Kohl’s renews Simply Vera license early
Menomonee Falls, Wis. — Kohl’s Corp. said Tuesday it has renewed its long-term license agreement to be the exclusive seller of Simply Vera Vera Wang clothing and other merchandise, and plans to expand the line into makeup.
The original deal, which Kohl’s signed with designer Vera Wang in 2006, has been lucrative for the retail chain. Vera Wang clothing, underwear, pajamas, purses, leather accessories, jewelry, footwear, bedding and bath products generated 48% of Kohl’s sales in the latest third quarter, up "significantly" from 2009, the company said.
Cardinal Health renews deal with Walgreens
Dublin, Ohio — Pharmaceuticals distributor Cardinal Health said Tuesday it renewed a deal to provide drugs to Walgreens’ pharmacies through 2013.
Cardinal Health did not disclose terms of its agreement with the chain. The companies renewed their deal early, as their last contract was signed in early 2008 and was set to last for three years.
Talbots profit up 17% on cost-cutting
Hingham, Mass. — The Talbots on Tuesday said its third-quarter profit rose 17% on cost-cutting. But its revenue fell and the retailer offered weak fourth-quarter guidance and cut its full-year outlook.
"Our customer traffic and sales demand from Thanksgiving through Cyber Monday improved greatly, however, we believe the challenging and promotional environment will continue," said CEO Trudy Sullivan. "To that end, we will stay nimble and have appropriately enhanced our promotional activity to best position ourselves for the remainder of this holiday season."
Talbots said its net income rose to $17 million, from $14.6 million a year ago. Revenue fell 3% to $299.1 million, from $308.9 million last year. Same-store sales fell 7.1%.
Talbots is in the midst of a turnaround plan. After struggling with weak sales during the recession, Talbots earlier this year arranged a deal that let it reduce its debt and buy out its largest shareholder, Japanese retail company Aeon (U.S.A.), which held a 54% stake. The retailer has also updated its clothing to appeal to younger, more style conscious shoppers.