Benetton Group is to ditch its Italian fascia Playlife, outerwear brand Killer Loop and Australian retailer Jeans West as it looks to focus on Benetton and Sisley as the business looks to reduce its losses.
Chairman Alessandro Benetton said the three names would be discontinued as part of “strategic priorities outlined in the three-year programme”, which was first unveiled at the end of November.
As part of this, the business is being restructured into three entities, focusing respectively on brands, manufacturing and real estate management. All three will be managed by the Benetton family’s holding company Edizione.
Full details of its plans to exit or wind down Playlife, Killer Loop and Jeans West are “yet to be determined”.
Describing the turnaround as a “lengthy” process, Alessandro Benetton said the three-year goal would also see an exit from “no longer strategic countries with like-for-like sales growth”.
The chairman added that the business was showing “some early signs of a change in trend”, ending the year with half the debt it had in 2012. The goal is to achieve a similar result at the end of 2014.