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Liz to outsource Mexx Global Sourcing operations to Li & Fung
Nov '08
Hong Kong-based global consumer goods exporter Li & Fung Limited and Mexx Europe BV, a wholly-owned subsidiary of Liz Claiborne Inc, announced that they have entered into a Buying Agency Agreement whereby Li & Fung will act as the primary global apparel sourcing agent for the MEXX brand. Mexx's existing buying offices, which will be integrated into the Li & Fung organization, are located in Hong Kong, Bangalore, Shanghai and Shenzhen. Completion of the deal is expected to take place by 19 December 2008.

A global fashion brand, Mexx offers an extensive range of apparel and accessories with a free-spirited, effortless point-of-view. As of the end of Q3 2008, this prominent contemporary brand had a retail network totaling 466 specialty stores, outlets and concessions worldwide and pan-European wholesale distribution. Additionally, Mexx has built a strong brand position in important Eastern Europe markets, and is available in Canada at both wholesale and retail locations. Net sales for Mexx were US$1.252 billion for 2007.

William McComb, CEO of Liz Claiborne Inc., commented on the announcement, "Our agreement with Li & Fung will further accelerate the Mexx turnaround, building on recently announced moves to strengthen the management by bringing in interim leadership as we search for a permanent CEO, improve the product by bringing in a new creative visionary for the brand and enhance our store operations with a new head of retail. Li & Fung has unprecedented global reach and product expertise, making them the perfect partner to make our sourcing operation more efficient while allowing us to deliver high quality, more irresistible product to our retailers and consumers around the world."

Mr. Bruce Rockowitz, President of Li & Fung (Trading) Limited, commented: "We are very pleased to embark on this win-win partnership with Liz Claiborne as we see solid business potential for the Mexx brand. We are confident that the Mexx brand together with our extensive sourcing network of over 80 offices in over 40 economies and our strength in product development will help further entrench Mexx's position in the market. At the same time, this outsourcing deal will solidify our market share in the apparel business and will contribute positively to our bottomline in the years ahead."

Mexx markets an extensive range of fashion apparel and lifestyle accessories for women, men and children. Our contemporary and affordable products can be found in more than 66 countries throughout Europe, Canada, the Middle East and the Asia Pacific region.

Liz Claiborne Inc

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