MUNICH — Warming weather and a darkening economic climate underscored Quiksilver Inc.'s decision to off-load French ski apparel and equipment firm Rossignol.
"Winter 2006 was the worst winter in history. Combined with tough economic times, we were forced to find ways to reduce our debt," Quiksilver president Bernard Mariette told WWD here Monday at the International Trade Fair for Sports Equipment and Fashion, also known as ISPO.
"We were getting a lot of pressure from the shareholders to sell Rossignol. What we thought we could do in three years would ultimately take five years to accomplish," Mariette said of the decision to sell. "Due to the economic and environmental climate, five years is too long to wait. We need immediate results, which is why we have decided to sell the company."
Quiksilver purchased Rossignol in 2005 for $320 million in cash and stock.
Mariette declined to comment on the value of Rossignol, but noted that potential suitors have already been in touch. He estimated a deal would be struck in the next six to nine months.
Over the past two years, Rossignol reduced its annual ski production from 1.6 million skis to 1 million in 2007. It also trimmed its factory and warehouse operation to focus on building the brand's apparel business, which had been the next step in Quiksilver's plan to transform Rossignol into an outdoor sports lifestyle company.
Rossignol's fall 2008 selection of ski and outdoor looks for women, on show here, were already beginning to exhibit Quiksilver's trademark edgy take on sports apparel. A heritage 1907 line, designed for on and off the slopes, was garnering attention at the show, which will wind up its four-day run Wednesday.
"We still firmly believe in Rossignol. We have a clear vision for the brand," Mariette said.
In December, Quiksilver sold Cleveland Golf Co. Inc. for $132.5 million to Japan-based SRI Sports Ltd. A stake in Cleveland Golf was originally part of Quiksilver's acquisition of the Rossignol Group in July 2005. Speculation had been escalating in recent months that the Huntington, Calif.-based Quiksilver would continue to reduce its exposure to the hard goods manufacturing business, which continues to be its Achilles' heel.
EXCLUSIVE: @tomford is opening its first-ever beauty store. The boutique, which opens November 20 in London’s Covent Gardens, was designed with the over-the-top glam Ford is known for. Read the full story on WWD.com, link in bio. #wwdbeauty #wwdnews (📷: Simon Wagner) #TomFordBeauty
New York-based DJ @harleyvnewton threw a party to celebrate the holiday collection of her dress and pajama line @hvn at the Ladurée Beverly Hills. It Girls @katebosworth, @rashidajones and more joined in on the fun, which included cocktails, croque monsieur sandwiches and a photo booth. #wwdfashion (📷: Owen Kolasinski/BFA.com)
For the holidays, @Burberry partnered with 20-year-old artist @blondeymccoy on a series of three outdoor murals in downtown Manhattan. The murals are McCoy’s interpretation of a Christmas eve party, the idea of charity and the spirit of family. His third mural, pictured here, is the most personal. The image depicts McCoy’s grandparents and father in London’s Trafalgar Square in the Seventies. “My work often features lots of sentimental objects.” #wwdeye
For spring 2018, designers applied bold colors and cartoonish motifs on everything from sneakers and belts to key chains. See all the top men’s accessories trends on WWD.com. #wwdtrends (📷: George Chinsee; Prop Styling by @rnasti; Market Editor: @luiscampuzano)
The @dior-sponsored @guggenheim international gala pre-party has a history of drawing cool-girl musical acts to serenade the crowd –– and last night was no exception. @haimtheband performed songs both new and old, and lured a star-studded audience with the likes of Rebecca Hall, Kate Mara, Mamoudou Athie and more. #wwdeye (📷: @lexieblacklock)
In a partnership between the @metopera and the @englishnationalopera, “Marnie” was born. The opera, with costumes sponsored by @mrporterlive, is an adaptation of the 1961 thriller by Winston Graham. Arianne Phillips, who created the costumes, is no rookie: She’s styled Madonna for her tours and created costumes for a myriad of films in the past. Read WWD’s interview with Phillips, where she talks about her inspiration for the opera’s costumes on WWD.com #wwdfashion
@barneysnyc took a different approach to their holiday windows this year. Instead of Christmas decor, Barneys tapped @thehaasbrothers to tell a story of positivity, gratitude and inclusivity via heartwarming silliness and humor. “It’s about kids and it’s about coming together and being family and loving each other,” said Simon Haas. #wwdfashion (📷: @joshuascottphoto)
Beauty influencer @kandeejohnson makes her foray into hair care with a collaboration with @ogx_beauty — making it the first time that OGX has teamed up for a product creation. The collab includes shampoos and conditioners in three scents. At 39 and a mom, Johnson is a different profile than the emerging social media stars, but is considered one of the pioneers of the digital beauty influencer world. Read WWD’s interview with her on wwd.com, including the strangest beauty product she’s ever tried #wwdbeauty