Chip Bergh got serious about his drive to foster profitable growth at Levi Strauss & Co., pulling the company out of two high-maintenance, low-profit businesses.
The president and chief executive officer, who joined the firm in September 2011, disclosed the closure of the company’s Denizen business in Asia and the licensing of its previously in-house Levi’s boys’ business in the Americas. The moves impacted the company’s third-quarter results, which saw an 11.9 percent drop in earnings and an 8.6 percent decline in revenues for the third quarter.
During a conference call with analysts late Tuesday, Bergh said the exit from the Denizen business in Asia, launched there with much fanfare in 2010 before being expanded to Target stores in the U.S. last year, was made “to focus our energy and attention on our Levi’s brand in this region. While this strategic change has a short-term financial impact, the phase-out of Denizen in Asia will benefit our total company margins and bottom line.”
Alberta Ferretti's "Rainbow Week" sweaters are back. The designer closed her #MFW show with a few day-of-the-week sweaters, which first debuted on the catwalk last January as part of the pre-fall 2017 collection. #wwdfashion (📷: @delphineachard)