Branded apparel company Kenneth Cole Productions Inc has repurchased 500,000 shares of its stock from apparel designer and marketer Liz Claiborne.

The stock repurchase totalled $13.9 million, or $27.87 per share, and was funded by means of the company's substantial cash reserves, nearly entirely from its expected quarterly cash flow.

The repurchased shares represent approximately 4.1 per cent of the company's Class A common stock currently outstanding and 2.5 per cent of the company's total shares outstanding.

Liz Claiborne Inc said it would record a pre-tax gain of approximately $12m associated with the sale.

Separately, the company announced it would record a pre-tax restructuring charge of approximately $10 - 11m in the fourth quarter.

Kenneth Cole Productions Inc designs, sources, and markets a broad range of footwear, handbags, and accessories under the brand names Kenneth Cole New York, Reaction Kenneth Cole, Unlisted, a Kenneth Cole Production and Bongo.
 
Liz Claiborne Inc designs and markets an extensive range of women's and men's fashion apparel and accessories under brands include Axcess, Bora Bora, Claiborne, Crazy Horse, Curve, Dana Buchman, Elisabeth, Ellen Tracy, Emma James, Enyce, First Issue, Intuitions and Jane Street.