A BID FOR JIL SANDER?/2 MERVYNS GETS FINANCING/3Women’s Wear Daily • The Retailers’ Daily Newspaper • August 1, 2008 • $2.00

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The Four TopsIt’s every man for himself with LVMH’s new scent quartet, a lineup

that includes Dior Homme Sport, Kenzo Power, Guerlain Homme

and Givenchy Pi Neo, all launching this fall. As well, Givenchy

is going for bonus points by introducing another men’s scent

franchise, Play, this month in Europe. For more, see pages 4 and 5.

WWDFRIDAYBeauty

See Revlon, Page 7

On the Right Track: Revlon Back to Black, Sales Gain MomentumBy Molly Prior

Revlon Inc.’s buttoned-up, head-down approach to righting its

business has begun to click, as the beauty firm reversed year-ago losses in the second quarter.

Like its industry peer, Avon Products Inc., Revlon has rolled up its proverbial sleeves to resuscitate its business with a steady focus on profitable sales growth.

“Our foremost priority is building our strong brands, particularly the Revlon brand,” chief executive officer David Kennedy said during the company’s earnings call. Following

WWD.COMWWD, FRIDAY, AUGUST 1, 20082

WWDFRIDAYBeauty

GENERALRevlon’s buttoned-up approach to righting its business, implemented nearly two years ago by ceo David Kennedy, has begun to click.

In tandem with Guerlain’s 180th birthday, the LVMH-owned brand is introducing a men’s scent, Guerlain Homme, in the fall.

Parfums Christian Dior hopes to tap into a casual Zeitgeist — and a new male consumer — with Dior Homme Sport, due out this fall.

Parfums Kenzo is banking on fl ower power again for its new men’s scent, Kenzo Power, due out at the end of August.

Elizabeth Arden hopes to bring added urban appeal to stores with 91X Rocawear, the fi rst fragrance to be launched under its Rocawear license.

Italian fashion group Aeffe posted a 2 percent gain in fi rst-half revenues and earnings and confi rmed growth in full-year sales and profi ts.

Shares of Italy’s Safi lo Group fell to their lowest-ever level on the Milan Bourse, a day after the company revised down its full-year outlook.

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● VUITTON HIRE: Louis Vuitton North America Inc. has tapped Geoffrey van Raemdonck to be senior vice president of the Northeast region. Van Raemdonck will have responsibility for store operations in the Northeast and Mid-Atlantic states, including the company’s Fifth Avenue fl agship in Manhattan. The appointment to the new post is effective Aug. 25. He was senior vice president, creative team and commercialization, at Limited Brands Inc., as well as a member of the executive lead-ership team, reporting to chairman and chief executive offi cer Leslie Wexner. Before joining Limited in 2004, he worked at The Boston Consulting Group for nine years. At Louis Vuitton North America, van Raemdonck will join the executive manage-ment team and reports to president and ceo Daniel Lalonde.

● TALBOTS PICKS CHAIRMAN: The Talbots Inc. named Tsutomu Kajita non-executive chairman, fi lling a slot that’s been open about a year. Kajita is senior vice president of inter-national operations for Aeon Co. Ltd., the majority shareholder of Talbots. He has been a director of Talbots since 2005. Kajita served as senior adviser of Ripplewood Holdings LLC from 2002 to 2005, and spent almost a decade in various capacities at Mitsubishi Corp. Talbots also said Thursday that it formed an executive committee to assist the board in overseeing the com-pany’s fi nancial and operational performance. Former Talbots chairman Arnold Zetcher left the company about a year ago.

In Brief

Classifi ed Advertisements.............................................................23

WWD IS A REGISTERED TRADEMARK OF ADVANCE MAGAZINE PUBLISHERS INC. COPYRIGHT ©2008 FAIRCHILD FASHION GROUP. ALL RIGHTS RESERVED. PRINTED IN THE U.S.A.

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“There are no sacred cows. This is not a time to hunker down. This is a time to be aggressive and create change.”

— Rick Darling, Li & Fung Ltd.

Quote of the Week

NEW YORK — It looks like Dolce & Gabbana will have to start searching for a U.S. president again.Christophe Albarran, president of the company’s U.S. subsidiary, has handed in his notice after

just seven months in the job, according to sources, but will remain at Dolce & Gabbana until the end of October.

Albarran was the third executive in seven years to hold the post of U.S. president at Dolce & Gabbana. He succeeded Glenn McMahon, who left last year to become chief executive offi cer of St. John.

Albarran joined the company in January from Victorinox Swiss Army Inc., where he was vice pres-ident of global sales. Prior to that, he was worldwide director of customer service at Prada SpA.

At Dolce & Gabbana, Albarran’s mandate was to drive growth in the U.S., including the expansion of the Italian fashion group’s retail network in North America. In December, the company unveiled its refurbished and expanded New York fl agship on Madison Avenue, which cost $15 million and marked an important step in the duo’s drive to boost business in the U.S., including more store openings. At the time of the store’s opening, the U.S. accounted for 13 percent of the company’s wholesale revenues.

Managing director Cristiana Ruella told WWD’s sister publication DNR last fall that the role of U.S. president has evolved, following the decision to bring the younger D&G line in-house as of the spring 2007 season. The position requires “operational, fi nancial and logistical” clout, rather than “simply commercial expertise,” Ruella said at the time.

Albarran could not be reached for comment on Thursday, and Dolce & Gabbana offi cials could not be reached for comment on Albarran’s successor.

— Marc Karimzadeh

By Andrew Roberts

MILAN — The plot thickens at Jil Sander AG.According to sources, Change Capital Partners,

which owns Jil Sander, has received at least one nonbinding offer of interest in the fashion brand from “Chinese investors.” The identity of the in-vestors could not be learned.

As reported, Change Capital, which acquired the label from Prada SpA for an undisclosed sum in February 2006, is said to be considering exit-ing its investment — having grown tired of waiting for Jil Sander’s bottom line to match its critical acclaim — and has been sounding out the market regarding potential interest.

With an offer on the table, the London-

based private equity fund, which is backed by the Halley family and led by former Carrefour and Marks & Spencer and current Vodafone and Société Générale board member Luc Vandevelde, now will decide if it wants to deal, sources said.

It is unclear whether the said bid for Jil Sander is close to Change Capital’s alleged valuation of around 200 million euros, or $311.6 million at cur-rent exchange, to 220 million euros, or $342.8 mil-lion, and industry experts have suggested that a fi gure closer to 150 million euros, or $233.7 mil-lion, would be more reasonable, given the current economic climate.

A spokesman for Change Capital declined to comment on the speculation Thursday.

By David Moin

Dawn Robertson, the former president of Old Navy, has joined Sean John as president,

WWD has learned.Praising “the brand and its potential,” Robert

said Sean “Diddy” Combs “is a terrifi c marketer and the brand has such a strong affi liation with music.”

Robertson said she will oversee the wholesale and retail operations of Sean John. She succeeds Robert Wichser, who left last year to become a principal at The Yucaipa Cos., billionaire Ron Burkle’s private equity fi rm, which has a stake in Sean John.

Robertson will report to the board and Combs, founder of the 10-year-old Sean John brand.

The brand is widely recognized and distributed in better department and specialty stores, and is estimated to generate retail volume of about $400 million to $500 million. With the bulk of the busi-ness in men’s wear, Robertson noted that there is a major opportunity to develop the women’s busi-ness. There have been some hiccups in women’s.

A contemporary line, Sean by Sean Combs, closed in March 2006 after being offered at retail for less than a year. The Sean John women’s business in-cludes juniors, produced in-house, and outerwear for women, which is produced under license with G-III Apparel Group.

Robertson singled out retailing as a vastly underdeveloped component of the Sean John business. There is only one regular-priced Sean John store that operates on Fifth Avenue across from the New York Public Library. There are

also 10 outlets. When the Fifth Avenue store opened, executives envisioned units operating around the country, but the ambitions have not been realized.

Robertson worked at Old Navy for 16 months until February. The chain had been struggling when she arrived, and she made changes in an attempt to turn around the business. Most signifi -cantly, she led efforts to reduce the cycle time on product development so the store could be faster with fashion. However, the chain continued to suf-fer from negative sales trends.

Before Old Navy, Robertson was managing director of the Myer department store chain in Australia. She also was a Federated Department Stores Inc. executive, where at one time she was president of Federated Direct.

Investors Said Interested in Sander

Dolce & Gabbana U.S. President to Leave

Robertson to Lead Sean John

Sean “Diddy” Combs “is a terrifi c marketer and the brand has such a strong affi liation with music.”

— Dawn Robertson, Sean John

Retail veteran Dawn Robertson has joined Sean John.

WWD.COMWWD, FRIDAY, AUGUST 1, 2008 3

Mervyns, the bankrupt Hayward, Calif.-based midtier department store chain, said on Thursday that it received interim bankruptcy court approv-

al of its $465 million debtor-in-possession financing facility.The fi nal hearing is set for Aug. 26. The facility is provided by Wachovia

Capital Finance Corp. as the agent.Mervyns, the $2.5 billion chain with 177 stores in seven Western and

Southwestern states, fi led a voluntary petition for bankruptcy court protec-tion on Tuesday in Delaware. As part of the hearing for “fi rst-day” motions, the court also approved payment of pre-petition employee wages. Meanwhile, the DIP facility will be used to pay vendors for goods and to provide fi nancial stability for operations while the company operates and restructures during the bankruptcy process.

“With the bankruptcy court’s prompt approval of our DIP fi nancing and fi rst-day motions, we are moving forward with our reorganization under Chapter 11 while maintaining normal operations in our stores,” said John Goodman, chief executive offi cer of Mervyns. “We are pleased that we can continue to serve our customers and purchase goods and services from our vendors as we seek to implement strategies to restructure our operations, strengthen our balance sheet and position Mervyns to compete more effectively.”

— Vicki M. Young

By Whitney Beckett

The clothes and marketing plan for Liz Claiborne’s spring relaunch under Isaac Mizrahi are under wraps for at least another month, but the first clue about the brand has been released: a new label and mark.

The changes in the modernized logo are subtle: a tweaked font, the addition of ‘New York’ to the name, and an understated symbol meant to represent an “L” with a “C” cut out.

“The intent has been to modernize literally by channeling Liz Claiborne the woman as though she were here today,” said Dave McTague, Liz Claiborne Inc. executive vice president of partnered brands. “It’s a little more modern take on the original font and spacing, adding ‘New York’ to resonate it as a designer brand again, centered in the fashion capital New York.”

What’s most noticeable is the lack of mention of Mizrahi in any way. McTague said there hadn’t been real discussions about including the name

of the brand’s new creative di-rector on the logo, despite the publicity and marketing expect-ed from the engagement of the high-profi le designer.

“It isn’t about Isaac Mizrahi — it’s about a global power-house brand,” McTague said. “It’s no different than other de-sign houses before us” that em-ployed a new designer to work under another designer’s label.

Mizrahi was the “creative leadership behind the label and mark,” said McTague, and he worked on it with Mother Design, which is a newly formed group at Mother New York, a creative agency.

The new symbols will be busy this spring, appearing in-store, in media and public relations efforts, and on tags for the prod-uct. Additionally, the L-C mark will have multiple uses, includ-ing on hardware and repeated to create patterns for fabrics.

By Matthew Lynch

Kanye West might want to proceed with caution in using one of his favorite aliases, “The Louis Vuitton Don.” LVMH Moët Hennessy Louis Vuitton is taking aim at musicians

who get a little too cozy with its trademarks. Sony BMG Music Entertainment has agreed to pay LVMH nearly 100,000 euros, or

$155,830 at current exchange, and refrain from further using its intellectual property, the fashion house said Thursday. The settlement resolves three complaints brought against the music group by Louis Vuitton Malletier for the unauthorized use of its trademarks by recording artists Britney Spears, Ruben Studdard and Da Brat. According to Louis Vuitton Malletier, the three used its property such as the Toile Monogram and Multicolore trade-marks in video clips and on CDs.

The company won a total of 154,000 euros, or about $240,000, in lawsuits fi led in the District Court of Paris over the last fi ve years relating to the Spears and Da Brat infringe-ments. The deal reached Thursday requires Sony BMG to make good on its outstanding pay-ments in those cases of 97,000 euros, or about $151,000. The label will pay a further, undis-closed amount in relation to the Ruben Studdard case and cease distribution of the album by the “American Idol” winner, “The Return,” which contains the infringing material.

“We are very pleased to have successfully resolved these matters in a manner that pro-tects our brand and our customers,” said Nathalie Moulle-Berteaux, intellectual property director at LVMH. “We believe the terms of this agreement will provide strong enough pro-tection to our brand worldwide and we are gratifi ed that Sony BMG has agreed to educate its record labels about our trademarks and copyrights in order to prevent the misuse of our intellectual property in the future.”

A phone call to Sony seeking comment on the case wasn’t returned.Susan Scafi di, a law professor who teaches fashion law at Fordham University, said,

“This is very much about control and the selectivity of celebrity endorsements.” Scafi di, who maintains the fashion legal blog Counterfeit Chic, said that although it is

common for brands to seek the approval of celebrities, they are likely to act if that ap-proval takes a commercial turn. “These celebrities went a step further and decided to put Vuitton’s mark on their product,” she said.

The Sony BMG settlement comes on the heels of a pair of favorable trademark rulings for LVMH in its home country. In June, a French court awarded the company $61.3 million from online retailer eBay over the sale of counterfeit goods on the Web site. The ruling, and an injunction prohibiting the further sale of LVMH wares on eBay, was upheld in a court of appeals in July.

Two weeks later, Tiffany & Co. was unsuccessful in its effort to hold eBay liable for the presence of counterfeit products on its auction site.

“Vuitton doesn’t like to see the Vuitton trademark on anything other than a Louis Vuitton product,” Scafi di said. “Until Louis Vuitton starts developing singers this will probably re-main the case.”

By Melissa Drier

BERLIN — Hugo Boss reported a net loss of 6.1 million euros, or $9.5 million at current exchange, in the second quarter on a 9 percent rise in sales to 321.1 million euros, or $502 million.

A company spokesman attributed the loss to the seasonal nature of the fash-ion business. The results compare with net losses of 6.2 million euros, or $9.7 million, in the corresponding period a year earlier. Earnings before interest and taxes for the quarter came in at a loss of 5.3 million euros, or $8.3 million, versus a loss of 5.6 million euros, or $8.8 million, a year earlier.

