & Trimmings least 3 yrs. exp. Please fax resume w/ Email: [email protected] for sales & at least 2 years experience salary request to: Sales Executive within the contemporary fashion market. 212-629-4027 or E-mail RAMOSPORT You must be able to hit the ground [email protected] running & have established contacts. Better Ladies Outerwear Co. seeks You must also display strong communi- exp’d & highly motivated salesperson Sales Reps Wanted cation skills, both verbal & written. for speciality stores & mail order biz. Experienced in Women’s knitted/woven We have a competitive compensation Sales Assistants / Clericals Must have 2-3 exp & be results orient- clothing. Excellent quality manufacturer. structure including generous vacation ed. Outerwear background preferred. Call 973-439-1196 time for the right person. SUNNY LEIGH Excellent earning potential. Salary/ Email: [email protected] Division of F.Y.C. Apparel Group benefits. Fax resume: 212-840-6877 We are looking for dynamic individuals who must possess analytical skills and have strong computer knowledge in Excel and Word. You must have two Sales/Merchandising FT/PT Sales Person years experience in the women’s Jr/Contemporary Sweater /Outerwear Domestic Women’s Sportswear N.Y.C. sportswear market. You must be able Co seeks merchandiser /salesperson to SHOWROOM SALES PREFERRED to take initiative in solving problems, shop stores, work w/ designers and Busy office looking to expand. Great be detail oriented and handle multiple sell. Must have knowledge of Jr. working environment; Fun & flexible. tasks in a very fast paced environment. market for sweaters. Good benefits. Generous compensation package, Fax Please email/fax resumes to Melanie at: Excellent work environment. Email/ or E-mail resumes to: 212-719-0362 E: [email protected] fax resume to: [email protected] sean@cleveland streetny.com F: 212-302-3872 212-398-2087 Attn: Dora !-%2)#!3¬#/44/.¬02/$5#%23¬!.$¬)-0/24%23¬¬2EGISTERED¬3ERVICE¬-ARK4RADEMARK¬OF¬#OTTON¬)NCORPORATED¬¥¬#OTTON¬)NCORPORATED ¬ PROUD SPONSOROFMERCEDES-BENZ FASHION WEEKAT SMASHBOXSTUDIOS PHOTOGRAPHED BY MIKE ROSENTHAL AT THE LUXE HOTEL, BRENTWOOD; MODELS: AGNESA AND LANA/PHOTOGENICS; HAIR BY AARON LIGHT/CELESTINE; MAKEUP BY ANNIE ING/CELESTINE; STYLED BY MONICA SCHWEIGER AND MELISSA MAGSAYSAY WWD CALIFORNIA PAIR PAIR IN and silktop Johnson’s silkshorts. cotton jeans,Trina Turk’s cashmere Calter’s silkblouse,JBrand’s stretch Ezekiel’s cottonvest,CoreyLynn airy blousesandcashmeretops. Here, sharp vests, meaning thisseasonwith California casualtakesonanew DEPTH PLAY SECTION IISECTION 2 WWD, WEDNESDAY, MARCH 22, 2006

SECTION II WWD.COM

CALIFORNIA IN DEPTH Revival and Risk Despite new jobs and growing tax revenues, California’s economy is coping with high home costs and shrinking apparel manufacturing.

