A Women's Accessories Designer shoots 10 near Empire State Bldg.

Jeffrey Johnson, age 53, a women's accessories designer for a company named Hazan, has been identified as the lone gunman who shot at least 10 people outside the Empire State Building in New York on Friday morning around 9 a.m. Two people are confirmed dead. The gunman was reportedly firing indiscriminately at people, and was reportedly shot dead by a New York Police Department officer, although it is still under investigation. Commercial access around the Empire State Building has been blocked off. Macy's, which is a block away, remains open for business. "Fifth Avenue was shut down to vehicular traffic. Foot traffic is still normal. Our store is open," said a Macy's spokeswoman.


The Empire State Building was roped off, surrounded by police cars, helicopters overhead, and a press conference was about to begin on 5th Avenue and 35th St.

Shoe Companies Leaving China...Fast!!

With cost pressures mounting in Asia — and a renewed sense of patriotism that focuses on job-creation — a number of American footwear firms are moving production back to the U.S. "Manufacturing overseas is becoming less attractive: Transportation, material and labor costs are skyrocketing, and you've also got ocean carriers implementing slow steaming to save fuel, so it's taking even longer to get product," said Nate Herman, VP of international trade for the American Apparel & Footwear Association. "That doesn't work for the type of retail environment we're in, where companies need to react to trends and changes in the market more quickly than ever." Following decades of sharp declines, the amount of shoes being made in the U.S. has inched up each year since 2009, Herman said. This year, 30 million of the 2 billion pairs of shoes sold in the U.S. will be produced domestically. Herman predicted the upward trend will only continue as the cost advantages of producing overseas begin to disappear and more footwear firms look to capitalize on the many benefits of making shoes at home, including significantly shorter lead times and greater control and flexibility. "The situation in China is very uncertain. 


Prices continue to creep up, and it's increasingly challenging to manage logistics and quality control, especially as a smaller company," said Arkady Altskan, GM of Baltimore-based comfort brand Pilgrim Shoes, which opened U.S. production last year. "We want to stay ahead of the changes. So far, having our own factory here has been a huge advantage." Still, manufacturing domestically is a difficult process to navigate. Perhaps the biggest challenge is the lack of infrastructure. "Back in the heyday of American shoemaking, you had everything you needed here, from machinery and processes to a robust supply chain, but those things don't exist anymore. If you're going to start manufacturing here, you're basically going it alone. You're reinventing those processes," said Colin Hall, chief marketing officer of Port Washington, Wis.-based Allen Edmonds, which has been manufacturing exclusively in the States since 1922.

John Wilson, VP of manufacturing for New Balance, another veteran of the U.S. with five factories in the New England area, said he is optimistic that as more footwear firms move production back onshore, the domestic supplier base will begin to revitalize. "It hopefully will drive the need for raw materials suppliers to relocate, improving the supply chain and infrastructure here," he said. "We've seen that in the shoe industry's migration to different parts of Asia over the years — the raw materials companies moved their plants closer to the manufacturing sites."

source: WWD

JC PENNEY PUTS EVERYTHING ON SALE

Nike Did Not Learn from the 80's; LeBron Sneakers to Test $300 Limit

Really Nike, $300 for sneakers? I remember the news headlines for the late 80's and early 90's "Kid shot over sneakers" and the announcement of Nike introducing a pair of $300 sneakers took me back to a time when inner city kids lived in fear of getting robbed. Some say, well times have changed and people don't do that anymore. REALLY? Take a look at this ARTICLE. 
Listen, I understand that Nike needs to make a buck all I'm saying is does it need to be at the expense of their target market.

Nike unveiled the LeBron X, shown, at the 2012 Olympic gold-medal basketball game between the U.S. and Spain. Analysts expect that this 10th LeBron shoe will retail for around $315.

 

 

Will Best Buy become the next "Circuit City"

Profit at struggling electronics retailer Best Buy Co. tumbled in its latest quarter as consumers shifted to lower-margin products such as phones and tablets, sending shares of the nation's largest specialty consumer-electronics retailer plunging.
The Richfield, Minn.-based retailer also said it has reduced its earnings outlook for the year on lower industry sales expectations, uncertainty surrounding new product launches and its naming on Monday of a new chief executive. The company declined to issue a new profit forecast. In May, it had forecast an annual profit of between $3.50 and $3.80 a share.
On Monday, it named Hubert Joly, chief executive of Carlson Cos., a hospitality and travel company as new CEO effective Sept. 1.