“The second and fourth quarters are always weaker,” the spokesman said.Boss men’s wear sales gained 8.3 percent in the quarter, and women’s

wear, 15.4 percent. In regional terms, the group achieved a 2 percent gain in Germany, 12 percent in the rest of Europe, 3.2 percent in the Americas and 19.9 percent in Asia and other regions.

For the fi rst six months of this year, Boss increased consolidated sales by 4 percent (8 percent on a currency-adjusted basis). Due to a onetime effect due to changes in the Boss management board, EBIT for the fi rst half of the year de-clined 5 percent. However, adjusted for a special charge of 13.5 million euros, or $20.7 million, EBIT rose 9 percent. Gross profi t for the six-month period rose 7 percent to 489 million euros, or $748.4 million.

On the basis of this performance, Boss confi rmed its sales and earnings fore-cast for 2008. The managing board is projecting currency-adjusted sales growth of 6 to 8 percent, with EBIT expected to increase by 8 to 10 percent before ad-justments for special effects.

Sony Reaches Settlement With LVMH

Hugo Boss Posts 2nd-Quarter Loss

Mervyns Gets Interim Financing OK

Claiborne Updates Logo

Liz Claiborne’s new logos for its spring 2009 relaunch under Isaac Mizrahi.

TRIPPING THE CENSORS: Despite Coty’s best efforts, network TV censors in the U.S. have refused to allow the company to run the

steamy ad Steven Meisel shot for its new Calvin Klein Secret Obsession women’s scent, due out this fall. The brand’s strategy? Take it to the Internet. Late Friday evening, Coty plans to go live with a new site, secretobsessioncalvinklein.com, which will feature the risqué TV spot featuring Eva Mendes. The site will also feature various executions of the print campaign.

So, what’s got the network censors hot and bothered? Evidently a combination of what Mendes says, and doesn’t say — not to mention lots of skin and sexy music. “It taps into the secrecy of a private moment — it’s clear Eva is having illicit thoughts,” said Lori Singer, vice president of global marketing for the brand at Coty Prestige, in May. “It’s somewhat open to interpretation — because of how it’s shot, and what you see and hear, and what you can’t see and hear.” For her part, Catherine Walsh, senior vice president of American fragrances for Coty Prestige, sees another reason. “Every time we do TV [with the Calvin brand], it comes back with some sort of push-back from the networks,” she said in May.

FROSTFRENCH’S NEXT PHASE: FrostFrench, the clothing line designed by Sadie Frost and Jemima French, is starting over. FrostFrench Ltd., a company formed in 2006 when London investment company Secora invested in FrostFrench, was last week put into administration, following poor business. David Rubin & Partners, a London-based fi rm, has been appointed as the administrator.

While that company is in administration, Frost and French have formed a new fi rm with an external investor, John Joakim, called FrostFrench London Retail Ltd. That company has bought assets from the administrators, including clothing stock and FrostFrench’s store in Islington, North London, and continues to trade.

Under Secora’s direction, the company had rapidly expanded in London, opening stores in Islington, the King’s Road, and a temporary store in Mayfair over Christmas. The King’s Road store has now closed. A spokeswoman for the designers said the duo were unhappy with the way the company had been operated under its previous investors, after they had relinquished much of their control in the business.

“Sadie and Jemima relish the opportunity to be fully hands-on again,” the spokeswoman added. “Both designers are currently working on their next collection, which will be sold in the Islington store and via the online boutique, which will be relaunched in August.”

According to reports in the British press, FrostFrench Ltd. owes its creditors 3.3 million pounds, or $5.9 million. Asher Miller at David Rubin said the administrators will pay the company’s creditors a dividend with funds raised from the company’s remaining assets, but he said that would not cover all the company’s debts.

DRESSES AND DENIM: London’s party scene continues to rumble on into the summer. On Wednesday, London label PPQ, known for its chic party dresses, held a cocktail party at its Conduit Street store, which they’ll soon be vacating for new premises in London. Guests including Peaches Geldof, Jaime Winstone, Henry Holland and Alfi e Allen were all given free rein by hosts Percy Parker and Amy Molyneaux to kick up their heels as they sipped potent vodka cocktails, with scant regard for the fi xtures and fi ttings. Molyneaux shared a few details of her label’s upcoming collaboration with Geldof, which she described as “goth, mod and punk.” The collection is set to launch in November.

Meanwhile, Holland dished about the television show he’s fi lming for the U.K.’s channel 4 station, which he’ll present with fashion plate Alexa Chung. “It’s going to be proper fashion, fi lming in young London designers’ studios,” said Holland, adding that he’ll take a fi lm crew along with him to a dinner that he and Agyness Deyn are hosting in New York.

The same night, Diesel hosted a party with Dazed and Confused at its King’s Cross showroom, to celebrate the launch of the premium clothing collection, Diesel Black Gold. A crowd including Roisin Murphy, Ben Grimes, Alice Dellal, Tamsin Egerton, Carl Barat and Adele all gathered to check out images of the punkish collection displayed in the gallery space.

Fashion Scoops

By Jennifer Weil and Julie Naughton

It’s a man’s world at Parfums Givenchy this fall: The LVMH Moët Hennessy Louis Vuitton unit will add a new facet to its successful Pi fragrance franchise, as well

as a new music-related concept called Play. First up: Givenchy Pi Neo, duo out in the U.S. at the end of this month. The fra-

grance, which is being billed as a Space Age scent, is a riff on Pi, which the house launched in 1998.

“We revisited all of the elements of Pi,” said Alain Lorenzo, president of Parfums Givenchy. “The initial story of Pi was about a pioneer who happened to be an as-tronaut. We thought this story is still very current, except that today the unknown world is not space, but the virtual world.”

He also pointed out that the new scent’s name can be interpreted in a number of ways. For instance, it can refer to an asteroid, mean something “new” or “recent” in Greek and even give a nod to “The Matrix” movie, whose lead character is named Neo, he said.

Givenchy Pi Neo’s juice, said Lorenzo, is a combination of natural ingredients and synthetic molecules exclusive to Givaudan. Concocted by Givaudan’s Antoine Lie, Pi Neo has top notes of Italian bergamot and mandarin orange, a heart of cedar and patchouli and a base of amber and vanilla. As well, each of the accords includes a patented, futuristic note. The top note carries Toscanol, an anise-like ingredient intended to give the fragrance energy. In the heart, Safraleine is intended to enrich the woody accord and to add hints of leather, spice and tobacco. The base of the fragrance has Cosmone, which lends a fl uidity and hint of ambergris to the scent.

Eaux de toilette in two sizes, 1.7 oz. for $47.50 and 3.4 oz. for $64, as well as a deodorant roll-on, $18, and an aftershave lotion, $45, will be sold. Prices are for the U.S. market.

Givenchy Pi Neo will be introduced starting this month in a few dozen countries, including the U.S., where it is to be launched in 1,500 doors such as Macy’s, Dillard’s, Sephora and some regional department stores, with additional markets to get the scent next year. Industry sources estimate that Pi Neo could rack up sales of more than $10 million at retail in the U.S. in its fi rst year on counter. Globally, sources estimated that it would generate fi rst-year wholesale revenues of $40 million.

Meanwhile, in Paris, Parfums Givenchy is playing a double hand for the launch of another men’s scent slat-ed to start rolling out this month in Europe.

In developing the scent, called Play, Lorenzo said perfumers were told: “Develop a note that’s going to be really original, and once you’ve got it, make two versions of it — one which will be pushing it even more toward originality and the other which is pulling it toward accessibility, making it fresher, easier.”

As a result, two iterations of the woody fragrance were formed — Play and Play Intense — created by Symrise perfumers Lucas Sieuzac and Emilie Coppermann with Françoise Donche, creative director for fragrance at Parfums Givenchy.

“In the head, there are two elements in the version we call Intense and four elements in the fresh one,” explained Lorenzo, referring to bergamot and mandarin, versus bergamot, mandarin, Seville orange and grapefruit.

To visually differentiate the two, Intense has black outer packaging and Play, white. Ditto for the bottles, created by Serge Mansau, who was in-spired by today’s portable multimedia technology, such as MP3 players.

Justin Timberlake fronts the advertising for the new scent. Print ver-sions of the ads, shot by Tom Munro and appearing as single and double pages plus outdoors, will feature Timberlake in a recording studio or in his private jet; in both, he’s listening to music. Online, a two-minute video clip is planned in which Timberlake describes the fragrance concept.

Play is to premier on Tuesday in Sephora’s Paris fl agship. At the end of this month it will be introduced in France, Belgium, Switzerland, the Netherlands, the U.K., Russia, Greece and Kuwait. The rest of the world will get the fragrance in about a year.

Givenchy executives would not discuss sales estimates, but industry sources believe Play will generate about $30 million in wholesale revenues during its fi rst 12 months.

The new line will include a 50-ml. eau de toilette spray for 49.50 euros, or $77.30 at current exchange; a 100-ml. edt spray for 70 euros, or $109.30, and a 100-ml. edt Intense spray for 75 euros, or $117.10. The bath line is to have a 75-ml. roll-on de-odorant for 21.50 euros, or $33.60; a 150-ml. spray deodorant for 24.50 euros, or $38.25; a 100-ml. aftershave lotion for 46 euros, or $71.80, and a 100-ml. aftershave gel for 36 euros, or $56.20.

PARIS — In tandem with Guerlain’s 180th birthday, the LVMH Moët Hennessy Louis Vuitton-owned brand is introducing a men’s scent, Guerlain Homme, in the fall.

The idea was to “reinvent Guerlain fragrance for men,” said Laurent Boillot, president and chief executive offi cer of Guerlain. “Let’s create it like it was the fi rst one — the fi rst Guerlain Homme fragrance. That’s simply why we rapidly came up with Guerlain Homme as its name.”

At Guerlain, where an estimated 20 per-cent of the fragrance business is rung up by men’s scents (among which the bestsellers are Habit Rouge and L’Instant de Guerlain pour Homme), that breakdown could be closer to one-third men’s and two-thirds women’s scents in the long term.

Guerlain Homme was conceived with a younger consumer in mind.

The citrus, aromatic woody juice was created by Sylvaine Delacourte, Guerlain’s fragrance creation director, and Thierry Wasser, the house’s perfumer, around in-gredients similar to those found in a mojito — namely, lime, mint and rum notes. There’s another accord of bergamot, green tea and geranium notes and a facet of cedar and vetiver notes, among others.

“We decided to go for a fresh note, having in mind that we have some very impor-tant countries in which to develop our business,” said Boillot. “There is originality, there is personality, but there is accessibility. In that sense, it is also accessible to a younger target.”

Jean-Paul Goude created Guerlain Homme’s campaign in which model Renne Castrucci drinks from a watering hole alongside a wide assortment of wild animals, many of which would never in the real world be seen peacefully side by side.

“In every man there is an animal,” said Boillot. “Jean-Paul Goude used the univer-sal codes of Noah’s Arc.”

In keeping with that wild-at-heart idea, Guerlain Homme’s ad tag line reads: “For the animal in you.”

The campaign will come in single and dou-ble pages, among other print formats, plus 30- and 20-second TV and movie theater spots.

Paolo Pininfarina was chosen to design the Guerlain Homme bottle (his fi rst fra-grance fl acon) because “he is one of the most elegant car designers,” said Boillot. “The association of glass and metal makes this bottle something classical. Even the metal piece can subtly reference a car.”

Guerlain executives would not divulge sales estimates for the fragrance that will fi rst be launched in Guerlain boutiques on Aug. 22, followed by a worldwide introduc-tion Sept. 1. In the U.S., it will be launched in September at Saks Fifth Avenue, rolling out to Neiman Marcus, Bergdorf Goodman, Nordstrom and Sephora in October, for a total of 400 U.S. doors.

Industry sources say Guerlain Homme will ring up $63 million in fi rst-year retail sales.

The Guerlain lineup includes a 30-ml. eau de toilette spray for 43 euros, or $67.15; a 50-ml. eau de toilette spray for 60 euros, or $93.70, and an 80-ml. eau de toilette spray for 73 euros, or $114. Ancillaries include a 75-ml. stick deodorant for 24 euros, or $37.50; a 150-ml. spray deodorant for 26.50 euros, or $41.40; a 150-ml. shower gel for 27 euros, or $42.15, and a 100-ml. aftershave gel for 38.50 euros, or $60.10. Prices are for Europe.

— J.W.

4

The Guerlain Homme ad.

WWD, FRIDAY, AUGUST 1, 2008

The Beauty Report

Givenchy: Manning the Market

Guerlain’s New Man: Homme Set for Fall Launch

The Play ad and the Pi Neo bottle, left.

PARIS — Parfums Christian Dior hopes to tap into a casual Zeitgeist — and a new male consumer — with Dior Homme Sport, due out this fall.

The fragrance from the LVMH Moët Hennessy Louis Vuitton-owned brand, targeting men ages 25 to 40, will be the fourth in the Dior Homme collection, which fi rst kicked off in September 2005.

Dior Homme Sport is meant to grow that brand by recruiting a younger consumer and broadening its geographic reach, said Romain Spitzer, director of the parfums business unit at Parfums Christian Dior. He described the Dior Homme universe as “innovating, very modern, architectural and design-oriented.”

“Dior Homme Sport is in continuity with what was already there and brings a new dimension,” he added. That, in part, is thanks to its olfactory composi-tion that’s fresher than any other Dior Homme juices. Created by François Demachy, LVMH’s director of olfac-tive development, Dior Homme Sport was inspired by a red pepper candy he found in the U.S.

“The original idea was to tran-scribe the sensation of eating the can-dies,” he explained. “Paradoxically, there’s the fact that they are very pep-pery, very burning, but give a fresh ef-fect simply because one is obliged to breathe very deeply.”

Demachy chose a ginger note as the heart of the new fresh, woody, spicy scent.

“The fresh side [of the juice] is boosted with grapefruit [and] bergamot, and there is an elemi note to make the transition between the fresh effect and the spicy effect,” he said. Also on top is a Sicilian lemon note.

