WWD Jan 14 - Wwrsd.org

DAILY EDITION 14 JANUARY 2016 1
Making a Move
Fashion. Beauty. Business.
Saint Laurent’s fall men’s
show is moving to L.A.,
while rumors persist that
Hedi Slimane could make
his own move. Page 3
FASHION
Divine Novelty
For pre-fall, Maria Grazia Chiuri and Pierpaolo Piccioli raised the bar with a stunning
collection for Valentino, invoking references to Japan and New York with couture-worthy
opulence and craftsmanship. For more from Valentino and pre-fall, see pages 5 to 8.
Core Issues
Textile show organizers
were buzzing about the
U.S. market and currency
fluctuations. Page 4
Bebe on Bowie
Bebe Buell remembers
a young David Bowie at
Max’s Kansas City. Page 13
RETAIL
Sea-change
In Consumer
Behavior:
Retailers Need
To Catch Up
● It’s anything but business as
usual for America’s fashion
retailers.
Photograph by Thomas Iannaccone
BY DAVID MOIN
It’s a new year and fashion retailers are in
deep analysis.
After getting pounded by warm weather,
stock market gyrations, diminishing
tourism, consumer lethargy and furiously
discounting to clear excess inventories, they’re fretting over the impact on
fourth-quarter margins. Sales numbers
may tally up at expected modest levels or
under in some cases, but profits could be
a sadder story that comes to light when
quarterly results are reported next month.
It’s unanimous that holiday 2015 was
tough and served as a wake-up call for
how to approach the future and how to
compel fickle consumers to buy apparel
again. There’s no question that after a
difficult year, retailers will make serious
adjustments that include the re-examination store fleets, technology initiatives,
real estate holdings, product offerings,
inventory levels and head-counts.
Here, in broad strokes, key industry
figures give recommendations on how
to think about the future, cope with the
accelerating pace of change, and reshape
the business model for better results.
Terry Lundgren, chairman and chief
executive officer, Macy’s Inc.: “Department stores must be a place for customers
to come and get away from the everyday
challenges of their lives, and to be entertained when they shop.”
Stephen M. Ross, chairman and
majority owner, The Related Companies: “All retail has hit a wall. Retail is
probably the greatest form of entertainment. It has to be a place where people
feel they are being entertained. So much
buying is done online today, so you go
[brick-and-mortar] shopping as a form of
entertainment. If you can’t do that well,
you are not going to succeed. We are going
to have a lot fewer malls. ‘B’ and ‘C’ malls
have got to be wondering what’s the alternative use. At places like Hudson Yards or
Time Warner Center [both Related developments] we do very well and compete
very well with online.”
David Jaffe, ceo, Ascena Retail
Group: “For retail, agility is an increasingly important competency. Agility
enables a company to create the right
product, the optimal inventory levels, and
create a customer journey that leverages
the convergence between all channels.”
Jerry Storch, ceo of Hudson’s Bay
Co.: “It’s important not to confuse
transient factors with ongoing long-term
trends. The weather, tourism, the strength
of the dollar, the weakness in the oil sector
— those will all change. Many are confusing
those short-term factors with long-term
CONTINUED ON PG.11
3
14 JANUARY 2016 FASHION
Saint Laurent Decamps
To L.A. for Men’s Show
● The Feb. 10 event at the
Hedi Slimane
Hollywood Palladium will
feature “part one” of Hedi
Slimane’s fall women’s
collection.
BY MILES SOCHA
PARIS — Paris’ loss is Los Angeles’ gain.
Hedi Slimane disclosed via Twitter that
he would present his fall 2016 men’s collection for Saint Laurent — and women’s
pre-fall — at the landmark Hollywood
Palladium on Feb. 10. The extravaganza
could be among Slimane’s last for Saint
Laurent, as rumors of a change in creative
directors persist.
The men’s show typically caps off
men’s fashion week in the French capital
and had been scheduled for Jan. 24. Saint
Laurent noted that the Sunset Boulevard
concert venue is billed as the oldest and
largest in Hollywood, christened by Frank
Sinatra in 1940 and subsequently rocked
by The Rolling Stones, Led Zeppelin,
Guns N’ Roses, Prince and Bob Dylan.
Slimane characterized the event — five
days ahead of the 58th Grammy Awards
— as a tribute to the music scene in Los
Angeles, his home base since 2008, and
site of Saint Laurent’s design studios since
his arrival as creative director in 2012. In
fact, he’s given credit as one of the key
BUSINESS
Charney’s request would need to be filed
by Friday.
The hearing will weigh the merits of the
company’s case to extend the exclusive
period for which American Apparel has
to submit a reorganization plan with company founder Dov Charney’s argument
against it. Should Charney come out the
victor, the move would allow alternative
plans for how American Apparel will exit
bankruptcy to enter the picture.
That would include consideration of
a $300 million bid for the Los Angeles
firm, which was submitted to the company Sunday. The proposal comes from
an investor group composed of Hagan
Capital Group and Silver Creek Capital
Partners.
Charney on Tuesday presented the
court with a preliminary list of witnesses
for the hearing that includes himself,
Chad Hagan of Hagan Capital and former
American Apparel board member Robert
Mintz, along with Lyndon Lea of Lion
Capital, a private equity firm that initially
loaned the company money back in 2009.
Meanwhile, American Apparel has
continued to chug along with its restructure despite the noise that has erupted
since Charney’s ouster from the firm in
late 2014. The company said Monday it
received support from all voting classes
on its plan for reorganization, which
includes $2.5 million set aside for unsecured creditors. The Hagan-Silver Creek
deal proposes a recovery to that same
group of “10 times that under the debtor’s
plan,” according to the group’s announcement on its bid.
to dispose or direct the disposition, of any
of the shares.”
Mike Ashley founded Sports Direct in
1982. Ashley was the sole owner until
the company listed on the London Stock
Exchange in March 2007. He also owns
Newcastle United Football Club, and has
a long-standing interest in Iconix’s Umbro
brand. Umbro is a major resource for the
British sports retailer, given its heritage in
English soccer. Annual revenue is about
$4 billion.
Sports Direct also disclosed a stake in
Dick’s Sporting Goods Inc., at 2.1 million shares or 2.3 percent of the issued
common stock, held through indirect
economic interests.
The company said Wednesday: “The
main rationale for these stakes is to allow
Sports Direct to hopefully build a relationship and develop commercial partnerships with the relevant parties. They also
help the company to build relationships
with key suppliers and brands.”
The retailer offers a wide range of
products and brands — internationally
recognized sport, fashion and lifestyle —
in its stores and online. The online site
offers around 180,000 products in 1,000
categories, with more than 1,000 brands.
The company’s U.K. store portfolio has
about 455 stores, and it operates in 20
countries across Europe that includes
Belgium, Austria, Slovenia and France.
The company’s strategy includes brand
acquisitions. Company-owned brands
include Dunlop, Slazenger, Lonsdale, LA
Gear, Everlast Worldwide Inc. and fashion
brand Kangol. It also has an investment
stake in Debenhams.
It was unclear if the stakes in Iconix
and Dick’s represents either an early foray
or test into the U.S. market, or it there
was another reason for the investment.
The company was said to have bought
an 11 percent stake in House of Fraser in
April 2014 to try to prevent Nanjing-based
conglomerate Sanpower from its eventual
takeover of the British retailer. Reportedly
Ashley was interested in buying House of
Fraser so it can be a distribution point for
the retailer’s fashion brands.
And in 2007, Ashley nearly doubled
his stake in Umbro to 29.9 percent from
15 percent, enough to temporarily block
Nike’s $582 million all-cash deal to buy
the brand, which required approval from
shareholders owning 75 percent of the
company. Ashley and Nike eventually
reached an agreement that allowed the
deal to go through. Nike sold the brand to
Iconix in 2012 for $225 million.
Judge Considers Charney
Objection at Hearing
● How American Apparel will
exit from bankruptcy and
under what ownership could
finally be resolved next week.
BY KARI HAMANAKA
The fate of American Apparel rests with
a bankruptcy court judge next week.
A request by American Apparel Dov
Charney to stop the company from blocking alternative reorganization plans will
be considered at a hearing scheduled Jan.
20, a judge ruled today. Any objections to
THE MARKETS
Sports Direct Ups
Stake in Iconix
● The British sports retailer
now owns 5.6 million shares.
Designer footballs photograph by Paul Andrew
BY VICKI M. YOUNG
Sports Direct International plc has
upped its stake in Iconix Brand Group
Inc.
The U.K.’s largest sports retailer said
Wednesday that its stake is now nearly
5.6 million shares, or 11.5 percent, of
the issued common stock of Iconix.
The stake represents indirect economic
interests through contracts for difference.
The company disclosed on Jan. 5 in a
regulatory filing with the Securities and
Exchange Commission that its initial stake
was 4.3 million shares, or 9 percent.
And while Sports Direct emphasized
that the stake is “strategic,” a regulatory
filing with the SEC Wednesday indicated
that the company “does not have the
power to vote or direct the vote, or power
instigators of California’s creative and
retail renaissance.
