NEW YORK — Phillips-Van Heusen plans to open 10 full-price retail stores for its Calvin Klein “white label” business in malls, this year and next. “This is a platform for us to showcase the Calvin Klein better label to consumers,” said Emanuel Chirico, CEO of PVH, at its annual meeting here on Tuesday. “We will be in the best malls in America. If this concept proves to work, both from a marketing and profitability standpoint, it has the potential to be a 100-store chain over the next five to six years.”
Currently, PVH operates about 80 Calvin Klein outlet stores in the U.S.
At the meeting, Chirico noted the Calvin Klein better label has been a strong performer in department stores, and is now a $125 million wholesale business in about 545 doors. “We are one of the best performing businesses among department store collections,” he noted.
“The potential for this brand is $200 million to $400 million, in up to 700 doors. We are growing our doors, but even more importantly we have been increasing our space in existing doors. Our square footage has grown 15 to 20 percent each year.”
Chirico drew the loudest applause from the packed meeting when he highlighted the company’s stellar stock performance over the past several years, with the share price rising from about $12.50 in early 2003, when the company completed its acquisition of Calvin Klein Inc., to over $60 last week.