Performance Apparel Markets - Grado Zero Espace Srl

More documents

Recommendations

Info

Performance Apparel Markets, 1st quarter 2006 Profile of Bemis: a leader in bonded seam technology OUTLOOK Bemis is proud of its leading role in the bonded seamless technology market It is particularly optimistic about the future and considers growth in the bonded seam market to be a long-term trend, although competition will increase But in response to increasing competition Bemis is diversifying It is developing new fire-retardant and PTFE-based coatings— —and extrusion capabilities for non-apparel sectors The biggest opportunities lie in Asia, but so do the biggest threats Bemis is proud of its leading role in the bonded seam market. It is also proud of the fact that, as a manufacturing company in the north-east of the USA, it has seen strong growth while other companies have struggled and moved production to cheaper countries. The company’s marketing manager, Chris Parlee, says: “our success [is] with only 210 employees around the globe, that’s proof alone. For me, it is a great feeling to know that a small company in small-town USA has shaken up the apparel industry.” The company is particularly optimistic about the future. It considers growth in the bonded seam market to be a long-term trend, not a fad, and sees the prospects for Sewfree as being excellent. However, as the stitch-free seaming market grows, so will the number and size of Bemis’s competitors. Many of them, especially in Asia, are firms that produce thermoplastic polymers for other applications which have decided to emulate Bemis by turning their attention to the apparel market. In response, Bemis is diversifying. It is turning its attention to other markets and to other products as it did many years ago—when it switched from the chewing gum market to fabric coatings. Chris Parlee sums up the company’s approach for the future by saying: “we seek opportunities across the globe and are not unwilling to change direction or processes to sustain our growth”. Bemis is developing a new formulation for fire-retardant coatings, as well as coatings based on PTFE (polytetrafluoroethylene) which confer breathable and waterproof capabilities on fabrics. The company is also investing in the development of extrusion capabilities for non-apparel sectors which will include a wider range of coatings or lamination applications in areas such as agriculture and construction. Perhaps the biggest opportunity for the company lies in Asia. Bemis has just taken on 18 new staff in the region as a result of the explosive growth it is experiencing. But here, too, lies its biggest threat. Asia is where Bemis is likely to see most of its future competitors arise. © Textiles Intelligence Limited 47
Performance Apparel Markets, 1st quarter 2006 Business update Business update CORPORATE RESTRUCTURING Russell has announced plans for restructuring— —which will cost US$45 mn-US$52 mn but save US$22 mn-US$26 mn annually after tax There are three main facets to the restructuring but the biggest savings will be through shifting manufacturing offshore RUSSELL CORPORATION USA-based Russell Corporation, a manufacturer of athletic wear, has announced restructuring plans to improve the company’s financial performance. The restructuring is expected to cost between US$45 mn and US$52 mn after tax but it will save the company between US$22 mn and US$26 mn annually after tax. The full impact of the costs and savings will be felt by 2008. There are three main facets to the restructuring: ● ● ● a continued shift offshore of textile and apparel manufacturing; the completion of operational changes to Huffy Sports; and a reorganisation of sales and marketing within Russell Athletic. The biggest savings will be made through the shift of manufacturing to offshore locations. 2,300 jobs will be lost worldwide, of which 1,700 will go in the USA, but 1,200 of the lost US jobs will be replaced in Honduras and Mexico The changes will result in fewer, larger facilities which will enable Russell to remain competitive On a worldwide basis, Russell expects around 2,300 positions to be lost. Of the worldwide total, 1,700 jobs will be lost in the USA. However, 1,200 of the US positions will be replaced in Honduras and Mexico. Russell’s chairman and chief executive officer, Jack Ward, explained the need for the restructuring by saying: “We are making these structural changes in our businesses to remain competitive in today’s global market place. These changes will result in our having fewer, larger facilities. We must move quickly to achieve lower costs, both in our operations and in our support areas.” CORPORATE STRATEGY Adidas has raised its revenue and earnings targets for the 2006-08 period ADIDAS GROUP: POST-REEBOK INTEGRATION STRATEGY Germany-based Adidas—the second largest sporting goods company in the world—has raised its targets for revenues and earnings for the three year period 2006-08. 48 © Textiles Intelligence Limited
Page 1 and 2: Performance Apparel Markets Busines
Page 3 and 4: Performance Apparel Markets ISSN 14
Page 5 and 6: Performance Apparel Markets, 1st qu
Page 47: Performance Apparel Markets, 1st qu
Page 79 and 80: Performance Apparel Markets A new p
Page 81 and 82: Technical Textile Markets Business
Page 83 and 84: World Markets for Woven Textiles an

Performance Apparel Markets - Grado Zero Espace Srl

Create successful ePaper yourself

Delete template?

Save as template?