Future for Ann Taylor

I think this article written by the staff at Investor Guide.com pretty well sums up this year's performance for the Ann Taylor Corporation and what the future holds:

Ann Taylor Stores Corporation, a women’s clothing chain, reported a $2.1 million third quarter profit today. This news may sound relatively run-of-the-mill on the surface, but it is particularly exciting for investors considering that Ann Taylor posted a $13.4 million loss just a year ago. The retail sector in general has been rather stagnant because of the slumping economy. Consumers seem to be tightening their budgets and cutting back on leisure expenses. Women, especially ones with families, tend to be more inclined to make family purchases before personal ones. Even with all these obstacles in play, how was Ann Taylor able to generate a profit?
A big contributing factor in Ann Taylor’s turnaround has been its recent corporate strategy. Ann Taylor revaluated its branding position and realized that it needed a change. The women’s apparel retailer is traditionally associated with “career” clothing. However, this type of clothing has been difficult to sell with the economy under so much stress lately. As a result, Ann Taylor has worked hard to reposition itself as more than just a professional attire clothing store. The initial rollout of the Loft’s more casual and trendy clothing line generated a very positive response from Ann Taylor consumers, and has been very encouraging for the corporation. Ann Taylor is really making an effort to distance itself from the career clothing stereotype. The female clothing retailer does not plan to stop selling its more traditional collection styles, but it is aiming to diversify its product line. With this is in mind, Ann Taylor has decided to make its new, casual autumn line the focal point for its fourth quarter collection. Ann Taylor has been spotlighting the more casual clothing in its store display windows while also flooding fashion magazines with advertisements.
Ann Taylor has also implemented some of the more “routine” methods for improving profit margins. Like many of its competitors, Ann Taylor has made a conscious effort to cut costs. As part of its expense reduction program, the female apparel retailer has streamlined its inventory levels while scaling back the number of operating stores. Ann Taylor has also been pushing more “full price” selling to customers. The combination of all these factors has been instrumental in boosting the corporation’s profit margin. These more traditional profit techniques have complimented Ann Taylor’s recent rebranding efforts very nicely.
Ann Taylor seems to be on the right track. It appears to have found a solution for its branding woes. Ann Taylor’s recent cost reduction adjustments have also jumpstarted its profit margins. The focus on streamlining inventory and full price selling has certainly made a positive impact. However, the rebranding efforts have not completely solved its slumping sales problem. Overall, net sales fell 12 percent for the quarter. While Ann Taylor is optimistic that its new branding efforts will help sales during the upcoming holiday season, the women’s apparel retailer also warned that fourth quarter sale margins will be lower because of seasonal promotions. Regardless of holiday uncertainties, Ann Taylor is hoping that its new clothing is the right fit for improving future sales and profit.

"Ann Taylor Dresses for Success with a New Wardrobe (ANN)." Investing, Stock Quotes and Research, Personal Finance and Business News - InvestorGuide.com. 20 Nov. 2009. Web. 06 Dec. 2009. .

I think they should continue to emphasize the non-work clothing that they have been trying to push lately because it will broaden their customer base. Obviously a larger customer base will lead to more sales and success. Also, I think that the LOFT stores will definitely begin to gain more attention from younger generations with this tactic because they are looking for stylish everyday clothing, not just boring suits. With these new strategies in place, I can see Ann Taylor Corp continuing to do well for many years down the road.

Pics from the Victoria's Secret Fashion Show!!

http://www.insidebayarea.com/bay-area-living/ci_13910464

Limited Brands Commitment to the Environment

Our Commitment:
Limited Brands is committed to being a responsible member of the global community. We realize that our enterprise touches the lives of millions of people — customers, associates, shareholders, vendor partners, suppliers, environmental and community groups, and many more.

We believe we have a responsibility to do what is right, not only for our business and our stakeholders, but also for the global community. Accountability and responsibility must be our guiding principles, and our actions must demonstrate our values.

