Damien Hirst in collaboration with Levi's

Damien Hirst, the world's most successful living artist, is lending his talents to Levi Strauss on a new project. The creator of works such as the £50m diamond skull and glass-encaged calf, Hirst is collaborating with the San Francisco denim giant on the spring 2008 collection of the company's Warhol Factory X Levi's label.

The collection will be introduced in a runway show during New York Fashion Week in September, showing under the name Warhol Factory X Levi's X Damien Hirst. Let's hope Hirst's preferred themes of death and diamonds don't make it onto the catwalk.

www.levistrauss.com
19 July 2007

Levi's reports solid Q2 rise

Levi Strauss & Co posted a rise in earnings of 13.7 percent ot $45.7 million in the second quarter on revenues up 5.8 percent to $1.02 billion. John Anderson, president and chief executive of the San Francisco-based group, spoke of “another solid quarter”, although the gains were mostly driven by strong US sales of Levi's and Dockers. Particularly Dockers enjoyed a strong quarter in both its men's and women's businesses. Meanwhile, Europe, Japan and South Korea delivered marginal results.

While North American revenues rose 4.6 percent to $579.3 million, Europe saw revenues rise 3 percent, if excluding currency benefits. The Asia-Pacific region suffered as a result of weak sales in Japan and South Korea, both major markets for Levi's. Both countries are undergoing management changes and are facing high inventory levels at retail. Anderson said both country will continue to face these challenges throughout the year. The company has introduced a premium line in both countries, which it hopes will give to impulse to these markets. Initial response to the line has been promising, Anderson said.

The North American market accounts for 57 percent of total revenues during the first half, while Europe and Asia make up the remaining 43 percent. Meanwhile, the Levi Strauss Signature business continues to struggle, as Wal-Mart discontinued the line in favour of its own brands. Target has also taken back retail space. The company expects the business's performance to continue to be challenging throughout the rest of the year. The Levi's brand is still the company's bestseller, accounting for 71 percent of first-half sales. Dockers represented 22 percent of first-half sales.

www.levis.com
11 July 2007

Levi's launch mobile phone

Levi Strauss Europe and Modelabs Group have decided to launch their own line of mobile phones . The denim company recently unveiled their Accessory Collection in Paris, which also includes their first line of phone models.

"Technology is at the heart of today's youth culture and mobile phones are the ultimate accessory. Adding a mobile phone to our collection is a natural progression for Levi's, a brand that is driven to meet the desires of young people", says You Nguyen, Senior Vice President of Levi's Product.

How do mobile phones match this picture? "As pioneers of the connection between fashion and technology, we wanted to create an accessory that combines design aesthetics with consumer needs. We are confident that this phone lives up to the promise of the Levi's brand", further declares You Nguyen. It seems as Levi is saying that the times for luxurious handsets have passed and people now need to return to the basic functions, appreciating practical aspects about mobile phones before any other design features.

The Levi's handset will come equipped with a 2 megapixel camera and a 1.8 inch display screen. Moreover, it will also have a music player included and Bluetooth connectivity. All these just to make it best suit the needs of any type of users it might have. Levi's stands for one of the most popular company for jeanswear. Their models are created to best suit the working men since more than 70 years ago, when Levi's became a wardrobe must-have.

The Levi's phone will come in metallic silver, black and brown copper cases. There are also some more stylish versions for this handset, designed especially for more feminine tastes. The phone will be available for purchase in stores around Europe starting September 2007.

www.levistrauss.com
21 June 2007

Levi's to launch premium line

Levi Strauss, arguably the pioneer of all denim brands, is no stranger to the premium jean. It was the first company to revolutionise the industry with its ‘Engineered' jean, a time when £100 for a pair of jeans was an absurd price to pay. Now, with its new Red collection, Levi's Europe is launching its most premium line to date, hoping to attract high end boutiques around Europe to stock its newest jeans, with a price tag to match.

"Since the brand's debut, Levi's has always been about jeans designed for pioneers," You Nguyen, senior vice president of Levi's product for Levi Strauss Europe told WWD. "Red is for the pioneers of tomorrow."

Launched in 1999 as a one-shot collection, the new uber-conceptual Levi's Red line is a resurrection of sorts. "For the new line, we have once again challenged the proportions of the traditional Levi's five-pocket jeans," explained Nguyen. "We deconstructed a traditional style and reinterpreted every aspect of the construction, driving it into different volumes, shapes and proportions in every single way."