WWD broke the news Wednesday that
the French designer has so far failed to
renew his initial contract with the Kering-owned fashion house, and that YSL
has held advanced talks with Anthony
Vaccarello, described by sources as the
front-runner to succeed Slimane.
Kering and YSL spokespeople reiterated that they “don’t comment on
rumors.”
A rep for Vaccarello declined all
comment.
Saint Laurent is the latest marquee
brand to decamp from the European
runways, after Givenchy’s one-off show in
New York in September and Tom Ford’s
fall 2015 runway outing last February in
L.A. during Oscar week.
Slimane, also an accomplished photographer, has documented the West Coast
scene for years and in 2011 mounted an
exhibition titled “California Song” at the
L.A. Museum of Contemporary Art.
The Feb. 10 event coincides with the
10th anniversary of the “Hedi Slimane
Diary,” the designer’s online photo blog,
much of it devoted to the music scene.
Slimane said he is moving into short
“portrait videos,” a trio of which he
unveiled as online teasers for the Palladium event featuring rock musicians Ariel
Pink, Kim and the Created and Zoe Reign
of No Parents.
TOP 5
TRENDING
ON WWD.COM
Designer
Footballs for
Super Bowl 50
● The NFL and CFDA team
up on 50 bespoke balls for
the golden anniversary of the
Super Bowl.
●Stella McCartney Pre-Fall
2016 Party
● Stella McCartney Pre-Fall
2016 Collection
●They Are Wearing: London
Fall 2016 Men’s Wear
Collections
● Hedi Exiting YSL?
Vaccarello Said in Wings
Global Stock Tracker
As of close January 13, 2016
ADVANCERS
Kose Corp.
+4.35%
Myer Holdings Ltd.
+3.76%
Shiseido Co. Ltd.
+3.47%
Giordano International Ltd.
+3.03%
Isetan Mitsukoshi
Holdings Ltd.
+2.9%
DECLINERS
Revlon Inc.
-6.06%
The Men’s Wearhouse Inc.
-5.81%
The Buckle Inc.
-5.63%
Urban Outfitters Inc.
-4.67%
Puma
-4.52%
4
14 JANUARY 2016
Solstiss Lace
Mozartex
Here
and
right:
Laguna
fabrics.
THE MARKETS
New York Textile Shows
Highlight Critical Issues
● Industry issues and methods
of operation are taking the
spotlight at this month’s
Première Vision, Texworld
USA and Milano Unica
exhibitions in New York.
BY ARTHUR FRIEDMAN
Substance over style.
That might not be the typical approach
for companies exhibiting and attending
major fabric and sourcing trade shows
where fashion trends usually rule, but
these are not normal times.
Industry issues and methods of
operation are taking the limelight at this
month’s Première Vision, Texworld USA
and Milano Unica exhibitions in New
York, as executives plan their long-term
global production and raw material purchasing amid geopolitical turmoil, a shifting retail scene and fresh inroads on manufacturing and product development.
A key issue factor for Première Vision
New York and Milano Unica New York is
the attractiveness of the U.S. market and
the favorable exchange rate between the
dollar and the euro that makes European
fabrics more affordable.
The mill vendors at these shows are
also chasing the better-than-theirs U.S.
economy, even with consumer spending
somewhat stunted.
“We see a huge interest from the
exhibitors from the upstream of the fashion value chain in the U.S. market and
currency is key factor,” said Guglielmo
Olearo, international exhibits director at
Première Vision.
“American brands are buying more
from Europe, but consumption is not so
strong, so it’s very competitive,” Olearo
continued. “We think 2016 will be a
year of uncertainty — the geopolitical
situation is difficult, there are tensions
everywhere. There’s a Cold War between
Turkey and Russia, which could have a
big impact for the fashion industry. In
our industry, the investor will be more
focused on mature markets like Western
Europe and the U.S. instead of developing market like the BRICs.”
Ercole Botto Poala, president of Milano
Unica, said an important lesson learned
from Unica’s first New York edition in July
was that there are new customers in the
U.S. market with which Italian firms had
not previously done business.
“We offer a lot of creativity and value
to the U.S. market, especially with the
exchange rate, which is more competitive
now,” Botto Poala said.
Milano Unica returns to the Jacob K.
Javits Convention Center’s River Pavilion
Jan. 24 to 26.
Olearo noted that PV, which is moving
to the larger Pier 94 from Pier 92 this
season for its show on Jan. 19 and 20, is
adding what he called “two universes”
that exemplify the importance of how
goods are manufactured.
Devoted areas for Manufacturing
and Leather, joining ones for Fabrics,
Design and Accessories, will feature a
combined 55 exhibitors. New companies
in the manufacturing area will hail from
Morocco, Turkey, Portugal, Spain and
France, focused on cut-and-sew factories
for the mid to high-end market, while
the leather zone will have tanneries from
those same countries and exotic leathers
from Brazil.
Overall, PV will feature 353 exhibitors
compared to 296 last January.
Also reflecting the importance of local
manufacturing and the importance of
the U.S. market is a Made in New York
area supported by the City of New York
and the Council of Fashion Designers of
America.
In connection, Bob Bland, chief executive officer of Manufacture New York, will
discuss “Urban Manufacturing for the 21st
Century: Global Problems, Local Solutions” at the show.
Taking a more diversified approach
to sourcing seems vital given changes
in China’s manufacturing machine, and
labor and logistical woes in other Asian
countries, even though the region is still
a major factor in manufacturing.
Texworld USA, set for the Javits Center
Jan. 24 to 26, will feature 331 exhibitors
representing 15 countries, including the
U.S., China, Peru, Portugal, the U.K.,
Colombia, Pakistan, South Korea, Japan
and India. Dedicated country pavilions include Taiwan and Turkey. At the
colocated International Apparel Sourcing
Show, a Guatemala Pavilion with five new
exhibitors will bow.
The flagship Lenzing Pavilion includes
18 mills displaying an array of wovens
and knits from Asia and the U.S. that
use Lenzing’s Tencel, modal and viscose
fibers.
Among those is Buhler Quality Yarns
Corp., based in Jefferson, Ga. Buhler’s
vice president of sales, David Sasso,
said, “The big picture with brands and
retailers today is speed. You have to have
balanced sourcing and be able to control
your inventory. The ones that are doing
well are offering value and speed, with
the ability to replenish as fast as you
can.”
Sasso said there is significant interest
and activity in moving business back to
the Western Hemisphere — Central America and the U.S. — from Asia based on the
speed factor.
“Speed can be proximity, but it call
also be how you execute — how the entire
supply chain communicates,” he said.
This includes prepositioning yarns
and fabrics to be able to turn quickly on
orders.
“The ones that can execute and are
able to put product on the shelf and
things that sell faster even though it can
cost more can achieve better margins,”
Sasso said. “Those are the little guys that
are eating away at the big box stores’
margins,” including luxury-goods players
and e-commerce enterprises.
“They are offering products that have
better value at a competitive price,” he
said.
Unica’s Botto Poala also joins the
chorus of those that feel serving the customer has never been more important.
“Logistics, efficiency of delivery —
today you cannot make any mistakes
— delivery time is shorter every season,”
Botto Poala added.
Texworld, which has several U.S. yarn
and fabric companies represented, will
also have a panel discussion as part of
the Lenzing Seminar Series on “Made in
NYC” in which Bland will join Erin Kent,
programs manager at the CFDA, and Tina
Schenk, owner and founder of Werkstatt to discuss resources that can assist
companies make their lines in the city.
That’s not to say that creativity goes by
the wayside. A seminar on “Innovation
in Today’s Fiber Landscape” will include
Sasso; Terry Lawler, marketing manager
at Eastman Chemical, and Tricia Carey,
Lenzing’s director of business development for apparel and denim. They’ll
talk about the need to improve performance characteristics and sustainability
standards.
Sasso said Buhler, which specializes in
natural color modal and Tencel cellulosic
yarns, is looking to grow its array by
investing in research and equipment, as
well as ways to become more “quick and
nimble.”
Buhler is developing the ability to
make more blended yarns, augmenting
its Supima line with long-staple cotton.
“We’re also looking at some automated
spinning systems to have more flexibility
and lower costs,” he said. “We know the
big orders and programs are getting less
and less.”
In addition, Buhler is aiming to
develop more yarns with different effects
and properties through chemistry and
collaboration to make them more performance-oriented to participate in the
ath-leisure movement. It’s also looking at
ways to simulate shirting fabrics in knits
and to integrate digital printing into its
products.
Sustainability is also a focus of two
Texworld talks.
At “Designed with Sustainability in
Mind,” Issac Nichelson, chief sustainability marketing officer at Recover Tex;
Jerker Ligthart, senior chemical engineer
at Chemsec, and Lewis Perkins, interim
president at Cradle to Cradle, will discuss
how to integrate sustainability into a
collection, from conception to finished
garment to a second life.