By Khanh T.L. Tran Gov. Arnold Schwarzenegger presented his state CALIFORNIA, WHICH HAS A BIGGER budget proposal in January, shortly after economy than Canada or Spain, casts a wide a motorcycle accident earlier in the month. shadow on overall U.S. prosperity. Several key indicators show that the most populous state, with the nation’s largest apparel industry and retail market, is now coming out of its economic slump. State revenues are growing, jobs are being created and there’s a revived technology industry — as well as strength in agriculture, tourism and, of course, entertainment. State offi cials said California added 547,200 jobs from November 2003 to January 2006, compared with 149,500 jobs from January 2000 to November 2003, according to the state Employment Development Department. Last year alone, California netted an increase of 287,800 jobs. In February, the Milken Institute said California claimed fi ve of the top 30 U.S. metropolitan areas in terms of new jobs in 2005. The state’s unemployment rate, which hit 6.9 percent during the dot-com downturn of 2003, stood at 4.9 percent in January. The personal incomes of Californians are forecast to increase 5.6 percent this year, according to Global Insight Inc., an economic and fi nancial analyst and forecasting company based in Waltham, Mass. “We’ve got California growing even faster than the nation in 2006,” said Jim Diffl ey, a managing director at Global Insight, forecasting that national income will rise 5.2 percent. The value of all products and services generated in the state totaled $1.53 trillion last year, putting California eighth among all global economies. A survey by Union Bank ranked “opportunities for growth’’ as the top reason for small businesses to open in California, and it estimated that 40 percent of small businesses in the state are planning to make capital expenditures in 2006. AP PHOTO/RICH PEDRONCELLI Still, California must navigate through several eco- was $715,700 in the San Francisco Bay Area and products in California. “Every step in the supply nomic challenges, from costly workers’ compensation $529,000 in the Los Angeles metropolitan region, chain will be affected.” insurance and the highest average home prices in the including Long Beach, the National Association of With 136,600 workers, the textile and apparel in- U.S. to rising energy costs and a state budget defi cit, Realtors said. Those fi gures compare with a medi- dustry is the 10th largest employer among California even though tax revenue is running higher than an- an price of $194,500 in Raleigh, N.C., and $247,400 industries, behind sectors such as tourism, interna- ticipated. In addition, California’s apparel industry in Phoenix. tional freight, aerospace, technology and entertain- continues to shed jobs. That’s why Patagonia, the Ventura, Calif.-based ment, said Jack Kyser, chief economist at the Los Gov. Arnold Schwarzenegger, a Republican, who outdoor clothier, is taking matters into its own hands. Angeles County Economic Development Corp. Last won offi ce in a recall election in 2003 and is seeking The privately held company is looking for real estate year, Los Angeles County lost 4,900 jobs in apparel reelection this year, outlined a $125.6 billion bud- on which it can build apartments for new employees manufacturing and is projected to shed another 2,500 get in January that proposes higher spending for who are unable to immediately buy housing, said this year, he said. “The industry seems to be bot- schools, health care, prisons, highways and transit founder Yvon Chouinard. The fi rm also is consider- toming out,” he said. “We have become a design and systems. He also wants to boost the state minimum ing moving some employees to Reno, Nev., where it is marketing center.” wage by a dollar to $7.75 over the next two years. doubling the size of a 171,000-square-foot distribution Growth in California is generated by three geo- The governor is awaiting a bill on the wage increase center, while keeping marketing and design teams in graphical regions. The Bay Area is buoyed by tourism, from the Democratic-controlled legislature, said Ventura. “If housing prices don’t come down soon, if international freight business and a revived technol- Schwarzenegger spokesman Vincent Sollitto. An the bubble doesn’t burst, we’ll be forced to do that,” ogy industry led by Apple, Google and eBay. Southern increase in the minimum wage would likely help Chouinard said. “We’re not able to attract the best California has a diversifi ed market fueled by port retail spending. people for the lower jobs.” activity, tourism, entertainment, technology and ap- The chief fi scal analyst for the California legisla- Even as overall employment rises, Japanese car- parel. And the Central Valley, which stretches from ture, Elizabeth G. Hill, warned in February that the maker Nissan announced in November that it will re- Bakersfi eld to Stockton, is adding distribution servic- state’s economic risks include increased energy costs locate its North American headquarters and transfer es to its agriculture-based economy. and a steeper-than-expected cooling-off of real estate about 1,300 jobs to Tennessee from Gardena, a suburb As the state’s biggest city, Los Angeles is suscep- sales and construction activity. “A more pronounced 15 miles south of Los Angeles, partly to take advantage tible to a real estate slowdown that would constrict slowdown in California’s economy during the next of more favorable tax rates. Engineering and construc- tax revenues. Mayor Antonio R. Villaraigosa projected two years…could easily reduce general fund revenues tion fi rm Fluor said it will move its headquarters to a defi cit of $271 million in his new budget. Meanwhile, by as much as $4 billion from our projected level in Irving, Tex., which is outside Dallas, from Aliso Viejo, the city will have to earmark an additional $200 mil- 2006-07,” Hill wrote in her budget analysis. although its engineering and operations divisions will lion for its pension funds while projecting new rev- The price of California real estate is so high that remain in California. enue growth of only $300 million, said Joe Ramallo, an increasing number of people can’t afford to live in These departures are a recurring theme, U.C. spokesman for Villaraigosa. “He’s looking fi rst at cut- the state, which means companies are unable to hire Berkeley’s Rosen said. In the 2001-2004 period, rep- ting waste and eliminating ineffi ciencies before look- some qualifi ed workers, which can force businesses to resenting the most recent data available, 250,000 peo- ing to raise any fees or taxes,” Ramallo said. relocate to less expensive markets. ple left California for neighboring states, including Another concern is lack of job growth in the enter- “High housing prices are going to constrain Nevada, Arizona and Colorado. (For more on corpo- tainment industry. “We’re losing some movie produc- California’s growth in the next decade,” said Kenneth rate relocations to Nevada, see p. 10.) tion to other countries and other places in the U.S.,” Rosen, chairman of the Fisher Center of Real Estate Apparel companies worry that a higher mini- said Howard Roth, chief economist for the state’s at the University of California at Berkeley. He said mum wage would further erode California’s apparel Department of Finance. that if it weren’t for high home prices, California’s manufacturing base. “It’ll certainly be a negative Still, for many companies, the benefi ts of being in economy could grow at a rate of more than 2 percent, to the overall business,” said Jeff Silver, operations the Golden State are worth the price. They are fi rms instead of the projected 1.4 percent. and fi nance chief for Jerry Leigh Inc., an apparel such as jeans maker 575 Denim, which must ensure The 2005 median price for a single-family home maker that produces less than 20 percent of its Continued on page 4

4 WWD, WEDNESDAY, MARCH 22, 2006

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CALIFORNIA IN DEPTH

Continued from page 2 which would be fi nanced using state and federal ports, the biggest in the U.S. that its fl agship brand stays ahead in the competitive money and $68 billion in new state bonds, would be a Demand for energy also will escalate. premium denim market and can justify a $90 whole- boon to the construction industry. The borrowing re- Schwarzenegger wants to improve the state’s energy sale price. The Los Angeles-based company plans to quires approval from the legislature and voters. outlook by importing liquefi ed natural gas from over- increase its staff of 240 employees by 20 percent this Another idea that’s been fl oated for years is a seas and investing in transmission lines from the year. “I want to make sure everything is behind the partnership between private enterprise and the gov- Rocky Mountains to California. product,” said 575 Denim founder and designer Frank ernment to build an exclusive toll lane for trucks “The governor’s focus is on the big picture in im- Mechaly. “It would be impossible to do if the facility heading to and from the Los Angeles-Long Beach proving the business environment,” Sollitto said. were in China.” Schwarzenegger’s administration acknowl- edges that there will always be companies seeking the least expensive location to do business. “California does not compete pure- ly on cost,” said the governor’s spokesman, Sollitto. “We recognize that there will always be places that will be cheaper to live or there will be states that will spend taxpayers’ money to lure companies. And California will not and cannot do it.” Sollitto said that Schwarzenegger revamped the workers’ compensation insurance system so that premiums paid by companies and nonprofi t organizations were almost halved, sav- ing employers at least $8.1 billion over the last three years. And industry executives such as Moshe Tsabag, chief executive offi cer of Hot Kiss in Los Angeles, are bullish on California. Tsabag predicted that a larger teen population will help boost his wholesale volume by 25 percent to $50 million this year. He said Hot Kiss will open its fi rst branded store in Los Angeles in 2007, with additional shops slated later for New York, Miami and Chicago. “We have a healthy economy in California,” Tsabag said. California’s economy is but one piece of a highly segmented pie, said Dick Baker, president of surf brand Op, which is owned by Warnaco Group Inc. “The consumers today, what they are wearing is very similar in Tokyo and Biarritz [France] and Orange County and Rio de Janeiro,” he said. “It’s a very international product base.” To retain and grow businesses in California and accommodate fi ve million new residents in the next decade — the state has a current population of 36.1 million — Schwarzenegger outlined in January a multiyear, $222 billion public works package promising 1,200 miles of Port activity and international freight are new highway and more than 2,000 new schools, key to California’s diversifi ed economy. among other improvements. The proposal, PHOTO BY DAVID MCNEW/GETTY DAVID IMAGES PHOTO BY

High housing costs in California have constrained the state’s growth. PHOTO BY ERIN LUBIN/BLOOMBERG NEWS/LANDOV ERIN LUBIN/BLOOMBERG PHOTO BY

6 WWD, WEDNESDAY, MARCH 22, 2006

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CALIFORNIA IN DEPTH

California style is more than camisoles paired with jeans. West Coast designers are going for sleek, sophisticated looks this season, from sharp blazers and comfy sweaters to chic dresses and tops.

