BONAVENTURE TEXTILES TRIMS JOBS, COSTS IN REORGANIZATION

Byline: Anne D'Innocenzio

NEW YORK--Citing a harsh retail environment, Bonaventure Textiles USA Inc., a subsidiary of Bonaventure Textiles Hong Kong, is reorganizing.
The company--which generated sales of $200 million in its heyday, three years ago--laid off an undisclosed number of employees last week and wants to move its 1411 Broadway showroom to a smaller space, according to Sheldon E. Grossman, executive vice president of operations. It is also considering relocating its distribution facility in Secaucus, N.J., he said.
"The industry stinks, and like everyone else we are trying to downsize," said Grossman, who would not reveal how many workers were let go. "We are trying to reduce our overhead, and we are rethinking every aspect of the way we do business."
He said speculation that the firm might be planning to close some of its lines is wrong. "We are still a going concern and we intend to be a going concern," he said.
The 11-year-old subsidiary markets moderate sportswear under the label SK by Jessica Tierney and blouses under the label Laura & Jayne. Last February, it signed a licensing agreement with Paris-based Kenzo, for the designer's first bridge collection, exclusively for distribution in the U.S. and Kenzo retail stores in China. The Kenzo Studio line made its debut in the U.S. last July.
Also last July, Bonaventure acquired the trademarks Judy Bond and Mr. Witt, two long-time moderate-price blouse labels. Bonaventure formed a new affiliate called Bonewco Ltd. to absorb these businesses.
Grossman said the firm will relocate the 27,000-square-foot Bonewco showroom to 1450 Broadway in a few weeks and is looking for smaller space for the Bonaventure labels, including Kenzo.
While Grossman would not comment on current sales figures, industry sources say Bonaventure's sales base has eroded drastically.

To Read the Full Article
SUBSCRIBE NOW

Tap into our Global Network

Of Industry Leaders and Designers

load comments
blog comments powered by Disqus