LOFT Cares... About Women

As a national women’s retailer, Ann Taylor Stores Corporation is dedicated to women and the causes that matter most to them.

We are active in the fight against breast cancer through our support of The Breast Cancer Research Foundation ® and Susan G. Komen For The Cure.

Current LOFT Cares Programs:

• The Breast Cancer Research Foundation ®
Breast cancer is one of the most common cancers in women and all women are at risk.

We’ve established a partnership with The Breast Cancer Research Foundation® (BCRF) to make a difference in the fight against Breast Cancer. During Breast Cancer Awareness season, we offer the LOFT Cares Card in all of our stores enabling our clients to join the fight with us.

A minimum of 85 cents of each dollar donated to BCRF goes directly to breast cancer research and awareness programs.

• Susan G. Komen For The Cure
For over ten years, we’ve partnered with Susan G. Komen For The Cure to make a difference in the fight against breast cancer.

We participate in the Race for the Cure® series in over 90 cities throughout the U.S. and, in select cities, we are a corporate sponsor of the Race.

Victoria’s Secret Introduces Organic, 100% Vegan, Eco-Friendly Collection

Victoria’s Secret is going vegan? YES! Well, at least for their new collection coming out called PINK Body.



The sexy lingerie company is introducing the new line as the product outcome of a tour around the country “speaking to hundreds of girls to figure out what was most important in their lifestyles.” Apparently, organic, vegan, and eco-friendly were high on the list! From the press release,

“INTRODUCING PINK BODY, a unique line of skin-loving and earth-friendly products created specifically for the pink girl. She spoke. We listened. The result? A more personalized approach to everyday body care using organic and vegan ingredients, powerful natural formulas and eco-friendly packaging. With three dermatologist-tested, solution-specific collections, each designed to pamper pink girls from tip to toe: nourishing for dry skin, energizing for dull, sluggish skin and soothing for extra-sensitive skin. Plus, four additional essentials that everyone can use and love. It’s all about finding ways to look good, feel good and do a little good, too.”

Looking at the PINK Body site, there are lotions galore, perfumes, lip balms, and even a hand sanitizer. Rock on Vicky for taking these steps and introducing more people to the green, vegan lifestyle!

Toronto Star -- Victoria's Secret going green

Written by Peter Gorrie, December 7th, 2006

After two years of sparring with a major conservation group, the company that publishes the Victoria's Secret catalogue vowed yesterday to use more paper that's either recycled or from sustainably managed forests.

The decision could boost Ontario's troubled pulp and paper industry as well as the campaign to protect endangered woodland caribou in the province's northern boreal forest.

Ohio-based Limited Brands, which owns Victoria's Secret and several other store brands, said that by the end of 2007, the more than 350 million catalogues the lingerie retailer sends out each year will contain at least 10 per cent recycled paper, or paper from forest operations certified by the Forest Stewardship Council, or FSC.

The council is an international non-profit organization that supports environmentally appropriate, socially beneficial and economically viable management of the world's forests.

Limited Brands promises to increase the percentage, although without any specific targets.

It also said it would no longer buy paper from West Fraser Timber Co. Ltd., which has logging operations in the Rocky Mountain foothills near Hinton, Alta., that are considered environmentally unfriendly and which refused to change. A recently expired contract was worth about $100 million a year.

And Limited Brands won't take paper from forests in areas designated as critical caribou habitat under Canada's endangered species law.

The moves open the door to purchases from Ontario, where two companies — Tembec Inc. and Domtar Inc. — are expanding the amount of forest operated under stewardship council rules, which limit the size of clear cuts, and set standards for reforestation, habitat protection and other environmental concerns.

"Under our new guidelines, we'd be interested in hearing from any folks in Ontario that meet the new criteria," Tom Katzenmeyer, a senior vice-president with the company, said in a conference call.

Supplies of recycled and FSC paper are limited, he said. "I'm optimistic the industry will rise to the occasion and want to compete for our business."