Head Geek; Hubert Joly

The worse-than-expected results sent Best Buy shares to nine-year lows on Tuesday. Combined with a similar selloff Monday, the company is on track to lose a fifth of its market value in just two days. Its stock was recently trading down 5.5%, or $1.01, at $17.15 on the New York Stock Exchange. It suspended a share-buyback program that acquired 6.3 million shares in the first quarter at an average price of $19.28 a share.
The big-box retailer said same-store sales—which reflect revenue at stores, call centers and websites operating for at least 14 months—fell 3.2% in the latest period. It is the eighth time in the last nine quarters Best Buy's comparable-store sales have dropped.
In the U.S., same-store sales fell 1.6%. Its biggest category, computing and mobile phones, continued steady same-store sales growth domestically, a bright spot considering other retailers' reports that shoppers are biding time on personal-computer purchases ahead of new Windows operating system in fall. However, the company noted that strength was based in tablet and mobile phone sales.
Its key consumer electronics sales kept dwindling, this time with a 9.6% domestic drop.
Best Buy was the latest retailer to report a downturn internationally, with an 8.2% drop in international same-store sales linked largely to slowing consumer spending in China.

Libby Edelman returns to Brown Shoe Co

Libby Edelman is back at Brown Shoe Co. after a nine-month sabbatical, but her eponymous footwear line will not be making a return.

Instead, Edelman said she would serve as a "jack of all trades," working alongside husband and business partner Sam Edelman on his namesake brand, as well as the new juniors' line, Circus, and yet-to-be-announced upcoming projects. Her role will have a special focus on licensing, Edelman said.

"Sam has a lot on his plate, so I am coming back to help him," added the designer, who spent her time off traveling to Peru and Mexico. During the break, she first volunteered with Soles4Souls, then focused on photography, including attending a workshop with acclaimed photographer Mary Ellen Mark. "I got to step away and be creative and just sort of clear my head, clean the palate, and now I'm coming back."

As for the nixing of her own line, Edelman was upbeat. "I'll be able to be a little bit more objective because I won't be entrenched in one thing," she said.


The designer, who announced her departure in early November, was unofficially back on the job this week, but won't formally rejoin the Sam Edelman team until September. "Next week I plan on shopping the city while everyone is in Las Vegas [for FN Platform]," she added. "I'm very excited to be back."

The designer also is creating a photography book compiled from the many images she captured while on sabbatical. "[The hiatus] gave me a chance to start the book project, and I'll finish in my free time," Edelman said. "It will take about a year to complete because now I've got a lot on my plate."

Ann Inc. Profits Rise 24%, really?

Ann Inc., driven by strong performance at both its Loft and Ann Taylor divisions, reported a 34 percent increase in earnings per diluted share to 63 cents from 47 cents in the year-ago quarter. Net income rose 24 percent to $30.7 million, versus $24.8 million a year ago.

Total sales last quarter were $594.9 million, compared with $558.2 million in the second quarter of fiscal 2011.
 
Comparable-store sales increased 4.7 percent. At Ann Taylor, comparable sales increased 5.6 percent, reflecting increases of 3.2 percent at Ann Taylor stores, 29 percent in e-commerce and 2.1 percent at the outlets. Loft’s comparable sales were up 4.2 percent, reflecting increases of 4.1 percent at the stores, 14.6 percent in e-commerce and 0.3 percent at the outlets.
“At the Ann Taylor brand, performance accelerated significantly from the first quarter, reflecting stronger sales and profitability, including positive comps in the Ann Taylor stores channel and continued profitable growth in the e-commerce and factory outlet channels,” said Kay Krill, president and chief executive officer. “Loft also delivered excellent sales and profitability results, including strong margin and continued solid comp growth on top of last year’s double-digit increase.”

By brand, Ann Taylor totaled $233.3 million in sales, compared to $217.9 million in the second quarter of 2011. Loft posted $361.6 million in the second quarter of 2012, compared with net sales of $340.3 million in the year-ago quarter.

The company projected $2.39 billion in sales for fiscal 2012, reflecting a comparable sales increase in the mid-single digits. The gross margin rate is expected to be about 55 percent, and the company expects to have about 985 stores at fiscal year-end.
Source: WWD