Movado Group, Inc. Enters Global License Agreement With LACOSTE S.A.
PARAMUS, N.J., March 28, 2006 /PRNewswire-FirstCall via COMTEX News Network/ -- Movado Group, Inc. (NYSE: MOV), today announced it has entered into a long-term worldwide license agreement with global lifestyle brand, LACOSTE, to design, produce, market and distribute a collection of mens and womens timepieces. The agreement is effective as of January 1, 2007, and financial terms of the agreement were not disclosed.
The new timepiece collection will embrace the LACOSTE lifestyle proposition, which encompasses elegance, refinement and comfort, as well as a dedication to quality and innovation. Mirroring key attributes of the LACOSTE brand, the collection will feature stylish timepieces with a contemporary sport elegant feel. With prices ranging from $195 to $595, the LACOSTE timepiece collection will be available at fine department stores and specialty stores, fine jewelers and at LACOSTE retail stores worldwide. The new collection will launch in spring 2007 at the Annual Watch & Jewelry Fair held in Basel, Switzerland.
Rick Cote, Executive Vice President and Chief Operating Officer of Movado Group, commented, "Steeped in a rich heritage and immediately identified by its iconic crocodile emblem, LACOSTE is truly a global powerhouse brand. LACOSTE has achieved terrific momentum over the past number of years and we believe the combination of strongly differentiated timepieces at the high end of the fashion watch category together with the power and longevity of the LACOSTE S.A. brand is an excellent opportunity for both companies."
"We're delighted to work in partnership with Movado Group, especially because it has a long tradition of excellence and great expertise in innovative design, development and distribution," said Michel Lacoste, Chairman and CEO of LACOSTE S.A.
Mr. Cote concluded, "Our brand building approach to the watch business has enabled Movado Group to attract world-class brands and implement a selective licensing strategy with long term partners. We are very pleased to partner with LACOSTE and introduce a compelling watch assortment to the marketplace."
About LACOSTE S.A.
LACOSTE S.A. was founded in 1933 by Rene LACOSTE, a tennis superstar of the 1920's and multiple grand-slam and Davis Cup winner. To beat the heat of American summers he decided to begin manufacturing the perfect polo shirt for tennis that revolutionized men's sportswear. From this iconic polo shirt, LACOSTE has developed a global range of lifestyle fashion clothes, shoes, fragrances, handbags, eyewear, home wear and watches that offer a contemporary sport-elegant lifestyle to discerning men and women who express their way of being in an understated way.
In 2005, 48 million items have been sold under the LACOSTE brand, representing a total wholesale turnover of 1.6 billion dollars across 110 countries through a network of 870 LACOSTE boutiques, sports shops, specialised retailers and more than 2000 clothing corners.
About Movado Group
Movado Group, Inc. designs, manufactures, and distributes Movado, Ebel, Concord, ESQ, Coach, Tommy Hilfiger and Hugo Boss watches worldwide, and operates Movado boutiques and Company stores in the United States. The Company plans to launch Juicy Couture watches in fall of 2006.
This press release contains certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The Company has tried, whenever possible, to identify these forward-looking statements using words such as "expects," "anticipates," "believes," "targets," "goals," "projects," "intends," "plans," "seeks," "estimates," "projects," "may," "will," "should" and similar expressions. Similarly, statements in this press release that describe the Company's business strategy, outlook, objectives, plans, intentions or goals are also forward-looking statements. Accordingly, such forward-looking statements involve known and unknown risks, uncertainties and other factors that could cause the Company's actual results, performance or achievements and levels of future dividends to differ materially from those expressed in, or implied by, these statements. These risks and uncertainties may include, but are not limited to: the Company's ability to successfully introduce and sell new products, the Company's ability to successfully integrate the operations of newly acquired and/or licensed brands without disruption to its other business activities, changes in consumer demand for the Company's products, risks relating to the retail industry, import restrictions, competition, seasonality and the other factors discussed in the Company's Annual Report on Form 10-K and other filings with the Securities and Exchange Commission. These statements reflect the Company's current beliefs and are based upon information currently available to it. Be advised that developments subsequent to this press release are likely to cause these statements to become outdated with the passage of time.
SOURCE Movado Group, Inc.
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