Fifth & Pacific to sell Lucky Jeans for US $225mn

"This is all about bringing Kate Spade to its full potential. The opportunity we have today is not unlike the opportunity that launched our corporation back in 1976: Kate Spade is a rapidly growing brand, with global appeal and strong margins, offering consumers something more than any of its competitors.

“We are proud of the transformation our Company has undergone: today we are a leader in digital sales and marketing; we are primarily direct-to-consumer in our channel approach; we are global in reach and focus; and we are more marketing driven than we have ever been as a company.

"But most importantly, we are focused, and with each passing phase of our transformation, we have become more and more focused on realizing this value creation opportunity. We will provide financial guidance for the 2014 fiscal year in early January, at which time we will have more to say about the year ahead."

At closing, Fifth & Pacific Companies will enter into a Transition Services Agreement (TSA) with Lucky Brand Jeans in order to support the transferred business while the new owner creates a standalone infrastructure.  The TSA is expected to span up to 24 months. Our administrative office will continue to operate in North Bergen, New Jersey, where the majority of employees will continue employment with either Kate Spade or Lucky Brand Jeans.

Fifth & Pacific Companies