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Glamorous Valentino targets new, less rich client
Reuters: [2008-05-09 18:49:00]
MILAN, May 9 (Reuters) - Italy's Valentino, whose founder dressed the Hollywood set and European royalty, wants to make the luxurious brand accessible to the more price-conscious consumer, the group CEO said on Friday.
Founding designer Valentino Garavani, who retired in January after the group was bought by private equity firm Permira [PERM.UL] last year, became a byword for glamour during the nearly half-century he dressed the rich and beautiful.
His trademark red evening gowns and sleek black and white outfits were aimed at the stylish wealthy who attend chic luncheons and gala dinners.
"We want to open up the brand to a different consumer," Stefano Sassi, CEO of Valentino Fashion Group which includes Valentino and Hugo Boss, told a meeting of foreign reporters.
"With respect to a clientele that is traditionally richer and not very price-sensitive ... We want to open up to a more modern, also more international, more price-conscious consumer."
Valentino has followed many fashion groups in brand extension and launched a watch collection in April.
"Our strategy is aimed at keeping Valentino at the same level it was put on by (its founders)," he said.
"The excellence of Valentino cannot only be in haute couture and pret-a-porter. It also has to be in ... perfume, a watch."
Despite fears for a slowdown in spending for premium items, Sassi said "things were not going badly" for Valentino. It had sales of 261 million euros ($403.5 million) last year, up 9.6 per percent. It closed the first quarter of this year with a 13 percent increase in turnover, Sassi said.
Valentino Fashion Group saw sales rise over 9 percent to 2.1 billion euros last year. Italian designer Giorgio Armani saw consolidated sales rise 8 percent to 1.6 billion euros last year and expects growth this year despite a credit crunch.
"I think we are going against the tendency in Japan, we are growing a little while the rest of the market is suffering."
"In Asia, the market is doing splendidly for us. In the United States, it is going well. Sadly, 'going well' in the U.S. gets eaten up by the exchange rate," he added.
The group has been hurt by dollar weakness against the euro and Sassi said it could "touch up" prices to soften the effect.
Valentino is looking to open new stores, and Sassi cited China, India, Europe and U.S. as locations.
Former Gucci designer Alessandra Facchinetti, who replaced Garavani, presented her first collection in February, not straying far from the path that made Valentino a red-carpet favourite for women like Elizabeth Taylor and Julia Roberts.
"We are very satisfied," Sassi said.
"We had a collection that had press and buyers' approval. We made an important move forward from a stylistic point of view, but without losing our past. I think it is a good result." ((marie-louise.gumuchian@reuters.com; Milan newsroom +39 02 6612 9507, marie-louise.gumuchian.reuters.com@reuters.net)) ($1=.6468 Euro)
Keywords: VALENTINO/
WNBA aims for profits in 12th season, with new star
Reuters: [2008-05-09 15:54:00]
By Ben Klayman
CHICAGO, May 9 (Reuters) - Eager fans should be jumping from their seats next week to watch a young basketball player already billed as one of the game's best soar through the air and throw down a thunderous dunk.
It will not be Kobe Bryant, LeBron James, Kevin Garnett of the National Basketball Association plowing through the playoffs.
Instead, the 12th season of the Women's National Basketball Association (WNBA) kicks off on May 17 with a new TV deal, optimism about profitability and hopes that a rookie will carry a Michael Jordan-like mantle.
When 22-year-old Candace Parker laces up her sneakers next week for the first time, the WNBA is anticipating that a mega-star will be born and will lead the league to profitability and long-term legitimacy.
She seems off to a good start. Her jersey has become a hot seller even before she suits up for her first professional game after a storied career at the University of Tennessee that included championships the last two years.
Launched by the National Basketball Association in 1997 following the gold-medal performance of the U.S. women's team in the Olympics the year before, the stars may be aligning for the WNBA, with a strong female fan base and rising ticket sales.
"The progress this league has made in this short window is nothing short of miraculous," WNBA President Donna Orender said in a telephone interview.
Others do not share the same view.
"It's sort of now consigned to being a minor league, which is fine," said Robert Boland, a professor of sports management at New York University. "I don't think it was ever going to be anything else."
