HONG KONG, China — Armed with empty suitcases and same-day return tickets, an army of mainland Chinese is descending on suburban outlet shopping malls and international fashion chains in Hong Kong, turning cheap into the new chic as luxury falls out of favour.
LONDON, United Kingdom — The Savigny Luxury Index (“SLI”) lost 1.5 percent in April, underperforming the MSCI World Index (“MSCI”) by almost two percentage points. Luxury spending in Europe has been hit by a drop in tourist demand, as well as price increases by brands seeking wider margins. The unusually cold weather, particularly in March, also contributed to weak demand for Spring/Summer ready-to-wear collections.
NEW YORK, United States — Coach Inc. reported fiscal third-quarter results Tuesday that beat Wall Street expectations as the luxury handbag maker saw sales increase in its flagship North American market, as well as overseas. The New York company also said it's raising its dividend by 15 cents annually to $1.35 per share.
NEW YORK, United States — After more than 16 years as president and executive creative director of US accessories brand Coach, Reed Krakoff has announced that he will not renew his contract with the label, which is set to expire in June of 2014. The company has started the hunt for his successor. Krakoff is said to be leaving to focus on his own high-end label of sportswear-inspired apparel and accessories, Reed Krakoff, which he
NEW YORK, United States — Coach’s valuation and cash generation -- enough to give it the third-highest free cash flow yield among peers -- could attract private-equity firms, Atlantic Equities LLP said. LVMH Moet Hennessy Louis Vuitton SA and PPR SA may be among suitors drawn to its margins and the chance to expand Coach beyond the U.S. and Japan
LONDON, United Kingdom — The Savigny Luxury Index (“SLI”) gained 2.7 percent in February, underperforming the MSCI World Index (“MSCI”) by over one percentage point. The SLI lost ground at the beginning of the month following the questions raised on sector growth by LVMH’s annual results announcement. Big news • Most analysts felt that LVMH’s organic growth numbers for 2012 were a bit lower than expected. This, combined with Mr.
NEW YORK, United States — Coach Inc. shares rose 5 percent on Wednesday to $48.90 after a DealReporter article said there were rumours among investment bankers that the leather-goods maker was exploring a sale of the company. A Coach spokeswoman said the company does not comment on speculation or rumours. A share price of $48.90 would give Coach a market value of $13.7 billion. DealReporter cited two bankers as saying there were rumours Coach was exploring a sale, and a third banker who said Coach was rumored to be exploring strategic options, but was unable to provide specific information. Last month, Coach reported disappointing quarterly earnings and has faced growing competition from companies like Michael Kors Holdings Ltd. Two weeks…
LONDON, United Kingdom — The Savigny Luxury Index (SLI) gained 2.8 percent in January, outperforming the MSCI World Index (MSCI) by a touch over 1 percent. Positive economic news coming out of China sent the SLI into a mini-rally at the beginning of the month, however mixed corporate results announcements took some of the wind out of its sails. From a mergers and acquisitions perspective though, the year has started off with a
Coach handbag sales take hit, stock slumps (Reuters) “Coach Inc on Wednesday reported weak holiday-quarter results and unveiled a new strategy for shoes and clothing, spooking investors with the notion that the days of strong demand for its premium leather handbags may be numbered.” And Precisely So (NY Times) “The designers are learning to use the extraordinary skills of a couture atelier to be more self-critical
LONDON, United Kingdom — Neither the Savigny Luxury Index (“SLI”) nor the MSCI World Index (“MSCI”) saw much activity during the month of December, finishing up 0.5 and 1 percent, respectively. Big news US shoppers were rather subdued in their purchases over the holiday season, causing all the US components of our SLI to fall immediately after Christmas, and then gradually catching up. PPR unveiled its first China-focused
Ebay makes renewed foray into China (FT) “Ebay is to make a renewed push into China via a partnership with xiu.com, a local online retailer of luxury goods. The US group plans to focus on importing high-end western goods at discount prices, taking advantage of a growing desire for such items in China, but without wading into the fierce competition of the domestic market.” Cable backs plan to boost textile industry (FT)
Uniqlo.com to the Rescue of Middle America (Business Week) “Uniqlo, the Japanese clothes giant, launched an online shopping site in the U.S. this week. This may not seem like important news to many, but to a certain American consumer—think very well-dressed, without much money, and living between the coasts—it is like a food drop from a Marshall Plan plane in 1940s Berlin.” Coach bags an earnings rebound (FT)
Mario Testino interview: the man who makes models super (Observer) “At 57, the world’s most prolific magazine photographer is just getting started. It’s only 15 years, after all, since his career exploded in the wake of his 1997 Vanity Fair shoot with Diana, Princess of Wales. In 2010 he shot the engagement photos of Wills and Kate, and it’s entirely conceivable that, should the time come, he’ll