"We'll meet with the Ontario government and suppliers," said Tzeporah Berman of ForestEthics, which operates in Canada and the U.S. and for more than two years ran a publicity campaign that attacked what it called "Victoria's dirty secret."

Limited Brands' move appears to be part of a growing trend aimed at preserving the vast boreal forest that stretches across central Canada.

Williams-Sonoma Inc., which publishes catalogues under its name and under variants of the Pottery Barn brand, said last week that it would immediately begin to use more than 95 per cent FSC certified paper.

Earlier last month, computer giant Dell said it has already hit a 2009 target of 50 per cent recycled content in its marketing publications.

"We believe that working together we can set a new standard for the catalogue industry," Katzenmeyer said.

"I think this is the tip of the iceberg and other companies will follow," Berman said.

As it campaigned against Victoria's Secret, ForestEthics also negotiated with the company. "The discussions ... helped us understand how we can better work with suppliers," Katzenmeyer said.

"We need to look at conservation as part of economic prosperity," Berman said. "The long-term economic health of Ontario is tied to its ecological health."

"Canada has a tremendous opportunity in becoming the solution for
companies that want to seek paper that's environmentally friendly," said Todd Paglia, the group's San Francisco-based executive director.

The stewardship council's is one of three international certification systems. Ontario recognizes them all, but environmentalists say only FSC is effective.

Canada, Russia and Brazil have the only large tracts of undisturbed forest left on Earth. Apart from being crucial habitat for caribou and other animals, the forests help to combat climate change by storing massive amounts of carbon.

Canada's boreal forest is being cut at two hectares per minute, Berman said. About 90 percent of the cutting is in virgin, old growth forest: 88 per cent of the output goes to U.S. buyers.

ANN Cares... About Our Planet

Ann Taylor Stores Corporation is committed to preserving and protecting our planet. We are focused on making environmentally preferable choices, and we continuously pursue opportunities to support a more sustainable future for our clients, shareholders, associates and community. Whenever possible, we strive to operate in ways that are beneficial to our business and the environment. As we pursue our vision for environmental responsibility and sustainability, we have developed a comprehensive multi-year strategy for the Company. Our “Green Initiative” has organized its approach around six sustainability programs focused on reducing energy and waste, incorporating sustainable elements into our products and stores, promoting environmental awareness for our associates and clients, and creating partnerships with key stakeholders.

Past Example of Ann Taylor going green:

LOFT Partnership With Goodwill Industries^®

		Ann Taylor Stores Corp. is proud to support Goodwill Industries International through our “Out with the Old, Save on the New” event. Customers who donate their gently-worn pants at any LOFT store will receive $15 off each full price pant purchase in LOFT stores Monday, March 2 to Sunday, March 8. All donated pants from the partnership will be sold in Goodwill retail stores and the revenues will help fund Goodwill job training programs and support services. Goodwill Industries International enhances the dignity and quality of life of individuals, families, and communities by eliminating barriers to opportunity and helping people in need reach their fullest potential through the power of work. For more information about Goodwill Industries, please visit www.goodwill.org.

Ann Taylor Agrees to Pay $6.5 Million to Settle Overtime Misclassification Suits

Published March 15, 2006

Ann Taylor Stores has agreed to pay $6.5 million to settle two class action lawsuits charging that the company improperly classified store managers in California as exempt from overtime and violated meal and rest period rules.

The settlement will affect up to 800 store managers, senior assistant managers, and assistant managers in 95 Ann Taylor stores in the state. In connection with the settlement, Ann Taylor did not admit to violations, stating that it settled to avoid the significant costs and time of protracted litigation. The settlement is awaiting approval by the Los Angeles superior court.

HOT NEW ITEM!