In “Latest on Standards and Sustainability,” Sandra Marquardt, North America representative for the Global Organic
Textile Standard; Lenzing’s Carey, and
Nikki Hodgson, corporate responsibility
coordinator for the Outdoor Industry
Association, drill down on how to select
materials that have a preferred environmental status and can be sourced responsibly and certified to a standard.
5
14 JANUARY 2016 Photographs by Thomas Iannaccone
It wasn’t a pre-fall collection, it was a collection, and a
magnificent one. That it happened to be shown near
the end of the seemingly endless pre-fall season only
emphasized the degree to which it raised the bar — as
well as the reality that, for all of the time, attention
and verbiage focused on the pre-seasons, much of
what we see looks more like nice clothes for interim
deliveries than significant fashion.
Not so this gem. Maria Grazia Chiuri and Pierpaolo
Piccioli did a quick in-and-out of New York to present
in person. “We’ll see you in two weeks [at couture],”
Piccioli said as WWD’s appointment drew to a close.
“Before that, we have men’s, next week.” Neither of
those upcoming events distracted the designers
from this labor-intensive, thought-intensive lineup.
Yes, given their decorative aesthetic, Piccioli and
Chiuri may have natural creative edge, and surely
not all designers can or should aim for a similar level
of opulence; life isn’t all embroideries of exquisite
airborne creatures and dress-length renderings of
the Chrysler building realized in shimmering micro
paillettes. But fashion is, as Chiuri noted, about desire
— no matter when on the calendar it’s shown.
The designers took up residence in the old Andy
Warhol Factory space, which resonated on levels
both practical (beautiful, light-filled space) and emotional (they view their Valentino as a creative factory
rooted in experimentation and, when appropriate,
collaborations). Here, they continued with spring’s
CONTINUED ON PG.6
6
14 JANUARY 2016
gentle ombré blue mink inset with birds.
While Chiuri and Piccioli are most associated
with exquisite, intensely wrought eveningwear, they
showed plenty of clothes for the bright light of day.
And if a bright-red “wonderland” embroidered coat
over thigh-high red patent boots registered as a
divine novelty, not so an almost-classic pea coat,
adorned with a single, floral appliqué.
Holding it all together: The designers’ impeccable shared vision, impeccable execution and
something less easy to define. “We were looking
for something graceful,” Piccioli said. “Grace is
something you don’t see; you feel the grace.” And
the fashion.
— BRIDGET FOLEY
Photographs by Thomas Iannaccone
cross-cultural current, now invoking references hailing from Japan (flora, fauna) to New York’s skyline,
including nonspecific homage to a brilliant Milanese-New York hybrid of yore: Fiorucci. “At the time,
fashion was couture or very basic,” Chiuri said. “He
was the first to mix bits and pieces together.”
Here, too, was a pastiche of silhouettes, materials and decoration: a dress made of countless, multicolored crystal stars joined point-to-point on black
tulle; wacky astro-motif shearling cape over suede
miniskirt and boots; embroidered black lace kimono
gown, its delicacy interrupted by a thick leather belt.
The work was incredible, from the couture-worthy
embroideries to the outerwear intarsias, equally
captivating as a bold heron-motif leather coat and
CONTINUED FROM PAGE 5
7
14 JANUARY 2016 FASHION
Better Than the Globes? Stella McCartney
Turns Pre-Fall Into an A-List, L.A. Party
● By taking her party-
presentation hybrid to Los
Angeles for a change this
season, the designer raised
the bar on celeb factor and set
novelty.
BY MARCY MEDINA
As glitzy and glamorous as Hollywood
parties are, most of the time they’re
straightforward affairs — read: show up,
pose, sip drink, sneak out. But Stella
McCartney knows how to draw and keep
a crowd at her charmingly offbeat pre-collection presentations (typically considered
ho-hum by industry standard) staged in
unexpected places, typically in New York.
By taking her party-presentation hybrid
to Los Angeles for a change this season,
McCartney raised the bar on celeb factor
and set novelty. Last week, mere mortals
began buzzing when cult record store
Amoeba Records posted a chance to win
two tickets to “a private Stella McCartney”
event. Those in the know received Save
the Dates, but the location of the party was
kept under wraps until last week.
Upon entering the cavernous Sunset
Boulevard store via its metal turnstiles,
guests including Gwen Stefani, Kate
Hudson, Quincy and Rashida Jones, Beck,
Gwyneth Paltrow, Orlando Bloom and
Anthony Kiedis were greeted with a mix of
classic rock and David Bowie hits, and the
usual rock posters that plaster the walls
were interspersed with psychedelic prints
of the designer’s face. Between the aisles,
models on carpeted platforms danced or
played pinball.
“I came here tonight to sell some of
my used CDs, then I found out it was a
Stella McCartney event,” said Katy Perry,
kidding. “Actually my next stop is [vintage
store] Wasteland to trade these clothes
in. No, kidding again.” Perry, in a printed
dress and green turban, appreciated McCartney’s cheeky approach to fashion shows.
“She had an event one time in a Mexican
restaurant — I love that she thinks off the
cuff, she’s not, like, in a formula,” said
Perry. “I guess she comes from rock ‘n’ roll
and this is rock ‘n’ roll.”
Booking Amoeba was a location coup
for the designer. “I’m a massive fan of
the store,” said McCartney. “I’ve been
trying for ages to have a party here and
Models wearing looks from the
Stella McCartney Pre-Fall 2016
Fall collection.
they finally said yes; I broke them down.”
She also took the opportunity to throw
an event in the city where many of her
famous friends reside. “I spend a fair
amount of time here and have close friends
here and for a while, L.A. has been becoming quite a center for the arts and fashion,
film and music and for me it just felt like
the right time to celebrate.”
Apropos of the location, McCartney
mashed up some of her own greatest
hits — sophisticated, sporty and romantic
themes — in the same masterful way music
producers remix disco hooks and layer
them over rap songs.
“I want women to wear my clothes ultimately, but I also want to inspire them to
wear my clothes differently, so this season,
that is what I was trying to do, to look at
what I do and try to twist it and layer it a
little bit more,” she said.
For example, the designer, long a proponent of day-into-evening dresses, worked
navy and camel-colored silk in exaggerated
stripes and dots in ways that made it at
once casual and fancy. One long-sleeve
dot dress set with a diagonal panel at the
waist was particularly pretty, while a pair
of long A-line eyelet dresses in black and
dove gray felt edgy with the addition of
spiraling zippers at the seams. She flipped
lingerie dressing on its ear, layering boned
and seamed slips underneath diaphanous
tulle dresses. No pink marabou bedroom
shoes here. The boudoir-inspired looks
were worn with flat open-backed slippers
in masculine “Alter Croc.”
Wool coats had sweater sleeves, and
McCartney’s Fur Free Fur outerwear
evolved with tiger and leopard prints. A
tiger bomber jacket was worn over an
improbably chic leopard jacquard knit
onesie. The cat motif went literal with
artistically drawn feline faces printed on
white silk trousers and slipdresses, and
took a cheeky turn on tapestry jacquard
pieces that brought to mind needlepoint
pillows the proverbial cat lady might stitch
for her beloved pets.
Just as impressive as the collection’s
novel wearability was McCartney’s ability
to get anyone out of the house after a
Photographs by Katie Jones/WWD/REX/Shutterstock
Katy Perry
Mary J Blige and
Stella McCartney
Johnny Depp
party-fueled Golden Globes weekend.
“It’s not like the Golden Globes at all,”
said Emilia Clark, who, along with fellow
Brit Joanne Froggatt, was still in town from
last weekend’s festivities.
Nicole Richie also approved of Stella’s
party vibe. “It’s so awesome. I think it’s
really cool and different. It’s great for L.A.”
“I want all the posters,” said Selma Blair,
admiring the décor with Frankie Rayder.
“Stella has been kind to L.A. and she
brings it here.”
As Perry pointed out, McCartney comes
from rock ‘n’ roll stock. She has a few
connections. Chelsea Handler, Sarah Silverman, Maya Rudolph, Fred Armisen and
Carrie Brownstein crowded closer to the
stage at the back of the store to hear Pink
play a set. Then Brian Wilson got the house
thundering with applause for his hits “I
Get Around,” “Good Vibrations,” and of
course, “California Girls.”
A bona fide Beach Boy is a tough act to
follow, but Johnny Depp and his band Hollywood Vampires didn’t chicken out. Their
special guest was Marilyn Manson.
8
14 JANUARY 2016
Tommy
Hilfiger
TOMMY HILFIGER
When Tommy Hilfiger chooses a theme, he
commits to it. For his Mustique-inspired spring show,
he made his own lagoon and recreated the island’s
famous watering hole, Basil’s Bar, on set. Pre-fall
was inspired by a Twenties trans-Atlantic journey.
No boats were chartered, but Hilfiger left no nautical
motif at sea. There were cropped, denim sailor pants
and cropped Breton striped shirts with sequined
admiral badges. A faux fur jacket had an intarsia
anchor on it. Flirty tea dresses came in cute sailor-inspired tattoo prints and there were riffs on admiral
jackets galore. At times, Hilfiger went overboard on
the kitsch factor — there is such a thing as too many
stripes — but, for the most part, the elevated execution was a lifesaver (nyuck, nyuck). For example,
velvet sailor-pant overalls complete with the traditional shoulder flap of a sailor uniform, should’ve
be all wrong, but their slim fit, high waist and cheeky
gold trim made them an improbable highlight in the
collection.
