NO SWITCHING: J. Crew on Wednesday denied an accusation from a former employee that it was pumping up its catalog division by covering its costs with its stores’ division. Aside from saying the charge wasn’t true, J. Crew added there would...
NO SWITCHING: J. Crew on Wednesday denied an accusation from a former employee that it was pumping up its catalog division by covering its costs with its stores’ division. Aside from saying the charge wasn’t true, J. Crew added there would be no point in shifting the costs since the company does not break out profitability by division. "The charges made against J. Crew by a former employee are irrelevant and baseless," the company said in its statement. "As anyone who understands our business knows, we do not report profitability by division. Equally important, no cost shifting has occurred, and there would be no advantage to the company in doing so for the reason stated above." It also said, "Perhaps not surprisingly, the company has not received any notice from the SEC about any potential claim or investigation." Press reports Tuesday said a former J. Crew order consultant, Charles Sayler, wrote a letter to the Securities and Exchange Commission that said J. Crew was paying catalog expenses from retail accounts.
BURBERRY BUZZ: Burberry said total sales rose 12 percent in the first quarter ended June 30 and, eliminating the effects of currency fluctuation and recent acquisitions, were up 5 percent for the period. The company said in a statement that total retail sales rose by 20 percent due to new store openings and sales growth at existing stores. Licensing revenue increased by 13 percent — pushed by the strong growth in Japanese royalties — while wholesale sales rose 4 percent. As reported, Burberry is expecting wholesale sales for the fall 2002 season to be flat against last year. Burberry shares fell 12 cents, or 3.6 percent, Wednesday to close at $3.26 on the London Stock Exchange as the FTSE 100 dropped 0.8 percent. Burberry and its majority owner, GUS PLC, will release profits and sales data for the first half of the year in November.
OVER AND DONE: Federated Department Stores said Wednesday that it has completed the sale of Fingerhut assets to FAC Acquisitions, which is owned by former Fingerhut chief executive officer Theodore Deikel and wholesale distributor Thomas J. Petters. Terms of the transaction were not disclosed. Included in the deal, however, are certain facilities in St. Cloud, Minn.; Fingerhut’s corporate headquarters in Minnetonka, Minn.; the Fingerhut name, customer lists, Web site and existing inventory, and other properties in Plymouth, Minn. and in Piney Flats, Tenn. Fingerhut receivables were sold to CompuCredit Corp.
EXCLUSIVE: @tomford is opening its first-ever beauty store. The boutique, which opens November 20 in London’s Covent Gardens, was designed with the over the top glam Ford is known for. Read the full story on WWD.com, link in bio. #wwdbeauty #wwdnews (📷: Simon Wagner) #TomFordBeauty
New York-based DJ @harleyvnewton threw a party to celebrate the holiday collection of her dress and pajama line @hvn at the Ladurée Beverly Hills. It Girls @katebosworth, @rashidajones and more joined in on the fun, which included cocktails, croque monsieur sandwiches and a photo booth. #wwdfashion (📷: Owen Kolasinski/BFA.com)
For the holidays, @Burberry partnered with 20-year-old artist @blondeymccoy on a series of three outdoor murals in downtown Manhattan. The murals are McCoy’s interpretation of a Christmas eve party, the idea of charity and the spirit of family. His third mural, pictured here, is the most personal. The image depicts McCoy’s grandparents and father in London’s Trafalgar Square in the Seventies. “My work often features lots of sentimental objects.” #wwdeye
For spring 2018, designers applied bold colors and cartoonish motifs on everything from sneakers and belts to key chains. See all the top men’s accessories trends on WWD.com. #wwdtrends (📷: George Chinsee; Prop Styling by @rnasti; Market Editor: @luiscampuzano)
The @dior-sponsored @guggenheim international gala pre-party has a history of drawing cool-girl musical acts to serenade the crowd –– and last night was no exception. @haimtheband performed songs both new and old, and lured a star-studded audience with the likes of Rebecca Hall, Kate Mara, Mamoudou Athie and more. #wwdeye (📷: @lexieblacklock)
In a partnership between the @metopera and the @englishnationalopera, “Marnie” was born. The opera, with costumes sponsored by @mrporterlive, is an adaptation of the 1961 thriller by Winston Graham. Arianne Phillips, who created the costumes, is no rookie: She’s styled Madonna for her tours and created costumes for a myriad of films in the past. Read WWD’s interview with Phillips, where she talks about her inspiration for the opera’s costumes on WWD.com #wwdfashion
@barneysnyc took a different approach to their holiday windows this year. Instead of Christmas decor, Barneys tapped @thehaasbrothers to tell a story of positivity, gratitude and inclusivity via heartwarming silliness and humor. “It’s about kids and it’s about coming together and being family and loving each other,” said Simon Haas. #wwdfashion (📷: @joshuascottphoto)
Beauty influencer @kandeejohnson makes her foray into hair care with a collaboration with @ogx_beauty — making it the first time that OGX has teamed up for a product creation. The collab includes shampoos and conditioners in three scents. At 39 and a mom, Johnson is a different profile than the emerging social media stars, but is considered one of the pioneers of the digital beauty influencer world. Read WWD’s interview with her on wwd.com, including the strangest beauty product she’s ever tried #wwdbeauty