For a rooty aspect, Demachy added notes of Atlas cedar and vetiver. And for the base, there’s sandal-wood, while other notes in Dior Homme Sport include essences of rosemary and lavandin.

Jude Law stars in Dior Homme Sport’s advertising globally, except for in the U.S. and U.K.

“He is known around the world and is very close to this brand with his personality and his style,” said Spitzer. “He is very authentic.”

In the ads, Law (and model Jon Passavant, in the publicity destined for the U.S. and U.K.) is pictured with water behind him.

“The idea was to have an iconic por-trait of Jude Law expressing freshness, masculinity, nature and well-being,” said Spitzer.

Inez van Lamsweerde and Vinoodh Matadin shot the print ad, which will appear as single and double pages plus posters, and Daniel Askill lensed the image destined for TV, which comes in 30-, 20- and 10-second takes.

Dior Homme Sport’s bottle, created in-house, is the same shape as Dior Homme’s fl acon, but with new details. Touches of red were inspired largely by Dior’s Chiffre Rouge Black Time watch (worn by Law and Passavant in the ads).

Dior Homme Sport will be intro-duced globally in September, save for some European countries, where it is to be launched at the end of this month.

Company executives would not dis-cuss sales projections, but industry sources estimate Dior Homme Sport

will generate $30 million in wholesale revenues during its fi rst year.

The new collection includes a 50-ml. eau de toi-lette spray for 50.46 euros, or $78.90 at current ex-change, and a 100-ml. eau de toilette spray for 70.62 euros, or $110.50. There also will be ancillaries.

In the U.S., where it will be a Sephora exclusive, a 1.7-oz. spray will retail for $50 and a 3.4-oz for $70; a 3.4-oz. aftershave lotion for $44, and a 2.5-oz. deodor-ant for $18.

— Jennifer Weil

5WWD, FRIDAY, AUGUST 1, 2008

WWD.COM

Lancôme’s Buzzword:Oscillation Mascara

Kenzo’s Lucky Seven: Power

Dior Eyes New Consumers With Sport

PARIS — Parfums Kenzo is banking on flower power again for its new men’s scent, Kenzo Power, due out start-ing at the end of August.

It is the seventh fragrance for guys from the LVMH Moët Hennessy Louis Vuitton-owned brand and comes eight years after its blockbuster Flower by Kenzo women’s fragrance.

“When we look at the Kenzo fragrance portfolio, Flower by Kenzo has been the star since its launch in 2000. It embodies a bold creativity that not only set new standards for the industry but also brought tremendous com-mercial success worldwide,” said Philippe Lesne, regional director of North and Latin America for Parfums Kenzo. (In France, for instance, Flower by Kenzo ranks among the top fi ve prestige women’s fragrances.)

“So this year, our goal is to bring out a fragrance for men that is equally innovative and successful,” he added.Kenzo executives would not discuss sales projections, but industry sources believe the fragrance will gener-

ate $150 million in fi rst-year retail revenues worldwide.International Flavors & Fragrances perfumer Olivier Polge was given a brief to come up with a fl ower for

men. With that in mind, he dreamed up an imaginary fl ower for his woody amber composition.“It’s not a real fl ower; it is an association of fl owery notes, and then you have softness because of tolu bal-

sam,” said Odile Lobadowsky, president and chief executive offi cer of Parfums Kenzo. “Kenzo Power gives a general feeling of ‘fl ower’ with a woody drydown,” added Patrick Guedj, creative

director of Parfums Kenzo.Beside the fl oral part of the juice, other notes include bergamot,

coriander, cardamom, cedar and labdanum.Kenya Hara designed both Kenzo Power’s minimalist outer

packaging and streamlined bottle, which takes its cue from a sake bottle he created.

Advertising was conceived and shot by Guedj and stars model Andy Gillet.

“It’s really the story between a man and a fl ower,” said Guedj, who explained there’s also an association between the image of a woman and that of a fl ower. “At the end of the fi lm, he goes out of the room with the fl ower just to take it from the darkness to go into the light.”

There will be a 60-second version of the fi lm for the Internet, a 45-second iteration for movie theaters and a 30-second one for TV. The print ad will appear as single and double pages.

The new fragrance will be introduced in North America, Europe, Russia and Australia between the end of August and early September. In the U.S., it is to be launched exclusively in Bloomingdale’s and in Canada in The Bay. Elsewhere, the launch will take place between yearend and early 2009.

The Kenzo Power line will include a 60-ml. eau de parfum spray for $55, a 125-ml. eau de toilette spray for $75 and a 750-ml. eau de toilette spray for $300. Ancillaries comprise a 150-ml. aftershave balm for $47, a 125-ml. aftershave spray for $49, a 75-ml. roll-on deodorant for $22, a 150-ml. spray deodorant for $28 and a 150-ml. hair and body shampoo for $28.

— J.W.

Lancôme is lashing out with a new mascara this fall — one the company believes will add volume

not only to lashes, but to the brand’s bottom line.Oscillation, a vibrating mascara that the beauty

powerhouse is planning to release later this fall, got a preview in 17 of Lancôme’s top U.S. doors on Thursday, and was said to have sold out in many of its doors by lunchtime. Final sales numbers were not available at press time, although retailers estimated Lancôme sold close to $200,000 worth of product in total.

So, what is it about the $34 mascara that makes it groundbreaking? According to Jean-Louis Guéret, who has created more than 400 mascaras for the L’Oréal Groupe in his multi decade career there, it is the micro-oscillation brush, paired with a “fl uid, supple formula.”

“The brush, which is battery operated, provides 7,000 micro-oscillations per minute,” he said. “The vibrations wrap the formula around eyelashes and, together with the longitudinal brush, stretches, curls, shapes and spreads the lashes. The formula, which is designed specifi cally to work in tandem with the brush, is comprised of a new generation of polymers and is ultrafi ne. We are calling it powermascara.”

The brush is powered by a 3-centimeter motor ac-tivated by pressing a button on the mascara’s outer tube, noted Anne Collinet, vice president of makeup marketing for Lancôme. The application method dif-fers from traditional mascaras, as well: “Many make-up artists and consumers apply mascara by using a zigzag motion,” she explained. “Oscillation emulates that motion with the vibrations of the brush — so it should be applied in straight, smooth strokes.”

“Oscillation occupies a unique place not just in Lancôme’s portfolio, but in the world of mascara,” said Serge Jureidini, president of Lancôme in the U.S. “We’re confi dent that our micro-oscillation technology has kicked off a true revolution in the category.”

According to The NPD Group, Lancôme currently has fi ve of the top 10 prestige mascaras in the U.S. market, including the number-one stockkeeping unit, Defi nicils.

The mascara is available in one shade, black. While Lancôme is still fi nalizing launch plans, it is currently slated to roll out to Lancôme’s full U.S. distribution — about 2,000 department and specialty store doors — in November. It will also be available at that time on lancome-usa.com.

Advertising, featuring Daria Werbowy, will break in fashion, beauty and lifestyle magazines. The exact media plan is still being fi nalized.

While Lancôme executives declined to discuss sales projections or advertising spending, industry sources estimated that Oscillation would do upward of $20 mil-lion at retail in the U.S. in its fi rst year on counter.

The industry will most likely be eyeing the re-sults, as two of the top three department store brands are hopping on the vibrating mascara band-wagon this fall — Lancôme with Oscillation, and competitor Estée Lauder with TurboLash All Effects Motion Mascara, a $30 item that entered Saks Fifth Avenue in mid-July.

— Julie Naughton

Dior Homme Sport.

Lancôme’s Oscillation.

Kenzo Power

6 WWD, FRIDAY, AUGUST 1, 2008

The Beauty Report

Elizabeth Arden hopes to bring added urban appeal to depart-ment stores this September with 9IX Rocawear, the first fra-

grance to be launched under its Rocawear license.In November 2007, Arden signed its fragrance licensing deal

with Rocawear, the clothing label cofounded by hip-hop mogul Shawn “Jay-Z” Carter in 1999 and now owned by Iconix Brand Group Inc.

Carter continues to be involved in the business and retains creative control over the fashion, and Arden said that Carter had a strong hand in developing the fragrance — but 9IX is not in-tended to be “a Jay-Z celebrity fragrance,” said Ron Rolleston, executive vice president of global fragrance marketing for Elizabeth Arden.

“The fragrance is going to be part of a global expansion strat-egy and part of a restage of the Rocawear apparel brand,” said Rolleston. “Certainly, Jay-Z is the creative force — we’ve met with him every two weeks throughout the process — but this is a fashion fragrance. He’s not the ‘face’ of the brand.”

Stated Jameel Spencer, chief marketing offi cer of Rocawear, “It couldn’t be a more exciting time for the brand, and working with Elizabeth Arden is sure to lead to blockbuster results.”

Arden’s Rocawear licensing deal is for both men’s and wom-en’s fragrances, cosmetics and skin care, although Rolleston noted that Arden plans to focus on fragrance fi rst.

“We’re targeting a consumer that we haven’t had the opportu-nity to communicate with over the last few years,” said Tamara Steele, senior vice president of marketing for global fragrances at Elizabeth Arden, noting that the scent’s intended consumer is an African-American or multiethnic consumer between the ages of 18 and 34, both urban and suburban. “This is an area that we don’t really have covered in our current portfolio, and we feel it offers us a great opportunity for growth.”

The scent, concocted by International Flavors & Fragrances, has top notes of Asian coriander, mandarin zest and living can-taloupe; a heart of spike lavender, raw geranium leaf and suede, and a drydown of golden amber, musk and timberwood.

Four stockkeeping units will be sold: eaux de toilette in two sizes, 1.7 oz. for $50 and 3.4 oz. for $65, as well as a 6.8-oz. shower gel for $25 and a 2.6-oz. deodorant for $16.

The scent will be available in about 2,000 U.S. department and specialty store doors, including Macy’s, Dillard’s, Belk’s and Bon-Ton/Carson’s. In addition to traditional department store doors, Arden plans to distribute the scent in specialty stores that also carry Rocawear, said Steele. “We’re still fi nalizing these partner-ships, but we want to make sure that this scent is available in the places consumers want to buy it,” she said.

The fragrance is expected to roll out to travel retail and Australia later this fall, followed by a spring launch in the U.K.

Arden will take a “multilayered” approach to advertis-ing, said Steele. Scented ads in October men’s books, includ-ing Maxim, Men’s Fitness, Vibe, Giant, Uptown, Complex and Blender, are planned; an Internet campaign is planned, includ-ing a partnership with the Rocawear apparel Web site. Arden is aiming for at least 35 million scented impressions in the mar-ketplace this fall.

TV is planned for the holidays, including spots on MTV, BET, ESPN and Comedy Central, added Rolleston. “We’ll augment that with viral and interactive marketing,” he said.

While Rolleston and Steele declined to comment on sales pro-jections or advertising spending, industry sources estimated that the scent would do upward of $20 million at retail in the U.S. in its fi rst year on counter, and that about $7 million would be spent on advertising and promotion.

— Julie Naughton

LONDON — Illamasqua wants to own the night.The color cosmetics brand, which will bow in October, is setting it-

self up as a makeup line for women looking to unleash their alter egos after dark.

“We’re positioning ourselves as a nighttime makeup brand,” said Kate Massarella, marketing and product director at Illamasqua, which is based here. “That’s when you let your inhibitions go a bit and become what you want to be.

“It’s about empowering women to self-express through makeup,” she continued.

While the line may comprise 650 stockkeeping units, including 49 shades of lipstick, Illamasqua is not for shrinking violets, since inspira-tions include underground clubs in Twenties Berlin.

For its launch, Alex Box, the brand’s artistic director, created four looks, each boasting bold colors and brazen attitudes. One of the looks

— Twenties Berlin — is an ephemeral col-lection. Two seasonal collections will be in-troduced yearly.

As well as Box, the brand’s “art team,” a collective of influencers who steer Illamasqua’s creative course, also includes musician and artist Anja Huwe and David Vanian, lead singer of punk band The Damned.

Among the brand’s product lineup are four foundation tex-tures, including 21 shades of rich liquid foundation, priced at 20 pounds, or $39.63 at current exchange,

per 30-ml. tube; 110 powder eye shadow hues, which will retail at 12 pounds, or $23.78 per 2-g. compact, and nail polish in 35 colors, priced at 9 pounds, or $17.83, per 15-ml. bottle. It also comprises makeup tools and fi ll-to-order compact palettes.

Illamasqua will bow with its own counter in Selfridges’ Oxford Street fl agship here in October, and will roll out to the department store chain’s doors in Birmingham and Manchester next year, as well as to other key U.K. retailers. Up to three stand-alone Illamasqua boutique openings also are planned for next year, including at least one here, Massarella said.

“It has the same energy as MAC when it fi rst [started],” said David Walker-Smith, men’s and beauty director at Selfridges, of the brand. “We’re launching it in a big way.”

Massarella said the brand plans to establish itself in its domestic mar-ket before moving into the international arena. She declined to discuss forecasts, however, industry sources estimate Illamasqua will generate more than 3 million pounds, or $5.9 million, at retail in its fi rst year.

— Brid Costello

Fresh is expanding its fragrance portfolio this fall with the launch of its latest scent

Strawberry Flowers, created in celebration of Sephora’s 10th anniversary. In addition, the company is expanding its bath and body, skin care and makeup categories with a slew of new products.

Launching exclusively at Sephora in September, Strawberry Flowers Eau de Parfum is a fruity fl oral scent, designed spe-cifi cally for the Sephora customer.

Both firms are owned by LVMH Moët Hennessey Louis Vuitton.

“Sephora has always been a very strong partner for us, so to show our appreciation we wanted to do something special to rein-force the partnership,” said Lev Glazman, co-founder and director of research and develop-ment for Fresh. “We felt a younger consumer responds very well to a sweet and fruity fra-grance that’s not too overwhelming.”

Inspired by the scents of a typical spring morning, the company used ingredients such as wild strawberries and blossoming fl ow-ers. The fragrance is composed of top notes of mandarin, yuzu and white peach; middle notes of mountain strawberries, freesia, or-ange blossom and osmanthus, and base notes of orris, musk and white woods.

Also in September, Fresh is introducing a bath and body collection based on its top-selling Fig Apricot Eau de Parfum, which launched a decade ago. The Fig Apricot body care collection will include a bath and shower gel and a body cream. Available at Barneys, Neiman Marcus, Sephora, Saks Fifth Avenue and Bluemercury, the bath and shower gel will retail for $28, while the body cream is $65.