PORTS 1961
Ports 1961 creative director Natasa Cagalj was thinking of a mom at a child’s birthday party when working
on pre-fall, which was built out of playful, layerable
pieces with eccentric embellishments. “We wanted to
project that feeling of happiness into the collection,”
she said. Cagalj added a dose of whimsy to tailored
pieces, using painterly prints, embroidered flowers,
rainbow trims, ribbon detailing and hand-knotted
tassels. Flirtatious but still G-rated were a silk duchess
ruffle dress that showed a bit of shoulder, and dresses
that could be zipped up or down to reveal a little leg.
Playtime carried over into accessories, with sneakers
decorated with pom poms, bows and shearling.
— LORELEI MARFIL
MOTHER OF PEARL
Giambattista Valli’s ongoing affair with the Sixties
and Seventies was in full flush for pre-fall. Colorful,
nature-inspired prints — florals, cherry blossoms,
bugs and mushrooms — infused his romantic looks
with a cheerfulness. Valli loves a ruffle almost as
much as he loves a retro reference, and his silk
chiffon dresses and blouses, finished with gorgeous
lace-embroidered cuffs, were full of frills. Yet he
tempered all the frou with sportier pieces, such as
metallic tweed jackets and sequined knitwear. Valli’s
outerwear was superluxe and creative this season:
A chevron, belted mink coat was chicly graphic,
and an orange shaved shearling coat, cutout and
embroidered to look like a patchwork of flowers, was
remarkably constructed.
Mother of Pearl creative director Amy Powney
looked to Nigel Shafran’s domestic images of his
partner Ruth from his 1995 “Ruthbook” and Dame
Maggie Smith’s schoolteacher in “The Prime of Miss
Jean Brodie” for pre-fall.
Floral wallpaper prints evoked Shafran’s interiors,
and pinafores and pleating details made the schoolgirl connection while Nineties silhouettes came
through in spaghetti-strap shifts and zip-front jackets.
All of it was infused with the label’s signature sporty
femininity with stripes and embellishments.
Highlights included a double-layered pinafore
dress with contrasting florals and fluted-pleat cuffs, a
spaghetti-strap shift with pleated hem and a floral pajama suit. A minimal zip-front leather jacket was given
the Mother of Pearl treatment via an appliqué collar
while a houndstooth wrap coat with knotted cuffs
recalled a dressing gown worn in one of Shafran’s
images. The capsule bag line that launched for resort
has grown into a full collection of lovely structured
leather totes with jaunty stripes plus new clutch,
bucket and backpack shapes.
— KRISTI GARCED
— STEPHANIE HIRSCHMILLER
— JESSICA IREDALE
GIAMBATTISTA VALLI
Ports 1961
Mother of
Pearl
Giambattista
Valli
9
14 JANUARY 2016 BUSINESS
Verdict Delayed in
Marzotto Tax Trial
● A decision was expected
on Wednesday, but the
prosecutor and the
defendants’ lawyers are
delivering additional remarks.
BY LUISA ZARGANI
Matteo Marzotto’s tax trial was expected
to end on Wednesday with Judge Orsola
De Cristofaro’s verdict, but prosecutor Gaetano Ruta asked to reply to the
defendants’ lawyers, who delivered their
speeches at the end of last year. This in
turn will lead to the latter’s additional
remarks on Feb. 5 and 17.
“Nobody questions that there has been
a capital gain of 80 million euros [almost
$87 million at current exchange], the
numbers reflect an exact science,” said
Ruta. That once again brought attention
onto International Capital Growth, based
in Luxembourg, which the Italian tax
police believes is a fictitious entity based
in Luxembourg and managed in Milan,
and allegedly created for the purpose of
selling 29.9 percent of Valentino Fashion
Group. Matteo and his sister Diamante
Marzotto were indicted with other defendants for alleged omission of earnings
declaration and tax evasion.
The allegations involve the Marzotto
family’s association with the sale of VFG
to private equity fund Permira in May
2007 for more than 782 million euros, or
$849.2 million at current exchange rate.
According to the indictment, taxes on
the profit derived from the transaction
were never paid in Italy. “The theme of
the trial is to establish if the subject that
secured a capital gain resides in Italy or
outside the country and if this subject
paid taxes in Italy,” Ruta claimed. “The
Agenzia delle Entrate [Italy’s tax office]
and the Guardia di Finanza [the State’s
tax police] did not make any extraordinary discovery. Even lawyer Piergiorgio
Palumbo had warned the Marzottos
back in September 2008 of the risks
[involved].”
Ruta, together with prosecutor Laura
Pedio, also headed the Dolce & Gabbana
trial, which ended with the acquittal of
Domenico Dolce, Stefano Gabbana and
other defendants. Ruta said he did “not
gladly speak of this verdict,” because he
did “not agree with it at all, I believe it
is deeply wrong and unjust,” but added
that he feels he will “have to talk about it
now and for a long time.”
Throughout an extensive and impassioned technical speech, Ruta addressed
the court urging the judge to consider
“the instigators,” those who conceive
of the schemes and who channel their
behavior in a fraudulent way ‚ even when
there are “several individuals that make it
possible to avoid presenting one’s income
taxes. The constructions are all similar
because they are artificial.” Ruta claimed
BEAUTY
Coty Drops Dolce & Gabbana
Fragrance License From P&G Deal
● The firm will take more than
41 beauty brands from P&G,
now that Dolce & Gabbana and
Christina Aguilera Perfumes
scents are not included.
BY ALLISON COLLINS
Dolce & Gabbana’s fragrances are still
up for grabs now that they aren’t included
in Coty’s multibillion deal for Procter &
Gamble’s beauty brands.
Dolce & Gabbana didn’t give consent
for Coty to take over its fragrance license
as part of the company’s planned $12.5
billion acquisition of 43 P&G beauty
brands. Christina Aguilera Perfumes did
not consent, either.
“The licensors of the Dolce & Gabbana
and Christina Aguilera Perfumes licenses
did not provide their consent within the
specified timetable, and in accordance
with the transaction agreement and in
the interest of staying on track with the
transaction, it was agreed that these
brands will not transfer upon completion
of the merger,” Coty said. The company
declined to comment beyond the press
release. Coty will assume less debt
because of the change to the deal.
Though they aren’t going to Coty, P&G’s
plan to exit both the Dolce & Gabbana
and Christina Aguilera Perfume fragrance
licenses still stands. “We will work with
the two license holders where consent
was not granted on next steps given
that we have made our intention to exit
the fragrance business clear,” said P&G
spokesman Paul Fox.
Combined, Stifel analyst Mark S.
Astrachan estimates the Dolce & Gabbana
and Christina Aguilera Perfumes licenses
make up about $580 million in sales and
$90 million in earnings before interest,
taxes, depreciation and amortization,
with Dolce & Gabbana comprising about
$500 million in sales and $80 million in
EBITDA for those numbers. The change is
a loss for Coty, but not one of incredible
significance, according to Astrachan.
“We estimated its worth about three or
four pennies in earnings, so I wouldn’t
call it significant, but it’s clearly negative,” Astrachan said.
“We also think the risk was somewhat
understood, as Coty mentioned the possibility of a large license not transferring
on the September quarter earnings call
in early November,” Astrachan noted. “It
is also likely modestly accretive to sales
growth given we understand the D&G
license was not growing.” Dolce & Gabbana did not return a request
for comment.
Still, the Dolce & Gabbana fragrance
license was one of the largest in the
transaction, though Coty will still add
fragrance licenses from Hugo Boss, Gucci,
Lacoste, Bruno Banani, Escada, Mexx,
James Bond, Gabriela Sabatini, Stella
McCartney and Alexander McQueen.
The merger, which now includes 41
brands, is on track to close in the latter
half of 2016. Coty plans to organize itself
into three segments: the Coty Luxury
Division, which will house prestige fragrance and skin-care lines; Coty Consumer Beauty Division, which will consist
of color cosmetics, retail hair coloring and
that “ behind the pen, there are many
people and one does not understand why
they should not be asked to respond [for
their actions]. If there are factual elements, wouldn’t you,” he said addressing
the judge, “feel more at ease condemning
them?”
Ruta himself admitted to an oversimplification, but he spoke of instigators of
murder crimes and how these are seen as
relevant figures, and how right it would
feel to condemn someone it there were
“financial traces that would connect the
instigator with the executor. Whether it’s
a case of omission or an action, there is
collusion.”
Ruta wondered why Matteo Marzotto,
described throughout the trial as entirely
against the sale of Valentino, had not
taken a more aggressive stance and why
other partners had also been silent. “The
goal of the defendants was to earn a lot
of money and not pay taxes. To make
money is legitimate, it’s no crime, the
problem is that on this amount you have
to pay taxes,” said Ruta.