Issued from the desk of the Brand Manager for Victoria’s Secret

This month at Victoria’s Secret we released our new Miraculous™ Push-Up bra! It instantly adds two cup sizes to your bust. It is a really great bra for women who need that extra “lift.” The bra is available in sizes 32AA-38DD so there is a fit and style for everyone! Special padding lifts you up and out, instantly adding up to 2 full cup sizes for maximum cleavage, all with amazing comfort and a natural shape. All-over satin. It comes in solid colors, animal prints, and all over lace. The straps are also convertible in some styles! The regular prices start at $42. Stop by today to try one on or even go ahead and put it on your Christmas wish list!

Bras that burn? Women claim in lawsuit that Victoria's Secret bras cause rashes, scars

Article Originally Published: THE ASSOCIATED PRESS Friday, April 10th 2009, 8:01 AM

Women in several states claim that Victoria's Secret's bust-boosting bras (as modeled by Miranda Kerr) cause rashes and seemingly permanent scarring.

NEW ORLEANS — Women in several states claim Victoria’s Secret bras gave them rashes and other skin problems, and a group of lawyers sought Wednesday to consolidate their cases against the lingerie chain.
Federal lawsuits filed in Louisiana, Florida, New Jersey and New York accuse Victoria’s Secret and its parent company, Limited Brands Inc., of negligently designing undergarments and misrepresenting the safety of their products.
Limited Brands has assured customers that Victoria’s Secret bras are safe.
Wednesday’s petition is limited to four cases already pending in federal courts, but plaintiffs’ lawyers said they are prepared to file more than 600 other cases once the panel rules on their bid to consolidate the litigation.
Jerilyn Amaya, 66, of West Palm Beach, Fla., one of the four plaintiffs, said the bras she wore gave her a “horrible rash” and hives.
“It kept burning and itching. I finally stopped wearing the bras,” she said. “It disappeared, but it still burns every once in a while.”
Plaintiffs’ attorneys suspect formaldehyde resins in the bras are responsible for the alleged ailments. Formaldehyde is a preservative found in many products; at elevated levels, it can irritate skin.
“When you heat the bras by putting it in the dryer, it releases the resins embedded in the fabric,” said plaintiffs’ attorney Daniel Becnel Jr., whose Reserve, La.-based law firm filed both the consolidation petition and a lawsuit on behalf of a Baton Rouge woman.
The petition, filed Wednesday with the Judicial Panel on Multidistrict Litigation, asks that the cases be heard together by a federal judge in Baton Rouge, La. The Washington, D.C., panel didn’t immediately act on the request.
Limited Brands says Victoria Secret does not add formaldehyde to its bras, and it says independent tests show the bras are formaldehyde-free or have only small traces of the chemical that wouldn’t cause any health problems.
“Millions of women love Victoria’s Secret bras,” Limited Brands spokeswoman Tammy Roberts Myers said in a statement. “We have strict quality controls around our products, and we do not use formaldehyde in our bras. Customer safety and satisfaction are always our primary concerns, and we take very seriously any issues our customers may have with our products.”
Becnel also represents Gulf Coast hurricane victims who sued the Federal Emergency Management Agency, claiming they were exposed to potentially hazardous levels of formaldehyde fumes while living in government-issued trailers after hurricanes Katrina and Rita in 2005.
Hundreds of claims against FEMA and trailer manufacturers were consolidated in New Orleans. The first case, against Gulf Stream Coach Inc., is scheduled to be tried in September.
Patricia Williams, a toxicologist who has served as an expert witness for the plaintiffs in the FEMA trailer litigation, also has been hired by plaintiffs’ lawyers to evaluate the health claims of Victoria’s Secret customers.
“This is not a little clothing rash,” Williams said. “The extent and severity of it is just unbelievable. Many of them have scars that seem to be permanent.”