The extensive Levi's archives serves as inspiration for the collection its archives to uncover some of its most cherished cartoon characters used in advertisements from the Forties and Fifties. Interpretations of iconic characters from yesteryear such as a lanky cowboy called Sidewalker, the bowlegged Saddleman and the circular Lasso Man were morphed into seven denim styles for men and women. To ensure exclusive appeal, Levi's hopes to sell its collection in specialty shops across Europe such as Dover Street Market in London, Berlin's The Corner and L'Eclaireur in Paris, as well as select Levi's flagships.

www.levistrauss.com
15 June 2007

Levi's sees growth

California denim giant Levi's has been suffering declines in its global retail business, despite otherwise notable earnings and sales gains for the three months ended Feb. 25. "We had another good quarter for the company and we're off to a good start for 2007," said John Anderson, president and chief executive officer, "However, we still have some underperforming businesses and we're working to correct those issues,” as was reported in WWD. Earnings for the quarter jumped 61 percent to $86.6 million from $53.8 million. Total revenues rose 7.2 percent to $1.04 billion from $967.6 million. Sales rose 7.2 percent to $1.01 billion from $947.9 million, with the Levi's brand accounting for 73 percent of sales.

Levi's stated the quarter sales as "solid," citing increases in North America, Europe and the Asia Pacific region. The company's highest turnover, North America, was the only legitimate standout, with profit rising 6.9 percent to $584 million from $546.4 million. Results in Europe suggested the company had turned a corner after static growth. European profit rose 10.3 percent to $265.6 million from $240.9 million. In January, Levi's appointed Armin Broger as president of the European business, and Anderson expects his background with brands such as Seven For All Mankind, Tommy Hilfiger and Diesel, to pay off in short order.

www.levistrauss.com
11 April 2007

Levi's strong Q4

Jeans specialist Levi Strauss recorded a strong fourth quarter, with net earnings leaping 119 percent to $96 million (£49 million). Revenues gained 4 percent to $1.24 billion. "Our fourth-quarter performance was encouraging, with net revenue growth in each of our three regions," said John Anderson, the company's new chief executive. "For the full year, we delivered stable revenues and strong profits, and paid down debt. The year ended with improved performance in virtually all of our business units. I am pleased with our positive momentum heading into 2007." During a conference call with analysts Anderson said the year had started off slowly, with a weak European market adversely affecting sales. Also contributing to the sluggish start was a downturn in the Levi Strauss Signature due to Wal-Mart pulling back. The European business recovered in the second half, with fourth quarter earnings rising 3 percent and operating income jumping 20 percent thanks to lower advertising spending. Overall operating income for the quarter rose 40 percent to $170 million, while operating income for the full year increased by $24 million to $614 million.

www.levis.com
15 February 2007

Levi's launch 'green' jeans

Monday sees the launch of Levi's much-anticipated 'green' jean, available in 20 stores nation wide. The American denim company is one of the first global superbrands to introduce an eco line in its fashion offer. The growing demand for ethical clothing and environmental awareness has been a challenging pressure source for major retailers, even though to date there is little available that is considered appealing for a younger and more trend-led customer.

Levi's today launches styles based on its popular 570 range for women and 506 range for men. The only difference is that they are made with completely organic materials on a production line that uses sustainable production processes and will retail for approximately £80, a premium price compared to other brands.

Levi's has used 100 per cent organic cotton for making the fabric for its new styles. Furthermore, the button on the waistband is made of a biodegradable product - coconut shell, rather than metal rivets that result in post-consumer waste. To complete the process, and what is probably the most harmful aspect of manufacturing, Levi's used natural compounds for the dye, consisting of potato starch, mimosa flower and Marseille soap, and the label is made of recycled cardboard.

The green jeans are produced in a dedicated area of the Levi's factory in Hungary, on machinery that has been specially cleaned to comply with the certification process, according to the Guardian. The process of designing the jeans and putting the processes in place to make them took six months from when Levi's came up with the idea in May. Other denim companies producing organic jeans include Loomstate, Tesco, and Katharine Hamnett. In its first run, Levi's is producing 30,000 pairs of the green jeans for the launch across Europe, but will stock them in just 2% of its stores, giving them limited availability. Next winter the company will aim to expand its eco range to incorporate more organic versions of the Red Tab styles, which is considered the more fashionable range.

www.levistrauss.com
27 November 2006

Levi's blue jeans go green

For the first time since it started making trousers for cowboys more than 100 years ago, Levis , the original denim brand, is bringing out a pair of "sustainable" jeans to satisfy environmentalists. The cotton is organic, the button on the waistband is made of coconut shell, gone are the metal rivets, the dye is from natural compounds include indigo and the label is from recycled cardboard. As the factory is in Hungary , the cotton will come from Turkey , the nearest available source, and other materials will come from Europe too, to cut down on long distant transport and associated fuel costs.