At the end of last year, the defendants’
lawyers had requested the judge to acquit
their clients, contending there was no
case to answer. Ruta was seeking one year
and four months in prison for the Marzottos and defendant Massimo Caputi.
styling products and mass-market body
care, and Coty Professional Beauty, a
dedicated operation for servicing hair and
nail salon owners.
The company is also in the middle of
a $1 billion acquisition of Hypermarcas’
beauty portfolio, which includes Brazilian hair care, hair color, skin care, men’s
and nail lines. Announced in November,
that transaction is expected to close by
the end of March. In October, Coty said
it would also buy digital marketing firm
Beamly.
The P&G deal now includes 41 brands.
In addition to the 10 fragrance licenses,
Coty is set to add: Wella Professionals
(and sub-brands), Sebastian Professional,
Clairol Professional, Sassoon Professional,
Nioxin, SP, Koleston, Soft Color, Color
Charm, Wellaton, Natural Instincts, Nice
‘n Easy, VS Salonist, VS ProSeries Color,
Londa/Kadus, Miss Clairol, L’Image, Bellady, Blondor, Welloxon, Shockwave, New
Wave, Design, Silvikrin, Wellaflex, Forte,
Wella Styling, Wella Trend, Balsam Color,
Max Factor and Cover Girl.
A Dolce & Gabbana
Dolce gift set.
10 14 JANUARY 2016
RETAIL
Herrera Designs
Capsule for Jeffrey
A look from Carolina
Herrera’s exclusive
partnership with
Jeffrey New York.
● The whimsical collection is
designed in black and white
polka dots.
BY LISA LOCKWOOD
Carolina Herrera’s gone polka dot
happy for Jeffrey New York.
The designer is launching an exclusive capsule for the retailer on Feb. 9
comprised of seven styles all featuring
magnified black and white polka dots on
silk faille. The whimsical offering represents the brand’s first partnership with
the two-unit luxury retailer and the first
time Herrera is selling at Jeffrey.
The capsule’s signature silhouettes,
including a party skirt and trench dress,
raised hemlines, pinched waists and
culottes. Retail prices range from $845 to
$2,300.
“Jeffrey’s stores are very chic with lots
of energy….I know it will fit right in,”
said Carolina Herrera. “We wanted this
collection to be striking, to please the
“Jeffrey’s stores are
very chic with lots of
energy….I know it will
fit right in.”
— Carolina Herrera
eye with defined silhouettes and options
for women to make the look their own.
A woman must always feel comfortable, confident and wear what suits her
personally.”
Asked what influenced her to design
an entirely polka dot capsule, she said,
“I have always loved a polka dot motif,
it was in my very first collection — they
are quite graphic and eye-catching. It’s a
timeless print, and dots are amusing to
talk about.”
Jeffrey Kalinsky, president and chief
executive officer of the retailer, said the
collaboration was something that’s been
on his mind for a while, and he decided
one day to pick up the phone and call
Herrera’s firm.
“I wanted to take Herrera’s shapes and
make them right for my store. I wanted
to do them in just something that was
iconic to the brand, but at the same time
would resonate for our brand. I just
thought that the polka dots would be a
very strong statement and would be a lot
of fun,” Kalinsky said.
Also in the works is a fashion week
installation at the Meatpacking store that
will be introduced in tandem with the
Herrera collection. “This means so much
to us. I didn’t want to put it out there
until then,” he said. “I have so much
respect for Mrs. Herrera and the brand.”
He’s open to doing a fall collaboration
as well and said, “It’s currently being
discussed.”
The looks will be sold at Jeffrey’s New
York and Atlanta stores, as well as online
at jeffreynewyork.com. Kalinsky declined
to reveal how many pieces he purchased
or a volume projection.
“It was about doing something fun and
special that’s only available at the store
[and online],” he said.
Kalinsky added that hopes Herrera will
come to the store when the installation
goes up. “We have that huge wall at the
bottom of the stairs as you walk in, and
we always do a visual there, and another
one at the top of the stairs. For fashion
week, we try to feature things we’re very
excited about for that season. Carolina
will have the whole installation at the
bottom of the stairs, and at the top of the
stairs we’re doing a Céline installation.”
FASHION
Palm Beach Story: Peter Copping
Arrives for Charity and Trunk Show
● Oscar de la Renta’s creative
director helps raise funds for
the local Hospice Foundation
in conjunction with Saks Fifth
Avenue.
BY REBECCA KLEINMAN
Peter Copping’s weekend in Palm
Beach was also the Oscar de la Renta creative director’s maiden voyage to Florida. In succeeding his predecessor, he
took on the house’s longtime charities,
too, including the Hospice Foundation
of Palm Beach. Last year, he skipped its
annual Hospice Evening gala because he
was too consumed with his debut collection. But he made up for it this time with
a runway show of the spring collection,
presented by Saks Fifth Avenue at the
Flagler Museum on Friday, followed by
an appearance and three-day trunk show
at the retailer’s Worth Avenue store. The
gala sold out, with 250 people buying
tickets at $750 or $450 (for the under
45-year-old set).
“I’m really happy to be able to come
trees felt a bit like Beverly Hills at first,
but it’s really quite its own thing. Florida
is different from anywhere else in the
U.S.”
He made the most of his limited
“Palm Beach is such an important market
for us. Driving on the avenues lined with
palm trees felt a bit like Beverly Hills at first,
but it’s really quite its own thing. Florida is
different from anywhere else in the U.S.”
— Peter Copping, Oscar de la Renta
down, finally, since Palm Beach is such
an important market for us,” said Copping, who enjoyed the tropical locale.
“Driving on the avenues lined with palm
time in meeting a good cross-section
of his clientele and listening to their
climate-based needs, such as more
cotton, less silk. He noted the abundance
of printed dresses in the crowd and
received a strong reaction to shirtdresses, a red and bottle green eyelet
lace group, and a cap-sleeved evening
gown in midnight blue tulle, lace and silk
organza with red floral embroidery.
“It was about the third piece out, a
black lace top and knit skirt, when the
applause started,” he said. “There’s a
good potential for knits here.”
In the brief moment he had to himself, Copping wandered Worth Avenue’s
vias. Miami’s vintage stores, which are
on his to-do list, would have to wait for
another visit. After a dinner hosted by
Pauline Pitt at her home on the island, he
headed straight to his New York studio
on Sunday. The short flight appeased him
somewhat in that he could return soon
and more often, though not too much as
to bore his fans.
“I wish I could stay longer, but there’s
a full show to do,” he said, with New
York Fashion Week looming. “There’s no
rest for the wicked.”
11
14 JANUARY 2016 Sea-change in Consumer Behavior:
Retailers Need to Catch Up
Photograph by George Chinsee
sea changes like the ascendance of the
Internet, which is the most important
change. That is why we have embraced the
Internet and have made the Gilt Groupe
acquisition. It reinforces our all-channel
presence.”
Britt Beemer, chairman and ceo,
America’s Research Group: “The biggest
lesson that jumped out to me is something
consumers have been saying for the last 10
years, that there is nothing really new to
shop for. ‘Nothing new’ has clearly affected
retailers. Staff reductions are biting these
mall retailers in the butt. Consumers can’t
find anyone to ring up their purchases.
Nobody realizes how time-short Americans are. Women are complaining that the
stores don’t make the effort to put things
back in the right order, in the right sizes.
That’s career women saying that. Their
time is precious.”
Steven B. Tanger, president and ceo,
Tanger Factory Outlet Centers Inc.:
“The fact remains that consumers still have
the weight of the economy on their minds,
evidenced by the complex retail spending
environment we saw over the holiday season and expect to see in 2016. Looking forward, we will continue to remain focused
on delivering a best-in-class collection of
brands and designers in friendly and innovative shopping center environments that
make shopping for deals enjoyable for our
customers. Traffic was strong throughout
2015 at our centers nationwide.”
Walter Loeb, retail analyst: “The 2015
holiday season made the major shifts in
consumer buying patterns very clear. Consumers don’t want to own as much. The
rise of Internet shopping and growth of offprice retailing are megatrends. Retailers
who want to survive will have to respond
by restructuring. Retailers have to close
stores and reduce the number of senior
executives that run organizations. It’s
time to cut back. It’s a question of creating
a more efficient operation like TJX Cos.
has. Near-term sales weakness in apparel
and general merchandise is adding to the
pressure. Young customers are prioritizing
CONTINUED FROM PAGE 1
the purchase of new technology over
other goods, and the unseasonably warm
weather has left many winter coats, boots
and sweaters on retailers’ shelves awaiting even deeper markdowns. I believe
that many retailers did not anticipate the
change in buying patterns and the negative
momentum it would bring to their stores.
They did not see the rapid shift to online
shopping, which often occurs in the
middle of the night when customers have
ample leisure time. Nor did they see how
the demand for new technology would
cause a shift away from ready-to-wear
apparel. I am worried about the future
profitability of many leading retailers.
They are now on the defensive against
the leading Internet and off-price retailers
such as Amazon and TJX.”
