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Hot Knickers
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November 15,  2001                                    Issue #61

     Mcpete Sez, 
The Lingerie Newsletter & Women's Wear Journal.


                              Ready to-wear.

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Berkshire Buys Fruit Of The Loom For $835m
Berkshire Hathaway Inc, billionaire Warren Buffett's investment vehicle, agreed to buy troubled clothing maker Fruit of the Loom Ltd for $835 million in cash

  Neiman Marcus Profits Seen Well Below

Neiman Group Inc on Thursday said sales at stores open at least a year fell 8 per cent in October, and the luxury retailer warned that first-quarter profit will be sharply below its previous forecast.
    M&S Confirms Sales Of Spanish Stores
Battling British retail giant Marks & Sepncer today announced it is selling its Spanish stores to a top Spanish department store chain.  The retailer is selling its nine stores in Spain to El Corte Ingles SA. Subject to consultations, M&S will shut up shop in Spain on December 15.


Hot Knickers & Underwear
It seems that knickers - the kind you wear under your pants, not the kind that Sarah Jessica Parker wears on "Sex and the City" - are one of the hottest fashion items around. Eminently practical and thoroughly covetable, gorgeous underwear has been seen everywhere, from the catwalk to the high street. Cashmere undies from labels such as Cerruti 1881 and Pringle just the tip of the underwear iceberg.
Australian designer Collette Dinnigan, whose delicate, lingerie-inspired lace dresses and gorgeous lace knickers are beloved by models and actresses, including Helena Christensen and Jennifer Lopez, is about to launch her first range of high street underwear for Marks and Spencer. Following in the steps of naughty knicker purveyors Agent Provocateur, whose diffusion lingerie line for M&S has been a consistent best-seller, the pieces in the collection remain true to the spirit of Dinnigan's own line, but retail at 25 percent of the price. Available beginning November 23, the collection includes black lace French knickers, filmy vests and pretty pink lace bras which are guaranteed to help M&S back on the road to recovery.

  Brylane Appoints New Executive
                Vice President

Specialty catalogue retailer Brylane Inc today appointed Cathy Fultineer executive vice president of the West Bridgewater (Massachusetts) Apparel Group responsible for the Chadwick and Lerner brands. 
Bringing more than 20 years of retail and marketing experience, Ms Fultineer joins Brylane from Bear Creek Corporation. 
She has also held positions at Neiman Marcus, Gucci, Bloomingdale's and Hit or Miss. 

      Kellwood Names New President of    

Kellwood Company announced Monday that it has
appointed Stephen L. Ruzow president of womenswear.
The 30-year veteran of the fashion industry will focus on
strategic marketing, licensing, and branding initiatives for Kellwood and will work to expand the company's
domestic and international relationships with retailers.
He was most recently chairman and chief executive
officer of Pegasus Apparel Group Inc., which he
founded in March 2000, and has also held positions at
Warnaco and Donna Karan. 

      September strong for the Web
The Nielson/Net ratings showed apparel sales on-line increased 5% from August, but 79% over last years figures, with a total of $494 Million for the month.
These results made Apparel the second best selling category online after Travel services.
Clothing manufacturer Phillips-Van Heusen Corp today 
forecast earnings below analysts' consensus estimates, and said 
it would cut about 1,200 jobs, or 12 per cent of its work 
force, anticipating that the current retail slowdown will persist into 2002.

   First Silk And Filament Weaving Zone Launched
The long-awaited opening of Taiwan's first ever silk and filament weaving industrial zone will take place later this month, officials announced today.
The government has promised help for textile manufacturers who wish to set up production units in the zone, which will help to integrate the local silk and filament weaving industry. Raw materials will be transported from a local plant owned by Formosa Plastics to reduce costs and strengthen local producer

Nordstrom October Same-Store Sales Fall Slightly
Upscale retail chain Nordstrom Inc said on Tuesday sales at its stores open at least a year, or same-store sales, fell five per cent from a year ago in October.
The retailer reported preliminary sales of $424.9 million for the month of October 2001, a decrease of 1.7 per cent from $432.4m in October 2000. 
The company said its monthly comparison to October 2000 was helped by a sale held during the first eight days of the month.

Lands' End 3rd Quarter Profits Jump Sharply
Catalogue and internet retailer Lands' End Inc said on Tuesday its third-quarter profits nearly tripled from a year ago, boosted by cost controls and robust sales of full-priced merchandise.
Net income for the third quarter ended October 26 in the quarter was $12.1m, or 41 cents a share, compared with $4.4m, or 15 cent a share, in the year-ago period.

Mexican Billionaire Slim Ups Stake In Saks
Mexican billionaire Carlos Slim Helu and his family bought 578,000 common shares of upscale retailer Saks Inc in October, raising their total stake to 21.8 million shares, a US regulatory filing on Tuesday revealed.

Marks & Spencer Profits Soar Nearly 20 %
Revamped clothing and modernized stores have helped 
British retailer Marks & Spencer reach an almost 20 percent rise in half-year profits.  Group profits before tax jumped to $321.2 million for the six months to September 29, up from $267.4  million in the same period last year. 
Even so, M&S Executive Chairman Luc Vandevelde remained cautious, not labeling the profit surge a "recovery." He predicted a bumpier Christmas last year and sales actually slumped.

Internet retailing of apparel and sewn products is here to stay and is steadily growing. Both e-tailers and the
vendors supporting them face the need to continually
sharpen their strategies and balance online interests with
traditional concerns.   The North American online retail
market is expected to grow 45 per cent this year, reaching
$65 billion in sales. And with just 68m consumers having
purchased online to date, there is ample room for growth. 

                   Sears cuts jobs
America's fourth largest retailer, Sears, Roebuck and Co, announced today it will cut 4,900 salaried jobs in an effort to boost profitability at its 860 department stores and reported higher third-quarter income.

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Fred got home from his Sunday round of golf later than normal and very tired. "Bad day at the course?" his wife asked. 
"Everything was going fine," he said. "Then Harry had a heart attack and died on the 10th tee." 
"Oh, that's awful!" 
"You're not kidding. For the whole back nine it was hit the ball, drag Harry, hit the ball, drag Harry."