GARRARD’S SOHO GEM/8 SHOPPING FOR SPRING/5 WWDWomen’s Wear Daily • The Retailers’MONDAY Daily Newspaper • March 15, 2004 • $2.00 Accessories/Innerwear/Legwear The Gamine PARIS — The Valentino woman is usually one of the most feminine around. But this season, her favorite designer took a different tack, saying that his collection was inspired by Helmut Newton’s photography and Rainer Werner Fassbinder’s black-and-white films. The result: gender-bending clothes, often in that high-contrast palette. Here, Valentino’s gamine à la Colette: a delicate white lace blouse, short black jacket, tie pinned with a bold brooch and contrasting white pants. For more of the season’s girls-will-be-boys looks, see pages 6 and 7. Aiming at the Bull’s-Eye: Target Move Signals New Strategy in Retail By Lisa Lockwood NEW YORK — Focus, not diversity. That seems to be the growing trend in retail, signaled by Target Corp.’s disclosure last week that it has hired Goldman Sachs to review “strategic alternatives” for both its department store divisions, Marshall Field’s and Mervyn’s. Federated Department Stores could emerge as the likely candidate to swoop up Marshall Field’s — giving Federated a strong foothold in the Midwest — but May Department Stores might give it a run for its money, said industry experts. Some believe Mervyn’s is more apt to be See Target’s, Page12 PHOTO BY GIOVANNI GIANNONI GIOVANNI PHOTO BY 2 WWD, MONDAY, MARCH 15, 2004 WWDMONDAY Movado Net Ticks Up 11.2% Accessories/Innerwear/Legwear By Ross Tucker Management is currently fo- cused on returning Ebel to prof- FASHION NEW YORK — Strong sales itability, a move that will require Jackets and pants that suggest women in men’s clothing and walk-on-the- across all its brands propelled significant restructuring. Richard 6 wild-side rockabilly styles provide a contrast to fall’s flowery sweetness. Movado Group Inc. to double- Cote, executive vice president digit earnings growth for its and chief operating officer, said fourth quarter and year. during the call that losses at Ebel GENERAL For the three months ended were in excess of $15 million last Some see Target Corp.’s decision to sell its Marshall Field’s and Mervyn’s Jan. 31, the Paramus, N.J.-based year. As part of its restructuring 1 units as a sign that the era of retail conglomerates is coming to an end. timepiece manufacturer saw efforts, Movado has already elimi- earnings expand 11.2 percent to nated 70 employees from Ebel’s INNERWEAR: Luxury lingerie firm La Perla has opened its third boutique in $6.2 million, or 49 cents a share, For the year, operations in Switzerland, which 10 Manhattan, in the trendy Meatpacking District. compared with earnings of $5.5 Movado translates into a 40 percent re- ACCESSORIES: British crown jeweler Garrard is arriving in Manhattan this million, or 46 cents, in the same earnings rose duction in workforce. 8 Thursday, with a club-like and cosy jewelry salon at 133 Spring Street. period a year ago. Sales ticked to $22.9 million. Management expects that up 16.6 percent to $92.7 million. costs associated with Ebel will Strong sales across all its brands propelled Movado Group Inc. to double- Eugene Karpovich, senior ues to be well received,” said reduce earnings by 10 to 20 2 digit earnings growth for its fourth quarter and year ended Jan. 31. vice president and chief finan- Grinberg. “For example, the cents a share this year, but an- Maxwell Shoe Co.’s board rejected the unsolicited bid by Jones Apparel cial officer, said during the com- Movado diamond engagement ticipates the brand making posi- 11 Group to acquire it, calling the $20-per-share offer “financially inadequate.” pany conference call that all ring had an average selling price tive contributions in 2006. segments and brands had of $7,000.” For the year, earnings rose W.L. Ross & Co.’s bid to acquire Cone Mills was approved and new owner achieved year-over-year in- During the quarter, ribbon-cut- 13.9 percent to $22.9 million, or 11 Wilbur Ross is heading to North Carolina to give employees the lowdown. creases, with double-digit gains ting ceremonies were conducted $1.84 a share, from $20.1 mil- Fifteen sub-Saharan African textile and apparel associations and four in the Concord, Tommy and for seven boutiques, bringing the lion, or $1.65 a share, in the pre- 