From left: Hurley’s cotton, polyester and rayon blazer and cotton and ramie sweater with Levi’s Capital E denim jeans. Vans sneakers. Michael Stars’ cotton T-shirt and Michon Shur’s silk skirt. Mia & Kompany necklace; LD Tuttle shoes. Michele Mason’s cotton dress. Orlika necklaces; Mia & Kompany ring; Lesa Wallace clutch; Marcello Toshi shoes. Morphine Generation’s cotton shirt and jeans. Vans sneakers. PARED DOWN belt; Anyi Lu shoes. shoes. belt; AnyiLu Island cotton jeanshorts.Leather halter,and Lurex andHudson’s Roxy’s cottonjacket; Guess’rayon cotton shirt.Vans sneakers. cotton vestandpantswithSplit’s Marcello Toshi shoes.Volcom’s Mia &Kompanynecklaces; Vincent’s silkandrayondress. vest andTwelfth StreetbyCynthia From left:Split’sangorasweater belt; Anyi Lu shoes. shoes. belt; AnyiLu Island cotton jeanshorts.Leather halter,and Lurex andHudson’s Roxy’s cottonjacket; Guess’rayon cotton shirt.Vans sneakers. cotton vestandpantswithSplit’s Marcello Toshi shoes.Volcom’s Mia &Kompanynecklaces; Vincent’s silkandrayondress. vest andTwelfth StreetbyCynthia From left:Split’sangorasweater WWD, WEDNESDAY, MARCH22,2006

PHOTOGRAPHED BY MIKE ROSENTHAL AT THE LUXE HOTEL, BRENTWOOD; MODELS: AGNESA AND LANA/PHOTOGENICS, VICTOR ROSS/LA MODELS, CLINT/M MODELS; HAIR BY AARON LIGHT/CELESTINE; MAKEUP BY ANNIE ING/CELESTINE; FASHION ASSISTANT: KRISTINA BRIGLIO; STYLED BY MONICA SCHWEIGER AND MELISSA MAGSAYSAY WWD.COM 7 8 WWD, WEDNESDAY, MARCH 22, 2006

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CALIFORNIA IN DEPTH

From left: Volcom’s silk taffeta dress. Mia & Kompany cuff; B. Romanek clutch; LD Tuttle shoes. True Love False Idols’ polyester blazer; 3 dots’ cotton T-shirt, and Kasil’s cotton jeans. Vans sneakers. True Love False Idols’ cotton sweatshirt and Generic Youth’s cotton T-shirt and jeans. Vans sneakers. Geren Ford’s silk dress. Zink necklace; Mia & Kompany ring; Marcello Toshi boots.

PARED DOWN WWD, WEDNESDAY, MARCH 22, 2006 9

WWD.COM

From left: Juicy Couture’s rayon and silk velvet blazer and silk blouse and Zinc’s polyester, nylon and spandex shorts. Anyi Lu shoes. AG’s cotton jacket; Tart’s stretch cotton dress, and Self Esteem’s cotton, spandex and polyester camisole. Rachel Abrams necklace; B. Romanek clutch; LD Tuttle heels. Juicy Couture’s leather jacket; Quiksilver’s cotton sweater and shirt, and 575’s cotton jeans.

From left: BCBG’s silk dress. Goldenbleu shoes. Wyeth’s silk camisole; Seven For All Mankind’s stretch cotton jeans, and Trovata’s wool and polyester jacket (on chair). Zinc necklace; Calleen Cordero belt; Mia & Kompany ring; Marcello Toshi shoes. 10 WWD, WEDNESDAY, MARCH 22, 2006

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CALIFORNIA IN DEPTH Panning the Golden State With economic incentives and ad campaigns, Nevada goes prospecting for California businesses.