Not that it will stop the trendy trousers from having a hefty price tag, at least to start off with. According to reports the first pairs in the US will sell for 250 dollars each, around £140 here. But there are also plans to steadily bring the prices down as the company introduces organic versions for as little as £40-60. Levi's Eco, as they will be called when they launch in November, is the US company's response to growing pressure from the green lobby.

A spokeswoman said: "When you wear them, you can honestly say that you are making a small contribution to a better world." You Nguyen, Levi's senior vice president added: "There is clearly a trend towards organic and environmentally responsible products. "With Levi's eco jeans, we are reaching out to fashion-conscious consumers interested in high-quality products that demand less from the environment."

The dye does not use any chemicals but instead is made from a process involving natural indigo, potato starch, mimosa flower and Marseille soap. But it could also prove to be a profitable winner at a time when older jeans brands are seen as less trendy by today's youngsters who associate them with their middle aged dads. Levi Strauss revenues around the world fell by one per cent in the second quarter of this year compared to the same period a year ago. Levi's brand president Robert Hanson said: "As the inventor of jeans it is critical for us to continue to innovate with our products and within the category itself in order to drive positive change.

"Given our history as a leader in responsible manufacturing and business practices, this initiative is about quality and responsibility never going out of style. "With Levi's Eco, consumers who seek to minimize their personal impact on the environment can choose jeans that demand less from the environment without forfeiting the style or quality they've come to expect from the Levi's brand." Levi's is hot on the heels of a growing demand of organic fashion, including Edun jeans, RED and Katharine Hamnett.

www.levi.com
12 October 2006

Levi's faces challenges in Q3

Apparel group Levi Strauss & Co announced on Tuesday that sales for the third quarter dipped 2 percent to $1,023 million. The company blamed slow sales in Japan and a "challenging European market" for the decline. Chief executive officer Phil Marineau said the company was addressing the challenges and pointed out that he is "pleased with the US Levi's and Dockers performance and the improving trends in Europe ."

The decrease overshadowed news of the rise in net income of 29 percent to $49 million and a 14 percent gain in operating income thanks to a one-off $29 million benefit related to the planned closing of a US distribution center. "We improved our profitability and cash flow, our primary objective for this year," Marineau said in a conference call with analysts. "This allowed us to reduce our net debt." He said the company's second objective was to improve and strengthen the retail network in Europe and to build on the momentum in the Asia-Pacific region.

Revenues for the quarter ended 27 August fell 1.3 percent to £1.02 billion. Sales dropped 1.5 percent to $1 billion, while licensing revenues gained 9.2 percent to $19.3 million. Sales of the Levi's brand slid 1 percent to $345.1 million, while sales of the Dockers brand in the US rose 2.8 percent to $175.1 million.

"We delivered solid operating income, even as we invested in our business," said Hans Ploos van Amstel, chief financial officer. "Better working capital management and cost discipline helped contribute to our bottom line. We expect to see stable revenues in the fourth quarter."

www.levistrauss.com
10 October 2006

Levi’s focus on European sales

Strong U.S. sales helped buoy Levi Strauss & Co. results in the second quarter, but a full return to growth in the company's European business isn't likely until 2007. Phil Marineau, who announced last week that he would depart as president and chief executive officer of the San Francisco-based denim giant at the end of the year, said: "Our net sales in Europe began to trend up in the second quarter," and leading the search for a new president for the region. "I'm encouraged by these trends, but we still have a lot of work to stabilise sales."

Earnings for the three months ended May 28 shot up 50 percent to $40.2 million, compared with $26.8 million in the same period a year ago. However, the improvement was largely the result of a one-time income tax benefit stemming from a change the company made in the ownership structure of some of its foreign subsidiaries. U.S. sales of the core Levi's brand and its Dockers division prevented a downturn in Europe that has persisted since early 2005 from weighing too heavily on results. Revenues for the quarter fell 0.9 percent to $953 million from $961.6 million in the year-ago period. Licensing revenue dropped 9 percent to $16.3 million from $18 million. Sales slipped 0.7 percent to $936.7 million from $943.7 million.