2 European groups have joined a coalition calling for an extension of quotas. Coach segments. total number of stores in opera- vious year. Sales for the year Efraim Grinberg, president tion to 17 nationwide. ramped up 10 percent to $330.2 EYE: Talking with Anne Heche about her new Broadway play, “Twentieth and chief executive officer, said The biggest task now facing million. Boutique stores en- 4 Century,” and the virtues of her Nu Bra...a San Francisco scoop. during the call that the compa- management is tackling the in- joyed a 20.1 percent comp-store ny’s Tommy Hilfiger brand alone tegration of Ebel, the Swiss lux- sales increase. Classified Advertisements ..................................................................18-19 experienced a 65 percent sales ury watchmaker the company Following the earnings re- To e-mail reporters and editors at WWD, the address is increase to over $18 million. acquired from LVMH Moët lease, the company announced [email protected], using the individual's name. The company’s boutique Hennessy Louis Vuitton for $47 that its board had declared a 2- WOMEN’S WEAR DAILY IS A REGISTERED TRADEMARK OF FAIRCHILD PUBLICATIONS, INC. COPYRIGHT ©2004 store concept also continues to million in cash last December. for-1 stock split, citing the com- FAIRCHILD PUBLICATIONS, INC. ALL RIGHTS RESERVED. PRINTED IN THE U.S.A. show strength, with jewelry of- Ebel, founded in 1911, is best pany’s generation of more than VOLUME 187, NO. 54. WWD (ISSN # 0149-5380) is published daily except Saturdays, Sundays and holidays, with one additional ferings accounting for an ever- known for its high-end, often be- $150 million in operating cash issue in January, May, June and November; two additional issues in February, April, September, October and December; and three additional issues in March and August, by Fairchild Publications, Inc., a subsidiary of Advance Publications, Inc. PRINCIPAL OFFICE: 7 larger portion of sales. For the jeweled, women’s watches that flow over the past five years. West 34th Street, New York, NY 10001. Shared Services provided by Advance Magazine Publishers Inc.: S.I. Newhouse, Jr., Chairman; quarter, comparable-store sales sell for $1,500 to $10,000. The The board also declared a 33.3 Steven T. Florio, Vice Chairman; Charles H. Townsend, C.O.O.; John W. Bellando, Executive Vice-President and C.F.O.; Jill Bright, increased 15.1 percent. brand is sold in more than 1,800 percent increase in pre-split Executive Vice-President_Human Resources; John Buese, Executive Vice-President_ Chief Information Officer; David Orlin, Senior Vice-President_Strategic Sourcing; Robert Bennis, Senior Vice-President_Real Estate; David B. Chemidlin, Senior Vice- “Our focus on jewelry contin- doors worldwide. dividend to 8 cents a share. President_General Manager, Advance Magazine Group Shared Services Center. Periodicals postage paid at New York, NY and at additional mailing offices. Canada Post Publications Mail Agreement No. 40032712. Canadian Goods and Services Tax Registration No. 88654-9096-RM0001. Canada post return undeliverable Canadian addresses to: P.O. Box 1632, Station A, Windsor, ON N9A7C9. POSTMASTER: SEND ADDRESS CHANGES TO WOMEN’S WEAR DAILY, P.O. Box 15008, North Hollywood, CA 91615-5008. 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Occasionally, we make our subscriber list available to carefully WASHINGTON — The coalition tion, but said the phaseout is ir- members would have to unani- 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, please advise us at P.O. Box 15008, North Hollywood, CA 91615-5008 or call 800-289-0273. of apparel and textile associa- revocable, as reported. In addi- mously approve an extension of WOMEN’S WEAR DAILY IS NOT RESPONSIBLE FOR LOSS, DAMAGE, OR ANY OTHER INJURY TO UNSOLICITED tions calling for an extension of tion, the U.S. has notified the apparel and textile quotas. MANUSCRIPTS, UNSOLICITED ART WORK (INCLUDING, BUT NOT LIMITED TO, DRAWINGS, PHOTOGRAPHS, AND quotas set to expire at the end WTO of its commitment to the “Textile and apparel groups TRANSPARENCIES), OR ANY OTHER UNSOLICITED MATERIALS. THOSE SUBMITTING MANUSCRIPTS, PHOTOGRAPHS, ART WORK, OR OTHER MATERIALS FOR CONSIDERATION SHOULD NOT SEND ORIGINALS, UNLESS SPECIFICALLY REQUESTED of the year just got a lot bigger.