LOS ANGELES — Attempting to avert a total wipeout of its name in the industry it helped create, surfwear maker Gotcha International L.P. has filed for Chapter 11 bankruptcy protection as well as a motion to sever its ties with its domestic...
LOS ANGELES — Attempting to avert a total wipeout of its name in the industry it helped create, surfwear maker Gotcha International L.P. has filed for Chapter 11 bankruptcy protection as well as a motion to sever its ties with its domestic licensee, Ederel.
The decision to reorganize stems from "non-performance issues" in the past 11 months that have necessitated a reorganization of the finances, licensees and distribution being implemented by the 23-year-old brand, a Delaware limited liability partnership. Details of its reorganization are expected to be announced today.
The line has had a spotty shipping record in recent seasons, and sources in the action-sports industry have been buzzing about the personnel exodus created by both layoffs and resignations at the once-legendary company over the last year.
"Unfortunately the complexities in dealing with this particular licensee have escalated beyond nonperformance," said Gotcha Holdings president Donald S. Grier in a statement provided to WWD Monday. Grier, an industry veteran with stints at Vision Skateboards and Maui & Sons, joined the troubled brand June 1.
Late last year, amidst conflicts about design and shipment, Ederel filed suit against Gotcha and Gotcha countered. The ensuing court battles led Gotcha to file a motion Monday morning rejecting Ederel as its domestic licensee, claiming "non-adherence to the company guidelines on conformity of brand design and direction, quality issues, approved distribution channels and interference with Gotcha business in other markets."
Ederel Sportswear Inc. was formed in October 1999 by Irvine, Calif.-based snowboard and ski-apparel manufacturer Snowmass Apparel Inc. specifically to handle Gotcha and its MCD and GirlStar brands.
Calls to Ederel went unanswered, and representatives of Snowmass were at the MAGIC International show in Las Vegas and unavailable for comment.
In a phone call from Las Vegas Monday, Grier confirmed that Gotcha and Gotcha Girl are showing at MAGIC under several new licensees including Jerry Leigh for juniors, Mamiye Brothers for women and Michael Gerald for young men and boys. The new strategy positions the line as a broader California lifestyle brand and is focusing on mid-tier retail channels in its domestic distribution.
"Because of Ederel, we have been trending downward. We anticipate a quick regrowth," he added.The firm has been flailingfor several years as it struggled with infrastructure concerns among its leadership, as well as an identity crisis in a market that headily weighs its credibility on being "core." In fact, the "MC" in the MCD brand stands for "more core."
London’s newly opened @designmuseum will look back on the life and work of Azzedine Alaïa in a show that the designer helped to curate before he died of heart failure last month. The retrospective, which Alaïa had worked on with Mark Wilson, chief curator of the @groningermuseum, will look at the impact of his work worldwide. The show, “Azzedine Alaïa: The Couturier,” will run from May 10 to October 7. Read more about the exhibit on WWD.com #wwdnews #wwdfashion (📷: @zefashioninsider)
@Pharrell and his wife Helen Lasichanh were among the stars that came out to celebrate @rimowa’s first pop-up concept shop. The space, which is located on Rodeo Drive in Beverly Hills, draws inspiration from airport luggage carousels and lounge areas – and features the company’s luggage and accessories. If the pop-up is successful it could pave the way for addition temporary shops throughout the world. #wwdfashion (📷: Owen Kolasinski/BFA)
@carineroitfeld celebrated @crfashionbook’s first calendar last night with a dinner party at Spring Place in Manhattan. Photographed by @stevenkleinstudio, the calendar takes on a fitness theme and features @joansmalls, @gigihadid, @danielle_herrington_ – pictured here – and more. “[Carine Roitfeld] wanted me to feel sexy and she wanted me to be myself and feel it out on my own and do what I felt was right,” said Herrington, aka Miss October. #wwdeye
@saintrecords and @virgilabloh last night at @americanexpress’ “A Night With Success Makers” event. “I always bring it back to community because without that I wouldn’t have the courage,” said Knowles when asked how she has gotten where she is now. Read more highlights from their conversation on WWD.com. #wwdeye (📷: @lizdoupnik)
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@assouline’s latest book, “The Spirit of Bentley: Be Extraordinary” captures the adventurous attitudes and opulent lifestyles of @bentleymotors’ most creative owners and enthusiasts throughout the U.K. The 292-page hardcover has a section dedicated to showing its team of skilled artisans and photos of its most colorful owners, from George Bamford to designer @alicetemperley, pictured here by Aline Coquelle. #wwdeye
@google released its report on the most popular search terms this year. For fashion brands, the list was led by @gucci, the luxury brand that stunned the market last October when it pledged to stop using fur. Runner ups were @supremenewyork and @fashionnova, along with more established brands like @louisvuitton, @chanelofficial and @ysl. #wwdfashion (📷: @aitorrosasphoto)
In yet another fashion show shuffle, @elleryland is moving its show in sync with the Paris couture calendar — though the brand is still keeping one foot on the city’s ready-to-wear schedule. Their runway show in January will coincide with the launch of a new strategy: designing two main collections each year instead of four, which will then be released in four drops. “As we all know, the system needs to change. We need to show sooner to give time back to artisans and designers to do what they do best — create,” said founder Kym Ellery. #wwdnews #wwdfashion (📷: @kukukuba)
@maxmara’s classic 101801 coat was the cornerstone of its pre-fall 2018 collection. The design team expanded the traditional double-breasted, kimono-sleeved style into a trapeze coat, lean belted styles and a peacoat and presented them in monochromatic looks – like the camel one pictured here. #wwdfashion #prefall18 (📷: George Chinsee)