The U.S. Levi's brand increased 2.1 percent to reach $251.9 million compared with $246.6 million. Robert Hanson, president of the U.S. Levi's brand, said the growth was significant given recent store closings because of retail consolidation. The growth, however, was driven by the men's and young men's segments, while the junior category "is struggling," Hanson said. "We're growing in all regions except Europe," said Hans Ploos van Amstel, chief financial officer. Marineau shed more light on some of the difficulties in the region that trimmed European sales 17 percent during the quarter to $196.5 million from $237 million.

"The key here is to turn around the European Levi's business," Marineau said. European retailers "pre-book" orders, he said, and the difficult retail environment, combined with what management believes may have been a poor selection of product mix by retailers, has resulted in smaller orders being placed. "Once you sort of fall down, it takes two to three selling seasons to get up and running again," said Marineau, adding that the company is in its second season of "really terrible pre-booking." For the first half, earnings rose 26.9 percent to $94 million from $74.1 million. Revenues fell 3.4 percent to $1.91 billion from $1.98 billion. Sales declined 3.7 percent to $1.88 billion from $1.95 billion.

13 June 2006

Levi’s to sell organic jeans

Levi's will include jeans made with 100% organic cotton in its fall 2006 collection. Organic cotton will be used in select new and popular men's and women's styles within its Red Tab and recently launched Levi's Capital E lines. The jeans will be identified as "Levi's® Eco" and be available in November 2006 exclusively at Levi's U.S. stores with additional products to be introduced in spring 2007.

"As the inventor of the jeans category, it is critical for us to continue to innovate with our products and within the category itself in order to drive positive change," said Robert Hanson, Levi's U.S. brand president. "Given our history as a leader in responsible manufacturing and business practices, this initiative is about quality and responsibility never going out of style. With Levi's Eco, consumers who seek to minimise their personal impact on the environment can choose jeans that demand less from the environment without forfeiting the style or quality they've come to expect from the Levi's brand."
The autumn U.S. introduction is part of a global launch of products made with 100% organic cotton. In Europe, the Levi's brand will offer certified organic denim versions of its most popular styles -- the Levi's 506 Standard Fit Jean for guys and the Levi's 570 Straight Fit Jean for girls. They will be available in select stores within Europe at the end of 2006. Additional styles made from 100%, or a significant percentage of, organic cotton will be introduced in both regions in 2007.

7 July 2006

Levi’s CEO to retire

Phil Marineau, the president and chief executive of Levi Strauss & co, will be leaving the denim retailer at the end of the year. It will mark the end of a seven-year ear during which he worked hard to return the company to growth. Simultaneously, the company announced the promotion of John Anderson to chief operating offer, making him the most likely candidate to succeed Marineau. “When I came to Levi’s, I told the board that I thought the appropriate tenure for an executive was seven to eight years,” Marineau told Women’s Wear Daily in an interview. “If you did the job right, you would have accomplished what you set out to do. I think that’s where we’re at. I think the turnaround has been accomplished.” Last year, Levi’s finally broke a pattern of declining sales results. Consistent earnings have yet to materialise, however, Marineau did manage to achieve top-line stability over the past three years, improved operational efficiencies, steady cash flow and the closing down of in-house manufacturing.

Anderson joined the firm in 1978. Until 1988 he was the company’s president of the Asia-Pacific region. From September 2003 to February 2004 he served as interim president of Levi Strauss Europe. His recent appointment by Marineau is a signal from the top that he has what it takes to succeed him. “Obviously, John is a candidate for that job,” Marineau told WWD. The board will be meeting in the next few weeks to discuss the succession issue. Meanwhile, the role of coo did not exist until Marineau created it for Anderson. During Marineau’s tenure, he focused on trying to get the company out of debt. “Our focus continues to be to generate free cash flow reliably to pay down debt,” he said. “Our growth has not been the number-one objective. Restoring the financial strength of the company has been…that’s still our number-one objective this year.” In the meantime, Anderson is setting his sights on China, India and South Africa as the “emerging powerhouse markets” for Levi’s and Dockers. “Consumers will demand the same type of innovation in markets around the world,” Anderson told WWD. “I think that’s an opportunity for us.”

www.levi.com
7 July 2006

Perry Ellis wins Dockers men's license

Perry Ellis International Inc has reached an agreement with Levi Strauss & Co for the license to manufacture and distribute Dockers men's outerwear in the US and Mexico. The range includes men's jackets, coats and synthetic fleeces, which Perry Ellis will deliver to specialty stores and select chains by June 2006. Perry Ellis does not expect the agreement to have any impact on fiscal 2007 earnings, but will impact earnings in subsequent years. The license will be valid through to December 2009, with a possible renewal period until December 2012.