By Khanh T.L. Tran “GO WEST” IS THE TIMEWORN ADVICE TO fortune-seekers. For California companies, it might be better to go east — to Nevada. Famous for its casinos, legalized prostitution and quickie marriages and divorces, Nevada is sprucing up its image as a business-friendly state that doesn’t tax corporate and personal income, inventory or gross receipts. The makeover comes primarily at California’s expense. The Golden State has been skewered in a series of advertising campaigns that shine a glaring light on the high workers’ compensation fees, energy bills and labor laws that make it diffi cult for businesses in California. On March 17, three days prior to launching a $3.5 million campaign, Las Vegas Mayor Oscar B. Goodman stood in the rain in a navy pinstriped suit and tossed peanut bags to offi ce workers in the middle of downtown Los Angeles. His transportation was a blue fi nding workers in Nevada with expertise in design, shop at outlet malls and dine at world-class restau- double-decker bus covered with the slogan: “Stop pattern making, brand management and production. rants. Southern California publications, including L.A. working for peanuts. Take your act to Las Vegas.” Still, there are qualifi ed people who work on Weekly, are stuffed with ads for performances by Cirque “I’m trying to create an intellectual marketplace costumes for casino shows. Lauren Molasky, the 22- du Soleil and other entertainment in Sin City. down there [in Las Vegas],” Goodman said. year-old designer behind contemporary label Lauren “The biggest, most important market to Vegas is Somer Hollingsworth, chief executive offi cer of the Jane, said she had great response to ads for people Los Angeles,” said Jeff Wagner, president of public Nevada Development Authority, a non-profi t organiza- to make samples and patterns in Las Vegas, but she relations fi rm Wagner/Junker Agency in Hollywood, tion that tries to attract non-gaming business to southern was looking to fi ll only two positions. Still, Molasky which plans to open an offi ce in Las Vegas by July. Nevada, spearheaded the peanut campaign. He estimated said, living in Las Vegas “separates me from all the California, with one of the world’s largest econo- that from 2002 to 2007, companies new to southern Los Angeles-based designers.” mies, isn’t exactly running scared from its much Nevada will generate $592.7 million in wages and $100 North of Las Vegas in Reno, the talent pool is smaller neighbor, but at local and state levels, it has million in sales, property and payroll taxes. “We have to smaller, said John Kirsch, ceo of outdoor clothier started to fi ght back. diversify this economy,” Hollingsworth said. Sportif USA. “When it comes to the traditional gar- “If you’re a serious business, perhaps Las Vegas Another marketing initiative, started in 2003 by a ment design, obviously, there is not a lot of depth in is the last place where you want to go to,” said Jack consortium of Nevada trade groups and budgeted at Reno,” he said. Still, Sportif, which moved to Reno Kyser, chief economist at the Los Angeles County roughly $600,000 per year, took potshots at California from the San Fernando Valley in 1971 and owns a Economic Development Corp., criticizing Nevada’s Gov. Arnold Schwarzenegger and the state’s bear factory in Sri Lanka, won’t return to California. “We largest city for its relatively undeveloped transporta- mascot. Mocking Schwarzenegger’s action fl icks such draw very little from the L.A. market,” Kirsch said. tion system and reliance on entertainment. as “The Terminator,” the punch line asked, “Will your Scott Szybala, president of Skagen Designs Ltd., Schwarzenegger launched a counterattack against business be terminated?” Another tag line teased that said it has been diffi cult to hire “creative people” to Nevada in 2004 with a national initiative stating: California’s cost of living had become so prohibitive design and market its Danish design-inspired watches, “California wants your business.” The governor posed that even the bear on the state fl ag had decamped to eyewear and soon-to-be-introduced leather brief- for photos as head of “Arnold’s Moving Co.” to help Nevada. A billboard hoisted above a busy intersection cases and handbags. “We’re still hopeful,” Szybala fi rms relocate from Las Vegas to the Golden State. at Hollywood Boulevard and Vine Street explained said. Nonetheless, after relocating to Reno from Long But Schwarzenegger can’t change economic reali- that the bear was “found doing business in Nevada.” Island, N.Y., in 1990, Skagen saw a trade-off in tax ben- ties. “Nevada tries to steal California’s lunch,” said “There is not a perception out there that we’re a efi ts, a lower cost of living and central location to cities Stephen M. Miller, chairman of the economics depart- dynamic business climate,” said Julie Ardito, spokes- such as San Francisco and Salt Lake City, he said. ment at the University of Nevada at Las Vegas. “Most woman for the Economic Development Authority of Patagonia Inc. in 1996 moved distribution opera- of our growth is fueled by Southern Californians com- Western Nevada, which helped pay for the campaign. tions to Reno from its headquarters in Ventura, Calif., ing here and cashing in their home equity,” he said. Nevada has momentum. Sixty-fi ve companies, ranging for better access to fi shing, hiking and the Sierra Diann Tonnesen, a real estate agent in Henderson, from software makers InfoGenesis and PC-Doctor Inc. to Mountains as well as low construction costs and tax Nev., outside Las Vegas, said Californians make up 60 confectioner Kimmie Candy Co., have moved to Nevada benefi ts, said Dave Abeloe, the outdoor company’s percent of her clients. “A lot of them are in their 50s, from California in the last two years, Ardito said. distribution center director. Patagonia saved “mil- not retired yet, but getting ready to retire,” she said. Nevada trade groups said the state attracts com- lions” after the relocation, he said. According to the National Association of Realtors, panies in technology, life sciences, industrial manu- The proximity to California’s metropoli benefi ts the median price for a single-family home in 2005 facturing and construction, rather than in the fashion Nevada. It takes four hours to drive to Reno from San was $304,700 in Las Vegas and $349,900 in Reno. In and apparel industry. That’s because the biggest chal- Francisco and fi ve hours to Las Vegas from Los Angeles. comparison, the median price was $529,000 in the Los lenge for designers and clothing manufacturers is Many Californians cross the border to ski, gamble, Angeles metropolitan area, including Long Beach, and $715,700 in the San Francisco Bay area. Las Vegas is home to the country’s third-largest convention center. MAGIC International began showing there in 1989 after a decade in the Los Angeles Convention Center because it needed more space. Ernae Mothershed, a spokeswoman for MAGIC in Woodland Hills, Calif., said the show has doubled in size since its fi rst production in Las Vegas. Each show (there are two a year) generates $145.4 million in non-gaming revenue. It’s no surprise that entrepreneurs like Ivan Kane chase the more than 50 million tourists who visit Nevada each year. “People are coming to spend money,” said the owner of Los Angeles burlesque nightclub Ivan Kane’s Forty Deuce, which expanded to Las Vegas in November 2004. “In my line of business, it’s a fantastic thing,” Kane said. Retailers also fl ock to Las Vegas. Juicy Couture, based in Los Angeles, opened its fi rst boutique there. Even some luxury brands, including shoe label Giuseppe Zanotti, preferred Las Vegas’ Strip over Beverly Hills’ Rodeo Drive for their retail debut on the West Coast. Levi Strauss & Co. said it chose Las Vegas as the site for its 18th freestanding store because the city is becoming a major shopping destination. “It’s the new Beverly Hills experience for some Here and above: Nevada trade groups are posting billboards in a play for California businesses. people,” said Levi’s spokeswoman Amy Jasmer. Two Rodeo, Beverly Hills 208 Rodeo, Badgley Mischka, Baracci, Bernard K. Passman Galleries, Breguet, Buccellati, Cole Haan, Gianfranco Ferre, Escada, Ferragamo, Georg Jensen, Gucci Fine Jewelry, James Elliot/Bez Ambar, José Eber Atelier Beverly Hills, Judith Ripka, KAJE, Lalique, A Pacific Seafood Grill By McCormick & Schmick’s, Persol for Max & Co., Pierre Deux, Porsche Design, Tiffany & Co., Urasawa, Versace, Vilebrequin, Westime

At the corner of Rodeo Drive and Wilshire Boulevard. Valet parking on Dayton Way. ph. 310.247.7040 2rodeo.com For leasing information, please contact Hanna Struever at Retail Portfolio Solutions. ph. 949.715.9032

Inspired Pop Two Rodeo 12 WWD, WEDNESDAY, MARCH 22, 2006

SECTION II WWD.COM

CALIFORNIA IN DEPTH Central Stage The real estate boom puts California’s Central Valley on the retail map.

