Women's Wear Daily

Fanatics Inks 10-Year Deal With University of Oregon for Fan Gear

Fanatics is applying the professional sports model to the college arena for the first time. The leader in licensed sports merchandise has inked a 10-year deal with the University of Oregon to license, manufacture and sell its sports gear beginning on Jan. 1, 2020. The deal is worth $23 million, which includes a $1.5 million signing bonus for the school, plus a guarantee of $21.5 million in royalties over the course of the partnership, according to Bloomberg. Kyle Henley, vice president of communications for the university, said the agreement “is a hedge against volatility.” Earlier this week, the school said it is “facing some financial headwinds that could drive a budget gap of $5.6 million.” The Fanatics deal should help fill that void. In inking the deal, the university stressed that the Fanatics deal excludes Nike, which is the official on-field performance gear provider, as well as Columbia Sportswear, which manufactures some official outerwear. Both Nike and Columbia are based in Oregon. In the past, Fanatics had operated the college’s online store, but this agreement covers the manufacturing of apparel, headwear and other products for the first time. It also allows Fanatics to sell the product to other retailers as well as online. Derek Eiler, college

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Vince Reports Strong Third Quarter

Vince, continuing to show progress in its turnaround, practically doubled its net profit for the third quarter, raised its guidance for the year, and plans to open a store next year opposite Saks Fifth Avenue. The company posted a net profit of $6.8 million, or 57 cents per diluted share for the quarter ended Nov. 3, from $3.5 million a year ago, or 41 cents per share. Net sales in the quarter increased 5.6 percent to $83.5 million from $79.1 million a year ago. Comparable retail sales grew 14.1 percent and direct-to-consumer sales rose 17.1 percent. Wholesale sales were flat at $53 million, largely due to a narrowing of its department store distribution to focus on Nordstrom and Neiman Marcus which was offset by lower sales allowances. Gross margin rate increased 250 basis points to 48.9 percent. Operating income increased 68.9 percent to $9 million. “Our third-quarter results reflect continued strength across several areas of our business,” said chief executive officer Brendan Hoffman. “Our retail segment delivered a 14.1 percent comp with continued momentum in our e-commerce business while in our wholesale segment, we saw continued strength in our department store doors with higher sell-through rates and further market share gains. “During the third quarter,

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