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Italian quality fabric maker forecasts stable performance this year
Issue date:01/06/2010
ATA Journal for Asia on Textile & Apparel - Jun 2010 Issue
Source:Journal for Asia on Textile & Apparel
by Michelle Phong
Alberto Bertoni, CEO of Botto Fila
Alberto Bertoni, CEO of Botto Fila
The year 2009 was described as challenging for the international textile and apparel supply chain. Italian luxurious fashion brands were adversely impacted in particular by the global economic downturn, and so did Italian fabric providers. Alberto Bertoni, CEO of Botto Fila, recently shared with ATA Journal its efforts to ride out the tough economic times. Founded in 1911 in Biella, Botto Fila is one of the major fabric producing areas in Italy.

ATA: To what extent have fabric suppliers in Biella been affected by the global economic downturn? How do you expect the Italian fabric market in 2010?

Mr Bertoni: Textile suppliers in the Biella area have been heavily affected, just like the other players in the textile sector. The crisis has actually perhaps hit this chain hardest upstream, because the first reaction to the crisis by the manufacturing world was to lower prices and forego quality. The most penalised textile manufacturers in this case have been above all those companies that historically supplied the most traditional products, namely formal suits.

Whereas Botto Fila has seen a fairly limited drop, precisely because our company has continued to compete by focusing on innovation and experimentation, offering less traditional articles that mainly target the end user. In my opinion, the answer to the crisis lies precisely in this direction, because a change in habits and different perception of the formal suit by the consumer call for new answers and alternatives to formalwear, focusing on fabrics that, while maintaining their high performance and high quality, are more versatile and also suitable for informal wear.

ATA: What measures has your company taken to reduce the negative impact in a quieter market?

Mr Bertoni: Botto Fila intends to continue down the road of research, producing innovative articles that meet the needs of those clients who are turning their backs on traditional formalwear in favour of an alternative product...Botto Fila is therefore thinking in terms of moderate growth for a 2010 characterised by a positive start, also thanks to results in sales of the spring/summer 2011 sample collection…The company is looking to the future with approval of its plan for 2011/2012, which sees a return to the black after a difficult period for the whole of the textile sector.

ATA: Does Botto Fila consider moving its production to Asia?

Mr Bertoni: Botto Fila is not thinking of moving its production to Asia… We intend to increase development of trade relationships with this (Asia) market and Chinese distribution. Alongside this, we are focusing on flexibility of supply, which Chinese producers are not yet able to offer. Flexibility in product customisation, in other words the capacity to make bespoke fabrics based on the specific needs of the client, small batches and specialisation.

ATA: Does Botto Fila supply quality fabrics to emerging Chinese brands as China's domestic market is growing?

Mr Bertoni: Botto Fila has had Chinese clients for a while now. China, together with other emerging countries, represents the future of clothing. Furthermore, China's own strength, apart from product processing, lies mainly in its distribution capacity. This is why our company has signed distribution agreements in various countries (or regions), the latest include India, the Middle East, Singapore and Hong Kong, to allow us to reach the best sales points by providing a special deal, which will also include delivery of individual cuts of fabric for made-to-measure services.

Something else we must remember is that China is developing a growing sensitivity towards quality products and this fact, added to the appeal that Made-in-Italy has always held for this country, obviously represents a strong investment lever for us Italian fabric producers.

Fabric trends for spring/summer 2011 by Botto Fila
Men's collection

- Jackets and suits in a wool/cotton blend
- Cool naturally stretchy & crease-resistant fabrics ideal for travelling
- Informality and a "washed" appearance by fabrics in wool and linen for more casual suits and jackets
- Wool-silk blends
- Blazer, that basic in the male wardrobe, in jacquards, linen, stretch cotton and over-dyed wools
- Clean-cut, well-defined pinstripes get a touch of colour for the springtime
- Vertical patterns, almost regimental, in green, blue and burgundy.
- Primary colours get flashes of blue, even in its electric shades, brick red, very dark grass green, tan and white used as a base.


Botto Fila women's fabric collection showed at Milano Unica this February
Women's collection

- Textiles in plant-origin fibres such as fine linens and cottons, also in high-twist versions, for compact, structured, textured and splittable doubles with unusual new handles
- Natural appearance and irregularities inherent in silk and linen, like slubbing, enhance these fabrics, keeping them soft and three-dimensional, embellished with micro patterns and refined pinstripes for elegant contemporary wear.

High-performance functional apparel

- Fine silk comparable to microfibre
- Lightweight and waterproof
- Provides protection from the wind, cold and rain
- Optimum breathability and comfort



Phillips-Van Heusen Corp buys Tommy Hilfiger


The Tommy Hilfiger business was sold to Phillips-Van Heusen Corporation
(Photo: Tommy Hilfiger)
Phillips-Van Heusen Corporation (PVH) agreed to acquire Tommy Hilfiger, which is controlled by funds affiliated with Apax Partners L.P., for 2.2 billion euros (about US$3 billion) plus the assumption of 100 million euros in liabilities. The combination will create one of the world's largest and most profitable apparel companies; a global business with combined revenue of about US$4.6 billion, according to PVH.

The transaction was expected to close during PVH's fiscal 2010 second quarter.

"This is a unique opportunity to bring together two premier companies, each with iconic brands, which will deliver enhanced opportunities for our stockholders, business partners, customers and employees as we leverage a combined global platform in the years ahead," said Emanuel Chirico, Chairman and Chief Executive Officer of PVH. "During almost four years as a private company under the leadership of Fred Gehring and his team, Tommy Hilfiger has continued to gain momentum in Europe and Asia, while successfully rebuilding its business in North America, producing impressive overall performance, and generating strong profitability and free cash flow even during the recession."

"We look forward to building on the momentum of the two companies, delivering significant growth for our customers, employees and partners long into the future," said Fred Gehring, Chief Executive Officer of Tommy Hilfiger.

Upon the closing of the transaction, Mr Tommy Hilfiger would remain in his role as Principal Designer and Visionary for the Tommy Hilfiger brand. Mr Gehring would continue as CEO of Tommy Hilfiger, the company said.

Madonna and child to launch fashion collection

Madonna joined her 13-year-old daughter Lourdes to create Material Girl, an affordable juniors' clothing line that will debut at Macy's this fall.
The Material Girl collection will include jeans, shoes, fingerless gloves, necklaces and other accessories. The pop singer and her child established a new company called MG Icon which, in addition to producing the juniors' line, will also put out other collections including eye wear.

Madonna first entered the fashion design world in 2007 when she teamed up with H&M to create a limited edition collection, M by Madonna.

New Lawson software speeds fashion product time-to-market

Lawson Software introduced Lawson for Fashion, a comprehensive enterprise software system for fashion companies, including brand owners and manufacturers of apparel and accessories as well as private brand retailers.

Lawson for Fashion helps fashion companies improve profits, combat chargebacks and accelerate product time-to-market, while helping reduce software implementation time, the company says. It is built on the latest version of the Lawson M3 Enterprise Management System, Lawson M3 10.1.

Lawson for Fashion marks the latest industry-specific enterprise software system based on the Lawson M3 system. It combines core enterprise business software with industry-specific applications, such as Lawson Fashion PLM and Assortment Replenishment Planner. It also includes Analytics for Fashion, a pre-configured Business Intelligence solution with KPIs and scorecards specific to the fashion industry. Analytics for Fashion helps companies track and measure key operational data, which helps foster better, faster decision making.

The software also offers the Lawson Value Management tools, which help companies identify and quantify, in advance, potential business process improvements and helps prioritize improvement opportunities within their business.
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