Weekly Shop Report
A little extra light in the day lends time to write way more news, this week...in shopping.0
If you can take a break from your busy sample-sale watching schedule, we have the news this week…in shopping. There are buyouts, sales, losses, fashion week wrap ups and a spat between the U.S. and China over currency. Oh, and Burberry Prorsum in 3D.
First up, fashion mega mogul Phillips-Van Heusen Corp. (Calvin Klein, BCBG Max Azria, MICHAEL Michael Kors, Izod, Kenneth Cole – you get it) announced Monday their acquisition of Tommy Hilfiger for a cool $3 billion. Along with the all-American brand came rising stock prices, and PVH closed yesterday at $53.78 on the NYSE. (And it’s a good thing because apparently that acquisition came with millions in liabilities and other big legal words that mean it cost PVH quite a few Benjamins.) Tommy Hilfiger intends to keep focus on their North American strategy, focusing on Macy’s and their outlets, and incorporate an international strategy later this year.
Not the best times for designers keeping track of it. Bulgari announced a $65.4 million loss for 2009. Movado – the preferred timepiece of the Jersey Shore – expects even higher fourth quarter losses just shy of $25 million. The week isn’t faring well for a few sad players on this week’s stock wrap. Consistent losers – Zale, Crocs, Bon Ton, and Liz Claiborne finished in the red. Holding down the fort for team black were Bluefly, French Connection (who is selling Nicole Farhi btw), Quicksilver, Syms, American Apparel and the aforementioned Phillips-Van Heusen.
Globally, America and communist China can’t get along. This week members of Congress are drawing attention to China’s shady currency policies which hurts American manufacturers because it undervalues exports, making them cheaper and creating an unfair advantage for cheaper Chinese exports. We aren’t sure why this was news. Have they been to Canal Street? Anyway, the fashion industry could benefit from figuring this out to mute export prices in overall product manufacturing costs.
Phew… A little extra light in the day lends time to write way more news, so we’ll leave you at that and leave you to your sample sale shopping.
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