ROUGH SLEDDING
Some women's sports leagues, like soccer, have folded, and others have failed to garner a huge following, like softball. After the initial excitement of its first two years, the WNBA has managed to survive both a decline in attendance and television ratings, feeding off its parent.
"They had the rocket booster known as the NBA," said David Carter, executive director of the USC Sports Business Institute. "Their biggest success is that they're still around, and from what we've seen that is by no means a small feat."
The NBA has used its muscle to send sponsors and ticket buyers the WNBA's way.
NBA Commissioner David Stern said his league's commitment will not end, even as the WNBA brings in more private owners to replace the NBA teams that sponsored them from the start.
"We're very committed to it. We gave it our name," he said in an interview.
Analysts say the new owners are independent and more dedicated to the WNBA.
As professional sports grapple with steroid scandals and rising ticket prices, the WNBA strives to offer affordable, family-friendly games where girls can find strong role models.
"More and more sponsors talk to us about the need to have a platform to reach women," Stern said. "We see the WNBA as a long-term investment in growing the audience for basketball."
BY THE NUMBERS
The WNBA, whose fan base is about 60 percent female, offers a good place to appeal to women, who control most of the buying decisions in U.S. households. The NBA's fan base, on the other hand, is 64 percent male.
"If we're to win the hearts and minds of young, influential girls in this country, we need to partner up with the most authentic symbols that they aspire to reach," said Lawrence Norman, vice president of global basketball for Adidas AG <ADSG.DE>.
The maker of sportswear and sports equipment signed an 11-year sponsorship agreement with the NBA and the WNBA in 2006.
Critics argue fans simply do not want to watch women's sports, and therefore TV networks will not pay billions of dollars to secure the rights as they do for the NBA.
Last July, the WNBA signed an 8-year extension with Walt Disney Co's <DIS.N> ABC and ESPN networks to televise games, giving the league its first broadcast rights fee in a deal worth an estimated $30 million. In contrast, the NBA's deal last year was for eight years and $7.5 billion.
An estimated 100 million women play basketball worldwide, while the number of women and girls playing organized basketball has risen 40 percent since 1990, the WNBA said.
Title IX, the 1972 federal law that banned sex discrimination at educational institutions, helped level the playing field for college sports, but does not extend to professional sports.
However, league officials said the game's popularity in high school and college has fueled the WNBA, which in turn encourages more young girls to take up the sport.
This is where Parker, the rookie from the Chicago area, comes in. The WNBA expects fans to become familiar with Parker, who was selected first by the Los Angeles Sparks team at last month's player draft.
"People will come to see Candace Parker who really don't have any interest in seeing basketball and stay for what they found," said Kathy Goodman, co-owner of the Sparks.
The Sparks saw an immediate boost in season ticket sales following the addition of Parker, and the team has already sold more seats than last season, Goodman said. She expects the season ticket base to grow about 5 percent this year.
Still, the WNBA has a long way to go to match the men's league, and the disparity in numbers is stark.
The average NBA salary is about $4.6 million, compared with $65,000 for the women. NBA revenues total $3.5 billion, while the WNBA is only a small fraction of that.
Stern expects the WNBA will be profitable next season and look to add two new teams by 2011.
Several WNBA franchises have sold for $10 million over the past few years, compared with $350 million that the NBA's Seattle Supersonics fetched in 2006. And that included the ownership of the Seattle WNBA team.
Goodman, who bought the Sparks with another woman in 2006, was not scared off by the numbers. The high school teacher and former film company executive sees the team as a long-term investment. "We looked at it as a classically undervalued asset." (Reporting by Ben Klayman; editing by Jeffrey Benkoe) ((benjamin.klayman@thomsonreuters.com; +1 312 408 8787; Reuters Messaging: ben.klayman.reuters.com@reuters.net))
DIARY - Greece to May 30, 2008
Reuters: [2008-05-09 10:19:00]
This diary is updated daily and new listings or amendments
are marked "*". All times are provisional and in GMT; +3 to get
Greek time.
