Warnaco Establishes Joint Venture in India
The Warnaco Group, Inc. (NYSE: WRC) today announced it has entered into a new joint venture with Brand Marketing India, its current distribution partner in India, to market and distribute Calvin Klein Underwear, Calvin Klein Jeans, Calvin Klein Jeans Accessories and ck Calvin Klein branded apparel and accessories in India. Warnaco will own 51 percent of the joint venture. In connection with the joint venture, certain of Warnaco’s license agreements with Calvin Klein, Inc. were amended to add India to Warnaco’s licensed territories for Calvin Klein Jeans and Calvin Klein Jeans Accessories, as well as for ck Calvin Klein branded apparel and accessories.
This joint venture will strengthen the presence of the Calvin Klein brand in India and effectively position the business to capitalize on the significant growth potential of the Indian market.
"This venture is consistent with our global growth strategies to expand our profitable international business and our direct to consumer footprint. India is expected to be a key driver of long term growth and we are excited to expand our direct participation, operations and revenues in this critical market,” commented Joe Gromek, Warnaco’s President and Chief Executive Officer. "Brand Marketing India has been a great partner with us for nearly six years and we look forward to working together to replicate in India the success we have already achieved with the Calvin Klein brand in other emerging markets, such as China and Brazil.”
Vijay Murjani, Chairman and Managing Director of Brand Marketing India, has been named Managing Director of the joint venture. The business, which will be headquartered in Mumbai, India, will employ approximately 160 associates.
"We are very pleased to further solidify our partnership with Warnaco,” said Vijay Murjani. "We are confident that our experience, combined with the power of the Calvin Klein brand, will ensure the continued growth and success of the business in India.”
"Warnaco and Murjani have been strong partners and we are confident that together they will drive revenue and work closely with us to both protect and enhance the Calvin Klein brand image in India," said Tom Murry, President & CEO of Calvin Klein, Inc.
ABOUT WARNACO
The Warnaco Group, Inc., headquartered in New York, is a leading global apparel company engaged in the business of designing, sourcing, marketing and selling men’s, women’s and children’s sportswear and accessories, intimate apparel, and swimwear under such owned and licensed brands as Calvin Klein®, Speedo®, Chaps®, Warner's® and Olga®. For more information, visit warnaco.com.
ABOUT CALVIN KLEIN, INC.
Calvin Klein, Inc. is one of the leading fashion design and marketing studios in the world. It designs and markets women’s and men’s designer collection apparel and a range of other products that are manufactured and marketed through an extensive network of licensing agreements and other arrangements worldwide. Brands/lifestyles include Calvin Klein Collection, ck Calvin Klein, Calvin Klein, Calvin Klein Jeans, and Calvin Klein Underwear. Product lines under the various Calvin Klein brands include apparel, accessories, shoes, sleepwear, hosiery, socks, swimwear, belts, eyewear, watches, jewelry, coats, suits, fragrances, and cosmetics, as well as products for the home. For more information, visit calvinklein.com.
ABOUT PVH CORP.
PVH Corp., one of the world’s largest apparel companies, owns and markets the iconic Calvin Klein and Tommy Hilfiger brands worldwide. It is the world’s largest shirt and neckwear company and markets a variety of goods under its own brands, Van Heusen, Calvin Klein, Tommy Hilfiger, IZOD, ARROW, Bass and G.H. Bass & Co., and its licensed brands, including Geoffrey Beene, Kenneth Cole New York, Kenneth Cole Reaction, MICHAEL Michael Kors, Sean John, Chaps, Donald J. Trump Signature Collection, JOE Joseph Abboud and DKNY. For more information, visit pvh.com.
FORWARD-LOOKING STATEMENTS
The Warnaco Group, Inc. notes that certain written, electronic and oral disclosure made by Warnaco from time to time, may contain forward-looking statements that are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. The forward-looking statements involve risks and uncertainties and reflect, when made, Warnaco's estimates, objectives, projections, forecasts, plans, strategies, beliefs, intentions, opportunities and expectations. Actual results may differ materially from anticipated results, targets or expectations and investors are cautioned not to place undue reliance on any forward-looking statements. Statements other than statements of historical fact, including, without limitation, future financial targets, are forward-looking statements.
Warnaco encourages investors to read the section entitled "Risk Factors" and the discussion of Warnaco's critical accounting policies under "Management's Discussion and Analysis of Financial Condition and Results of Operations -- Discussion of Critical Accounting Policies" included in Warnaco's Annual Report on Form 10-K, as such discussions may be modified or supplemented by subsequent reports that Warnaco files with the SEC. Forward-looking statements speak only as of the date on which they are made, and, except for Warnaco’s ongoing obligation under the U.S. federal securities laws, Warnaco disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