On the makeup front, Fresh is coming out with a fall color collection for the eyes, lips and cheeks called Imperial Bedroom Face Palette, $55, and a new Firebird Mascara, retailing for $26. The palette’s cream-based colors include iridescent pearl and warm an-tique gold eye shades, an opalescent black eyeliner, a shimmer highlighter for the cheeks and a deep red gloss for the lips. Inspired by a Russian fairy tale and based on the compa-ny’s best-selling mascara, Fresh Supernova, Firebird is designed to thicken, lengthen and curl lashes. The formula contains ingredients such as red algae extract, seabuckthorn berry oil and panthenol, designed to nourish and strengthen the lashes.

“Supernova gives your lashes a thick, dark and more defi ned look, whereas the soft lightweight fi bers on the Firebird brush

gives it a feathery and fl irty feel,” said Alina Roytberg, Glazman’s wife and Fresh’s other co-founder.

In addition, the company is coming out with Twilight Freshface Glow, a multifunc-tional illuminating cream. Retailing for $36, the primer is designed to be used as a highlighter along cheekbones, brow bones and décolletage.

While Fresh executives would not discuss sales projections, industry sources estimate these new launches combined will generate fi rst-year retail sales of $15 million. Sources estimate Firebird Mascara to generate $5 mil-lion at Fresh stores and Sephora exclusively.

On the retail front, Fresh has plans to open several freestanding stores before yearend. This month the company is opening a location in Century City, Calif., followed by another store in Dallas’ Northpark Center in October. The company is also looking to open a store in Philadelphia along with additional stores in the Northeast.

“As proven in San Francisco and Orange County, the addition of a Fresh freestanding store serves to build brand awareness and strengthens the overall sales within the Dallas market,” said Gerard Camme, executive vice president of sales, who was promoted to the position in May. In his new role, Camme over-sees both Fresh retail and wholesale distribu-tion and reports directly to Jean-Marc Plisson, Fresh’s chief executive offi cer.

— Michelle Edgar

Next for Fresh: Fragrance, Bath, MakeupColor Line Aims to Seize the Night

Rocawear’s Man About Town

The 9IX scent.

New items from Fresh.

An Illamasqua lipstick.

7WWD, FRIDAY, AUGUST 1, 2008

the call, he told WWD, “We’ve stayed focused on the driv-ers of profi table market share growth…and we are just beginning to see the outcome of that strategy.”

For the second quarter ended June 30, Revlon’s do-mestic and international sales growth resulted in a net profi t of $19.9 million, or 4 cents a diluted share, com-pared with a net loss of $11.3 million, or 2 cents a share, in the year-ago period. Sales gained 7.8 percent to $376.4 million from $349.2 million, bolstered by higher ship-ments of Revlon color cosmetics and the sell-in of the company’s second-half lineup to retailers.

U.S. sales for the company gained 6 percent to $216.4 million in the quarter. The fi rm’s international perfor-mance continued to be a bright spot, rising 10.3 percent to $160 million.

For the fi rst half, earnings totaled $17.4 million, or 3 cents a share, compared with losses of $46.5 million, or 9 cents in the prior-year period. Sales inched up 2.8 per-cent to $696.8 million from $677.8 million.

On Monday, Revlon said it had sold its Bozzano brand, a men’s hair care and shaving line sold in Brazil, to Hypermarcas SA, a Brazilian consumer products com-pany, for $104 million in cash. Net proceeds from the sale, after taxes and transaction costs, are expected to total $94 million. The company said it is evaluating the most appro-priate use of the net proceeds from the transaction.

Kennedy’s practical approach relies on a rolling, three-year new product plan that’s nimble enough to re-

spond to trends while expanding upon existing innovations. He noted that, for the fi rst time in several years, Revlon has unveiled a competi-

tive lineup for the second half, which includes about twice the amount of Revlon color cosmetics than the company introduced in the second half of last year.

Kennedy acknowledged that the product pipeline has been quiet over the last several years, but promised a more robust second half.

“In the back half of 2008, we’re going to have a more extensive lineup than in the second half of last year,” said Kennedy. (See related story below on Revlon’s upcom-ing launches.)

Profi table growth is top of mind, but the company is quick to point out that it will not sacrifi ce advertising support to achieve profi tability. Kennedy listed

new products, competitive advertising and promotional spending and superb execution at retail as key drivers of growth.

After nearly two years of working to stabilize the busi-ness, Revlon seems to be having some success, particu-larly with products it launched in the fi rst half of this year, said SunTrust Robinson Humphrey analyst William Chappell. He noted that Revlon’s U.S. sales growth of 6 percent outpaced category sales in the mass channel, which, according to ACNielsen, grew 4.4 percent in the

quarter. Chappell also said the expanding ranks of cost-conscious consumers may have helped the company’s top line. “Revlon sales growth benefi ted from good transit in mass cosmetics,” said Chappell.

The company also has added new celebrities to the fold, signing Academy Award-winning actress Jennifer Connelly and model Elle Macpherson to

front Revlon, and actress Leslie Bibb for Almay. They join Revlon brand spokes-women Halle Berry, Jessica Alba and Beau Garrett, and on the Almay side, Elaine Irwin-Mellencamp and Marina Theiss.

Kennedy said Revlon’s star stable gives the brands a more breakthrough look in its advertising. “Having the right spokespeople in our ads is a competitive advantage,” he said. Commenting on how Revlon chooses its celebrity spokeswomen, he said: “Their look, personality and perso-na all have to fi t with the Revlon and Almay brands.”

But the halo of celebrity has yet to improve the company’s market share, which has stubbornly re-mained at 2006 levels. During the quarter, Revlon’s share of mass market color cosmetics in the U.S.

slipped 0.3 percentage points to 13 percent, compared with the year-earlier period, according to ACNielsen data, provided by Revlon. Almay’s share dipped 0.4 percent-age points to 5.7 percent.

Kennedy maintained that Revlon has gained traction with its new product entries, including Revlon ColorStay Minerals and Almay Smart Shade blush and bronzers.

Refl ecting on the company’s strategy, which Kennedy implemented in late 2006, he said: “In a manner of speaking, it has not been that long since we began this strategy. There is still room for improvement.”

REVLON INC. HAS A BUSY SECOND half planned with the launch of two new makeup lines in the Revlon and Almay portfolios — Beyond Natural for Revlon and Almay’s Bright Eyes line. In addi-tion, the company also is expanding its existing Revlon and Almay assortments with a slew of new items.

According to Information Resources Inc., Revlon generated $799.9 million in sales in food, drug and mass stores for the 52-week period ended July 30, a sales increase of 4.4 percent compared with the previous year. Sales fi gures exclude Wal-Mart. (See above story on Revlon’s recent quarterly performance.)

Launching this month at food, drug and mass chains, Beyond Natural is an eight-item makeup line for the face, eyes and lips. Designed to help women achieve a natural, fl awless look, the line-up includes a primer, foundation, two-in-one concealer and highlighter, eye shadows, eye pencils, mascara, cream lip gloss and a lip tint with SPF 15. Items in the line retail from $7.99 for mascara to $12.99 for the primer.

“We saw a resurgence of being more naturally glamorous and not having that overdone look in terms of makeup,” said Elizabeth Crystal, Revlon’s senior vice president of marketing worldwide. “We created a more natural look by still using color but using softer shades like rosy pinks and nudes.”

As one of the standouts in the collec-

tion, Skin Matching Makeup foundation contains technology designed to adjust to match a consumer’s skin tone to cover imperfections. Available in fi ve shades from light to deep, the lightweight formu-la contains SPF 15 and retails for $12.99.

To represent this “naturally glamor-ous” and fresh look, Jessica Alba will be featured as the face for the new line in print and television advertising. Alba was signed by Revlon in April 2007 and has appeared in Revlon’s Custom Creations and Super Lustrous Lip ads.

As an extension to Revlon’s ColorStay Mineral collection, the company is le-veraging its ColorStay technology and applying it to the lips with the launch of Lipglaze, a long-lasting lip gloss that contains a mineral complex designed to last up to eight hours. Revlon’s ColorStay Mineral Lipglaze will retail for $8.99 and will be available in 12 shades. Halle Berry will appear in the print and television ad-vertisements for the new lip gloss.

The company also is introducing Revlon Lash Fantasy Total Defi nition, a two-step primer and mascara that is de-signed to nourish, thicken and lengthen lashes. Available in regular and water-proof formulas in three shades, the mas-cara wand is a molded brush that helps separate the lashes for “fi ve times the impact and separation,” said Crystal. Retailing for $8.99, the mascara contains carbon black, which aims to give it a richer color and more defi ned look.

For Almay, the company is focusing on eyes with its new Bright Eyes Collection, which includes an eye base plus con-cealer, eye shadow and liner and high-lighter duo. Starting at $8.49 for the eye shadow and liner and highlighter duo, the three-item lineup is designed to give customers a more refreshed and radi-ant appearance. Almay also is launching Smart Shade Concealer, a concealer with SPF 15 that is designed to transform to match a customer’s skin tone, in addition

to Truly Lasting Color Pressed Power, which contains a blend of vitamins and antioxidants such as green tea, lemon extract and vitamin E, and is designed to last up to 16 hours.

Additional Revlon launches include a nail care line of Top and Base Coats, Nail Treatment and Cuticle Care products, new nail polish shades and beauty tools, including a grip tweezer, callus smoother and a battery-operated eyelash curler.

— Michelle Edgar

Revlon Returns to Black in 2nd Qtr.

Revlon Revs Up Product Pipeline

ADDING UP BEAUTY

“We’ve stayed focused on the drivers of profi table market share growth…and we are just beginning to see the outcome of that strategy. ”

— David Kennedy, Revlon Inc.

David Kennedy

An ad visual for Revlon’s upcoming Beyond Natural line.

Recent Revlon introductions.

WWD.COM

Continued from page one

8 WWD, FRIDAY, AUGUST 1, 2008

The Beauty Report WWD.COM

NEW YORK — Hairstylist Masood Max is out to revo-lutionize even the most mundane hairstyling tools.

Two years ago, he started marketing a mul-tifunction hair straightener with tiny pins that detangled hair while smoothing, eliminating the blow-drying process. The tool also has a water reservoir so a user could moisturize her hair to offset the drying effects of straightening. To date, Max is edging close to selling one million units of the straighteners marketed under the Maxius Maxiglide name on HSN, beauty stores and spe-cialty retailers such as Bed Bath & Beyond, and on his own infomercial.

Now he’s tackling rollers and blow-dryers and hoping that as he builds an empire of items, he’ll pique the interest of the mass market. Although his products are developed and tested in salons, his vision is to bring them to the masses, too.

His innovation in rollers should catch retail in-terest in a category diffi cult to merchandise and turn profi ts. “You need to have more than 250 rollers and you don’t get a big ticket for them,” said Max, discussing the return on space allocated to curlers.

With his patented rollers called AdjustaCurl, retailers need to stock only one box since the rollers unfurl to a fl at position. When rolled, they adjust from one-and-a-quarter inches to 4 inches and can be even larger by hooking two together. The patented rollers have a Velcro-like substance so they can be made to any size. Special ionic technology reduces the static sometimes associated with soft rollers. AdjustaCurl has already bowed with success-ful pickup on HSN. He’s also working on unique applications for heated rollers.

As far as blow-dryers, Max wanted an ergonomic and lighter model than current-ly available, but one that had the power associated with AC motors. The result is Maxair, a compact dryer with specialized ridges to reduce heat but aid in comfort. The dryer features all-around rubber that helps reduce the vibrations associated with holding blow-dryers and it is perfectly balanced to cradle easily in the hand.

As he was researching dryers, information emerged about ions and disadvan-tages with some hair types and positions where the dryer is directed. To that end, his dryer has IOD — ion on demand — and a switch can turn the ions on and off depending on hair type and need.

These items join a line of liquid products including a new Rootlifter to be used

to add volume and texture at the roots as well as shampoo and conditioner formulated for multiple levels of cleansing. The shampoo and conditioner are called Ondemand and can be used in different time intervals to achieve different functions. For example, for intense cleaning, the shampoo can be left on for up to fi ve minutes; deep condition-ing can be achieved by using the formula longer. In total, the Maxius collection has more than 20 hair care liquids such as The End and Beyond Straight. The next step will be to conquer the body with unique body washes, Max added.

Also, Max has just relaunched his straightener, Maxiglide, to include improvements in the han-dle, a 45-minute auto shutoff and a swivel cord. There is the Maxiglide XP with 2-inch plates and MP with one-and-a-quarter-inch plates.

Max said there are six major classifi cations of hair tools — blow-dryers, curling irons, roll-ers, brushes, fl atirons and heated rollers. He is out to improve the status quo for each. In addi-tion to improving heated rollers, he’s been work-ing on a prototype for a breakthrough brush for more than three years. “I get a little obsessed with this,” the former engineer admitted. Max got his start in the business working on celeb-rities such as Heather Locklear and branched into developing products to solve the challeng-es he saw in styling hair, especially for the long holding needed for television.

● ● ●

Another beauty expert to the stars, Timothy Alan, is hoping his celebrity experience can help

nab distribution for his line of makeup brushes. Alan also foresees an opportunity to create a line of proprietary products that could be sold at major mass merchants. Alan is a makeup artist with clients such as Jo Frost of Super Nanny and creator of a new line of makeup brushes called Chrysalis Beauty. While many celebrity stylists opt for color or skin care, Alan is zeroing in on brushes and the importance of the right tools for the right job.

He typically picks up new brush ideas in his travels and his latest creation is a brush designed to work exclusively with the bevy of mineral makeup options. He has an existing collection of nine brushes available at retailers such as Henri Bendel and Blue Mercury. Like Max, he wants to see all shoppers have the option to buy quality products. “I think it is important that consumers get their hands on good brushes and learn that not all brushes are the same,” said Alan.

Hairstylist Designs Tools for the Masses

Burt’s Bees, Nature’s Gate and Kiss My Face until now have enjoyed relatively little competition

in the small but growing subsegment of natural hair care. But it’s only a matter of time before shampoo ti-tans, such as Procter & Gamble, L’Oréal USA, Kao and Unilever launch their own versions of natural. Even then, some of the smaller players said they are ready to compete head-on, despite what could be multimil-lion-dollar ad budgets from multinational companies.

