NEWSPAPER 2ND CLASS $2.99 VOLUME 69, NUMBER 20 MAy 10–16, 2013 THE VOICE OF THE INDUSTRY FOR 68 YEARS BLTEE by Brian Lichtenberg Takes Off at Kitson By Andrew Asch Retail Editor What’s in a name? For Los Angeles fashion designer Bri- an Lichtenberg, it’s a multi-million-dollar T-shirt line. One of Lichtenberg’s biggest fashion sellers this year began as something of a spoof on words. A few years ago, he started selling a T-shirt splashed with “Homiés,” which mocks the logo of French heritage brand Hermès. The Homiés T-shirt is part of his new label, BLTEE by Brian Lichtenberg, which includes sweatshirts and caps. Homiés shirts have been sported by in-crowd people such as music star Rihanna and leading model Cara Delavigne, leading to a flurry of sales. At the hip, upscale Los Angeles boutique chain Kitson, Homiés T-shirts have emerged as one of the company’s top ➥ Brian Lichtenberg page 8 Forever 21 Sues Discount Stores for Trademark Infringement By Deborah Belgum Senior Editor Los Angeles fast-fashion retailer Forever 21 is suing several jobbers and discount apparel stores in a case that could have resounding effects on the off-price merchandise market. In a federal case filed in U.S. District Court, Forever 21 is trying to recuperate hundreds of thousands of dollars from David’s Place Off Price Clothing Co., Seven Lions, Damo Textile and Y.M.I. Jeanswear for selling merchan- dise that had been ordered by Forever 21 and then canceled by Forever 21 after the goods were made by apparel facto- ries. All four companies are located in Los Angeles. Also named in the lawsuit is Gabriel Brothers, a West Vir- SUITING UP ➥ Forever 21 page 9 INSIDE: Betsy Heimann of Where fashion gets down to business SM Western Costumes was the mentor for this outfit, created by students at Otis. 2 8 For more looks from the Nielsen Expositions sold ... p. 2 school’s annual fashion In-house fabric warehouse opens ... p. 3 show, see page 6. West Coast Manufacturing Conference ... p. 4 New Resources ... p. 7 Trade Show 2013 ... special pullout section VOLKER CORELL www.apparelnews.net Bigger, sharper pictures! See our new Fashion Galleries at 01.8.9.cover.indd 1 5/9/13 6:06:57 PM NEWS Guess Wins Gucci Lawsuit in Italy Trade Show Los Angeles lifestyle brand Guess Inc. has Gucci vowed to appeal the decision, noting Guess, said, “In my opinion, the three-year Producer Nielsen won the second round in a series of trademark that Guess’ use of G logos is “unlawful and battle in New York and four years in Milan was cases it has been battling with Gucci. parasitic free-riding on Gucci’s trademark and, a result of massive and unnecessary litigation On May 2, an Italian court issued an 83- in general, its brand image.” that should have been easily resolved with a Expositions Sold page ruling that rejected Gucci’s claim that This is the second time the two big-name simple phone call, which Gucci never made.” San Juan Capistrano, Calif.–based Nielsen Guess had infringed on the Italian luxury brands have squared off in court. Last May, the He added: “The tactics of Gucci are noth- Expositions, the producer of the prominent brand’s designs and logo. two entities were in federal court in Manhattan ing less than bullying. Because of their endless Outdoor Retailer trade show, was acquired In addition, the court ruled that Gucci’s in a similar suit. Gucci won that case in U.S. Dis- resources, Gucci has been forum shopping all by Onex Corp. for $950 million. diamond pattern, G logo and “Flora”-pattern trict Court. Judge Shira Scheindlin awarded Gu- over the world to try and stop Guess from ex- The Toronto-based Onex is a private-eq- trademarks registered in Italy and the European cci $4.66 million in damages, a small portion of panding its successful accessories business. It’s uity fund that manages $15 billion in assets. Union be cancelled and that the Guess “Quat- the $220 million the Italian company had been fundamentally wrong and unconscionable.” Its ownership will help the trade show com- tro G-diamond” pattern is not a replica of the requesting from the Los Angeles company. Gucci has ongoing suits against Guess in pany expand, said David Loechner, president Gucci double-G pattern. Paul Marciano, chief executive officer of China and France.