"We are excited about this platform to grow the outerwear business for one of the best names in fashion and we are proud of our association with Levi Strauss & Company. Dockers is a great world class brand that represents the American lifestyle," said Perry Ellis International Chairman and CEO, George Feldenkreis. "We plan to take advantage of synergies in production cycles and other functions with our swimwear business, as the swimwear buyers often make purchases of both categories."

Perry Ellis International President and COO, Oscar Feldenkreis, said, "We plan to operate this group as a separate business unit with an experienced group of designers in Seattle, who fully understand the outerwear category and were able to build a great outerwear company. We will leverage our core competencies in sourcing, planning and sales management to maximize this opportunity."

www.perryellis.com
6 April 2006

Levi's sees improvement full year results

Denim maker Levi Strauss & Co has reported an improvement in its full year 2005 results. Net sales for the year, ended 27 November, improved by $53 million (£30.5 million), while operating income rose to $228 million. Gross profit increased $104 million to $1.9 billion. Net income for the year rose dramatically from $30 million in 2004 to $156 million, thanks largely to a higher operating income.

"We accomplished our primary objectives," said chief executive Phil Marineau in a statement. "We substantially improved the company's profitability and ended an eight-year sales decline." He did say that the company was cautious about 2006 "given the ongoing uncertainty of the retail marketplace in the United States and Europe", but added that he was "encouraged by our prospects given the innovative and highly competitive products that we have in the pipeline."

Fourth quarter net sales remained flat at $1.16 billion, while gross profit for the quarter increased $3 million to $510 million, or 44.1 of net sales. Net income rose from a loss of $19 million in the same quarter the year before to $44 million. It was driven largely by a higher operating income, lower foreign exchange management contract losses and lower income tax expense.

www.levi.com
15 February 2006

Levi's to re-introduce Engineered Jeans

One of the best advertising campaigns to come out of the last decade was undeniably the Levi's Engineered Jeans tv ad, which had models running into the outer space wearing the eponymous side twisted stitched jeans. Levi's is now returning to its scientific roots and re-launching the original 1999 design concept behind Engineered Jeans for next winter.

The range features updated versions of the original twisted shape in contemporary silhouettes and should retail for about £80. Now, everybody run.

25 January 2006

Levi's European president quits

US-based jeans wear giant Levi Strauss & Co has announced that its president of Levis Strauss Europe, Paul Mason will quit the company at the end of February. Mason will return to England where his family and home await him and will pursue other business opportunities there. He joined the company in February 2006, working at the Levi's Europe's European headquarters in Brussels.

"Paul has been a highly valued Levi Strauss & Co leader and colleague," said CEO Phil Marineau. "Under Paul's leadership, the Levi Strauss Europe team has made substantial progress in renewing their business. We are moving aggressively to build on these accomplishments in 2006. Our priorities include ongoing retail development, continuing the Levi's brand premium repositioning and reigniting young women's interest in Levi's jeans."

www.levi.com
18 January 2006

Levi's launches iPod jeans

You can't get on the tube these days without seeing commuters killing time listening to their trendy iPods. Worldwide iPod sales have exceeded $42 million. They're everywhere and designers are catching the iPod fever.

No wonder, therefore, that Levi Strauss is set to launch RedWire DLX jeans, which are designed with iPod users in mind. The launch of the jeans - retailing for $200 - is set for August. The RedWire DLX jeans will be fitted with space for an iPod remote control and docking station in the pockets and will be sold with headphones attached.

www.levi.com
12 January 2006

Levi's rocks the party

Levi's new fall/winter 2006 collection is seriously hot. Low-waist, slim silhouettes for both men and women dominate, while black denim is back with a vengeance, creating an edgy, sexy look in keeping with today's trends.

The new collection, which was revealed to Belgian and Dutch press and buyers during a fashion show held at Antwerp's Zoo on Monday night, included the iconic brand's Levi's Engineered Jeans, conceptualized five years ago and designed by Danish designer Rikke Korff. Featuring trademark flat seams and single needle stitching details, the look of this denim is tough and devoid of unnecessary details, revealing a clean yet urban look.

The show opened with three new jeans concepts inspired by the classic English nursery rhyme "Rub a dub dub, Three men in a tub; And who do you think they be? The Butcher, The Baker, The Candlestick maker". With this rhyme in mind, three new looks were designed based on the three professions named in it. The new range features 5 pocket jeans and shirts with brand new fits and finishes: 'floured', 'waxy' and 'hemoglobin', details that call to mind the tricks of each trade. The result is brilliantly avant-garde.

