GUILFORD EXITS BANKRUPTCY: Guilford Mills Inc., which filed for bankruptcy in March at the tail end of a slew of filings in the textile industry, on Friday became the first company of that wave to return to solvency. As spelled out in the...
GUILFORD EXITS BANKRUPTCY: Guilford Mills Inc., which filed for bankruptcy in March at the tail end of a slew of filings in the textile industry, on Friday became the first company of that wave to return to solvency. As spelled out in the company’s reorganization plan, the Greensboro, N.C.-based mill issued new stock and turned over 90 percent of ownership to its former creditors. Former shareholders got the remaining 10 percent. Since its filing, the company has largely pulled back from the apparel fabrics business — its sole apparel-related venture is a plant in Mexico. The company focuses on the automotive and industrial fabrics trades. It reduced its debt from $270 million to $145 million by reorganizing.
l DIAMONDS IN THE ROUGH: Tiffany & Co. plans to open its first diamond cutting and sorting plant in the rugged Canadian mining town of Yellowknife next year. The $3 million plant is designed to complement the company’s 15 percent minority investment in Toronto’s Aber Diamond Corp. — which will open the Diavik mine in Lac de Gras, 250 miles to the north — at the same time as the plant. Tiffany has a 10-year contract worth at least $500 million with Aber to purchase stones from the Diavik mine. In the past, Tiffany has purchased finished diamonds from wholesalers in New York, Tel Aviv and Antwerp. The new proprietary facility is intended to give the firm more control over its supply chain.
NEW DEAL: CIT Commercial Services on Friday added Bernard Chaus Inc. to its family of apparel clients. Chaus signed a three-year contract for a $40 million revolving line of credit and a $10.5 million term loan. Nick DiPaolo, chief operating officer for Chaus, said that the new agreement with CIT "replaces an existing facility with BNY and GMAC that was due to expire on April 1, 2003." According to DiPaolo, the amount of the revolver remained about the same, but the term loan was reduced to $10.5 million from $15 million under the old facility.
FAMILY (TREE) DOLLAR: Howard Levine, president and chief executive officer of Family Dollar Stores, will succeed Leon Levine, the store’s founder, as chairman upon his father’s retirement next January. The elder Levine will take the new title of chairman emeritus. Leon Levine founded the Charlotte, N.C.-based discount retailer in 1959 with $3,000 of his own money and another $3,000 from his cousin. It took more than 40 years, but the company broke onto the Fortune 500 list last April, entering at number 443, with $3.67 billion in 2001 sales and earnings of $189.5 million. The firm will take a $1.3 million charge in its fourth quarter to account for Leon Levine’s retirement benefits, corresponding to the amount of his retirement package. Company contributions to his 401K will be discontinued following his departure.
MEISTER ADDING SPORTSWEAR: Bridge dress designer David Meister will launch a sportswear line in fall 2003. Stephen Ruzow, president of women’s wear at Kellwood Co., which has David Meister under its portfolio, said the company decided to expand into sportswear based on the success of the line at retail. Ruzow said the sportswear component should help bring the brand into the U.K., where David Meister dresses are already sold at Harrods and Selfridges, and then into the rest of Europe.
@tradesy is turning the concept of a showroom upside down with its new space in Santa Monica. Here, the company plans to hold events, art exhibits and a showcase rare fashion pieces like this Louis Vuitton boxing set. Get all the details on Tradesy’s first showroom on WWD.com. #wwdnews
Spotted last night at the @erdem x @hm launch event: Kate Bosworth, Rashida Jones, Kirsten Dunst and Selma Blair. The party, which took place in LA, also marked the opening of their pop-up shop. “I was interested in creating a collection that wasn’t in any way disposable. It was about pieces you’d create and keep forever, things that have a permanence to it,” designer Erdem Moralioglu said. #wwdeye (📷: Katie Jones)
Renee Zellweger in yellow in 2001 and again in 2017. Chosen as one of the 12 @pantone Leading Spring Colors (and dubbed “Meadowlark”), it only makes sense that the bright hue stands the test of time and is making a resurgence this season, seen already on stars like @blakelively and @gigihadid. (📷: Donato Sardello & @rexfeatures) #wwdfashion #tbt
Dior’s 70th anniversary celebration continues with a new exhibition at the Royal Ontario Museum in Toronto. “Christian Dior,” which is scheduled to run through March 18, takes a look at the founders tenure from 1947 to 1057 and feature 40 designs. Pictured here is an evening gown from the Ailée, fall 1948-49 haute couture collection. #wwdfashion (📷: Brian Boyle)
As one of the most recognizable models in the world, Christy Turlington Burns has an insider’s view of the fashion industry and the allegations of sexual harassment swirling around it. “I can say that harassment and mistreatment have always been widely known and tolerated in the industry. The industry is surrounded by predators who thrive on the constant rejection and loneliness so many of us have experiences at some point in our careers,” Turlington told WWD, along with her suggestions for how the modeling world should protect younger women and men. Read more on WWD.com. Link in bio. (📷: Tony Palmieri) #wwdnews
@asics America has tapped a new brand ambassador: famed DJ/record producer @steveaoki. This initiative is intended to set the tone for the new brand identity and philosophy and will include partnerships with influencers and in-store and off-line activations that will continue into next year. This is Asics’ most significant marketing effort in two decades, and is expected to attract younger consumers to the brand. #wwdfashion
24-year-old Jean Prounis is redefining the rules of jewelry. Formerly a studio assistant to Jemima Kirke and a design apprentice at Ghuran, she focuses on handcrafted subtleties and ancient goldsmithing techniques. “There was a really sterile feel in the environment and I wanted to have jewelry with character that shapes how you wear it everyday,” Prounis said. Each piece is hand made in New York, either by Prounis or three other jewelers in the district. #wwdfashion
“These collections continue to build on that vision, empowering differently abled adults to express themselves through fashion,” said @tommyhilfiger of his line of adaptive apparel, which launches today. The line consists of 37 men’s and 34 women’s styles based upon the pieces from the spring Tommy Hilfiger sportswear collection. #wwdnews