By Emili Vesilind CALIFORNIA’S CENTRAL VALLEY HAS BEEN THE COUNTRY COUSIN to the Golden State’s glittering coastal communities for generations. But the region — Stanislaus, Merced, Mariposa, Madera, Fresno, Kings and Tulare counties — is California’s bread basket, a wide-open landscape that is home to most of the state’s approximately 84,000 farms and produces hundreds of commodities, most notably dairy products, cotton, grapes, lettuce and almonds. Agriculture accounts for 21 percent of all income and 25 percent of all employment in the Central Valley, according to the California Farm Bureau Federation. Although the region’s reputation may grow from its agricultural roots, the recent interest in commercial and residential real estate in the Central Valley — fueled by population spillover from California’s biggest cities — may leave its image in the dust. “What’s going on is a population shift that’s been going on for three or four years,” said Stephen Fisher, retail real estate agent for CB Richard Ellis in Fresno. “Things are so expensive [elsewhere], and the valley still represents a reasonably decent buy, both from a residential and investment standpoint. What we see is people relocating from [coastal cities] and buying a bigger and better house for half the price here.” During California’s development in the 19th and 20th centuries, the Central Valley attracted largely blue-collar workers, a demographic that remains strong in the region. The average household income in Fresno was $40,473 in 2003, according to the U.S. Census Sweet Home California Bureau. Four of the county’s top 12 employers are Median Sale Prices for Single-Family Homes in 2005 food-processing companies, the local Economic Development Corp. reported. NORTHERN CITIES Because of its socioeconomic makeup, the region Redding: $223,176 has been somewhat ignored by upscale housing devel- Sacramento: $375,900 opers, residential buyers and major retailers — until San Francisco: $715,700 recent years. San Jose: $744,500 The nationwide housing boom, which ramped up Mill Valley: $874,508 in 2001 and is only now leveling off, didn’t miss the Central Valley. CENTRAL VALLEY CITIES “The housing market has gone crazy in the Visalia: $179,801 last four years here,” said John B. Hans, a com- Bakersfi eld: $181,202 mercial and industrial real estate agent for Fresno: $243,000 Fortune Associates in Fresno. “It’s gone up 20 Modesto: $257,533 to 25 percent.” Stockton: $266,068 And though most residential real estate brokers in the area agree that sales are leveling off — 38,300 SOUTHERN CITIES homes sold statewide in January, down 27.5 percent Long Beach: $529,000 from 52,800 in December and down 9.5 percent from West Hollywood: $556,964 42,300 in January 2005 — the housing market in the San Diego: $604,300 Central Valley is still bustling. Santa Monica: $827,729 “We’re still selling a house a day,” said David Beverly Hills: $1,323,721 Crisp, a residential real estate agent and novice ▲ The Central Valley is made up of seven counties and developer in Bakersfi eld. “I saw 46 percent price SOURCES: NATIONAL ASSOCIATION OF REALTORS, CALIFORNIA DEPARTMENT stretches 245 miles, from Bakersfi eld, 90 minutes north of Los Continued on page 14 OF FINANCE, CNNMONEY.COM Angeles, to Stockton, 60 miles east of San Francisco.

Department store Kohl’s has opened 28 locations in California since 2003, including a handful in the Central Valley. PHOTOS BY GARY KAZANJIAN PHOTOS BY PHOTOS BY GARY KAZANJIAN PHOTOS BY

14 WWD, WEDNESDAY, MARCH 22, 2006

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CALIFORNIA IN DEPTH Central Stage