Natural care consumers these days, they said, are not just buying a product, they are buying a piece of a company’s green philosophy.

“I applaud the efforts of any company starting to remove harmful or potentially harmful ingredients from their products,” said Mike Indursky, chief mar-keting and strategic offi cer of Burt’s Bees, the leading natural hair care maker. “But [the green effort] is all-encompassing. It’s sustainability, no ani-mal testing, minimizing carbon footprint. We have a loyal consumer base. They believe in us because of the way the company operates.”

Unilever and L’Oréal would not comment for this story, and Procter & Gamble and Kao did not return requests for interviews, but the industry already is rumbling about what could be on deck from hair care’s Big Four.

Earlier this year, buyers were talking about L’Oréal’s plan to roll out a mass version of PureOlogy, a salon brand it acquired last year that is formulated free of sulfates. The marketing budget that would fuel such a launch, or any launch from a beauty giant, could hover in the $50 million range — or more.

Nature’s Gate chief executive Paddy Spence said his company’s natural hair care products would only

benefi t from the consumer education and overall ex-posure such a campaign would generate.

“The impact on natural brands like Nature’s Gate? I see it as a positive,” said Spence. “Look at skin care. Olay Regenerist had big ad spends for amino peptides. That educated consumers on what peptides could do for them. That ad effort benefi t-ed a whole range of smaller brands.”

A slew of advertising also could lure more con-sumers into the category. Burt’s Bees’ Indursky said only about 10 to 15 percent of women know about so-dium laureth sulfate, a foaming ingredient in cleans-ers that Indursky said has the potential to cause bodi-ly harm. Kiss My Face co-founder Steve Byckiewicz added that only about 14 percent of Whole Foods’ shoppers go into Whole Body, the grocery chain’s

adjoining natural per-sonal care store.

“Bringing a bigger consciousness to natu-ral ingredients is real-ly good because there are a lot of people who don’t buy our category. That’s always been an issue for us,” said Byckiewicz.

He acknowledged that going up against a multinational with

deep pockets would certainly increase competition and put pressure on his company, which has been making naturally positioned personal care products for 25 years.

But in the end, Indursky said it would all come out positive.

“We will continue to do our kitchen chemistry, and should there be a brand from a large player that meets the standard, that’s good for the con-sumer and good for the industry.”

— A.N.

Johnson & Johnson’s Neutrogena brand has received sev-eral recommendations for its ad claims from the National

Advertising Division of the Council of Better Business Bureaus based on a challenge filed by Unilever earlier this year.

The challenge, brought by the maker of Dove skin care, specifi cally pointed to Neutrogena’s use of three claims in its ads, including the “#1 Dermatologist Recommended” claim. NAD, which consists of eight lawyers, many of whom specialize in advertising law, has recommended that going forward, Neutrogena make clear that the “#1 Dermatologist Recommended” claim applies to the Neutrogena brand as a whole, and not when a particular Neutrogena product is not the most recommended brand in a category.

According to a release issued by NAD, Neutrogena took issue with the fi nding; however, Neutrogena is “committed to the self-regulatory process and accordingly accepts NAD’s recommendation to clarify this claim when used in segments where Neutrogena is not the most recommended brand.”

When contacted, Johnson & Johnson said it does not comment on litigation.

Unilever, the release said, also took issue with Neutrogena’s ad claim: “No wonder dermatologists recom-mend Neutrogena most.” NAD noted in its decision that the phrase “no wonder” isn’t an objective claim. Neutrogena, in turn, voluntarily suggested adding the word “brand” to this claim, to the agreement of NAD, according to the release.

Also, the term “One more reason why Neutrogena is recommended most by dermatologists” has been deter-mined by NAD to not be supported by evidence and that Neutrogena discontinue this claim. Neutrogena said it will take into account NAD’s recommendation regarding the phrase “one more reason why” in connection with its fu-ture advertising, the release said.

NAD regularly accepts challenges from consumers and competitors, said a NAD spokesman, who added that most recommendations are followed through, but the Federal Trade Commission is contacted when they are not.

— Andrea Nagel

Industry Watchdog AsksNeutrogena to Tweak Ads

Natural Players Ready for Competitors

Masood Max and his product lines.

“[Olay Regenerist ads] educated consumers on what peptides could do for them. That ad effort benefi ted a whole range of smaller brands. ”

— Paddy Spence, Nature’s Gate

WWD.COM9WWD, FRIDAY, AUGUST 1, 2008

By Rachel Brown

ME Bath believes that two lines are better than one.

The Los Angeles-based bath and body care company, known primarily for its ice cream version of bath fi zz, is segmenting its retail and spa products. The segmentation is intended to allow ME Bath to boost its re-tail presence, while maintaining an exten-sive spa network that values uniqueness.

“We are fi nding that more and more spas are becoming more selective about the lines that they carry,” said Benjamin Nissanoff, who founded ME Bath with his wife, Lisa, in 2002, and acts as its chief executive offi cer. “We want customers to recognize that it is still ME Bath, but this [spa] line is specially designed for the spa market, and it is talk-ing to them in a different setting and environment.”

Designed in-house, the ME Bath Spa products, which started rolling out last month, contain spa insig-nias and are packaged in recyclable containers with a pearlized effect to appear elegant. The concentration of ingredients such as jojoba oil and vitamins A, C and E are elevated in the spa formulas, with percentages doubling and tripling compared with the retail items

depending on the product. The spa products will be

sold at a 10 to 20 percent pre-mium over the retail prod-ucts. For instance, Nissanoff estimated ME Bath’s 16-oz. scrub would be $28 at retail versus $32 to $35 at a spa. Spas offering the ME Bath Spa line are required to provide ME Bath ice-cream treatments such as manicures or pedicures.

“If you are spending $100 to $130 on a pedicure in a spa, you are going to want everything that’s wrapped into it to be worth what you are spending,” he said. “If you take something home [from ME Bath], it is not a watered-down version of what you experience.”

ME Bath products are currently available at rough-ly 500 spas worldwide, including the Ritz-Carlton, the Four Seasons in Beverly Hills, Canyon Ranch in Las Vegas and New York’s Hotel Gansevoort, and 3,000 re-tail doors, including Bath & Body Works, Sephora, C.O. Bigelow, Dillard’s and Nordstrom. Industry sources approximate that ME Bath generates in excess of $6 million in annual sales, split about 60 to 40 percent be-

tween spas and retail doors, respectively. The brand’s sweet spot is the bath ice cream, which

ME Bath prices online at $8 each and asserts is the number-one selling bath fi zz on the market. There are some 35 fl avors or fragrances to choose from now, and the brand releases about six a year, one of the latest being an “American as Apple Pie” fl avor for election season. The ice-cream bath scoops take about three days to craft.

Beginning in the fourth quarter of this year, Nissanoff said, “We are in a growth phase where we are going to be expanding the spa and the retail market. Our hopes are that by dividing the two brands, we are helping both sides of the equation.” He projects that the number of retail doors carrying ME Bath products will at least double in the next year and that the brand could reach $30 million in retail sales in fi ve years.

As characterized by the ice-cream bath products, ME Bath distinguishes itself from cosmeceuticals by presenting consumers — its 18- to 35-year-old tar-get demographic particularly — pampering at a time when the market is awash in problem-oriented prod-ucts. “They want to buy something that is going to make them feel good about themselves,” said Nissanoff of spa goers. “When you walk into a spa, you don’t want everything to be clinical.”

The HBA Report WWD.COM

SNIPPETSBy Kavita Daswani

LOS ANGELES — Given that her first love is teaching children to grow vegetables and fruit, Lisa Ludwigsen knew that if she was going to have her own body care line, ingre-dients picked straight from nature had to be at the heart of it.

As a result, School Garden Co., the Petaluma, Calif.-based body line that Ludwigsen is just now taking nationwide, is fi lled with things she would ordinarily fi nd in her own garden.

“I’ve been working with schools and kids since I fi rst became a parent 17 years ago,” said Ludwigsen. “I’d always been interested in gardening, and after I had children I be-came a fanatic.”

While running a garden program for chil-dren at her local school, Ludwigsen started to take herbalist courses and experiment with plants in potions.

“As part of a school project, we started to make salves from plants,” she said. One of the fi rst successes, a lip balm, was named “lipchap” by one of her eight-year old stu-dents — and the line was offi cially born.

The collection is now at a compact six stockkeeping units, although Ludwigsen is planning to add a body oil and other body care products, as well as candles.

But she said the most important factor was to eliminate parabens, phthalates and preser-vatives from the line entirely, and to use only fresh and organic plants, herbs and oils. As an example, the Handhelp hand cream is made

from extra virgin olive oil, lavender, rose-mary, calendula, vitamin E and lavender es-sential oil. The Superhealer salve is designed for scrapes, burns, insect bites and eczema, and contains yarrow, comfrey and white sage. There are three bath salts — Simmer Down, Brighten Up and Soothe & Soak for sore mus-cles — which contain sea salt, Epsom salts, sweet orange, grapefruit, eucalyptus and ge-ranium. Prices at retail range from $3.50 for the lip balm to $15 for the salts. Still connect-ed with school garden programs in her area, Ludwigsen said that aftertax profi ts are given back to that cause and to help educate chil-dren about growing fresh produce.

The packaging for the School Garden Co. line runs from small tin containers for the salves to glass jars for the salts.

“It harkens back to a time when we knew about the plants in our backyard, and packag-ing evoked an old-fashioned yet modern look. I just wanted to stay away from plastics. And I really wanted to use the plants that spoke to me, things that I knew to be effective heal-ers,” she said.

The line has been sold in about 15 small stores in the Sonoma County region, but Ludwigsen is now making a big push for national sales. She anticipates being in be-tween 100 and 200 stores around the country by the end of the year.

“I see this as having a really large ap-peal,” she said. “For a long time, I saw my customer as somebody like me, someone who wanted a natural product and was willing to search it out.”

CRAGGS BLOG: David Craggs, president, Professional Division of L’Oréal USA, has started a blog in an effort to help fi ght diversion. L’Oréal’s Professional Division makes the Kerastase, L’Oréal Professionnel, Redken, Matrix, Biolage and PureOlogy salon hair care products, many of which are diverted into food, drug and mass stores around the world, as well as at online retailers such as eBay. The blog, davidcraggs.com, looks to “explain to our valued consumers and hairdressers the risks associated with buying professional products from unauthorized outlets,” according to a July 1 entry, the blog’s launch date. To date, the blog has touched upon several topics, including “Myths about Diversion,” “International Pricing Policy and Availability” and “GMA Consumer Report,” a subject which pointed to ABC’s “Good Morning America” Consumer Alert segment on why consumers should not buy salon products in unauthorized outlets. The blog has received an array of responses, some of which stay on the topic of diversion, while others talk about customer service issues. Consumers are being directed to the blog via an e-mail blast sent by the company with the subject heading “Don’t Pay More for Unguaranteed Professional Products.”

ORIGINS MOVES: The Estée Lauder Cos. Inc. has named two senior vice presidents within its Origins brand. Lynn Mazzella, who was most recently vice president of global product development, has been promoted to senior vice president of product development and sustainability. And, Stacy Panagakis, who was with Lauder for 15 years beginning in 1991, has rejoined the fi rm as Origins’ senior vice president of North American sales and global education. Both Mazzella and Panagakis will report to Jane Lauder, senior vice president and general manager of Origins. During her previous tenure at Lauder, Panagakis worked as general manager of Stila Cosmetics, which the company divested in 2006. Panagakis, who began her career at Clinique, also held a previous post at Origins.

CHECK THIS OUT: British department store Selfridges is preparing to offer a plethora of gift ideas, which could cause several personal credit crunches

this Christmas. Take a Crème de la Mer gift set sold in a presentation case by luxury furniture design brand Linley for 7,500 pounds, or about $15,000, or a one-off Guerlain “fragrance organ” for 2,000 pounds, or $4,000. “Our customers are looking for very luxurious gift ideas and they like to have something that no one else has,” said the store’s fragrance buyer, Nicola Tompkins. On the fashion front, potential stocking stuffers include Alexander McQueen Empire Bags for 29,350 pounds, or $58,700.

FREEZE FRAME: Commercials starring actress Virginia Madsen touting Botox are now airing on television. The spots are being aired extensively on cable networks such as Lifetime, TNT and TLC, as well as during network shows with large female audiences. A print campaign is expected to follow this month. Botox maker Allergan Inc. projects that net sales of the wrinkle-fi ghting injection will be between $1.37 billion and $1.4 billion this year. Across all its brands, Allergan incurred $135.6 million in advertising expenses last year, a fi gure that is expected to climb this year. The company kicked off Botox advertising in 2002, the year the drug was approved for use in the U.S. by the Food and Drug Administration. Grey Global Group has handled Botox-related ads since Botox entered the domestic market.

School Project Yields Beauty Range

Bath Treats Garner Both Retail and Spa Appeal

David Craggs

School Garden Co. items.

ME Bath products.

WWD.COMWWD, FRIDAY, AUGUST 1, 200810

Second-quarter profits at fragrance supplier International Flavors & Fragrances Inc. declined 14.5 percent to $67 million, or 83 cents a diluted share, from $78.4 million, or 87 cents, in the same period a year ago, on higher interest

expense related to borrowings for an accelerated share repurchase program last year.IFF, which posted results Wednesday night, reported that, excluding special items like a tax adjustment and employee

separation costs, adjusted earnings per share for the quarter ended June 30 were 81 cents versus 72 cents a year ago. Wall Street analysts were expecting earnings per share of 80 cents, according to Yahoo Finance.

Quarterly revenues were $636.1 million, up 10.9 percent from $573.7 million last year, a 4 percent gain in local currencies.

Employee separation costs of $3.4 million were primarily due to the de-parture of IFF’s senior vice president and chief fi nancial offi cer, Douglas J. Wetmore, who stated last month he would step down to pursue other career opportunities. The company named Richard A. O’Leary, 48, as its interim cfo on Thursday.

Second-quarter interest expense more than doubled to $18.5 million from $8.4 million in the year-ago period, a 120.9 percent jump, sending pre-tax earnings down 10 percent to $87.2 million from $97 million last year.

