Cable & Co. Worldwide Announces Preliminary Plan to Enter International Market
NEW YORK--(BUSINESS WIRE)--Aug. 26, 1997--
Acquires world wide rights to its brands -- does funding to launch program
Cable & Co. Worldwide Inc. (the ''company'')(NASDAQ:CCWW - news). Alan Kandall, president and chief executive officer of the company, announced that the company has formulated plans to launch its flagship shoe brands, Cable & Co. and Bacco Bucci throughout Europe and the Middle East. In connection with such plans, the company has acquired the international rights to the brands and all product lines from entities owned by Alberto Salvucci, the originator and designer of both the Cable & Co. and Bacco Bucci concepts, and it has completed a $1.369 million private placement, which will primarily be used to enable it to undertake this expansion. Previously, the company's rights to these brands was limited to the Western Hemisphere. Under the agreement with Salvucci, the company has acquired the rights to both brand names worldwide.
Commenting on these developments, Kandall said, ''After six years of building a domestic marketing program and infrastructure that has put our brands in over 1,500 prime retail locations nationwide, we are ready to approach the international market. We believe that the international market can, over a period of time, equal our domestic market. The acquisition of the international rights to Cable & Co. and Bacco Bucci brand names gives us the opportunity to develop a dynamic overseas business.''
He concluded, ''In addition to allowing the company to expand our markets, we anticipate that this acquisition should save the company money in the long run. Previously the Bacco Bucci brand required perpetual royalty payments to Mr. Salvucci. Under the new arrangements no further payments are due with respect to the Cable & Co. brand, and royalties are due on international sales for the Bacco Bucci brand. All payments on account of both brands will cease at the end of seven years. Furthermore we anticipate that part of the payments to be made will be offset by the savings from the projected royalty payments the company would have had to make, under its license, for the use of the Bacco Bucci trademark in our present markets.''
Cable & Co. Worldwide Inc. designs, manufactures, imports and markets an upscale range of men's footwear bearing the ''Cable & Co.'' and ''Bacco Bucci'' trademark. The company markets its products to approximately 1,500 department and specialty store locations throughout the United States.
This press release contains statements of a forward-looking nature relating to future events. Shareholders are cautioned that such statements are predictions and that actual events or results may differ significantly.
This release is available on the KCSA Worldwide website at kcsa.com
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Contact:
Cable & Co. Worldwide Inc., New York
Alan Kandall, 212/489-9686
or
KCSA Public & Investor Relations, New York
Robert Giordano/Joseph A. Mansi, 212/682-6300 x 289/205
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