MAYOR’S NEW BOARD: Massimo Ferragamo and Ann Spector Lieff have joined the board at Mayor’s Jewelers Inc., bringing the number of members to nine. Ferragamo is chairman of Ferragamo USA Inc., a subsidiary of Italian fashion house Salvatore Ferragamo, while Lieff is founder and president of The Lieff Co., a consulting firm specializing in leadership development. Controlling interest in the troubled jewelry firm was purchased this year by Canadian chain Henry Birks Inc., which is working to return Mayor’s to profitability and boost sales.
DOLLAR DON: Dollar General Corp. has named Donald S. Shaffer acting chief executive while continuing as president and chief operating officer. But the company also said Shaffer is a candidate in the ceo search, being conducted by Korn/Ferry International. No timetable has been set. Cal Turner, who was ceo and continues as chairman, said, “The appointment allows the company to adhere to the provisions of the Sarbanes-Oxley Act of 2002 that require certification of certain SEC filings by the principal executive officer of a company. Under the existing Dollar General structure, the financial reporting and control functions have reported to Don, so it is appropriate that he certify under Sarbanes.” Shaffer, who joined Dollar General in 2001 as president and chief operating officer, is a 30-year veteran of Sears, Roebuck and former ceo of Sears Canada.
MOSSIMO SAYS NO: Mossimo Inc. said Wednesday it is “reviewing its options” in regards to an arbitration panel’s ruling Monday in favor of Cherokee Inc. The two were in a dispute over finder’s fee royalties generated by Mossimo’s licensing agreement with Target Stores. Although it disagreed with the ruling, unspecified amounts found to be owed to Cherokee have been put in a separate account and charged to operations in the period ended Sept. 30. Attorney’s fees and other expenses that could be awarded to Cherokee would be charged against Mossimo’s operating results when they are incurred, the firm said.
HERMES PULLS BACK: Hermès International, the French luxury firm, on Wednesday reported third-quarter revenues slid 2.6 percent to $297.5 million from $305.3 million in the same period last year. The numbers slightly beat the expectations of analysts, who had figured on a drop of about 5 percent. Dollar figures are converted from the euro at current exchange rates. For the nine-month period ending Sept. 31, Hermès said consolidated sales increased 0.7 percent to $876.7 million. Hermès stock closed up 4.3 percent to close at $145.62 in trading on the Paris Bourse.
This story first appeared in the November 14, 2002 issue of WWD. Subscribe Today.