Continued from page 12 increases last year. This year, it will be 15 to 20 percent increases. Houses are sit- ting on the market longer because their sellers are trying to sell for the top, top dollar. That’s over.” Despite comparatively higher prices, buying in the Central Valley remains far less expensive than buying near the coast. “The area is still the second most affordable in California,” said Donna Waddel, vice president of market development at Guarantee Real Estate in Fresno. According to statistics from the National Association of Realtors and the California Department of Finance, the median sale price of single-family homes in Central Valley cities is about half what it is in San Francisco and San Jose, and roughly a third less than that of cities in Southern California. The median home price in Tulare County in mid-2005 was $190,000, an 86 percent increase from 2000. Fresno, the Central Valley’s most populous city, with an estimated 464,727 residents, according to the California Department of Finance, has seen the highest price hikes in residential real estate: The average home price in mid-2005 was $243,000, up 129 percent from 2000. Metropark, an 11-store young-contemporary chain owned by Hot Topic, opened at Fresno’s Home buying is, of course, a byproduct of population increase. Fresno County’s Fashion Fair mall in December. population grew by 67,116 residents between 2000 and July 2004, according to the Census Bureau, and the agency named neighboring Madera County among the and Kohl’s among the recent arrivals. 100 fastest-growing U.S. counties, with a population growth rate of 3.9 percent Saldana added that there are several projects slated for development in the between 2003 and 2004, when the population hit 138,951. city of Tulare, including a new Wal-Mart. “Even our smaller communities are The Central Valley communities of Bakersfi eld, 90 minutes north of Los gaining from some of the major retailers looking at the buying power that comes Angeles, and Stockton, 60 miles east of San Francisco, are becoming a draw from the growth of the population.” for commuters. Kohl’s, the Wisconsin-based department store chain, has staged one of the “Even though growth has gone up dramatically, it’s still less expensive [than most aggressive infi ltrations of the region in recent years, opening 28 stores Los Angeles and San Francisco],” said Scott Manson, senior vice president of in California since March 2003, including Central Valley locations in Fresno, apparel and general merchandise manager at Gottschalks, the largest department Modesto, Turlock, Stockton and Visalia. On March 2, Kohl’s opened a new store in store chain in the Central Valley, with 63 units. “I think, for right now, the growth Manteca, just south of Stockton. of the Central Valley will continue, based on longer commute times, but a better “We now have over 70 stores [in California],” said a company spokeswoman. quality of life.” “We expect to be more aggressive with our expansion plans in the Southwest over Commercial real estate costs in California have risen just as sharply as resi- the next fi ve years, particularly in California. We plan to open 80 to 85 stores this dential costs, and, as in the residential market, the high prices are driving busi- year, ultimately reaching over 1,200 stores by 2010.” ness owners out of coastal regions and, in many cases, toward the Central Valley. Zinkin Development, based in Fresno, is making room for the retail newcom- Prices in L.A.’s most luxury-minded shopping districts range from around $5 ers. Company owner DeWayne Zinkin spearheaded four recent and upcoming per square foot on Melrose Avenue to around $25 per square foot on Rodeo Drive. multiuse projects in the Central Valley, in collaboration with Fresno real estate fi rm Commercial West Associates. Among the highlights is a multiuse center located in what Zinkin calls the “golden loop,” an as yet unnamed, horseshoe-shaped, 26-acre parcel of land in Fresno. The project will include 250,000 square feet of retail space across the The housing market has gone crazy in the last “loop” from a 133,247-square-foot offi ce building. Construction begins “in the next four“ years here. 60 days,” said Zinkin. Retail tenants have yet to be announced. Also on Zinkin’s résumé is the Riverview Shopping Center, a $15 million retail ” — John B. Hans, Fortune Associates project in downtown Fresno. The outdoor complex features 120,000 square feet of retail space and specialty store tenants such as She She, which carries better young contemporary brands Sweetees and Rock & Republic, and Angelica Haley, And in San Francisco, asking commercial rents in the central business district hit which stocks Italian designer apparel from Blumarine, Prada and Gucci. $28.86 per square foot in October 2005. Zinkin is building a third shopping center (as yet un-named) in Fresno with In Glendale, an L.A. suburb with population and income statistics comparable 50,000 square feet of retail space. It is scheduled to open in the next 10 to 12 to Fresno’s, prime retail space costs about $2.75 to $4 per square foot per month. months, he said. Retail tenants have yet to be announced. In contrast, commercial rents in “reasonably vibrant shopping districts” in The developer is also making fi nal plans for a shopping center in Madera. The Fresno start at about $1.20, said Fisher of CB Richard Ellis. “In newer areas like project will have 50,000 square feet of retail space anchored by a major depart- Riverpark and Fig Garden Village [two major shopping centers], rents can be ment store. Zinkin said he was talking to “the biggest retailers in the country,” add- anywhere from $2 to $2.50 per square foot.” Commercial leasing rates in the most ing that construction on the shopping center will begin in the next six months. coveted parts of up-and-coming Madera range from $1.25 to $1.65, said Fisher, All this expansion in the region, however, is not likely to come without costs. adding that Visalia rents are $1.80 to $2. Leland Shapiro, a professor in the agriculture and natural resources depart- Visalia is the town where most new retailers have been opening in Tulare ment of Pierce College in Woodland Hills, Calif., said that agriculture eventually County, said Paul Saldana, president and chief executive offi cer of the Tulare will be pushed out of the Central Valley, creating a trade imbalance and forcing County Economic Development Corp. “In the last couple of years, we’ve had the U.S. to import the commodities grown in the region. well over 2 million square feet of retail commercial space that’s been added “When building homes, you often destroy the part of the land where the soil to the county, varied in size and type,” he said, listing Home Depot, Target comes off the rivers,” Leland said, “and that’s the land best suited to growing the best crops.” Irrigation also poses problems. “It takes a lot of water to grow food, but so many people are moving into California, there’s competition for the water,” Leland said. “But if you take water away from the farmer, you have to pay for [food] as an export.” Developers eyeing the Central Valley may meet some resistance from envi- ronmental groups when encroaching on existing farmland, though frequently the farmers themselves are selling to developers for top dollar. And if growth continues here at even a fraction of its current pace, retailers would be wise to expect an increasingly savvy consumer to surface in the Central Valley communities. “The local customer is becoming more sophisticated,” said Manuela Frignani- Perkins, co-owner of Angelica Haley at Riverview Shopping Center, which opened in 2004. “However, it takes a lot of education. You have to nurse your clientele and educate them about the brands.” Metropark, an 11-door young contemporary chain owned by Hot Topic, opened in Fresno’s Fashion Fair mall in December. “There happens to be a lot of disposable income in Fresno,” said Renee Bell, vice president and general merchandise manager. “We had an inclination that they would be hungry to shop.” Helena Etchart-Tin opened her third women’s apparel specialty store, What’s Up Europe? Exclusive Designs, in Visalia last year. The retailer, who was raised in Milan, agreed that the Central Valley consumer is evolving. “People [here] who really go to events used to go to buy [apparel] in San Francisco. They never bought in Visalia,” she said. “Then it changed a lot, start- Angelica Haley, which stocks designer apparel from Prada, Gucci and Blumarine, opened in ing a few years ago. This area is growing so much and it’s changing the type of life 2004 at Fresno’s Riverview Shopping Center. that is here — it’s an incredible environment.”

16 WWD, WEDNESDAY, MARCH 22, 2006

SECTION II WWD.COM

CALIFORNIA IN DEPTH San Francisco Bounces Back With the dot-com bust well behind them, the city’s shopping districts are booming again.