Levi's Vintage Clothing included a selection of handcrafted limited edition reproductions, including the 1933, 1947 and 1955 versions of the Levi's 501jean. Also included were the limited edition 1933 Tow Rope Levi's 501 jeans; the original jeans were used to tow a truck stranded in the middle of California and the incident later inspired the company's most famous ad campaign. Paired with faded T-shirts, the look is casual yet sexy.

A personal favourite were the different variations on the black, super-skinny jean, which is all the rage at the moment with the fashion set. From a deep jet to faded black, these jeans are not for the full-figured, but it certainly does not hurt to yearn for them.

The label's classic Blue lines for both guys and girls were all about deep shades of indigo. Girls can choose lean form-fitting 'Victoriana' silhouettes, but also regular and loose fits, culottes and pencil skirts and full skirts. Black and grey versions were also included. For guys, both low-waist skinny as well as comfort and loose fits were available.

www.levi.com
20 December 2005

Levi's go premium

Now that £200 jeans seem as commonplace as £15 discount denim, Levi's, the grandfather of denim, is changing its lineup. Two new lines, Capital E and Levi's Red, will hit shelves next spring, furthering the company's representation at all price levels. Previously, Levi's had two offerings: traditional Red Tab, which sold for £50 and up, and premium denim, which sold for £110 to £180.

Come 2006, the premium category will be replaced by Capital E, a super-premium line which starts at $140 for a pair of jeans and climbs as high as £350. Some of the most popular premium fits will be incorporated in the new line, but Capital E will involve luxury details like turquoise on the buttons and extensive hand-finishing. It will take 15 people to make one pair of Capital E jeans, an added cost reflected by the high sticker price.

Amy Gemellaro, a company spokeswoman, said that the move to ultra-premium is Levi's way of staying at the forefront of the denim world. Capital E will retail in high-end department stores like Neiman Marcus and Barney's, as well as some trend-setting boutiques.

The more populist Red Tab line, long Levi's bread and butter, remains the biggest part of the company's business and will continue as before. Many elements introduced in premium lines eventually find their way to Red Tab products.

26 October 2005

Levi's not immune to challenging climate

The world's most famous jeansmaker Levi Strauss & Co last week reported a drop of 18 percent in quarterly net income, which it attributed to higher taxes.In a conference call with analysts, chief executive Phil Marineau said that gas prices had also contributed to the pressure on lower priced lines. "It is a tremendous competitive environment.customers are cautious," he said.

Levi's, which is privately held, said that the fall in net income to $38.2 million (£22.6 million) in the third quarter ended 28 August was due to higher income taxes, which rose from $17.8 million during the same period last year to $39.8 million this quarter. Quarterly operating income climbed 9 percent to $139 million compared with last year.

Revenue from global sales increased 2.4 percent in the third quarter to $1.02 billion, while revenue in the Asia Pacific region climbed 17 percent and rose 4 percent in the US. In Europe, revenue dropped 10 percent.

According to Marineau, Europe was experiencing "the worst retail environment in the past 15 years." He told Reuters that strategies to turn the European business around were taking longer than expected. Restructuring charges for the quarter fell from $28 million to $5 million.

In the past year, the San Francisco based company has been trying to reverse fortunes - it has seen sales slide during the past eight years - by closing factories and laying off employees as it cut unprofitable clothing lines to focus on the core Levi and Dockers brands and the lower-priced Signature label.

Signature sales increased 18 percent in the US, where it is sold in Wal-Mart, Target and K-Mart stores. Marineau said that the targeted gross profit margin for Levi Strauss is in the "mid 40s" percentage range for the year. In a bid to strengthen its product line, the company will introduce two new Levi's jeans called Red and Capital E. The jeans, which will cost over $70, will be in US department stores in November.

www.levi.com
19.10.2005

Levi buys back stores

In a bid to take control over its retail business, casual wear giant Levi Strauss has bought back seven stores and five factory outlets in the UK from ex-franchisee Kellawn, according to a media report. The company is planning more directly owned stores in Europe as it stears the brand toward the upper end of the jeanswear market.

www.levi.com
5 August 2005

Levi's Q2 earnings surge

US jeans and apparel producer Levi Strauss & co has seen its second quarter earnings surge with a triple-digit increase. The company enjoyed the fruits of its considerable reductions in cost of sales and restructuring charges. The rise in earnings for the second quarter ended 29 May amounted to $26.8 million (£15.2 million), as opposed to $5.6 million the year before.