While sales at IFF’s fragrance business unit were up by 8 percent dur-ing the second quarter to $346.3 million, a 1 percent uptick in local curren-cies, chairman and chief executive offi cer Robert A. Amen noted during a conference call with analysts that North America remains a challenging market. North American fragrance sales declined by 11 percent, which was an improvement from a 23 percent drop during the fi rst quarter.

By region, fragrance sales were up 18 percent in greater Asia, 15 per-cent in Europe and 14 percent in Latin America.

“Our non-U.S. sales in the second quarter amounted to 75 percent of total revenue, with more than one-third coming from the world’s emerging markets,” said Amen.

Fragrance accounted for 54.4 percent of quarterly sales, while the re-mainder was generated by the fi rm’s fl avors business.

For the fi rst half, profi ts were down 12.8 percent to $123 million, or $1.52 a diluted share, from $141.1 million, or $1.56, last year. Interest expense to-taled $36.8 million, a 120 percent increase from $16.7 million, while sales reached $1.23 billion, an 8.2 percent rise from $1.14 billion during the prior year.

— Matthew W. Evans

TOKYO — Shiseido Co. Ltd. reported Thursday its operating profits and net sales were down in the first-quar-ter ’08-’09, due to sluggish domestic business.

Its operating income in that quar-ter, ended June 30, fell 21.2 percent to 12.2 billion yen, or $116.8 million at average exchange, since “efforts to im-prove the cost of sales ratio and boost spending effi ciency failed to compen-sate for the decrease in revenues,” stated Shiseido.

Shiseido’s overall sales declined 5.4 percent to 164.1 billion yen, or $1.57 billion.

Its cosmetics activity registered an 8.8 percent drop in domestic revenues to 96.2 billion yen, or $921.5 million, due to weak consumer confi dence and unfavorable weather conditions. In Japan, Shiseido focused on nurturing existing brands and lines rather than introducing products. The company said basic skin care performed well but that sales of color cosmetics and skin-lightening essences, alongside items such as sunscreen and deodor-

ants, had a weak showing.Meanwhile, Shiseido’s overseas

cosmetics revenues rose 1.6 percent to 63.2 billion yen, or $605 million. In local currencies, that business’ revenues gained 7 percent. Abroad, the company focused primarily on its basic skin care lines. In the Americas, Shiseido said it registered healthy sales, and in Europe, its signature brand and designer fragrances did particularly well. The fi rm’s business in China spiked 24 percent in the quarter, and Shiseido expects rev-enues growth there to be even faster in the fi rst half, due partially to the renewal of its Aupres brand.

The company posted net income of 10.3 billion yen, or $98.7 million, in the quarter. Due to new accounting stan-dards, the gain in net profi ts came in at 406.3 percent over the same prior-year period.

For its fi scal year’s fi rst half, ended Sept. 30, the Japanese beauty giant es-timates sales will be 360 billion yen, or $3.33 billion at current exchange, down slightly (at 0.8 percent) on its initial

forecast. This is primarily due to its de-cline in domestic revenues during the fi rst quarter and the fact that Shiseido expects consumer confi dence in Japan to remain weak for the time being.

For its full year ending March 31, 2009, however, Shiseido maintains its sales guidance of 730 billion yen, or $6.76 billion, up 1 percent on-year. The company believes exchange rate fl uctuations will offset an expected decline in domestic sales.

— Koji Hirano

LONDON — Unilever said Thursday its second-quarter prof-its slumped 19 percent to 978 million euros, or $1.53 billion at average exchange for the period.

The Anglo-Dutch consumer goods giant attributed the downturn to higher restructuring costs and a tough com-parison with the year-ago period’s low tax rate as well as to the strength of the euro.

For the fi rst half, net income, bolstered by profi ts from dis-posals, rose 5 percent to 2.39 billion euros, or $3.65 billion. Commodity costs — particularly related to mineral and edible oils — increased by 600 million euros, or $938 million, in the second quarter and by 1 billion euros, or $1.53 billion, in the half.

Sales in both the quarter and the half dipped 1 percent at current exchange and increased 6 percent at constant ex-change to 10.37 billion euros and 19.95 billion euros, respec-tively, or $16.22 billion and $30.53 billion.

Underlying sales growth came in at 6.8 percent in the quarter and 7 percent in the half. Price increases — 7.4 per-cent in the quarter and 6.1 percent in the half — buoyed softer sales, particularly in developed markets.

“Pricing has continued to rise steadily as we have taken steps to recover commodity cost increases,” said Jim

Lawrence, Unilever’s chief fi nancial offi cer, during a meet-ing for analysts Thursday. “There has been some volume impact in some markets, but particularly in North America and Europe.”

“Our performance in the fi rst half year has been good in what has been a challenging environment,” stated Patrick Cescau, group chief executive. “We have delivered 7 per-cent underlying sales growth and an underlying improve-ment in profi tability while maintaining competitiveness.” Unilever’s personal care division, which includes brands such as Dove and Sunsilk, reported underlying revenues gains of 5.7 percent in the fi rst half.

Cescau affi rmed the company’s expectation of yearend revenue growth in excess of its target of 3 to 5 percent with an improved operating margin.

During the meeting, Cescau, who was born in 1948, ad-dressed reports that he will step down as ceo next year and that Unilever has begun a search for his successor.

“It’s very appropriate, it’s very normal for Unilever to start the process for succession,” he said, quoting Mark Twain, “The news of my death [has been] greatly exagger-ated.”

— Brid Costello

By David Moin

Drugstore and restaurant chains were the fastest-growing retailers last year, accord-

ing to the National Retail Federation’s “Hot 100” list. Apparel ranked fifth.

The trade organization said two drugstore giants, bolstered by acquisitions, were the top merchants. CVS Caremark, which operates the CVS chain and for a year has been running the prescription benefi ts manager Caremark Rx, grew 74.2 percent. Rite Aid, which purchased Brooks Pharmacy units in New England and Eckerd on the East Coast, reported that rev-enues increased 39.8 percent.

Coming in a close third was the International House of Pancakes, with a 39 percent growth rate, boosted by its purchase of the Applebee’s chain.

Public companies with more than $100 mil-lion in sales were eligible for the list, which is featured in the August issue of Stores magazine, published by the NRF. The list is sponsored by Alliance Data, the consumer research fi rm.

Amazon.com came in fourth, growing 38.5 per-cent by adding groceries and other categories.

Along with acquisitions, the NRF said some chains increased their footprints by opening stores. American Apparel, which fi nished fi fth, has gone from three stores to almost 200 in fi ve years. The chain reported 35.8 percent revenue growth last year.

Another expanding fashion retailer, Coldwater Creek, fi nished sixth. The multi-channel retailer opened 67 stores last year and reported sales gains of 33.8 percent.

Other fast-growing retailers were FTD, the fl ower shop chain; BJ’s Restaurants, a brewery known for its deep-dish pizzas, and Chipotle, the Mexican restaurant chain.

Retailers with “sustained sizzle,” meaning those that showed strong growth over three years, included GameStop, CVS and Amazon.com.

Maria Comfort has resigned as chief mer-chandising officer of the Hot Topic divi-

sion of Hot Topic Inc., to join The Wet Seal Inc. as president and chief merchandise of-ficer of the Wet Seal division. The appoint-ment is effective Aug. 25.

Comfort succeeds Dyan Jozwick, who re-signed on May 30 to join Bebe Stores Inc. as executive vice president and chief merchan-dise offi cer of its Bebe retail division.

Comfort joined Hot Topic in August 2005 from the Lillie Rubin division of Cache Inc. where she served as general merchandise manager. Earlier in her ca-reer, she was president of the 9 & Co. divi-sion of Nine West and executive vice presi-dent of Giorgio Armani Corp. She was also an executive at Contempo Casuals prior to its acquisition by Wet Seal.

Her resignation follows the departure last month of Michael Crooke as president of the Hot Topic division after only one month with the company.

Hot Topic Inc. chief executive offi cer Betsy McLaughlin has managed the Hot Topic divi-sion in addition to her corporate responsi-bilities since Crooke’s exit.

Wet Seal Inc. ceo Ed Thomas said Comfort “brings a tremendous wealth of merchandis-ing and organizational leadership skills to our company. Her passion for, and experi-ence in, young women’s apparel and acces-sories make Maria the ideal leader to build upon the Wet Seal division’s recent success.”

The teen clothing retailer came in just above analysts’ expectations in June, reporting same-store sales slid 2.9 percent after gains in the two previous months.

Wet Seal operates 496 stores throughout the U.S. under the West Seal and Arden B. nameplates. Hot Topic operates 157 Torrid stores in addition to 683 Hot Topic units.

— Alexandra Steigrad

Net Down, Revenue Up at IFF

Shiseido Sales Drop 5.4% in 1st Qtr.

Chief Merchant LeavesHot Topic for Wet Seal

Unilever’s Profits Dip 19% in 2nd Qtr.

Drugstores Top NRF’s List0f Fastest-Growing Chains

Robert A. Amen

Shinzo Maeda, president and chief executive offi cer of Shiseido.

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WWD.COMWWD, FRIDAY, AUGUST 1, 200812

By Melissa Drier

BERLIN — Hertie, the struggling German de-partment store chain, filed for bankruptcy Thursday, underscoring weaknesses in the German retail sector.

The 73-door, second-tier group, owned by the British investment fi rms Dawnay Day (85 per-cent) and Hilco (15 percent) but based in Essen, Germany, has been operating at a loss. The stores, which are 21,500 square feet to 86,000 square feet, are located in smaller urban neigh-borhoods and employ 4,100 people.

Founded in 1895, Hertie was taken over by KarstadtQuelle AG in 1994. As part of Karstadt’s reorganization, the smaller and non-core stores were sold to the British investors in September 2005.

Industry sources estimate Hertie faces losses this year of about 30 million euros, or $45 mil-lion at current exchange rates.

Hertie said it plans further restructuring under Germany’s bankruptcy laws. Managing board member Eric van Heuven said the goal is to continue operations. Industry observers, however, said the chain’s chances of survival

are slim. The bankruptcy is the latest blow to retail-

ing in Germany. The 39-unit specialty chain Wehmeyer also fi led for bankruptcy in July. In addition, Germany’s two main department store groups, the 128-door Karstadt department store group and 141-unit Galeria Kaufhof, are in fl ux.

Kaufhof is for sale (as is the Metro Group’s Adler specialty store chain) and, in the fi rst half of 2008, saw sales decline 2 percent. Losses narrowed to 50 million euros, or $78.2 million, compared with a loss of 52 million euros, or $81.4 million, a year earlier. All dollar fi gures are converted from the euro at an average ex-change rate for the period.

Karstadt’s second-quarter sales for fi scal 2007-’08 ending in March were up 0.7 percent and quarterly losses showed slight improve-ment, reaching 22.9 million euros, or $34.3 million, compared with 26.5 million euros, or $39.7 million, the previous year. However, the department store division had a top manage-ment shake-up in July, when chief Peter Wolf was replaced by former Kaufhof board member Stefan Herzberg.

By Andrew Roberts

MILAN — Italian fashion group Aeffe SpA on Thursday reported a 2 percent gain in first-half revenues and earnings, and confirmed growth in full-year sales and profits.

The company, which operates the Alberta Ferretti, Moschino and Pollini brands and pro-duces collections for Jean Paul Gaultier, posted net profi ts of 6 million euros, or $9.2 million at average exchange.

Total revenues for the fi rst six months of the year reached 147 million euros, or $225 million, which gained 5.9 percent at constant exchange, excluding the effects of the sale of a stake in the Narciso Rodriguez brand to Liz Claiborne Inc. in May 2007.

Earnings before interest, taxes, depreciation and amortization fell 8.7 percent to 20.9 million euros, or $32 million — although net of unspeci-fi ed nonrecurring items, these remained fl at.

“Based on these results and on the current orders backlog for the fall-winter 2008, I can confi rm that 2008 will show a growth in sales and profi ts,” Aeffe executive chairman Massimo Ferretti said.

Alberta Ferretti, Moschino and Pollini each reported revenue gains of between 4 and 5 per-cent, together accounting for nearly 90 percent of group turnover in the period.

Sales at Jean Paul Gaultier and other brands fared less well, slipping 11.5 percent and 14 percent, respectively.

Geographically speaking, revenues gained the most in Russia, up more than a fi fth to 13.6 million euros, or $21 million, while Italy — Aeffe’s biggest market — reported a 4 percent increase to 57.2 million euros, or $87.5 million. Sales were fl at in the rest of Europe and de-creased 21.2 percent in the U.S. and 10.9 per-cent in Japan.

“We are particularly satisfi ed with our core brands’ performance, especially [the] Moschino and Alberta Ferretti brands, and with the growth in the emerging countries,” Ferretti said.

Aeffe stock, which has been under pressure since listing on the Milan Stock Exchange STAR segment for small companies in July last year, closed down 1.9 percent Thursday to 1.42 euros, or $2.21 at current exchange.

MILAN — High exposure to the U.S. market hit Luxottica Group SpA for the second straight quarter, but the Italian eyewear giant still ex-pects to meet its full-year targets.

Luxottica, which has eyewear licenses with Chanel, Dolce & Gabbana, Prada and Versace, among others, said Thursday that sec-ond-quarter earnings fell 14.2 percent to 132.6 million euros, or $208 million at average exchange, hurt by the dollar’s slide against the euro and the slowdown in consumer spending, particularly in North America.

Revenues for the period gained 2.1 percent to 1.35 billion euros, or $2.12 billion, driven by the strong demand of its wholesale busi-ness worldwide, which was up by a fi fth. In dollars, net sales rose 18.3 percent.

Despite the drop in earnings, Luxottica chief executive offi cer Andrea Guerra confi rmed the guidance for the full year, of earnings per share of 1.11 euros, or $1.73, to 1.14 euros, or $1.78.

“The true strength and resilience of our business model was refl ect-ed in our ability to withstand and to quickly and effi ciently react to the diffi cult market conditions that we faced in the period,” Guerra said, citing cost controls, which had improved profi tability. He added that results were “well above those of the overall market and key peers.”

