DANSKIN SIGNS LICENSING PACT
NEW YORK — Danskin has signed a licensing deal with Jacques Moret to distribute its Freestyle line of activewear for women and girls.
The move is part of Danskin’s plan to become a brand manager, not just a manufacturer. Last month, Danskin announced that it will relaunch its Freestyle activewear, exclusively in Target’s 991 stores, in June. With retail prices of $10 to $20, Freestyle is more affordable and less technical than Danskin’s signature collection.
“We see this relationship with Jacques Moret as a significant and progressive step in the development of the company’s branding strategy,” said Carol Hochman, president and chief executive officer of Danskin.
For the year ended Dec. 30, Danskin’s net income declined to $9.3 million, or 13 cents a share, from a loss of $21 million, or 89 cents a share, in 1999. The disparity in per-share results is attributable to an increase in outstanding shares. Revenue in 2000 dipped 3.8 percent to $84.7 million, from $88 million in the prior year.
Hochman cited the company’s “Project Runrite” initiatives, geared toward cutting costs and increasing margins, for the decrease in annual revenues.