However, the San Francisco-based company does not plan on uncorking the champagne just yet. Levi's continues to face a slack retail environment in the US and in Europe, resulting in a sales drop of 1.6 per cent to $943.7 million from $958.8 million. During the last six months earnings have soared 2,175.4 percent to $74.1 million from $3.3 million. Sales increased by 1.5 per cent to$1.95 billion from $1.92 billion.

"In a mixed second quarter retail environment, we delivered a solid quarter," said CEO Phil Marineau. "We really are right where we expected to be at the mid-point of the year."

www.levi.com
13 July 2005

Levi's account probe

Iconic jeans maker Levis Strauss has been late filing its accounts for two years, it has admitted. The most recent set available are for the year to November 2002, showing a loss of £14m.

UK boss Matthew Mycock admitted the company's accounts had been shambolic. "We admit that we have had some problems in our finance department but we are on track to resolve these issues," he said.

www.levi.com
27 June 2005

Levi appoints president US Dockers

Levi Strauss & Co. have announced the appointment of John Goodman as President of its US Dockers business. Goodman will report to Phil Marineau, Levi Strauss & Co. Chief Executive.

Prior to this appointment, Goodman was senior vice president and chief apparel officer for Kmart Holding Corporation, a wholly owned subsidiary of Sears Holdings Corporation, since 2003. As such he managed Kmart's multibillion dollar apparel and home business. Before his time at Kmart, he worked for Gap Inc in various management and merchandising functions for 11 years. His last position at Gap was senior vice president of merchandising, planning, production and distribution for the company's outlet stores.

"I am thrilled to join a legendary company such as Levi Strauss & Co.," said Goodman. "The Dockers brand has defined comfortable, casual clothing for American consumers for nearly 20 years and is one of the most recognized and widely worn apparel brands. I look forward to working with the team to build on the successful history of the brand and create a new generation of loyal Dockers wearers."

www.levi.com
18 May 2005

Levi's Sees Profits

US-based denim giant Levi Strauss & Co. yesterday posted a net profit of USD5.6 million for the second quarter ending May 30. Strong sales in Asia helped the total figure climb to USD958.8m, with the Signature line showing the highest profits.

The company said sales of Docker and Levi's fell as wholesale prices for both brands declined and it reduced shipments to warehouse and other off-price retail channels this year. Levi Strauss is privately held but reports financial results because of its outstanding bonds. The company said it pared its outstanding debt, less cash, to USD1.96 billion from USD2.11 billion at the end of fiscal 2003.

The company has stated it is exploring selling its less profitable line, Docker.

www.levistrauss.com
14 July 2004

Levi's To Sell Its Dockers Brand

American clothing conglomerate Levi's is looking to sell its Dockers label in a bid to focus on its core Levi's and lower-priced Signature brands.

Selling Dockers, which currently generates sales of USD1.4bn per year would reduce the company's debt with a finance injection.

Dockers is the leading casual trousers brand in the US. It was launched in 1986, and has helped grow the casual businesswear market. The brand is now sold in more than 50 countries worldwide.

Phil Marineau, chief executive of Levi Strauss, said: "We have made good progress in improving our competitiveness and financial strength, including taking cost and complexity out of our business, revamping our Levi's brand products and marketing, and expanding our Levi Strauss Signature brand for value-conscious consumers.

"Selling the Dockers business would be a significant next step towards achieving our long-term financial performance goals for the company."
Dockers brand president Bobbi Silten said: "During this process our Dockers brand teams around the world will continue to move full steam ahead to bring innovative new products and marketing programs to the marketplace without interruption.

www.levistrauss.com
12 May 2004

Levi's To Focus On Core Brands

In a plan to rationalise the business Levi Strauss & Co are to concentrate on its core Dockers and Levi's brand in both Europe and the US. Sales growth has been driven by the value-priced Levi's Signature range.

The famed US denim-retailer reported sales for the first quarter of 2004 of USD962m, up 3.5 per cent at constant exchange rates. Chief executive officer Phil Marineau stated: "I'm encouraged about the start of the year. First-quarter sales exceeded our expectations. Results were driven by the growth and expansion of the Levi Strauss Signature brand and a very robust Asia Pacific business."

In a bid to counteract the decline of sales for Levi's brands and Dockers, the company has launched new marketing campaigns and revamped the brands to make them more relevant and appealing. Levi Strauss chief financial officer Jim Fogarty said: "Looking ahead, ongoing deflationary pressures in apparel and a competitive market worldwide will continue to put pressure on sales and margins."

