SWITCHING END NOTE TEAMS THE OSCARS MAY HAVE BEEN MEGA-LONG, SUZY MENKES IS BUT THAT DIDN’T STOP LEAVING THE NEW YORK CELEBRITIES FROM TIMES TO JOIN CONDÉ PARTYING INTO THE NAST INTERNATIONAL. WEE HOURS. PAGE 10 PAGE 7 FASHION’S NEW FRONTIER European Brands View U.S. as Growth Market By MILES SOCHA PARIS — By the dawn’s early light, Europe’s biggest luxury players can see a wealth of expansion poten- tial in the United States in 2014 — and beyond. “Excellent” is how Christian Dior chief executive offi cer Sidney Toledano described the business out- TUESDAY, MARCH 4, 2014 ■ $3.00 ■ WOMEN’S WEAR DAILY look Stateside. WWD “It’s not only that the American consumers are confi dent and buying more. On top of that, the U.S. is attracting more tourists, from Europe, Brazil, Russia, China. We strongly believe in the American market. This is why we decided to show the cruise in New York,” he said, also noting Dior would join the SoHo juggernaut and open a women’s boutique in the down- town Manhattan neighborhood this fall. Dior is to parade Raf Simons’ next collection in Flashy Manhattan on May 7, the fi rst of what is sure to be a slew of high-profi le fashion events in America this year. Later the same month, Hermès plans to stage its fi rst fashion show in the U.S., fl ying in about 800 of its best customers from across the country for an event in New York that will exalt its universe of women’s products. While in recent years, management attention at Point Europe’s big luxury fi rms has been fi xated on China and Dressed in short, snappy its explosive growth — telegraphed by a fl urry of fash- and shiny silhouettes, ion shows, store openings and exhibitions — a temper- ing of demand on the Mainland has shifted brands’ gaze fall’s Saint Laurent back to more traditional markets, particularly America. girl took a walk down “The U.S. is a high-potential market,” said Robert Chavez, president and ceo of Hermès USA, noting the Carnaby Street. Hedi business in 2014 “continues to be very steady, very solid.” Slimane delivered a He said a buoyant stock market, growing popula- charming collection for tion, and new pockets of wealth emerging from high- tech industries augur well for the future, even as the house, one that some analysts warn of moderated growth in luxury revolved around many after several years of swift expansion. impressive outerwear “The potential is defi nitely there,” Chavez said, stressing that local clientele in cities including Boston, options. Here, his luxe fur worn over SEE PAGE 8 a shimmering minidress. For more from the Paris Fast Shares Climb collections, see pages 4 to 6. On J. Crew Reports By VICKI M. YOUNG and KELLY WETHERILLE INVESTORS IN TOKYO liked the idea of Fast Retailing Co. Ltd. acquiring American retailer J. FALL 2014 Crew Group Inc. Shares of Fast Retailing, Asia’s largest apparel re- PARIS tailer, rose 1.2 percent on Monday to close at 35,480 yen, or $348.46 at current exchange, on a day that saw COLLECTIONS the Nikkei 225 shed 1.3 percent. Fast Retailing is said to be in the early stages of discussions to acquire J. Crew from TPG and Leonard Green & Partners in a deal that could be valued at up to $5 billion. According to sources, a transaction could be completed within the next two months. Other fi rms are said to be eyeing J. Crew as well, and its owners are said to be continuing to evalu- ate the possibility of an initial public offering for the chain. Over the weekend, Reuters reported that South Korean fashion company E-Land Group was also interested in buying J. Crew but a spokesman for E-Land has since issued a denial. He said Monday that the report was untrue and the company has “no plans” to buy J. Crew. E-Land’s assets include K-Swiss, Coccinelle and Mandarina Duck. Analysts generally applauded the thought of a Fast Retailing/J. Crew combination. Euromonitor International’s apparel analyst Ashma Kunde said, “With Fast Retailing’s target of becoming the world’s largest apparel retailer by 2020, and hoping to reach the number-one spot in the U.S., the company could not have picked a more suitable target.” PHOTO BY GIOVANNI GIANNONI SEE PAGE 8 2 WWD TUESDAY, MARCH 4, 2014 WWD.COM Meichner Exits Ralph Lauren THE BRIEFING BOX of Black Label, Purple Label, fine jewelry, eyewear, IN TODAY’S WWD By DAVID MOIN timepieces, handbags, RRL and fragrance. Also last month, Saks Fifth Avenue’s executive NEW YORK — Change continues to sweep through vice president and chief marketing officer, Denise the top ranks at Ralph Lauren