_____________________________________________________________
DATE GMT/LOCAL INDICATOR PERIOD F/CAST PRIOR
-------------------------------------------------------------
09/05 NA Manufacturing output Mar -5.2%
09/05 NA Ind. output Mar -4.2%
14/05 NA Unemployment (monthly) Feb 8.0%
15/05 NA GDP (est.) Q1 3.6%
22/05 NA Cbank C/A Mar -1.843b
29/05 NA PPI Apr
30/05 NA Retail Sales Mar
FRIDAY, MAY 9
GENERAL/ECONOMIC EVENTS
ATHENS - Hygeia <HYGr.AT> holds company presentation, at the
Institutional Investors Association.
EQUITIES
Date GMT Company Name RIC Event
09/05 0800 Keramia-Allatini <KEAr.AT> AGM
09/05 1400 Praxitelio <CRFr.AT> AGM
MONDAY, MAY 12
GENERAL/ECONOMIC EVENTS
ATHENS - Maillis <MAIr.AT> holds company presentation, at
the Institutional Investors Association.
ATHENS - Telecom company Tellas holds press conference to
present its new company identity, at Hilton hotel, at 0930 GMT.
EQUITIES
Date GMT Company Name RIC Event
12/05 0700 Alpha Grissin <CSSr.AT> AGM
12/05 NA Hellenic Petrol <HEPr.AT> Q1 results
12/05 0730 Lesvos Maritime <LESr.AT> EGM
TUESDAY, MAY 13
GENERAL/ECONOMIC EVENTS
ATHENS - Iaso <IASr.AT> holds company presentation, at the
Institutional Investors Association.
ATHENS - Greece's industrialists union SEV holds its annual
meeting, at the Athens Music Hall, at 1630 GMT. Prime Minister
Costas Karamanlis to address the meeting, Finance Minister
George Alogoskoufis and SEV head Dimitris Daskalopoulos to
deliver keynote speeches.
EQUITIES
Date GMT Company Name RIC Event
13/05 0730 Alpha Bank <ACBr.AT> RGM
WEDNESDAY, MAY 14
GENERAL/ECONOMIC EVENTS
ATHENS - Corinth Pipeworks <CORr.AT> and Sidenor <SID.AT>
hold company presentation, at the Institutional Investors
Association.
EQUITIES
Date GMT Company Name RIC Event
14/05 1400 Hellenic Exchange<EXCr.AT> AGM
14/05 0900 ATEbank <AGBr.AT> AGM
14/05 1000 S&B <BARr.AT> AGM
14/05 1330 Bank of Cyprus <BOCr.AT> AGM
14/05 1000 Forthnet <FORr.AT> EGM
14/05 1000 Hellenic Petrol <HEPr.AT> AGM
14/05 NA Piraeus Bank <BOPr.AT> Q1 results
THURSDAY, MAY 15
EQUITIES
Date GMT Company Name RIC Event
15/05 1400 Persefs <PRSr.AT> AGM
15/05 0930 Metka <MTKr.AT> AGM
15/05 1400 Marfin Popular <MRBr.AT> AGM
15/05 1200 Teletypos <TELr.AT> AGM
15/05 1000 National Bank <NBGr.AT> RGM
FRIDAY, MAY 16
EQUITIES
Date GMT Company Name RIC Event
16/05 0900 FHL Mermeren <FHL.AT> AGM
16/05 0900 Bank of Attica <BOAr.AT> EGM
16/05 1200 Post Savings Bank<GPSr.AT> RGM
SUNDAY, MAY 18
EQUITIES
Date GMT Company Name RIC Event
18/05 0700 ANEK Lines <ANKr.AT> AGM
MONDAY, MAY 19
EQUITIES
Date GMT Company Name RIC Event
19/05 1400 Plaisio <PLAr.AT> AGM
19/05 1100 Euromedica <EMDr.AT> AGM
19/05 1400 Blue Star Ferries<STR.AT> AGM
19/05 1300 Axon Holdings <AXOr.AT> AGM
19/05 1300 Benrubis <BENr.AT> RGM
TUESDAY, MAY 20
GENERAL/ECONOMIC EVENTS
BULGARIA - Prime Minister Costas Karamanlis pays two-day
visit, to attend South East Europe Cooperation Process summit.