Looking to the future, Guerra said: “We believe we are extremely well positioned to tackle the challenges ahead due to a truly global presence; the ability to forge even closer relationships with key cli-ents; the investments made over the past few years in an ever-stronger and increasingly effective organization, and the strongest, most well-balanced portfolio in the industry.”

By brand, the company highlighted that both Ray-Ban and Oakley registered “another strong quarter,” Ray-Ban due in part to the strength of the Wayfarer model, “which is now the second-best-selling model worldwide,” and Oakley due partly to strong performances by its athletes and ahead of the brand’s strong visibility at the upcoming Olympics in Beijing.

Meanwhile, luxury brands showed “some signs of weakness” due to the economic downturn.

Luxottica also said it now expected onetime charges tied to the merger of the Foothill Ranch, Calif.-based Oakley Inc., which the Italian company acquired for $2 billion in June, to total 20 million euros, or $31.2 million, from 25 million euros, or $38.5 million, as pre-viously forecast.

Luxottica released the results after the close of the Italian stock market, where the share price closed down 4.4 percent to 15.73 euros, or $24.51 at current exchange.

— A.R.

MILAN — Shares of Italy’s Safilo Group SpA fell to their lowest-ever level on the Milan Bourse Thursday, a day after the company revised down its full-year outlook after the declining dollar and a weak performance in Europe re-duced second-quarter earnings by more than a third.

Safi lo’s stock dropped 16.1 per-cent to 97 cents euro, or $1.51 at current exchange.

On Wednesday, the eyewear company, which has licenses with Giorgio Armani, Dior, Gucci and Valentino, among others, cut its revenue growth forecast to 4 percent, from 7 to 8 percent at constant exchange, and adjusted the net income target to 3 to 3.5 percent of sales, from 4.5 to 5 percent.

The group also said it now ex-pects earnings before interest, taxes, depreciation and amorti-zation to reach 13.5 to 14 percent of revenues, compared with a previous estimate of around 15 percent.

Net profits slumped nearly 37 percent — for the second con-secutive quarter — to 7.9 million euros, or $12.4 million at average exchange, while sales dipped 4.7 percent to 310.9 million euros, or $486 million. At constant exchange, revenues gained 1.8 percent.

The fi gures missed analysts’ estimates and led to a swath of downgrades, with investors losing confi dence.

“The first half of the year was characterized by strong volatility in consumer patterns, above all in Europe, our refer-ence market,” Safi lo vice chair-man and chief executive offi cer Massimiliano Tabacchi said. “We believe that the European mar-

ket will continue to remain weak, even in the upcoming months, and we are therefore looking to the second half of the year with greater caution.”

Sales in Europe fell 6.9 per-cent to 152.3 million euros, or $238.1 million, with Spain, the U.K. and Germany again hit by a slowdown in consumer spending. The company noted Italy regis-tered half-yearly results in line with the fi rst six months of the previous year, thanks above all to the strong performance of the Carrera sunglasses collections.

These declines were com-pensated for, in part, by gains in Asia Pacifi c — notably China and South Korea — where second-quarter sales gained 14.6 percent to 44 million euros, or $68.7 mil-lion, following the opening of two directly operated stores, dedi-cated principally to prescription eyewear sales.

Revenues in the Americas fell 3.3 percent to 106.4 million euros, or $166.3 million, although Safi lo noted sales in dollars — which represent 40 percent of the com-pany’s business — had been pe-nalized by the negative impact of the currency’s 15 percent slide against the euro in the fi rst six months of this year.

“In the American market, we continue instead to achieve sig-nifi cant results,” Tabacchi said.

Tabacchi added he expected Gucci Group to renew its con-tract with Safilo “as soon as possible,” dampening specula-tion the eyewear company could lose the deal to Luxottica Group SpA — stemming from the loss of the Stella McCartney license to Luxottica in April.

— A.R.

Aeffe 1st-Half Earnings Up 2 Percent Luxottica 2Q Income Drops 14.2%

Hertie Department Store Files for BankruptcySafi lo Group Shares Hit New Low

Cavalli Club to Open in Dubai, FlorenceMILAN — The first unit of Roberto Cavalli’s latest venture, Cavalli Club, is set to open in Dubai in November, and a second store is to launch in Florence by yearend. A club on the U.S. West Coast also is planned.

The designer’s partner in the new business is the Pragma Group, an investment, outsourcing and business incubator based in the United Arab Emirates.

“Dubai is a city of the future and the Cavalli Club is a futuristic space created with a global perspective,” Cavalli said.

Located in the Fairmont Hotel, the 27,000-square-foot club will cover two fl oors and will have its own private entrance. The designer said his goal is to create “exclusive and luxurious” interiors with “exciting shapes and precious materials.” The black quartz fl oors will shine with a crystal dust and dripping Swarovski crystals will light the 20-foot high walls.

On the ground fl oor, the entrance hall leads to a large room showcasing the designer’s jew-elry, watches and most exclusive accessories collections. The designer will also select top Italian products.

Regarding this new entertainment and night-life concept, Cavalli said, “living against monotony, with the enjoyment of music, of good food, of pleasant company” was the club’s philosophy. In his goal to offer “multiple culinary and sensorial experiences,” Cavalli plans an Italian restaurant fl anked by a sushi bar and a wine bar on the top fl oor.

— Luisa Zargani

A spring 2008 look from Alberta Ferretti.

WWD.COMWWD, FRIDAY, AUGUST 1, 2008 13

GOT EM: Brangelina sure love People magazine — or at least the checks the weekly keeps writing the celebrity couple. The title has again scored the exclusive North American rights to photos of Brad Pitt’s and Angelina Jolie’s latest children — new twins Knox Léon and Vivienne Marcheline. On Tuesday night, JustJared.com reported People will publish the photos, and a source close to the deal confi rmed the news Thursday night. Hello bought the international rights. People and Hello will unveil the photos on Monday, two days earlier than People’s usual newsstand drop day. The price for the photos was a reported $10 million to $15 million, which, assumably, People and Hello will split in some manner.

But what are the chances the large investment in the pictures will pay off?

Though People likely didn’t foot the whole bill for the photos, a payment of $5 million — or half of the low end of the estimated cost — is equal to moving 1.3 million newsstand copies, providing its newsstand price remains $3.99. That’s a low hurdle for People, which averages 1.5 million copies weekly. Baby photos send even more issues off the racks — the June 19, 2006 issue with the exclusive baby pictures of Brad and Angelina’s fi rst daughter, Shiloh, moved 2.2 million newsstand copies, or $8.8 million worth of issues — and that was just for one kid. People reportedly paid $4 million for those pictures in a deal, which was also brokered with Hello.

More recently, People sold more than 2 million copies, or $8 million worth, of its March 31 edition when it featured exclusive photographs of Jennifer Lopez’s twins, Max and Emme; the magazine reportedly also paid $4 million for those pictures. Its March 10 issue sold 1.7 million copies, or $6.8 million worth, when it featured Nicole Richie’s daughter, Harlow (the magazine is said to have paid $1 million for the snaps since Nicole is no Brad or Angelina). Sources close to the magazine said none of the dollar amounts are accurate.

But not every baby is worth its purse: People’s Feb. 25 cover with Christina Aguilera’s baby Max sold 1.4 million newsstand copies, or $5.6 million worth, photos the magazine reportedly paid $1.5 million to get. Nonetheless, according to Rapid Report, People’s newsstand sales were up 5 percent in the fi rst half compared with the same period of 2007.

Even if it sells less than 1.3 million copies, which is unlikely, sources at competing titles said the value of having the photos goes beyond revenue to People’s bottom line. Having the exclusive photos of such coveted offspring gives People bragging rights over its competitors, and will generate priceless media coverage and publicity. “If they lose a million bucks, then [the loss] is equivalent to a million-dollar advertisement for the magazine,” said one competing editor. — Stephanie D. Smith

AWARDING CREATIVITY: Gucci Group has unveiled the nominees for its annual cinema award and Julian Schnabel, who won last year, is on the list again. Others nominated are photographer Isaac Julien, musician Adam Yauch and artist Steve McQueen. The award will be given Sept. 1, during the international Venice Film Festival, at François Pinault’s art museum Palazzo Grassi.

Marco Müller, artistic director of the festival; Franca Sozzani, editor in chief of Vogue Italia; artist Jeff Koons and Stefano Pilati, creative director of Yves Saint Laurent, are part of the selection committee in charge of singling out an international artist and his contribution to cinema. “This award represents the constant effort of the group to promote originality and creativity in the arts,” said Robert Polet, chairman and chief executive offi cer of Gucci Group. This will be the third edition of the award, which was fi rst bestowed on Nick Cave. Schnabel is nominated for directing “Lou Reed’s Berlin,” on Reed’s Brooklyn performance of his 1973 “Berlin” album two years ago, while Julien is in the running for directing “Derek,” written and narrated by Tilda Swinton, which celebrates the work of director Derek Jarman. McQueen is nominated for the direction of “Hunger,” on the last six weeks of the life of IRA member Bobby Sands, and Yauch for directing the documentary “Gunnin’ for That #1 Spot.” Muller said the committee selected “the most original international artists,” and their “creative metamorphoses.” — Luisa Zargani

VANITY FAIR’S NEXT SUBJECT?: Could Vanity Fair be planning a look into the life of U.K. business tycoon Richard Caring? According to a report in London’s Independent earlier this week, the title has sent a journalist to London to delve into Caring’s history. Caring, who is pals with Topshop’s owner Sir Philip Green, made a splash in the U.K. press last year when he bought the late Mark Birley’s private club empire, which includes the Mayfair clubs Annabel’s, Mark’s Club, George, Harry’s Bar and the Bath & Racquets Club. At the time, sources said Caring, who built his business as a clothing supplier, paid upward of $180 million for the clubs. Caring also owns a string of famed London restaurants including The Ivy, Le Caprice and Scott’s through his company Caprice Holdings, and earlier this year he bought a majority stake in the Soho House group. However, despite his starry connections, the tycoon rarely gives interviews and, according to the Independent’s item, is reluctant to cooperate with the magazine on the story. A spokeswoman for Vanity Fair said the company does not comment on whether a story is being planned. — Nina Jones

ROCK ’N’ ROLL WITH A FRENCH TWIST: Premium denim label Rock & Republic is rolling with Julia Restoin-Roitfeld, the daughter of French Vogue editrix Carine Roitfeld, for its new fall ad campaign.

Restoin-Roitfeld conceived the images, which will appear in September issues of W, Elle, Harper’s Bazaar, GQ and Vogue and similar publications in France, England and Italy. The ads also will be plastered on billboards in New York’s SoHo neighborhood and on Los Angeles’ Sunset Strip, as well as in cyberspace via Style.com.

Restoin-Roitfeld didn’t look far past her stylish family tree to cast her brother, Vladimir Roitfeld, as the edgy Rock & Republic man photographed by Mark Segal and styled by Keegan Singh. Meanwhile, Polish model Malgosia Bela is featured as a rock chick leaning against giant stereo speakers in kohl-lined eyes, black platform boots and a

studded leather cuff. This is the second ad campaign for Rock & Republic. It launched its fi rst shot by

Yu Tsai with models such as Fernanda Tavares and David Smith two years ago. Restoin-Roitfeld’s efforts come as Rock & Republic readies to open its fi rst fl agship, occupying 3,800 square feet on Los Angeles’ Robertson Boulevard in October. Shops in New York and Las Vegas are slated to open shortly thereafter. — Khanh T.L. Tran

MEMO PAD

By Kiyanna Stewart

GQ PARTNERED WITH FASHION GROUP International Wednesday night to host a panel event, “The Fashion Footprint,” aimed at fostering an environment condu-cive to the discussion of fashion’s relation-ship to the green movement.

Julie Gilhart, senior vice president and fashion director of Barneys New York, moderated the four-member panel, which consisted of Scott Mackinlay Hahn, partner in Loomstate/Rogan; Michael Flynn, vice president of design for Timberland Apparel at Phillips-Van Heusen Corp.; Leslie Hoffman, executive director of Earth Pledge, and Elizabeth Rogers, author of “The Green Book” and global branding consult for the Natural Resources Defense Council.

Hahn spoke about the importance of sustainability in eco-friendly fashion. “We strive to be a success in our environment.

Fashion is our medium,” he said. In fall 2004, Hahn launched Loomstate’s 100 per-cent organic cotton collection, emphasizing the social responsibility people have to the environment but too often ignore. Unlike designers who claim to be green, Loomstate is fully committed to sustainability at every stage of the production process. Loomstate ensures that all partners, from farmers to fabric mills, are participating in respon-sible manufacturing processes.

Likewise, Timberland’s Flynn has introduced new production methods that ultimately reduce the impact on the planet. “Timberland has created a DNA that supports a social responsibility, con-sciousness and awareness. The more I scratch the surface, the more there is to learn. Every piece we make is going to be touched by green.”

As part of its eco-friendly efforts, Timberland began producing nutrition la-bels for its clothing, listing the percentag-

es of organic materials in each. According to Flynn, “This is the beginning of a glob-al effort. Because we’re asking and rais-ing questions, people are changing.”

Earth Pledge’s Hoffman said she “sees agriculture at the center of sustainabil-ity.” Earth Pledge is a nonprofi t organi-zation that attempts to align eco-friendly technological developments with the world of design. Hoffman laughed, “I never thought I would be in fashion, but I have a passion to help individuals, fi nd opportunity, measure, assess, make im-provements, and maybe, if we all work together, we will get there.”

NRDC’s Rogers left her 10-year post as senior vice president of global com-munications at Calvin Klein to explore a career outside of fashion. Rogers ex-pounded on her distaste for the term “green” and anticipates the time when being eco-friendly is the norm and a fully evolved lifestyle, not just a fad.

GQ, FGI Event Looks at ‘Fashion’s Footprint’Julie GilhartJulie Gilhart

Rock & Republic’s new ad conceived by

Julia Restoin-Roitfeld.

Angelina Jolie and Brad Pitt

WWD.COMWWD, FRIDAY, AUGUST 1, 200814

By Rosemary Feitelberg

It looks like a few fashion students could be about to get their big breaks at re-tail.This fall, Henri Bendel Limited Edition collection will include a fl oral

printed cashmere sweater designed by students at the Savannah College of Art and Design. Undergrads and professors in the school’s Working Class Studio retooled a student’s vibrant painting of poppies into a textile-friendly motif for the scoopneck, three-quarter sleeve sweater. Of course, their foray into retail fashion had to meet the inspection of vice president and fashion director Ann Watson and the rest of Henri Bendel’s merchandising team.