He said a rationalisation of product lines will include "narrowing our merchandising assortments, exiting unprofitable or low-volume product lines, and licensing out categories that we believe are not in our core competency, including men's and women's tops and kids' products in the US Levi's brand and women's tops in the Dockers brand.

The lower-priced Signature range is now being trialled in 10 Tesco stores in the UK. Initially launched in Wal-Mart's US stores last year, the range is now also sold by US discounter Target, and is also being rolled out to Wal-Mart's Asda stores in the UK.

www.levistrauss.com
15 April 2004

Levi's To Replace CFO

Jeans manufacturer and retailer Levi Strauss is replacing its chief financial officer with a corporate recovery specialist as the company continues to try and restore it's standing.

Levi Strauss, which recently warned that full-year sales would drop by around 7 per cent, has replaced Bill Chiasson with management consultant Jim Fogarty.
Fogarty's consulting firm, Alvarez & Marsal, is working with Levi Strauss on a turnaround plan. The company specialises in working with businesses in trouble.
Along with falling sales, Levi Strauss is expected to have run up net debt of $2.2bn by the end of this year.

Attempts to drive forward a recovery have already seen the company close US factories in order to shift production overseas, controversially losing its 'Made in America' image as well as making thousands of US workers unemployed.
In the face of increasing competition, Levi has also shifted from its premium-only strategy to launch the discount Signature brand. The range is sold in US Wal-Mart stores and is due to be launched in Europe next year.

www.levistrauss.com
2 December 2003

Levi's Revamp In Topshop

Levi's has revamped its Topshop Oxford Circus concession along the lines of its first Levi's Girls store in Paris. The area has been designed by Checkland Kingleysides.

www.levistrauss.com
27 November 2003

It's Underneath What Counts At Levi's

Levi's is entering the underwear business with the launch of women's and men's underwear in Europe. The collection will go into stores in spring 2004 together with the first underwear collection of Dockers, Levi's casualwear label.

Last week, the European Head-Office in Brussels confirmed that it signed a licensing agreement with Schiesser Lifestyle GmbH, the German
subsidiary of Swiss underwear specialist Schiesser Group, for the production and distribution of Levi's underwear throughout Europe. The new collection will be sold at jeans stores and retailers also selling Dockers products. Schiesser obtained the licence for Dockers underwear in August this year.

Schiesser Lifestyle also produces underwear for companies such as Tommy Hilfiger, Puma and Mexx. Early next year, Levi's will also start
selling its cheaper Levi Strauss Signature jeans brand in Europe through an agreement with British supermarket group Asda. Asda's US parent company Wal-Mart started selling the brand in the US in July.

17 November 2003
www.levistrauss.com

Levi's Signature To Hit The Shelves

Asda plans to sell the budget Levi Strauss signature jeans brand from February, next year. The value clothing brand is coming to the UK after its success with Asda owners Wal-Mart in the US

Signature jeans are expected to sell for about GBP25 a pair compared to around GBP40 for Levi's mainstream Red Label jeans. The range will launch in around 80 Asda stores.

Levis Strauss has traditionally resisted discounting its products, and eventually won a long-running and hard fought legal battle with Tesco over the sale of cut-price Levi's sourced from the grey market. Signature was launched in response to increasing competition from discount brands and falling sales.

30 October 2003
www.levistrauss.com

If The Jean Fits…

The new girls only jeans for women by Levi's is a strategy hoping to lift sales of its vital European market. Newly opened, the Levi Strauss jeans boutique for young women is a move to divide the sexes gradually in other stores, with many in the planning just for women, and many just for men.

The new store, called Levi's for Girls, is aimed at women ages 19 to 25, though the company acknowledges that the average customer may be more like 15 to 22. Levi Strauss also said it would transform its Paris flagship into a store for men only. This is all part of a plan to have multiple outlets for different corners of the market.

If the idea catches on among Europeans, who are often the motors of fashion trends, it may one date be carried over the United States, where Levi Strauss has been taking a different tack, pushing the less expensive Signature brand, which has taken Levi's into Wal-mart and other discount stores for the first time.

It is all part of a turnaround effort as Levi Strauss struggles in a lukewarm clothing market. Last month the company announced plans to eliminate up to 650 jobs in Europe and the US. On Thursday last week, Levi's said it would close the last three of its Canadian manufacturing plants, which currently employs 1,180 people.

It is true that the big market brands are being pressured by private labels, discounters and a new innovative breed of trendy denim-wear companies. Industry experts so far have reacted warily, but said that in the face of vigorous competition, Levi Strauss had no choice but to innovate.

2 October 2003

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