Healthy Living
Naturalizer: Introduced in 1927, Naturalizer has become a global family of comfort
lifestyle footwear brands meeting the needs of women across the marketplace
with uncompromising comfort, fit and style. Our flagship Naturalizer brand is
sold throughout the United States and Canada, primarily at Naturalizer retail
stores, national chains, online retailers, department stores, catalog retailers
and independent retailers. At the end of 2015, we operated 159 Naturalizer stores
in the United States, Guam and Canada. Naturalizer footwear is also distributed
through approximately 40 retail and wholesale partners in 57 countries around
the world. In addition, Naturalizer footwear is distributed in China through
stores operated by our joint venture partner, C. banner International Holdings
Limited (“CBI”). CBI operated 94 stores at the end of 2015 and expects
net store openings of approximately 10 stores in 2016. Through our majority-owned
subsidiary, B&H Footwear Company Limited (“B&H Footwear”),
we sell footwear to CBI on a wholesale basis, as further discussed in Note 16
to the consolidated financial statements. Suggested retail price points range
from $79 for shoes to $209 for boots.
Dr. Scholl’s: Dr. Scholl’s is an authentic brand of innovative
footwear designed with an uncomplicated, playful style for a healthier life.
Dr. Scholl’s delivers proprietary comfort technology across all distribution
tiers. Dr. Scholl’s crafts unique styles that offer men and women the
freedom to live active lives. This footwear reaches consumers at a wide range
of distribution channels: mass merchandisers, national chains, online and catalogs,
specialty and independent retailers, department stores and our Famous Footwear
retail stores. Suggested price points range from $25 for shoes to $200 for boots.
We have a long-term license agreement with Bayer HealthCare, LLC to sell Dr.
Scholl’s, which is renewable through December 2026 for the United States
and Canada and December 2017 for Latin America.
LifeStride: For more than 70 years, LifeStride has created quality footwear
for women who value style and comfort. Offering work-to-weekend styles, LifeStride
is both versatile and comfortable for all-day wear. LifeStride offers comfortable
footwear that dresses up or down at the right value. The brand is sold in national
chains, our Famous Footwear retail stores, online and department stores at suggested
retail price points ranging from $45 for shoes to $100 for boots.
Ryka: For over 25 years, Ryka has been innovating athletic footwear exclusively
for women by providing women with more than just a downsized version of a men’s
athletic shoe. The brand’s commitment goes beyond footwear design to include
fitness and other apparel.
Bzees: Bzees is the brand of women’s sporty footwear that energizes the
mind and body from the feet up. Playful and versatile, Bzees delivers a weightless
and energized feeling through its proprietary Cloud Technology system.
Contemporary Fashion
Sam Edelman: Since its inception in 2004, designer Sam Edelman’s brand
has quickly emerged as a favorite among celebrities and fashionistas around
the globe. Sam Edelman captures the imagination of women with on-trend styling
and unique materials. Sam Edelman continues to expand its retail presence by
opening additional stores.
Franco Sarto: The Franco Sarto brand serves a loyal, career-focused consumer
who is passionate about the brand’s modern Italian-inspired style, fit
and quality. The brand is sold in major national chains, department stores and
independent retailers at suggested retail price points from $79 for shoes to
$275 for boots.
Vince: The Vince womens shoe collection launched in the fall of 2012 and
was expanded in 2014 to include the Vince mens footwear collection. Vince delivers
contemporary casual footwear that sophisticated, modern women and men wear effortlessly,
serving as a luxury staple in their shoe closet. The collection is distinguished
by clean lines, rich fabrics and intricate details. The brand is primarily sold
in premier department stores, online and independent retailers at suggested
price points ranging from $225 for shoes to $495 for boots. We have a license
agreement with Vince, LLC to sell Vince footwear that expires in December 2018.
Diane von Furstenberg: The Diane von Furstenberg (DVF) brand is a staple of
American luxury design. The DVF collection exemplifies feminine, effortless
and classic styles that are sold in more than 55 countries worldwide. Suggested
price points range from $178 for shoes to $648 for boots. In December 2014,
we entered into a license agreement with DVF Studio, LLC to produce and distribute
the DVF womens shoe collection, which expires in December 2020, with an extension
option through December 2023.
Via Spiga: Via Spiga is named after the main street in one of the most famed
shopping districts in Milan, Italy. For over 25 years, Via Spiga has maintained
its rich Italian heritage through its use of luxurious materials and beautiful
detailing, providing chic, sophisticated footwear for the cosmopolitan woman
who wants to make a fashion statement every day. The brand is primarily sold
in premier department stores, national chains and online at suggested retail
price points from $150 for shoes to $595 for boots.
Fergie and Fergalicious by Fergie: We have created two namesake footwear lines
in collaboration with entertainment superstar Fergie (Fergie Duhamel, formerly
Stacy Ferguson) to fully capture the artist’s confident, individual style
in a line of sophisticated, sexy footwear with a glam rock influence.
Carlos by Carlos Santana: The Carlos by Carlos Santana collection of women’s
footwear is sold at major department stores, national chains, our Famous Footwear
stores and online. Marketed under a license agreement with legendary musician
Carlos Santana, this brand targets trend-conscious consumers with hot, fashionable
shoes inspired by the passion and energy of Santana’s music. Suggested
retail price points range from $80 for shoes to $225 for boots. We have a license
agreement with Santana Tesoro, LLC to sell Carlos by Carlos Santana footwear
that expires in December 2017 with extension options through December 2020.
Wholesale
Within our Brand Portfolio segment, footwear is distributed on a wholesale basis
to over 1,700 retailers, including national chains, department stores, online
retailers, mass merchandisers, independent retailers and catalogs throughout
the United States and Canada, as well as approximately 65 other countries (including
sales to our retail operations). Our most significant wholesale customers include
Famous Footwear and many of the nation’s largest retailers including national
chains such as DSW, TJX Corporation (including TJ Maxx and Marshalls), Nordstrom
Rack and Ross; department stores such as Nordstrom, Macy’s, Bloomingdales
and Dillards; online retailers such as Nordstrom.com, Zappos.com and Amazon;
mass merchandisers such as Walmart and Target; and independent retailers such
as QVC and Home Shopping Network. We also sell product to a variety of international
retail customers and distributors. The loss of any one or more of our significant
customers could have a material negative impact on our Brand Portfolio segment
and the Company.
In connection with our omni-channel approach to reach consumers, we also operate
Naturalizer.com, Naturalizer.ca, Ryka.com, DrSchollsShoes.com, LifeStride.com,
ViaSpiga.com, SamEdelman.com, CarlosShoes.com, Bzees.com and FergieShoes.com,
which offer substantially the same product selection to consumers as we sell
to our retail partners. Vince.com and DVF.com complement our distribution of
those brands, and we have plans to begin selling product on FrancoSarto.com
in the second quarter of 2016.
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