The $248 item will be sold in New York’s Fifth Avenue store later next month and will be splashed all over the fl agship’s windows in October. Offered in purple or pink, the sweater also will be sold through the store’s Web site.

Henri Bendel, a store known by aspiring designers for its open calls, “has always been synonymous with supporting up-and-coming talent,” Watson said. “This opportunity has truly been a process of art-meets-fashion.”

This is the fi rst effort in what Bendel’s and SCAD expect to be an ongoing partnership. Talks are under way for other product categories, but nothing is defi nite at this point.

“Art doesn’t just have to hang on a wall — it can be worn to great delight,” said SCAD president and co-founder Paula Wallace.

Another retailer-student venture is in the works downtown. Début, a new NoLIta boutique, is teaming up with Parsons The New School for Design

to showcase recent graduates’ collections from Sept. 23 to 28. The postgrad designers will be selected Aug. 18.

Staying true to the spirit of the collections that are sold in the store, each designer will have his or her own display with a plaque listing the designer’s name, company name, geographic origin, the collection’s in-spiration and launch date.

Parsons alumni already selling collections at Début include Angela Chen, Natalia Alcaron, Nima Taherzadeh, Salvador Trinidad and Rachel Rymar.

Simon Collins, the dean of fashion at Parsons, said working with Début in its fi rst year encourages the school’s commitment to supporting the future of the industry.

Lisa Weiss, owner of Début, said, “It’s our hope that this synergy between retail and education — with two organizations so strongly rooted in the de-velopment and recognition of up-and-coming design-

ers — will help pave the way for the next big names in fashion.”

A Canadian citizen who fraudulently sold Gucci stock options to an unwitting investor

was sentenced to more than four years in pris-on in federal court in Manhattan on Thursday.

Timothy Khan pleaded guilty in March to one count of securities fraud and one count of wire fraud. Judge Miriam Goldman Cedarbaum of the U.S. District Court for the Southern District of New York ordered Khan to serve 51 months in federal prison, serve an additional two years’ supervised release and pay more than $8.6 million in restitution.

According to the original indictment, fi led in April 2007, Khan masqueraded as a Gucci Group advisory board member in the mid-Nineties. Using the ruse, he convinced an unnamed American investor that he had the opportunity to purchase and sell discounted

options as part of the company’s 1995 initial public offering. Over the next 11 years, the vic-tim wired millions of dollars to Khan with the purpose of purchasing the options. According to the indictment, Khan routinely lied over the same period as to why he could not exer-cise the options, sell the stock and deliver the proceeds, as the victim repeatedly requested.

When Khan entered his guilty plea, the sentencing guidelines advised a 51- to 63-month sentence. His attorney, Donald Yannella, had asked for a 24-month term.

“We were a little disappointed in the sen-tence, but not entirely surprised,” Yannella said. He said his client was remorseful and hoped to pay the restitution entirely. Khan has been in custody since his April 2007 arrest.

— Matthew Lynch

Longtime bridal executive Ovadia “Obie” Cohen died of cancer July 25 at

Monmouth Medical Center in Long Branch, N.J., said his daughter Esther. He was 84.

Born in Jerusalem, Cohen was a member of Irgun, the underground Jewish militia, and fought in the 1948 Israeli War of Independence. He worked in the textiles business before relocat-ing to New York in 1949 with his wife, Rebecca.

Convinced that fashion was moving away from custom-made clothes to manufactured apparel, Cohen went to school to learn about design and then took his fi rst job working in production for Tulip Formals. When that company closed, Cohen went to Columbia Formals and then Milady’s Formals, the latter an offshoot created by former Tulip Formals’ staffers. Cohen joined Milady’s Formals as a partial owner.

Cohen’s fi rst retirement in the Eighties lasted just two years. When the Diamond Bridal Group approached him about a po-tential job, he jumped at the opportunity and stayed with the company until he re-tired in 1996. His wife, who worked in the company’s sales department, also retired at that time.

“Bridal was the fi rst position he fell into,” Rebecca Cohen said. “He loved the creativity and the challenge of creating new and differ-ent styles, while still keeping the trends of the day. It was not part of the normal cycles in the fashion world.”

In addition to his wife of 61 years and his daughter, Cohen is survived by another daughter, Matica Bierstein, and two sons, Albert and Saul.

— R.F.

By Sharon Edelson

NEW YORK — Rosa Cha elevates the swimsuit from the familiar to the unexpected with strategically positioned cutouts, jewel-like necklaces on tops, embroidery with ropes and shells and elaborate patchworks of fabrics. It seems only fitting, then, that Rosa Cha’s first U.S. store, a 1,400-square-foot boutique at 460 West Broadway in SoHo, is unusual. The store, slated to open later this week, is projected to do $750,000 in first-year sales.

Swimsuits are showcased within large gilt picture frames, as if they were works of art. Frames are suspended in the windows and the store’s ceiling is lined with gilt frame-shaped moldings that form a grid that is repeated on the top third of the walls.

“The idea was to show the swimsuits and clothes like an art gallery,” said Rosa Cha designer Amir Slama, who has based past collections on Surrealism, and a Brazil-themed party staged in the 1500s in Rouen, France, for Henry II and Catherine de Medici. “I didn’t want the store to be a typical white box. The architect took his inspi-ration from the Baroque Brazilian church. We have many churches made com-pletely with gold.”

The gilt of the frames contrasts with the store’s walls and fl oor, which are covered with ebony-stained white oak. A metal curtain at the back of the store partially obscures two circular dressing rooms outfi tted with caramel-colored tufted leather sofas. Movable cabinets, topped with gold wire mesh and looking like luxury chicken coops, line one wall of the store. With handles on either side and wheels, they could also be mistaken for a gussied-up version of the coffee carts seen around Manhattan. Swimsuits will hang on a rod in the cabi-nets. The open drawers of a long archival table with sand on top will also be used to display swimwear.

Rosa Cha, which does $20 million in sales world-wide, operates 22 stores in Brazil, plus units in Lisbon and Istanbul. Slama plans to open another store in Manhattan. He also wants to distribute Rosa Cha to two or three high-end department and/or large specialty stores.

“We want to open stores in Los Angeles and Miami,” said Edson Paes, president of Cotia USA Ltd., the American arm of a Brazilian trading com-pany involved in wholesale fashion distribution. Cotia USA and Rosa Cha formed a joint-venture partnership for the SoHo store. Cotia in Brazil has revenues of $1 billion and helps luxury brands enter the Brazilian market. Slama met Cotia through Brazilian textile group Marisol, which helped Rosa Cha with production and logistics when the swimwear fi rm expanded.

“The next big step for Rosa Cha is moving into accessories, handbags, shoes and sandals oriented to the beach,” Paes said. “We have a special edi-

tion joint venture with Havianas for spring-summer ’09.”Slama, who was born in Israel, designs ready-to-wear, which is sold in

Brazil. “We have no intention of bringing it to the U.S. any time soon,” said Paes. “The desire for swimwear is so big and Rosa Cha’s product is so unique. Rosa Cha is going to catch the eyes of consumers.” Paes is hoping Rosa Cha’s runway show at the Bryant Park tents on Sept. 6 during New York Fashion Week catches consumers’ attention when it’s broadcast on TV and the Web.

Rosa Cha’s price points, from $190 to $650 for bathing suits, aren’t exactly made-to-order for the diffi cult economy. But Slama said consumers will appreciate the hand-made work and variety of materials beyond the typical jersey fabric. “We love to devel-op fabrics and try different things,” he said. “We develop 350 styles for each collection. It’s not only swimwear, it’s a way of getting dressed in the summer.”

Slama, who studied history in college and worked as a bartender before founding Rosa Cha 15 years ago, believes his overtly sexy designs will fi nd an American audience. “The [Brazilian] climate generates very sensual women and men,” he said. “They don’t live only in Brazil, they’re very global.”

Obituary

SCAD Students Take on Retail

Bridal Executive Ovadia ‘Obie’ Cohen

Man Found Guilty of Gucci Options Fraud

Rosa Cha Opens First U.S. Store in N.Y.

The SCAD design.

A Rosa Cha bikini from the summer 2008 collection.

Edson Paes

PAES

PHO

TO B

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HN A

QUIN

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TORE

BY

GEOR

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Swimwear is displayed in custom-made cabinets.

15WWD, FRIDAY, AUGUST 1, 2008

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FABRIC SOURCINGMajor textile co seeks a person withknowledge of Asian Textile Markets w/merchandising & design exp. Able towork with clients & sales staff inpromoting product. Co. paid medicalbenefits. Salary commensurate w/exp.Pls fax resume: 212-209-4406 or E-mail

to Sally@threadtex.com

Intimate Apparel SalesA N.Y. Intimate Apparel Co. is seekingan experienced sales pro with connec-tion to discounts/chains. Please emailipkis147@aol.com or fax 516-938-8300

PATTERNMAKER Seeking experienced patternmakerspecializing in women’s sportswear,which includes dresses, jackets, pantsand skirts. Complete understanding ofconstruction, fit, & draping. Knowledgeof grading. Email or fax resumes to:212-768-8811 / lennie@un-thinkable.com

Production AssociateInt’l Textile Co. seeks highly motivateddetail-oriented person to track goodsfrom order placement to delivery. Dailycommunication w/ overseas suppliers.Computer literate, good follow-up skills.Knowledge of textiles a +. Challengingsupport position in a friendly busy workenvironment. Company paid benefits.

Please fax resume: 212-209-4406 or E-mail to Sally@threadtex.com

PRODUCTIONNew York based children’s wear manu-facturer of special occasion and casualdresses seeks highly motivated &detail oriented individual to overseeall aspects of production. Responsibil-ities include follow-up of overseas pro-duction to ensure on-time delivery,order input, traffic, spreadsheets,sourcing, costing and price negotiat-ing. Strong communication skills anda minimum of five years experiencerequired. Please send cover letterw/resume and salary history to:Everettstarr@aol.com

Sales ExecutiveEuropean RTW company seeks NYbased Acct Exec with 3+ years of salesexp; must have existing relationshipsw/contemporary buyers at key specialtyand dept. stores. Please send resumeto: ssulichin@custo-barcelona.com

SALES MANAGERAPPLE BOTTOMS Accessories,Handbags, Belts, Hosiery, Headwear,Cold Weather. Experience & travel req’d.Work with one of the hottest brands inmore than one product category! E-mailresume to: Ljemal@icerbrands.com

SALESLuxury denim brand seekingspecialty store accountexecutive with a minimum of2 years related experience.Must be extremely driven,professional, and organized.Please email resumes to:denimaccountexec@gmail.com

RADCLIFFERadcliffe, Is looking for an accountexecutive to join our corporate show-room in NYC. Candidate must have atleast 3-5 years experience in the ladiesContemporary Denim market andhave strong specialty store following.Must be energetic, organized and havea passion for sales with strong workethic and computer skills. We offercompetitive salary and great benefitpackage. Please send your resumes at-tention to HR east coast at:fashions1@verizon.net

SALES EXECUTIVEEstablished Importer of Novelty

Sweaters/ Knits & Outerwear seeksa Sales Executive with strong Dept/Specialty Chain contacts to cultivatenew & maintain existing accounts.

Must have at least 5 years exp. Positiveenergy & strong follow-up a must.

Call or fax resume to: LisaTel: 212-302-3744/ Fax: 212-302-5184

Email: lisaemin@aol.com

GANTSeeking candidates to fill the followingpositions in our 5th Ave. Flagship Store:

Store ManagerWe are seeking a highly motivated andenergetic individual with 5+ yrs exp.in high-end clothing retail mgmt. Thesuccessful candidate will be responsible& accountable for all operational aspectsof their store and committed to ensuringoutstanding service. Must be a self-starter & possess superior organizational,communication and leadership skills.

Sales Associates/Key HoldersSeeking FT/PT candidates w/exp. inbetter men’s & women’s retail. Must beextremely motivated w/a desire to learn,evolve, & grow along w/a historic brandthat is looking towards a modern future.

Please e-mail your resume to:hr.us@gant.com

Visit us at: www.gant.com

RETAIL SALESWestchester and Fairfield Counties

Great OpportunityWe are a high energy, five store,contemporary boutique looking forself-starters who are well organized,mercahndise savvy, & computer literate.No evening hours. Competitive salary.Avail. benefits, 401K, Medical Insurance,and Incentives. Pls e-mail your resumeto: loristuff@aol.com

SALES ASSOCIATELuxury Women’s Wear

Established luxury boutique of women’sready-to-wear is currently seeking ex-perienced, polished, self motivatedSales Associates. Min. 3 year retailselling experience req’d - women’sclothing. Experience in high-end retailpreferred.

Please forward your resume in MSWord, PDF, or Text file to:

openmhrr@yahoo.com

Showrooms & LoftsBWAY 7TH AVE SIDE STREETS

Great ’New’ Office Space AvailADAMS & CO. 212-679-5500

Showroom for ShareBeautiful Showroom for share: 2,900sfN. Chelsea Fashion distribution companylooking to share brand new, airy andsunlit space with another high endapparel/accessories brand. 27th Streetbetween 10th and 11th avenues. Fea-tures: brand new building, 300 squarefeet of terrace, private toilet facilities,bamboo Floors, full control over A/C+Heat, fully-equipped pantry area, securitylocks, intercom, ½ block entrance toHigh-Line. $57/sf per annum.

Call 646-319-4417 for details.

W. 39th St. ShowroomWe are a California based juniormanufacturerer looking to share ourNY showroom located at 231 W. 39thStreet. Phone: 310-877-1028 Fax: 323-585-7977

PATTERNS, SAMPLES,PRODUCTIONS

All lines, Any styles. Fine Fast Service.Call Sherry 212-719-0622.

PATTERNS, SAMPLES,PRODUCTIONS

Full service shop to the trade.Fine fast work. 212-869-2699.

To apply, Please Email Resume To:Opportunities@aeny.com

issue date: september 12 CLose: August 7

For more information on advertising in WWD, contact Christine Guilfoyle, publisher, at 212-630-4737, or your WWD representative.

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