Karen Murray, president of VF
Sportswear Coalition: “It’s become
more than just about running a business
or being creative. It used to be easy. You
would put products in a store and sell
over and above goods. Retailers are going
to have look very closely at inventory
expectations going forward, how far in
advance they need to get inventory and
shortening the supply chain in some cases.
But that is going to cost something. In
some ways, retailers will have to integrate
services in their stores, make it a place to
shop for a shirt but also where you can get
a haircut. They are in an unenviable area,
on the front line of the economy.
Lou Amendola, chief merchandising
officer, Brooks Brothers: “I don’t think
brick-and-mortar will go away, but we’ll
have to re-engineer the model. That may
be scary for some, but every few years
the industry has to change. There’s a new
reality among consumers. They only buy
when they need something. If they don’t
need something, they wait. The new year
will bring an adjustment to how we react
to this changing environment.”
Kevin McLaughlin, cofounder and
creative director, J. McLaughlin: “People
“Department stores must be a place for
customers to come and get away from the
everyday challenges of their lives, and to be
entertained when they shop.”
— Terry Lundgren, Macy’s
them. Now it’s about innovation, strategy,
business development, and really understanding where your business is and where
it is going. You have to deal with so much
more — the in-store [display], online, fast
fashion, technology, all of these things.”
Jack Kleinhenz, chief economist,
National Retail Federation: “Last year
was puzzling. We won’t be able to write
the story until we really see how the dust
settles. Consumers are in a good position
financially but they are conservative. The
Great Recession has impacted people.
There’s been a spending shift to services
are looking for experiences, rather than
just a product. People want to learn how to
kayak or travel. Those things are competing for the retail dollar.”
Tom Schoenwaelder, chief commercial officer at Doblin, the innovation
and design arm of Deloitte LLP: “The
retail industry has a propensity to jump
on bugaboo bandwagons or issues, like
building innovation labs, and lose sight of
the bigger picture — improving their core
operations and figuring out what they actually are and plan to be for the customers
and how to build really unique experience
for their customers. They should learn
how to integrate and innovate in a multifaceted way. When we studied innovation
patterns, we have found companies and
industries that focus on unilateral innovation — a single product or channel — end
up innovating in ways much easier for
competitors to replicate. If you innovate
on a broader basis, in a multi-faceted way,
you create systems that are much harder
to emulate by competitors. Ikea set up a
really innovative system 75 years ago —
flat-packing the furniture, home assembly,
to bring costs [and prices] down. There
is actually a good level of quality in their
price points. They become anchors in
locations not [initially] popular among
retailers and ultimately they bring other
retailers to the area. They do put the customer through some hardship, forcing you
to snake through the showrooms before
picking up the purchases and then you’ve
got to assemble the stuff at home. But Ikea
basically offers things that the customer
really wants, and is savvy enough to say we
don’t have to be everything to everyone.”
Lynne Coté, ceo of Cabi: “Retailers can
sell tons of skirts and sweaters, but if they
are not incorporating a relationship and
service-based experience that makes their
customers’ lives better, then they are just
selling ‘stuff,’ and anyone can sell ‘stuff.’
People long for human connection in
every area of their lives. Why would retail
be any different?”
Thomas McGee, president and ceo,
International Council of Shopping
Centers: “The big piece of advice I give
is, listen to the consumer. What’s really
becoming increasingly important to the
consumer is experience. They want more
experiential offerings. You see the growth
of restaurants, entertainment and services.
I also say embrace and understand technology, make sure to integrate technology
in the shopping experience. I actually
think it was a strong shopping season. All
of the information from our member surveys indicate a strong holiday. Certainly,
there has been a lot of press around the
growth of online. It’s a little bit overblown.
The reality is as a percentage of total retail
sales, it’s not a huge part. It’s has been generally flat at 6 to 8 percent of total retail.
It’s not a story of bricks versus clicks. The
more interesting is bricks and clicks.”
Rick J. Caruso, founder and ceo,
Caruso Affiliated: “The year 2016 will be
marked by opening first-to-market retail
stores, flagship tenants and launching
exclusive pop-up shops across our retail
portfolio including The Grove and The
Americana at Brand. In addition, we will
continue to work alongside our retailers to
surpass consumer expectations by adding
and enhancing amenities and services such
as delivery, in-store pickup, social media
interaction and customer service. The
ability to create more time for our guests
through this service offering will only
increase our value.”
Faith Hope Consolo, chairman of The
Retail Group of Douglas Elliman Real
Estate: “It’s all about instant gratification. It’s about having it now. Same-day
deliveries. With online competing with
brick-and-mortar, consumers want it to be
in their hands before they even finish the
order. Same-day delivery is the big push.
So are givebacks. Money cards. It’s not just
points anymore. Or friends and family.
Retailers are giving cash certificates and
immediate discounts when you check out.
It’s all about the here and now. We are in
this ‘need it now’ lifestyle. Everybody is in
a big rush. It’s not about personalization.
It’s about gratification.”
12 14 JANUARY 2016
BUSINESS
Financo Shifts Gears
For 26th CEO Forum
●
Fireside chat will feature Drew
Barrymore and
Arie L. Kopelman.
BY VICKI M. YOUNG
Investment banking firm Financo Inc. is
shaking up its annual forum.
On Monday night, the company will
host its 26th Annual Financo CEO Forum,
but this time it will be at a different venue,
with a slight shift in format. The program
begins at 4:30 p.m. at 583 Park Ave., and
instead of a panel discussion will feature
a fireside chat format between Flower
Beauty founder Drew Barrymore and
her father-in-law and former Chanel Inc.
president Arie L. Kopelman. There will
also be a short presentation by Jim Manzi,
cofounder of MasterCard company APT
on big data within the retail industry. And
Imran Khan, chief strategy officer of Snapchat, will be part of a presentation and live
tutorial. A cocktail reception will follow
the event.
Financo founder and chairman Gilbert
W. Harrison said, “Last year we had 300
attendees. This year we’ll have over that
number for an event that initially started
with just 10 people. ”
Monday’s event is a continuation of that
evolution at Financo. In 2012, Harrison
brought in two partners, John A. Berg and
Colin S.A. Welch. Berg is chief executive
officer, while Welch is president and chief
operating officer. Harrison continues as
chairman. All three executives comprise
Financo’s troika, with no one holding a
majority stake.
That change expanded the boutique
firm’s focus to consumer brands, beyond
its core retail and apparel history, reflecting in part the deals Berg and Welch did
before joining Financo as well as the
belief that consumerism is undergoing a
sea change that now takes into account
globalization, technology and changing
demographics.
For the first time, the event will focus on
beauty.
Berg said, “We are obviously big believers in Flower Beauty….We are fascinated
by how brands develop so quickly in
[today’s] world. It took S.C. Johnson 100
years to develop its business, but today
brands can literally launch and explode
very quickly. Drew’s business marries her
star power with today’s social media.”
The ceo said he expects the mergers and
acquisitions front to keep the firm busy
all through 2016, given the firm’s pipeline.
“Our business is really good. If we go into
another recession, a deep one, it’ll cause
everybody to hold off [on deals], but I
don’t see that happening in the next two
years.”
Welch, based in New York, spends
much of his time in London overseeing the
European operations and spearheading
cross-border transactions. And Berg said
that at some point the company would
likely need to open a West Coast office.
One goal that’s temporarily fallen to
the wayside has been the planning for an
investment fund. Financo had been eyeing
the launch of a private equity fund of at
least $75 million to invest and incubate early-stage consumer firms with annual volume at the lower end of the middle-market
spectrum, but that currently is on hold.
According to Berg, “We’ve been so busy
in our core business that we haven’t had
the time or energy to dedicate to formalizing that idea.”
RETAIL
YMA Dinner Serves Up Honors
Tuesday’s event at the
Marriott Marquis raised $4
million to help students
build careers in fashion and
retailing.
BY DAVID MOIN
Celebrity-designer-mom Jessica Simpson
let it all hang out at Tuesday evening’s
record-breaking YMA Fashion Scholarship
Fund/Geoffrey Beene National Scholarship
Awards dinner.
Simpson, who was honored along with
Macy’s chief merchandising officer Tim
Baxter and Peerless Clothing president
Ronny Wurtzburger, appeared in a tight
black dress that showed off her curves.
After 200 student scholarships were distributed, Simpson received YMA’s “future
of fashion” award and seized the moment
to suggest her next brand extension
beyond the three dozen or so categories
she’s already in. “I need lip gloss. That’s
my next adventure. Macy’s — will you sell
it?”
Simpson bypassed much of the teleprompter script, admitting “I feel awkward
talking about myself in the third person.
I can’t read all of these things. This is
weird.”
The most emotional moment came after
Louise Camuto, widow of Vince Camuto,
presented her award, and Simpson welled
up with tears, remembering her former
business partner and mentor from when
her collection launched its first category
— footwear — in 2005. In April, Sequential Brands Group purchased a majority
stake in the Simpson brand. “We miss him
dearly,” Simpson said. “Vince really knew
how to make a shoe.”