By Joanna Ramey SAN FRANCISCO — This iconic city of steep hills and striking bay views is also resilient, and its economy is finally emerging from the withering effects of the dot-com bust and 9/11 terrorist attacks. The business climate here has strengthened, particularly in the last 12 months, buoyed by the city’s retail, fi nancial and legal sectors and the second consecutive year of increased tourism, analysts said. Still, there are no expectations of a return to the late Nineties, when Internet start-ups in the Bay Area generated new wealth and consumer spending. Among the most visible signs of San Francisco’s changing fortunes is Union Square, the city’s main retail neighborhood, clustered around a palm tree- bordered piazza and extending for 36 square blocks. Neiman Marcus is expanding and Nordstrom and Macy’s have spruced up. The area also has welcomed Swedish fashion-for-less chain H&M and Forever 21. The improved economic forecast comes as Bloomingdale’s is set to open its fi rst San Francisco store this fall, on Market Street downtown, in the expanded Westfi eld San Francisco Centre, where it will join Nordstrom and 111 new specialty stores. Upscale sportswear phenom Juicy Couture is to bow in August on nearby Grant Street, with European luxury pur- veyors Bottega Veneta and Hermès as neighbors. And Barneys New York continues to scout space in the Union Square is city, a company spokeswoman said. San Francisco’s “San Francisco is on the upswing,” said Keitaro retail epicenter. Matsuda, senior economist, Union Bank of California, citing the city’s 4.7 percent unemployment rate in January — the latest fi gure available — compared “There were so many retail space vacancies after As newcomers face off, ensconced rivals are ratch- with 4.9 percent for all of California. Neither rate is the dot-com bust and 9/11 [that] it was easy to pick up eting up. At Macy’s on Union Square, which is the seasonally adjusted. retail leases relatively cheap,’’ said Nathan Nayman, chain’s West Coast fl agship, the fi ne jewelry, watch A year ago, 5.6 percent of the city’s workforce was executive director for the Committee on Jobs, a and handbag departments have been expanded and jobless, compared with 8 percent in 2003 and 3 per- coalition of some of San Francisco’s largest employ- made easier to navigate. The front door has been cent in 2000. ers, including Levi Strauss & Co., Gap, Wells Fargo relocated from a side street to the plaza. The second- Business and leisure travelers are key economic and Charles Schwab. “That’s not the case now.” fl oor shoe department has been redesigned with a bellwethers here, generating one-third of the city’s In the late Nineties, demand for retail space also comfy living room-like feeling. retail sales, according to the offi ce of Mayor Gavin was intense. “The joke was, if LVMH doesn’t want “On a busy Saturday, I can have 100 sales staff” in Newsom. So there was anxiety when hotel occupancy a space, call Gucci,” said Seth Nodelman, Union the shoe department, said Lori Randolph, the man- rates plummeted to 65 percent in 2002 from an his- Square broker for Cushman-Wakefi eld. ager of Macy’s on Union Square, which she said is toric peak of 82 percent in 2000, the height of the Prada’s dot-com-era ambitions involved buying 185 second in sales to the retailer’s Herald Square store dot-com rush, according to PKF Consulting, which Post Street, a block from the square, for $18.5 million in New York. advises the city’s visitors bureau. in 1996. The Italian luxury fashion merchant never Neiman Marcus, with a glass-covered front at Occupancy rates last year increased to 76.4 per- developed the property — even after hiring Dutch ar- Geary and Stockton Streets, is renovating its entire cent, a 4.1 percent boost from 2004, and the largest chitect Rem Koolhaas. He designed a steel-sheathed, 250,000-square-foot space. When completed this fall, gain since 2002, PKF Consulting added. This year 10-story structure covered with round windows that the store will be the largest in the 35-store Dallas- is the 100th anniversary of San Francisco’s greatest was to be one of Prada’s signature stores. The com- based luxury chain, a company spokeswoman said. comeback — from the earthquake and fi re that de- pany sold the property last year for $11 million to Changes to Neiman’s include creating individual stroyed most of the city — and occupancy rates are British real estate concern Grosvenor Group, which designer shops on the second fl oor with the ambience expected to reach 78 percent. is seeking a retail tenant. of boutiques for lines such as Valentino, YSL, Chado, “Even a small bump in the tourism economy can Across Post Street, Prada has kept a former Brooks Eskander and Donna Karan, said John Capizzi, vice make a difference in San Francisco,” said Stephen Bros. store, which is vacant, and is three years into a president and general store manager. Levy, director and senior economist with the Center 10-year lease, real estate brokers said. The company “It’s all for the luxury customer who understands for the Continuing Study of the California Economy, operates a store a block away on Geary Street, where luxury,” Capizzi said. Palo Alto. He said the city, which has fewer than neighbors include Gucci, Betsey Johnson and Lacoste. Nordstrom, four blocks from the square, cov- 800,000 people, is more dependent on tourists and “We’re evaluating potential growth opportunity in ers 350,000 square feet on Market Street. Four new conventioneers than other places in the nine-county the market,” a Prada spokeswoman said. “The current in-store boutiques are being built for designer la- Bay Area, including Oakland and San Jose. location is doing well.” bels Chloé, Missoni, Donna Karan and Armani. A Like most consumer spending in San Francisco, Vikki Johnson, president of Johnson Hoke Ltd., a Nordstrom spokeswoman declined to give sales, but sales of women’s apparel tracked the falloff in visi- commercial real estate broker, said average retail rents said the store is “in our top 10” in sales at the 155- tors and has rebounded, according to California gov- in the Union Square area are in excess of $200 a square store Seattle-based chain. ernment statistics. In 2000, merchants sold a then-city foot, about the same as in 1998, when the dot-com craze But Nordstrom isn’t the only San Francisco Centre record of $251.3 million worth of women’s clothing. By took off. Rents crested at more than $300 a square foot tenant to post big numbers, according to a spokes- 2002, sales for the category fell almost 9.6 percent to by early 2001. Johnson said rents fell in 2002 to less woman for the mall’s manager, Australia’s Westfi eld $227 million, before heading upward. By 2004, wom- than $200 a square foot before starting to edge up. Group. She said sales among the 70 specialty stores, en’s apparel sales set a new record of $257.7 million. “We’re right back to a very nice, healthier mar- excluding Nordstrom, increased 7 percent last year Final 2005 fi gures aren’t in, but women’s clothing ket, like we’ve springboarded from 1998 until now,” to $659 a square foot, well above the industry average sales were up 7.3 percent and 9.5 percent in the fi rst Johnson said, noting annual rent increases are about of $200 to $300 a square foot. “It’s among our best-per- and second quarters, respectively, compared with 4 percent. forming portfolios in the U.S.,” the spokeswoman said. the same periods in the previous year. A state spokes- Johnson said she has been in talks with Barneys to Westfi eld also is developing a $440 million addi- woman couldn’t provide quarterly dollar comparisons. locate the luxury store in a space on Stockton Street tion to the mall that will house the 357,740-square- Other retail sectors took larger tumbles during the once occupied by Joseph Magnin, a locally based con- foot Bloomingdale’s. The addition is expected to downturn: Men’s apparel sales dropped 18 percent in temporary fashion powerhouse that folded in 1984. A generate $600 million in annual sales and attract 25 2002 to $64.9 million from $74 million in 2000. Home Barneys spokeswoman declined comment. million shoppers a year, according to a presentation furnishings sales fell 25 percent in 2002 to $397.5 mil- In Union Square, H&M opened a 43,000-square- prepared for local tourism offi cials by Steve Eimer, lion from $532.3 million in 2000. foot store in December. It is the chain’s fi rst West vice president of development for Westfi eld. The Union Square district took a hit as many Coast location. Down the block, competitor Forever Richard Green, vice chairman of Westfi eld’s U.S. family-run retail shops, selling items such as cam- 21 opened in 2004 in a 27,500-square-foot space across operations, said the Union Square retail zone is eras, luggage and decorative arts, began to go out of from San Francisco-based Gap’s four-fl oor fl agship at “vital.… If you’re fortunate to fi gure out how to get in, business, said real estate brokers and executives. the corner of Market Street. it’s a must-be market.” PHOTO BY MORTON BEEBE/CORBIS MORTON PHOTO BY