—Sarah Wolfson of Nielsen Expositions, whose company an- nounced the acquisition on May 6. “We look forward to working with Onex to execute our strategic plan and to continue to Urban Outfitters Coming to the Historic Rialto Theatre in Downtown LA grow the business to better serve the exhibitors and attendees who participate in our events, all Urban Outfitters is living up to its name. Urban Outfitters pledged to restore the while providing a seamless, business-as- It’s going really urban. the Rialto and its marquee, which is usual transition for our clients and associates,” The Philadelphia-based retail chain an- considered an icon in downtown Los Loechner said in a statement. nounced on May 2 that it is opening up a large Angeles. The theater opened in 1917 Nielsen Expositions produces 65 trade store inside the nearly 100-year-old Rialto with a showing of the silent film “The shows and conferences for businesses in the Theatre, located on Broadway, a downtown Garden of Allah,” which was accom- sports, hospitality, building, jewelry, military Los Angeles street targeted for revitalization. panied by an original score performed and apparel industries. The 9,830-square-foot store will open by the by the Quinn Symphony Orchestra Outdoor Retailer attracts action-sports ven- end of 2013. under the direction of the score’s dors and retailers to its biannual event, which John Hauser, Urban Outfitters’ chief offi- composer, Joseph Carl Breil. is scheduled to run July 31–Aug. 3 and, again, cer of brand experience, said his company had Inside the store, there will be vari- SHOWTIME: A rendition of the new Urban Outfitters store Jan. 22–25, 2014, in Salt Lake City. been scouting the neighborhood for a while. ous design details, such as a conces- in downtown LA Nielsen made waves in 2010 when it shut- “We had been looking at downtown LA sion stand–inspired cash wrap with glass fronts movie house, with one of the longest marquees tered the prominent Action Sports Retailer for several years, watching what was happen- and tops, a projection screen, steel mesh stairs, in downtown Los Angeles, faded a long time trade show in San Diego. For 29 years, ASR ing and where. When we decided the time was and an exposed wood truss structure. ago. In recent years, the building has been shut- had been a popular show for surfwear and right to open an Urban Outfitters, the Rialto The retailer developed a similar project in tered, but the front has several low-end stores skatewear labels. Nielsen said it closed the Theatre on Broadway was the perfect loca- Charleston, S.C., when it renovated the Gar- that populate it. show because of declining attendance. tion,” Hauser said. den Theatre and turned it into an Urban Out- In recent years, Los Angeles City Coun- According to a company statement, 240 When the new Urban Outfitters opens at fitters store. The chain runs 35 permanent loca- cilman José Huizar, whose district includes employees work for Nielsen Expositions. In 812 S. Broadway, it will sell the chain’s unique tions in California. Broadway, has been fighting to revive the 2012, it generated revenues of approximately men’s and women’s fashions along with its The Rialto Theatre has been a sad pres- street. $183 million.—Andrew Asch lifestyle product. ence on Broadway. Its once-great heyday as a The councilman’s “Bringing Back Broad- way” initiative plans to attract more retailers to the street with a trolley going up and down the Earlier this year, Ross Dress for Less thoroughfare and more higher-end restaurants opened in a more than 90-year-old building at and stores. 719 S. Broadway. Huizar worked with Urban Outfitters to take Downtown Los Angeles is not only grow- over the faded structure. “Buildings are being ing its retail, but the area is a hub for hip and brought out of decades of dormancy,” Huizar happening residents who want to live in a com- said.” I have no doubt in the coming months pact urban hub and walk to work. A number and years this momentum will continue to of upscale restaurants have been popping up to build a Broadway that is active from storefront accommodate this new population. to rooftop, day and night.” Kent Smith, executive director for the Los While downtown Los Angeles has long Angeles Fashion District Business Improve- been considered a candidate to be the next ment District, said the area has the kind of res- fashionable neighborhood, it is quickly becom- idents needed to support an Urban Outfitters. ing true. The hip boutique hotel chain Ace Ho- More than 15,000 people live in the historic tel is scheduled to open a downtown location sections of downtown Los Angeles, where old- near the corner of Broadway and East Ninth er buildings have been revitalized into artists’ Street by the end of this year. lofts and condos. Broadway is the latest street Prominent contemporary label Acne to undergo a metamorphosis. “The street has Studios announced recently it will open a reached a tipping point,” Smith said.