“Really, I don’t feel that fashionable,”
Simpson said, getting personal. “Everyone
in this room makes me feel accepted.” As
far as maintaining her $1 billion power
lifestyle brand status, Simpson said, “I try.
Maybe I don’t try. I try.” She added that she
spends too much to not be successful.
Her advice to the students: “You guys
are our future and I can’t tell you how to
do it. Just believe you can. Understand
yourself through fashion. Own yourself.
People like crazy.”
With a trio of fashion stars receiving the
YMA awards, the evening drew a record
1,611 guests and generated $4 million to
support YMA’s student program, beating
the old benchmark of $3.7 million. The
program provides scholarships, internships, alumni programming and mentoring
opportunities.
“This group of students gives us the
opportunity to look at our business
through an unfiltered lens,” said Baxter,
who got the “retailer of the year” award.
“Now that’s more important than ever.”
Baxter acknowledged it was a tough year
for retailing. “Our industry has always gone
through ups and downs. I’d say the time
for new ideas and inspirations is now.”
Wurtzburger, who received the “wholesaler of the year” award, advised the
students to “give a strong handshake
and look people directly in the eye” on
job interviews and to bear in mind that
“specialization doesn’t work in the fashion
field.” In addition to design, they should
learn fit, product, cost and other sides of
the business. “I have loved this industry
for nearly 50 years.” He recalled his early
days, including when his father “fired”
him for missing a sale after he couldn’t fill
a request for a size 44 brown striped suit.
“He said, ‘the first lesson in selling is try to
sell them something else.’ I’ve been doing
that to you [retailers] ever since.”
“This is a big night,” said Karen Murray,
president of VF Sportswear Coalition.
“We’re celebrating wonderful, legendary
leaders but the special part of the evening
is what we do for students to facilitate their
careers in retail and fashion and just knowing we can make a difference.”
Among the 200 scholarships were the
eight Geoffrey Beene winners who took
the stage to receive the biggest grants.
They were: Aubry Stitt, The University of
Arizona; Avani Patel, The University of
Texas at Austin; Aya Mechelany, The New
School’s Parsons School of Design; Daniela
Gallo McCausland, Washington University
in St. Louis; Eric Beaudette, Cornell University; Erin Ceconi, Pratt Institute; Jessica
Ferreira, Savannah College of Art and
Design, and Megan Donovan, University
of Wisconsin.
Jessica Simpson
Ronny Wurtzburger and
his wife Poppy.
Peter Sachse, Martine Reardon
and Tim Baxter of Macy’s Inc.
Photographs by Evan Falk
●
13
14 JANUARY 2016 Buell Recalls Bowie’s Early Days
The model-turned-musician remembers David Bowie’s early days in New York.
Buell, when New York’s rock scene was forming.
Buell photograph by Evening News/REX/Shutterstock; Bowie by Steve Schapiro/Corbis
David Bowie
Volumes of tributes have been
posted and published since David
Bowie’s death on Sunday. As one
of the first to witness his arrival in
Manhattan’s downtown club scene
in the early Seventies, model-turned-musician Bebe Buell drew
back the curtain on that not-easily-forgotten New York moment.
In town to perform at Thursday
night’s 50th anniversary for Max’s
Kansas City and a tribute concert
Velvet Underground and Lou
Reed, Buell said, by chance, that
was where she first saw Bowie. “I
was there the night he walked into
Max’s for the first time in the baby
blue suit and the bright orange
hair. It was striking. Everybody else
in there was dressed in black and
this colorful alien came in and just
enchanted and charmed us all. He
was a divine brilliant special artist
and a sweet man, a good man,”
she said. “What I noticed later in
life, when he found happiness and
marriage with Iman, he became a
real homebody.”
Bowie’s manager Tony DeFries
had brought him to New York and
he was living in the Gramercy Park
Hotel. Buell told WWD, “He was
careening around town in limousines. He was trying to make quite
the impression, turning up in all the
spots where one should turn up. At
that moment in our New York pop
culture history, Max’s Kansas City
was the place to be. That’s where
all the models, photographers, rock
stars, poets, mavericks, actors, actresses…it was the gathering spot
for all the artistic, like-minded soul
mates. We were all in there together. We were all in this together.”
Having now been married for 16
years, Buell, whose daughter is Liv
Tyler, was at that time Todd Rundgren’s girlfriend. “Alice Cooper was
there. I know Todd was there. Andy
[Warhol] wasn’t coming in as much.
After he got shot, he didn’t come
into Max’s as much, but he did
come in every once in a while. I think
Ronnie Cutrone was there, and
Kelly Cutrone. Leee Black Childers
was taking David around the room
to introduce him to everybody,”
Buell said. “David and I just hit it off
immediately. We became friends
instantly. He asked me if I would go
with him to see the Rockettes. He
wanted to do all of these touristy
things. Angela [Bowie’s first wife]
was going to be leaving and she
was her own kind of independent
woman anyway. When they walked
into Max’s that night she was off on
the other side of the room holding
court in her own majesty. You know
at that time she was very stylish
and they cut quite a striking figure
– no eyebrows, very androgynous
and dressed to the nines. He certainly did make an entrance, and he
made a beautiful exit as well.”
As for their sightseeing in the
early Seventies, Buell said, “I took
him to the top of the Empire State
Building; he wanted to go look at
the river. He wanted to go to Saks
Fifth Avenue. He wanted to go to
Bergdorf. He was very fascinated.
And I, of course, turned him on to
Henri Bendel, which was my paradise at that time. Whenever I would
make any money with my modeling
fees for Butterick patterns and
some of the other catalogues, as
soon as I cashed a check, I would
be down there to shop in the little
cubicles.
“I will never forget going to the
top of the Empire State Building
with him. He was like a child. He
just kept running around in a circle.
He couldn’t get over the view. He
had a beautiful viewpoint that was
like a child with a kaleidoscope. He
could take one visual and turn it
into a thousand things,” said Buell,
the author of the bestseller “Rebel
Heart: An American Rock ‘n’ Roll
Journey.” “He could be the most
musical genius I have ever met
because it was never something
he turned on and off.”
Through Bowie, Buell got to
know Suzi Ronson, the wife of
Bowie’s guitarist Mick Ronson. “So
I was one of the lucky people who
was in third row at Radio City Music
Hall for the Ziggy Stardust show,
the magnificent show,” Buell said. “I
took him to see Todd [Rundgren] at
Carnegie Hall. I think I’m the person
who took David to see the New
York Dolls for the first time as well.
I’m pretty sure. Todd had produced
the New York Dolls’ first album so
I took David to see the Dolls. He
really loved them. He was really into
shocking people.”
Insisting their friendship was
platonic, Buell said, “A lot of people
have thought that we were lovers…
never happened. We would sit
around and experiment with makeup and try out new techniques for
doing eyeliner and different kinds
of eye shadow. He was very into
scents. I used to do this thing, and I
still do it to this day — mixing musky
kind of smells with Chanel No. 5.
And he said, ‘I just can’t believe you
use Chanel No. 5 as a base.’”
One night in 1973 Bowie invited
Buell to go see a musician that he
heard about and he thought was
going to be quite good. “We went
upstairs at Max’s and there were
maybe seven or eight people
[in the audience.] It was Bruce
Springsteen. David was right. It was
incredible.” Buell said.
“Very nauseated about some of
the online tabloid-level” coverage
of Bowie’s life, Buell said, “When you
talk about a man like David Bowie,
you have to go in there with dignity.
I can’t stand that they’re still going
on and on about, ‘Did he and Mick
have an affair?’ It just makes me a
little ill to be honest.”
Noting that Bowie studied mime,
she added, “He was probably the
greatest performance artist ever. I
liken him to Chopin, Bach and Beethoven. He is Salvador Dali meets
Bach. He’s just everything.”
And she would know, having met
Dali one day at the St. Regis’ magazine shop where models like her
used to look for their international
magazine shoots and tear sheets.
“That’s the way it was in New York
City in the early Seventies, all the
artists hung out together. I used to
go to tea at the St. Regis with Dali.
I was standing there and Mr. Dali
walked over to me and asked if I
would like to have tea with him and
Truman Capote,” she said. “Normally if a person would come up to you
in a magazine store and ask you to
have tea, you’d run, wouldn’t you?
But I sort of had a feeling that this
was legitimate. I went up there and
Amanda Lear showed up. She was
the most beautiful woman. Truman
Capote was there and the odd
duck was Leonard Cohen. We knew
him as the downtown poet then.”
As for her own musical performance at the Cutting Room for
the Max’s Kansas City concert,
Buell said, “If they want me to sing
a Bowie song, I would be more than
thrilled. I know every Bowie song
backward. It will be impossible to
not say something, considering
one of the songs I’m doing is
“Satellite of Love” from Lou Reed’s
Transformer record.
At work on a book of unpublished photos from those rock ‘n’
roll days in the Seventies, Buell
will also soon shoot a sizzle
reel for a Rock ‘n’ Roll
Traveler series. Despite that, she
is a little maxed out about looking
over her shoulder. “I’m just kind of
exhausted about talking about the
old days,” she said. “It’s just over
and it’s never coming back. It will
not be like that again. How’s that for
harsh reality?”