EQUITIES
Date GMT Company Name RIC Event
20/05 1200 Nireus Aqua <NIRr.AT> AGM
20/05 0600 Petzetakis <PETr.AT> AGM
20/05 1400 Sarantis <SRSr.AT> AGM
20/05 1300 Infoquest <IQTr.AT> AGM
20/05 1000 Titan <TTNr.AT> AGM
WEDNESDAY, MAY 21
GENERAL/ECONOMIC EVENTS
ATHENS - Yalco <YAL.AT> holds company presentation, at the
Institutional Investors Association.
EQUITIES
Date GMT Company Name RIC Event
21/05 1100 Logismos <MCLr.AT> AGM
21/05 1400 Active <ACTr.AT> AGM
21/05 0600 Frigoglass <FRIr.AT> Q1 results
THURSDAY, MAY 22
EQUITIES
Date GMT Company Name RIC Event
22/05 1100 Kego <KEGr.AT> AGM
22/05 0900 Reds <CAMr.AT> AGM
22/05 0730 Microland <MCRr.AT> AGM
22/05 0900 Lambrakis <DOLr.AT> AGM
22/05 1000 Lamda Developm. <LMDr.AT> AGM
FRIDAY, MAY 23
GENERAL/ECONOMIC EVENTS
ATHENS - Alpha Grissin <CSSr.AT> holds company presentation,
at the Institutional Investors Association.
EQUITIES
Date GMT Company Name RIC Event
23/05 1400 Proton Bank <PRBr.AT> AGM
23/05 1200 Hellenic Fabric <HFAr.AT> AGM
23/05 0530 Pouliadis <POUr.AT> RGM
SATURDAY, MAY 24
EQUITIES
Date GMT Company Name RIC Event
24/05 0800 Karatzi <KRTr.AT> AGM
24/05 0600 Vardas <VRDr.AT> AGM
MONDAY, MAY 26
EQUITIES
Date GMT Company Name RIC Event
26/05 1400 MIG <MRFr.AT> AGM
WEDNESDAY, MAY 28
GENERAL/ECONOMIC EVENTS
ATHENS - Profile <PRFr.AT> holds company presentation, at
the Institutional Investors Association.
EQUITIES
Date GMT Company Name RIC Event
28/05 1200 Omega <ASRr.AT> AGM
THURSDAY, MAY 29
EQUITIES
Date GMT Company Name RIC Event
29/05 1100 Autohellas <AUTr.AT> AGM
29/05 1300 Nexans <ALCr.AT> AGM
29/05 0930 Motor Oil <MORr.AT> AGM
29/05 0900 Fashion Box <BOXr.AT> AGM
FRIDAY, MAY 30
EQUITIES
Date GMT Company Name RIC Event
30/05 0700 Maxim-Pertsinidis<MAXIM.AT> AGM
30/05 0900 Reds <CAMr.AT> AGM
30/05 0900 HDFS <HDFr.AT> AGM
30/05 0730 Microland <MCRr.AT> AGM
((Athens Newsroom +30 210 3311813, fax +30 210 3311829,
athens.newsroom@news.reuters.com, tatiana.fragou@reuters.com))
* NOTE: The inclusion of diary items does not necessarily
mean that Reuters will file a story based on the event.
INDEX OF DIARIES - double-click on [IND/DIARY]
Seoul shares close down; tech firms lead fall
Reuters: [2008-05-09 09:30:00]
By Park Jung-youn
SEOUL, May 9 (Reuters) - Seoul shares extended early losses to close down 1.31 percent on Friday, pressured by inflation concerns and disappointment over a central bank decision on Thursday to leave interest rates on hold.
Major technology exporters led the downturn as investors cashed in profits after recent steep gains and as signs of mounting inflation raised concerns about consumer sentiment.
LG Electronics <066570.KS> dropped 5.06 percent to 150,000 won after losing as much as 7 percent earlier in the session, and Samsung Electronics <005930.KS> slid 2.61 percent to 709,000 won.
Still, shares of the two electronics giants remain comfortably ahead so far for 2008, with LG having gained 50 percent and Samsung Electronics up 28 percent since the beginning of the year.
