Blog: Levi's future looks frayed
Leonie Barrie | 3 March 2004
The latest signs of the unravelling of Levi Strauss & Co emerged earlier this week when the jeans maker revealed a 2003 loss of $349 million - the largest annual setback during its seven-year sales slide. CEO Phil Marineau has also conceded that more layoffs may be announced in the next couple of months – on top of last year's 2000 job losses when the company shuttered its last remaining US plants.
More unwelcome news could also be around the corner when management consulting firm Alvarez & Wilson completes the first phase of its corporate review. Appointed at the end of last year, the consultants have been asked to advise on “additional strategies and actions to reduce debt and costs, while building our brands and returning the company to profitable growth,” according to Marineau.
Management missteps, tough US and European retail markets, and unrelenting price deflation have all contributed to its woes. The company also denies that selling a mix of styles and prices through different retail outlets has led to cannibalisation of the mainstream line, with its discount Signature brand, sold at Wal-Mart and Target, emerging as one of the few bright spots in the past year. Even so, the 151-year-old Levi Strauss has a lot of work to do if its promises of better times ahead are to ring true.
Fresh from their disappointment at seeing the Trans-Pacific Partnership (TPP) free trade deal abandoned last month with an executive order by President Donald Trump, the US apparel and footwear sector...
With the ultimate aim of ensuring all the cotton in its products is sourced sustainably, value clothing retailer Primark is adamant that having a business model focused on offering the lowest prices o...
Last week we marked the inauguration of Donald Trump as the 45th president of the United States by taking a closer look at what's at stake for the textile and apparel trade – especially his promises t...
Continuing our look at what lies ahead for the apparel industry and its supply chain in 2017, the panel of industry experts consulted by just-style last week tackled likely shifts in the sourcing land...
- US apparel sector braces for potential cost hikes
- China leads US apparel sources with falling prices
- Vietnam grows share of US apparel imports in 2016
- Trade Tracker – Trump's first weeks, Brexit agenda
- Key trade issues facing US textiles and apparel
- Bangladesh "high threat" for terrorist activity
- VF Corp sees Q4 and FY earnings tumble
- Sales at US clothing retailers jumped in January
- Ralph Lauren new execs to support Way Forward Plan
- US Q4 in brief – VF Corp, Kate Spade, Rocky Brands
- When Things Go Wrong - A Practical Guide to Managing Common Problems in Apparel Sourcing
- Outdoor performance apparel 2016: A broader perspective
- Technical textile markets: product developments and innovations, December 2016
- Southeast Asia strategic sourcing review – a focus on Cambodia, Vietnam and Myanmar
- Global market review of lingerie – forecasts to 2022