— ROSEMARY FEITELBERG
15
14 JANUARY 2016 GAULTIER’S RTW FINALE
Get ready for a fashion frenzy, New York. Jean
Paul Gaultier’s final ready-to-wear collection, key
pieces and collectors’ items will be sold at Century
21 Department Store’s Lincoln Square location
starting Thursday at noon. The sale goes through
Monday. The sale includes a wide selection of
Gaultier’s styles, being offered at 69 percent to
85 percent off retail prices. The offerings include
leather jackets, gold sleeveless jackets, silk
jackets with sequins, a multicolored silk top with
sequins, multicolored pants with sequins and a hot
pink bodysuit with white arrows and stars. There
are one-of-a-kind pieces, as well as up to 10 in a
particular style.
Gaultier decided in 2014 to halt his women’s and
men’s rtw collections to focus on couture, his lucrative perfume line and other projects. “For some
time, I have found true fulfillment in working on the
haute couture and it allows me to express my creativity and my taste for research and experimentation. At the same time, the world of ready-to-wear
has evolved considerably. Commercial constraints,
as well as the frenetic pace of collections, don’t
leave any freedom, nor the necessary time to find
fresh ideas and to innovate,” said Gaultier in a
letter to WWD in September 2014.
Gaultier said he’s witnessed the fashion industry accelerate to the point where even designer
collections are forced to adopt an industrial
pace and scale. What’s more, they must compete
against fast-fashion behemoths like Zara and H&M,
which offer compelling fashions at an attractive
price. “It comes to a point where you don’t even
have time to think,” he said. Century 21’s Lincoln
Square location is at 1972 Broadway in New York.
— LISA LOCKWOOD
FIRST-TIME WINNER
Suket Dhir, who represented India, Pakistan and
the Middle East, on Wednesday won the latest edition of the International Woolmark Prize dedicated
to men’s wear.
A show featuring the collections of this season’s finalists, which included Munsoo Kwon, P.
Johnson, Agi & Sam, Jonathan Christopher and
Siki Im, was held at Florence’s Villa Favard during
the 89th edition of international men’s wear trade
show Pitti Uomo.
“This is the first award I won in my life,” said
Dhir, who founded his namesake label in 2009. He
Gaultier photograph by George Chinsee; Rihanna by Stéphane Feugère; Leibovitz courtesy of Annie Leibovitz. From WOMEN: New Portraits.
MAXIM TAPS GILLES
BENSIMON AS ADVISER
Maxim has named Gilles Bensimon as its
special creative adviser.
In the role, Bensimon will shoot all of
Maxim’s covers and consult on the photographers and images used in the men’s magazine
with Guillaume Bruneau, the glossy’s art and
design director. Bensimon will report to owner
Sardar Biglari, who recently took the title of
editor in chief.
A spokesman for the magazine said
Biglari’s expanded title merely formalizes his
role; Glenn O’Brien continues to hold the title of
editor at large. Maxim noted that Bensimon’s
new job will not prohibit him from shooting for
other magazines that are “not directly competing with Maxim.”
Consumers have already seen Bensimon’s
work. The photographer shot the December/
January cover of Maxim, which featured a
photograph of Alessandra Ambrosio. Maxim
said the issue, which launched a new format
and creative direction, sold more than 100,000
single newsstand copies.
“What drew me to Maxim was Sardar’s
vision for the brand,” Bensimon said. “Maxim
appeals to sophisticated men who appreciate
luxury and the finer things in life. We will continue shooting leading, powerful, sexy women as
celebrations of their vitality and strength.”
Biglari praised Bensimon’s “artistic work,”
adding that the issue has more than doubled
sales of recent issues.
In October, the magazine revealed to WWD
its plans to lower its rate base from two million
to 900,000.
Despite declining newsstand sales, which
the Alliance for Audited Media said went from
Rihanna at the Dior
Spring 2016 show.
Jean Paul Gaultier
will get a cash prize of 100,000 Australian dollars
[or $72,500 at current exchange] along with the
chance to have his collection sold in a high-end
retail network. “My father, who is an elegant man,
has been the muse for this collection.”
Dhir showcased a men’s lineup where wool was
combined with silk for fluid suits and separates
worked in colorful graphic patterns. Some pieces
were worked with tie-dye techniques and were
embellished with soft draping.
— ALESSANDRA TURRA
RIHANNA’S REIGN
Rihanna is today’s most marketable celebrity, according to data from The NPD Group. The musician
and sometimes fashion designer surpassed other
celebrities including Angelina Jolie, Tim McGraw
and Stephen Curry.
131,099 in February to 80,830 in October,
Maxim has been able to secure more advertising pages. According to data obtained by
WWD from the Publishers Information Bureau,
the lad mag nabbed a 63.8 percent increase in
ad pages in the January to September period
to 246.51.
— ALEXANDRA STEIGRAD
Misty Copeland in Annie
Leibovitz’s “Women:
New Portraits”
exhibition.
ANNIE LEIBOVITZ
EXHIBITION KICKING OFF
10-CITY TOUR
“Women: New Portraits,” an Annie Leibovitz
exhibition of newly commissioned photographs, opens in London Saturday at Wapping
Hydraulic Power Station. It will travel to The
Presidio in San Francisco on March 25 and
also make stops this year at Tokyo, Hong Kong,
Singapore, Mexico City, Istanbul, Frankfurt,
New York and Zurich.
Leibovitz’s new work is a continuation of a
project that started more than 15 years ago
when her series of photographs, “Women,”
was published in 1999 in collaboration with
Susan Sontag.
The new portraits, which were revealed in
London today, feature women of outstanding
achievement, including artists, musicians,
chief executive officers, politicians, writers and
philanthropists. In addition to the new photos,
Celebrities have been considered powerful
endorsement opportunities for brands and the
songstress has worked with various companies
including Jeep, Puma and Samsung. According to
the group’s report, “Rihanna’s index score of 367
means that she has almost 3.7 times as many
strong brand endorsement opportunities as the
average big-name celebrity.”
“[Chief marketing officers and chief financial
officers] have long asked for better data to help inform their expensive sponsorship decisions,” said
NPD Group vice president Barbara Zack. “We can
now prove what has been suspected when making
expensive sponsorship decisions — that celebrities are media properties in their own right, with
audiences that have nuanced brand preferences.
In the same way that every sitcom is not equally
valuable to a particular brand, neither is every
celebrity equally valuable to a particular brand.”
— LORELEI MARFIL
the exhibition includes work from the original
series, as well as other unpublished photographs taken since.
Some notable faces in the exhibition are
Grammy-award winning singer Adele; American Ballet Theatre principal dancer Misty
Copeland; Olympic athlete Caitlyn Jenner; actress and comedian Amy Schumer alongside
her sister, writer and producer Kim Caramele;
writer and feminist organizer Gloria Steinem;
American restaurateur Alice Waters, with her
daughter and writer Fanny Winger; chief operating officer of Facebook Sheryl Sandberg;
U.S. Senator Elizabeth Warren; Nobel Peace
Prize winner Aung San Suu Kyi and artist Cindy
Sherman.
UBS commissioned the exhibition and
the series of new photographs will enter the
UBS Art Collection, which comprises more
than 30,000 works, at the conclusion of the
exhibition. UBS will also present a lecture
series, “Women for Women,” that kicks off in
San Francisco and will continue alongside
the exhibition through the year. It will address
topics of global relevance to women and
women’s rights.
SHUTTERED
J.C. Penney Co. Inc. said it plans to close seven
stores as part of the retailer’s annual review. A
spokesman said the stores to be shuttered represent a “significant decrease from the number of closures reported in previous years. These locations
represent less than one percent of the company’s
total store base.”
Last year the company closed 39 stores, and in
2014 shuttered 33 stores. The seven sites designated for closure are: Cupertino, Calif.; Owings Mills,
Md.; DeWitt, N.Y.; Cranberry, Pa.; Morristown, Tenn.;
Price, Utah, and Rock Springs, Wyo.
The spokesman added that the annual review
evaluates whether the company’s store portfolio
meets “all required financial targets,” suggesting
that one component of that includes the ability of a
store to support the chain’s effort to be an omnichannel retailer.
— VICKI M. YOUNG
Yasmin
Wijnaldum in
Prada’s new ad
campaign.
— LISA LOCKWOOD
PRADA UNVEILS
SPRING AD CAMPAIGN
Prada has unveiled its latest women’s spring
advertising campaign, which features models
Natalia Vodianova, Sasha Pivovarova and
Yasmin Wijnaldum.
Shot by photographer Steven Meisel in
New York in November, the images show the
models in relaxed poses, wearing dresses in
kinetic prints, paneled tweed skirts, square
jackets and colorful fishnet overlays.
The campaign first made its print debut
in the British edition of Elle in the magazine’s
January 2016 issue.
— LUCIE JANIK
Maxim’s December/ January cover.