The Korea Composite Stock Price Index <.KS11> closed down 1.31 percent at 1,823.70 points, after opening up 0.36 percent at 1,854.73. The main index is still up 18.6 percent from its mid-March low of 1,537.53 points. "Worries about inflation, particularly about energy prices, prompted investors to lock in their profits today," said Kim Hak-kyun, a market analyst at Korea Investment & Securities.
"Discouraging comments from the Bank of Korea indicating that rate cuts are not likely anytime soon also dampened market sentiment," Kim added.
Oil refiners also fell across the board on worries record crude prices would eat into their margins. Top refiner SK Energy <096770.KS> lost 3.02 percent to 112,500 won and GS Holdings <078930.KS> fell 1.54 percent to 38,300 won.
SHIPBUILDERS RUN AHEAD Shipbuilders provided investors some relief, with Daewoo Shipbuilding & Marine Engineering Co <042660.KS> and Hyundai Heavy Industries Co Ltd <009540.KS> rising on the back of strong first quarter results and a solid sector outlook.
Daewoo rose 0.8 percent to 44,000 won, and Hyundai inched up 0.96 percent to 369,500 won.
Daewoo Shipbuilding said after Thursday's closing bell that its January-March operating profits more than tripled from a year ago, while net profit rose 51 percent over the same period.
In the longer term, Daewoo Shipbuilding is also expected to benefit from its planned sale, with big names such as POSCO <005490.KS> and GS Holdings Corp <078930.KS> among the firms' potential suitors.
Meanwhile, Hyundai Heavy, the world's top shipbuilder, said on Wednesday it plans to invest 1.2 billion won ($1.15 million) in building a shipyard in South Korea that is expected to generate 3 trillion won in annual sales.[ID:nSEL000073]
"Quarterly earnings from the shipbuilders came out stronger than expected, and the latest new orders and investment plans stoked appetite for shares in the sector," said Jeon Yong-bum, an analyst at Dongbu Securities.
"There are worries about price hikes in steel plates used in shipbuilding, but they will eventually be reflected in the ships' prices. And the volume of ship orders still remains strong," Jeon added.
Carmakers such as Hyundai Motor <005380.KS> and Kia Motors <000270.KS> fell on fears rising energy prices may dent consumer appetite for new vehicles.
Hyundai Motor fell 1.23 percent to 88,000 won and Kia Motors slid 4.01 percent to 13,150 won.
Financials fell across the board after the Bank of Korea left interest rates untouched for the ninth straight month on Thursday, dashing market hopes for a cut that would have boosted their bottom lines. Warnings from the Bank of Korea governor about rising inflation also boosted expectations that a cut is not likely in the near future.
Kookmin Bank <060000.KS> fell 2.1 percent to 65,200 won and Shinhan Financial Group <055550.KS> dropped 1.11 percent to 53,400 won.
Retailers such as Lotte Shopping Co Ltd <023530.KS> and Shinsegae Co Ltd <004170.KS> also fell on concerns over consumer spending.
Lotte dropped 2.96 percent to 344,000 won Shinsegae slid 1.26 percent to 629,000 won. ($1=1040.2 Won) Keywords: MARKETS KOREA STOCKS/
German stocks - Factors to watch on May 9
Reuters: [2008-05-09 08:27:00]
FRANKFURT, May 9 (Reuters) - The DAX top-30 index <.GDAXI> looked set to open 0.7 percent lower on Friday, according to pre-market data from brokers at 0620 GMT.
