NEW YORK -- Donna Karan is contemplating opening a store in Milan next year.

Stephen Ruzow, president of The Donna Karan Cos., confirmed reports that the company has explored opening a women's and men's collection store on the Via Spiga in Milan.

"We have had some discussions with Gio Moretti, who carries the collections in his [signature] store," said Ruzow. "Nothing is definite, but we would like to see it happen. At the earliest, it would be next fall, but spring 1996 is more likely."

Ruzow said that international expansion is the fastest growing area for Donna Karan, with about one-third of its business coming from European sales.

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