18 WWD, WEDNESDAY, MARCH 22, 2006

SECTION II

CALIFORNIA IN DEPTH

JUNIORS: With A look ahead to the rising trends in six so many options of California’s key apparel categories. these days, it’s no wonder PYTs By Marcy Medina have a hard time What Next? getting dressed in the morning. Enter the latest in convenience SWIM: For a long while, swimwear was about all things fashion: the Rio; even Cali giants like Roxy were taking a cue from the “twofer,” two embellished mix-and-match teeny bikinis of Ipanema. But items attached now, the pendulum appears to be swinging back toward together for the ladylike, more modest styles of eras past. Lines like one price. Cali Nicolita are taking their designer Amy cues more from Esther Tan of Amy Williams and Rita Hayworth Gretchen Mol as Tangerine than from Gisele Bundchen. “The Notorious popularized the Designer Nicole Sainz said Bettie Paige.” short-sleeve her whimsical suits were over long-sleeve inspired by Forties-era T-shirt style Cuba, where her parents a few years grew up, and where Marlon back, and the Brando and Jean Simmons latest combo is tangoed the night away in a denim mini “Guys and Dolls.” Hollywood attached to a has always been a harbinger pair of leggings, of things to come, and this by It Jeans. Sure spring, actress Gretchen beats putting a Mol brings retro style back look together the to the big screen (and, no old-fashioned doubt, beyond), starring as Ashlee way, as Ashlee “The Notorious Bettie Page.” Simpson Simpson Here, Mol is shown as Bettie wears a demonstrates Nicolita’s Knotty — where else? — on the twofer. here. Nicolita bikini. beach in her pre-pinup days.

DENIM: Denim is softening up. Not with more stonewashing and rock tumble-drying, but in new, touch-me fabrics like fl eece and combed cotton. Brands like True Religion and Stitches are cutting their trusty denim silhouettes in knits, showing that there’s always room in the market for clothes How’s this for required reading? that are even more comfortable than jeans, yet less casual than a tracksuit. In fact, True Religion chief executive offi cer Jeff Lubell thinks his knit “jeans” with matching jackets will replace the ubiquitous comfort outfi t someday. “I was getting sick of the Juicy velour suit,” he said. LIGION BY CHRIS WEEKS/WIREIMAGE; MILLER BY TYLER BOYE TYLER BOYE CHRIS WEEKS/WIREIMAGE; MILLER BY LIGION BY

A very different kind of college. Over 30 years, over 30,000 graduates. Call us. 800.624.1200 www.fidm.edu The Fashion Institute of Design & Merchandising

True Religion Knits hopes to replace the tracksuit. SIMPSON PHOTO BY BRIAN FLANNERY/BAUER; “BETTIE PAIGE” BY ABBOTT GENSER, ©2005 PICTUREHOUSE; NICOLITA BY DIMITRI NEWMAN; TRUE RE BY ABBOTT ©2005 PICTUREHOUSE; NICOLITA BY GENSER, “BETTIE BRIAN FLANNERY/BAUER; PAIGE” SIMPSON PHOTO BY WWD, WEDNESDAY, MARCH 22, 2006 19

WWD.COM

Hudson’s CONTEMPORARY: Lines in the SURF: The waters of the California coast rarely get above Antique O’Neill’s upmarket category are fi nding jeans for 70 degrees, and surf bunnies need to keep warm. But a wet new revenue by tapping into the suit is no longer just about body heat. The full-length seal Surfkini mother and Mommy and Me set. Everyone from and child. suits have been getting girlier, with fl ashes of color and hip Juicy Couture (sportswear) graphics. And the classic short-sleeve rash guard and board Thinskin to L Space (swim) to Hudson short combos have become decidedly more sexy. Still, shorts. (denim) is expanding into technical companies like O’Neill are staying true to their kids’ clothes. If you thought core customers by refusing to sacrifi ce function for fashion, mini-me outfi ts were already opting for a happy maxed out price-wise, get marriage of the ready for more. For those two with the who aren’t willing to break introduction of a the bank for baby’s play Surfkini tankini- clothes, there’s always the style top and hip- Cali-born mainstay, hugging Thinskin Baby Gap. shorts.

Sienna Miller wore Thomas Wylde to the Vanity Fair Oscar party.

DESIGNER: No wonder the bar is set high in this category. California has spawned design talents like Bob Mackie, Richard Tyler, Kevan Hall and Louis Verdad. And the ladies — Michelle Mason, Erica Davis and Jenni Kayne — aren’t too shabby, either. The latest designer phenom to hit Hollywood is Thomas Wylde, the label founded and designed by former model and Julien MacDonald muse Paula Thomas. Decidedly more rock ’n’ roll than red carpet, it’s nonetheless a brand of glamour that’s been embraced by stylemakers from Cher to Charlize Theron. Thomas Wylde’s most recent fan is a girl who knows a thing or two about style herself: Sienna Miller. CLASS ACT

WWDFAST College Issue Coated-Stock Magazine: April 27 Close: March 23 Students today are turning trends into profits for retailers and manufacturers — their spending power exceeds $41 billion. The college issue provides insight into the attitudes and purchasing power of this new crop of fashion-conscious consumers. Find out where they shop and who they consider to be their style icons and favorite designers.

Only WWD editors have the authority to go on campus and make the grade with the college market. Showcase your brand among the key influencers that impact the college consumer.

For more information, contact Gus Floris, associate publisher, New York, at 212-630-4636; Deborah Levy, senior account manager, West Coast, at 323-951-1803; Elizabeth Haynes, European advertising director, Paris, at 33-1-44-51-13-03, or Elena DeGiuli, account executive, Milan, at 39-02-7600-3926. WWDMediaWorldwide®