The following are some of the factors that may move German stocks on Friday (share price indications at 0620 GMT):
ALLIANZ <ALVG.DE>
Indicated 1.0 percent lower
Allianz reported group Q1 operating profit of 1.86 billion euros, in line with preliminary figures announced on April 29. Its Dresdner Bank unit reported a bigger than expected Q1 EBIT loss of 453 million euros after writing 845 million euros off the value of structured finance products. Further writedowns cannot be excluded, Allianz said. [ID:nWEB4529] [ID:nL09936769] [ID:nL06439591]
Related news [ALVG.DE-E]
LINDE <LING.DE>
Indicated 0.4 percent lower
Linde reported a lower than expected Q1 operating profit of 602 million euros. It reiterated its forecast of higher 2008 sales and a disproportionate earnings rise. [ID:nWEB4531] [ID:nL0974873] [ID:nLA452062] [ID:nL05523775]
Separately, the CFO of Linde rival Praxair Inc <PX.N>, the largest industrial gases supplier in the Americas, said the company is actively looking to expand its integrated business model into the United Arab Emirates and that Praxair, which posted double-digit earnings and revenue growth in the first quarter, expects this trend to continue. [ID:nN08402025]
Related news [LING.DE-E]
CONTINENTAL AG <CONG.DE>
Indicated 0.6 percent lower
Continental will pass on higher commodity prices to customers to mitigate the impact of runaway raw material costs, CEO Manfred Wennemer said. He sees the global auto industry growing 2 to 3 percent in 2008 and said that Continental, in the hunt to supply advanced battery packs for the upcoming all-electric Chevrolet Volt, has a "good chance" of winning that high-profile contract from General Motors. [ID:nN08196583] [ID:nN08424284]
Related news [CONG.DE-E]
AMB GENERALI <AMBG.DE>
Indicated 0.5 percent lower
AMB reported a lower than expected Q1 net profit of 64 million euros. [ID:nLA94786] [ID:nL02832605]
Related news [AMBG.DE-E]
FREENET <FNTG.DE>
Indicated 2.5 percent lower
Freenet reported a lower than expected Q1 pretax profit of 24.5 million euros. [ID:nWEB4557] [ID:nL06415386]
Related news [FNTG.DE-E]
CONERGY <CGYG.DE>
Indicated 3.5 percent lower
Conergy reported a smaller than expected Q1 EBIT loss of 27 million euros. [ID:nWEB4554] [ID:nL06226425]
Related news [CGYG.DE-E]
GFK <GFKG.DE>
Indicated 0.7 percent lower
Advertising group WPP <WPP.L> remains interested in market research firm Taylor Nelson Sofres <TNS.L> even after a possible merger of TNS with GfK, WPP's CEO told German newspaper Frankfurter Allgemeine Zeitung. [ID:nL08807576]
Related news [GFKG.DE-E]
DRILLISCH <DRIG.DE>
Indicated 2.4 percent higher
Drillisch reported Q1 EBITDA of 9.5 million euros, above Reuters Estimates market consensus. [ID:nWEB4541] [ID:nEQqralywg]
Related news [DRIG.DE-E]
EX-DIVIDEND
Adidas <ADSG.DE>, pay-out 0.5 eur/shr
BMW <BMWG.DE>, pay-out 1.06 eur/shr
Postbank <DPBGn.DE>, pay-out 1.25 eur/shr
HeidelbergCement <HEIG.DE>, pay-out 1.3 eur/shr
Hochtief <HOTG.DE>, pay-out 1.3 eur/shr
Hugo Boss <BOSG_p.DE>, pay-out 6.46 eur/shr
Wacker Chemie <WCHG.DE>, pay-out 3.0 eur/shr
ANNUAL GENERAL MEETINGS
Draegerwerk <DRWG_p.DE>, proposed dividend 0.55 eur/shr
Comdirect <CDBG.DE>, proposed dividend 0.41 eur/shr
OVERSEAS STOCK MARKETS
Dow Jones <.DJI> +0.4 pct, S&P 500 <.SPX> +0.4 pct, Nasdaq <.IXIC> +0.5 pct. [ID:nL09574780]
Japan's Nikkei <.N225> -2.1 pct. [ID:nTKF003145]
GERMAN ECONOMIC DATA
Wholesale prices +0.6 pct mth/mth, +6.9 pct yr/yr in April, moe than expected. [ID:nBAE001202]
<ECONDE> <G7TODAY>
BANKING INDUSTRY WAGE TALKS
The union representing employees at German banks demands wage increases of 8 percent.
European factors to watch [WATCH/EU]
Diaries [DE/DIA] [WEU/EQUITY]
Reuters TOP NEWS [ID:nTOPNEWS]
(Reporting by Peter Dinkloh and Peter Starck) ((peter.starck@reuters.com; +49 69 7565 1217; Reuters Messaging: peter.starck.reuters.com@reuters.net))
Next: LG Elec shares tumble on profit-taking