Tommy Hilfiger Group has ended its European licence for handbags and small leather goods and will take the business in-house for spring 11.
The luxury label’s handbags and leather goods were brought to the European market in 2004. Manfacturer Tichebox currently handles the licence. Wholesale sales stood at €16.5 million (£13.8m) in 2009.
Fred Gehring, chief executive officer of the Tommy Hilfiger Group, said: “The integration of this business within the Tommy Hilfiger Group is intended to optimise both product development, as well as sales. We see tremendous growth potential for these categories and this step will provide us with greater control and improved brand alignment.”
The division will be managed by Christopher Koerber, senior vice president of footwear and accessories, who will report to Daniel Grieder, chief executive of Tommy Hilfiger Europe.
Tommy Hilfiger will start a new licensing agreement with Tichebox for the design, production, sales and marketing of luggage under the Tommy Hilfiger brand.
Three months ago Fashion group Phillips-Van Heusen (PVH), which owns Calvin Klein, bought Tommy Hilfiger from UK private equity group Apax Partners for €2.2bn (£2bn).