In Response to these Allegations Victoria’s Secret Released this Press Release on their Website:

Rumor Control: Victoria's Secret bras are safe
As millions of women know, Victoria's Secret bras are safe. Nonetheless, you may have seen media reports or online postings that claim Victoria's Secret bras cause skin reactions. Because of our commitment to our customers' safety and satisfaction, we want you to have the facts. We hope that with the complete truth, we continue to earn your confidence in our products every day.
Litigation insights

On Dec. 3, 2008, Limited Brands responded to the original plaintiff's attorney regarding test results, misleading public statements claiming that Victoria's Secret bras contain formaldehyde and the plaintiff's (Roberta Ritter) testimony about her unusual washing and wearing habits.
On April 22, 2009, plaintiff Roberta Ritter voluntarily withdrew her lawsuit.
Plaintiffs tried to strengthen their individual cases by having them consolidated for pretrial purposes. On June 16, 2009, the United States Judicial Panel on Multidistrict Litigation rejected that maneuver finding that there were not enough similarities among the cases to combine them.
After the original plaintiff, Roberta Ritter, generated national media attention with her allegations, several other lawsuits were filed claiming that Victoria's Secret bras had caused skin irritation. The majority of these were filed in the federal court in Ohio by the law firm, Climaco, Lefkowitz, Peca, Wilcox & Garofoli, Co., LPA. On Aug. 6, 2009, all of these cases were voluntarily dismissed by the plaintiffs at the suggestion of their counsel. Victoria's Secret did not compensate these plaintiffs in any way.

Our commitment to quality
As the world’s leading lingerie brand, millions of women trust us for our safe, high-performing bras that offer world-leading comfort, fit and durability. To ensure this safety, every step of the manufacturing process – from yarn to finished goods – is audited against strict quality guidelines.
We carefully select the types of raw materials used in our bras. We adhere to apparel industry guidelines that avoid problematic ingredients. Specific individual reactions to some ingredients cannot always be predicted.
We use only top-quality raw material suppliers – a majority of which are voluntarily certified by Oeko Tex (one of the most stringent textile guidelines in the world). Several of our manufacturing partners are also Oeko Tex certified. Oeko Tex restricts the use of specific ingredients in textiles.
In our design process, we conduct internal and external wash and wear tests as part of our process. This testing includes literally hundreds of customers and associates who wear our bras, wash them and then provide feedback in regard to fit, quality, comfort and durability before a new product is introduced.

[Portion of Article Omitted]

For our customers
Customer safety and satisfaction are always our primary concerns, and we take very seriously any issues our customers may have with our products. If you ever have a concern with a Victoria's Secret product, please let us know. Our customer care center representatives care about your experience and are happy to help: 800-411-5116 or Service@VictoriasSecret.com.

A Video from MSNBC discussing the lawsuit:

Visit msnbc.com for breaking news, world news, and news about the economy

Victoria's Secret Structuring

Victoria's Secret Direct, LLC is structured as a Limited Liability Corporation which is a legal form of business company that provides limited liability to its owners.
Headquartered in Columbus, Ohio, Victoria's Secret Lingerie operates more than 1,000 stores across the country.
CEO of the Limited Brand: Sharen Jester Turney & Jarred Buggs
CEO of Victoria's Secret Stores: Lori Greeley
EVP: Rebecca Finn
CFO: Bill May

Ann Taylor Structuring

Ann Taylor Corp. is structured as a corporation.
Chief Exec. Officer, Pres and Exec. Director: Katherine Lawther Krill
Chief Financial Officer, Principal Accounting Officer, Exec. VP and Treasurer: Michael J. Nicholson

Pres of Corp. Operations and Pres of AnnTaylor Factory: Brian Lynch
Pres of Ann Taylor Stores: Christine M. Beauchamp
Pres of Ann Taylor Loft: Gary Muto

As of January 31, 2009, it operated 935 retail stores, including 320 Ann Taylor stores, 510 LOFT stores, 91 Ann Taylor Factory stores, and 14 LOFT Outlet stores in 46 states, the District of Columbia, and Puerto Rico. The company was founded in 1986 and is headquartered in New York, New York.