Corp. Incandela, joined Ralph Lauren as president of global WWD has learned that Wayne Meichner, presi- digital and global e-commerce, replacing Eric Korman. Paris Fashion Week dent and chief operating officer of Ralph Lauren In the fall there was another dramatic move. street style. For more, Retail Group, will be leaving the company, and that Jackwyn Nemerov was promoted to president and see WWD.com. Joy Herfel has been promoted to group president of chief operating officer, succeeding Roger Farah, who wholesale and retail for the Americas, a new position. became executive vice chairman. Nemerov is respon- Herfel, a 25-year veteran of Ralph Lauren, has sible for global merchandising, manufacturing and been group president of men’s wear and children’s supply chain operations, as well as the company’s re- wear since 2009. She has been responsible for all tail, wholesale and licensing businesses worldwide. men’s brands, including Purple Label, RLX, golf At that time Lauren formed an office of the chair- and women’s golf and for all children’s brands. man, led by him, that included Farah, Nemerov and Two other key changes shook the ranks last Christopher Peterson, executive vice president and month. Valérie Hermann, former president and chief chief financial and administrative officer. Hermann is executive officer of Reed Krakoff, was tapped to be now also part of the office of the chairman. DABROWSKI president of Ralph Lauren Luxury Collections, an- A spokesman for Ralph Lauren said other new post. Hermann will join the company in Meichner’s departure is months away, possibly KUBA April and report directly to Ralph Lauren, chairman six. He had no information on Meichner’s plans. BY and ceo. When Hermann was selected, Lauren noted Meichner joined Polo in 2002 and had worked for PHOTO that the luxury part of the business has grown to a Saks Fifth Avenue for 23 years, ultimately rising point where it deserved its own focus. Hermann’s through the ranks to become the retailer’s execu- role will be an extensive one, giving her oversight tive vice president of merchandising. Europe’s biggest luxury players can see a wealth of expansion potential in the United States this year — and beyond. PAGE 1 Investors in Tokyo liked the idea of Fast Retailing Co. Ltd. Levi’s Bergh’s Compensation Drops in ’13 acquiring American retailer J. Crew Group Inc. PAGE 1 percent revenue rise to $4.68 billion. Bergh noted Wayne Meichner, By ARNOLD J. KARR president and chief operating officer of Ralph when the company reported fourth-quarter results PAGE 2 last month that 2013 was the first year in five in Lauren Retail Group, will be leaving the company. CHIP BERGH, president and chief executive offi- which Levi’s “delivered operating profit and sales Levi Strauss & Co. cer of Levi Strauss & Co., saw his total compensa- growth at the same time.” chief executive officer Chip Bergh saw his PAGE 2 tion slip by more than a quarter in 2013 while the In its annual report filed with the Securities and cash pay rise but his total compensation fall in 2013. cash portion of his pay package rose almost 30 per- Exchange Commission last month, Levi’s also re- cent to $3.5 million. ported compensation for other executive officers. Ascena Retail Group Inc. posted a 32 percent drop in net Bergh, who joined Levi’s in September 2011, saw Harmit Singh, who joined the firm as chief finan- earnings for its second quarter. PAGE 2 his salary grow 3.3 percent to $1.2 million last year cial officer in January 2013, earned $2.9 million, and his cash bonus — or nonequity incentive plan while Anne Rohosy, president of the Americas re- Suzy Menkes will move from the International New York Times compensation — grow 50.5 per- gion, made $2.7 million. James to Condé Nast International, where she will become a critic and cent to $2.3 million, putting the Curleigh, who joined the firm in reporter for all the international Vogue Web sites. PAGE 7 total amount of his cash compen- July 2012 as president of the glob- sation for the year at $3.5 million, al Levi’s brand, earned $2.2 mil- There was no shortage of too-cool-for-school musicians at the 29.5 percent above the $2.7 mil- $3.5M lion, and Roy Bagattini, brought Saint Laurent show in Paris, but for sheer rock ’n’ roll attitude, it lion collected in 2012. in as president of the Asia-Pacific was hard to beat Alex Turner and Miles Kane. PAGE 7 His option awards slid 42.7 TOTAL AMOUNT OF LEVI’S region in June, brought in $2.1 percent to $5.8 million from $10.2 million.