PARIS — Swatch Group is set to change its accounting practices back to Swiss GAAP ARR measures as of Jan. 1, 2013. The group has used International Financial Reporting Standard (IFRS) practices since 2001.
“Swiss GAAP allows the Swatch Group, as a Swiss company, to use a recognized accounting practice that is ideal for industrial companies,” Swatch stated. “The cost-benefit ratio is reasonable and takes account of the special needs of a Swiss industrial company.”
The firm said Swiss GAAP measures were “more practical and less theoretical” than IFRS practices. The decision was made at a meeting of Swatch’s board of directors Wednesday.
Thomas Chauvet, European luxury goods director at Citi Research, called the change a “surprising backward move” in a research note. “We think the market will react negatively to this,” he wrote.
Chauvet said Swatch would be the only large-cap, blue-chip company on the Swiss stock market to report under Swiss GAAP.
“In a Swiss watch industry famous for its secrecy, the return to Swiss accounting principles is likely to raise concern over the quality of accounting disclosures and comparability with European luxury peers, which all report under IFRS, in particular Richemont,” Chauvet added.
Swatch shares on the Swiss stock exchange fell almost 1 percent to 376.10 Swiss francs, or $401.06 at current exchange, at 11 a.m. CET. That followed a 1.3 percent decline of the firm’s stock price on Wednesday.
“Azzedine has been one of the biggest influences in my life. He has always been such a strong, loving, fatherly figure to me. I call him Papa. His designs are indescribably unique, they are pieces of art. He knew how to make the female form look its loveliest. I have so many memories of him; my favorite might be during my first show with him in Paris. He liked me and he wanted to help me get more work. He called all his friends at Kenzo and Comme des Garcons, and asked them to book me. They said, ‘But she can’t walk!’ And he said, ‘but she has such a great ass!' His friendship and support has been the great privilege of my career. I can't imagine life without him. Repose en paix mon Papa.” - @stephanieseymour tells @wwd. #wwdfashion (📷: @steveeichner) #alaia #azzedinealaia
Azzedine Alaïa, flanked by two of his closest friends, models Stephanie Seymour and Naomi Campbell.
He designed Seymour’s dress for her 1995 wedding to Peter Brant, and treated Campbell (who famously called him Papa), like a daughter. For more on the legendary designer, tap the link in bio. #wwdfashion #alaia #azzedinealaia
Azzedine Alaïa's “I-did-it-my-way” ethos stood out starkly at a time when brands are experimenting with consumer-facing fashion shows, coed formats and trans-seasonal collections – anything to perk up lackluster sales of ready-to-wear in an age of Insta-everything. “It’s not creation anymore. This becomes a purely industrial approach,” the late designer told WWD in an interview last year. “But anyway, the rhythm of collections is so stupid. It’s unsustainable. There are too many collections.” Read more about the iconic designer’s life and work on wwd.com, link in bio. #wwdfashion #azzedinealaia (📷: @WWD Archive, 1986) #alaia
Sneaker reselling app @goat’s latest exhibit, "The Greatest: New York," tells the story of New York's sneaker culture. To celebrate the exhibit, an intimate crowd gathered on Thursday night at the pop-up gallery space, located at Platform in Culver City, to hear guest speaker and illustrator @esymai talk about her own rise in streetwear and women in the business. "For me I'm just someone who is creative. I like to create things," said Chang. #wwdfashion
Azzedine Alaïa, one of the most iconic couturiers of the modern era whose body-con designs defined Eighties fashion, has died in Paris. The diminutive Tunisian-born designer, known for his structured knitted dresses with fitted waists and impeccably cut, figure-hugging second skin silhouettes was deeply admired by his peers, and counted supermodel Naomi Campbell - his adoptive daughter - among his inner circle, one of a gang of glamazons including Farida Khelfa, Carla Bruni and Stephanie Seymour who became ambassadors of his style. (📷: Alexandre Guirkinger) #wwdblast