Buffett Apparel Investments Could Be Good Timing, Barron's Says
By Andy Peters
New York, Feb. 26 (Bloomberg) -- Billionaire investor Warren
Buffett's investments in Liz Claiborne Inc. and Jones Apparel
Group Inc., the two largest U.S. makers of women's career clothing
whose stocks are out of favor, could produce good returns over the
long term, Barron's said, citing money managers. At their current
prices, shares of Liz Claiborne, Jones Apparel and other clothing
companies may discount not only a recession, but also a
depression, as most investors have confined their stock purchases
to the technology, telecommunications and biotech industry
sectors. Liz Claiborne has almost no debt and is forecast by
analysts to have earnings growth this year, and Jones Apparel has
a diversified product portfolio, maintains a proven successful
relationship as a Ralph Lauren licensee and has closed some
underperforming Nine West Group shoe stores, Barron's said.
Buffett's Berkshire Hathaway Inc. owned 8.3 percent of New
York-based Liz Claiborne and 9.9 percent of Bristol, Pennsylvania-
based Jones Apparel, whose brands include Jones New York and Evan
Piccone, as of Dec. 31, Barron's said, citing regulatory filings.
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