VF Corp - acquires CHIC and H.I.S. brand name rights

Bobbin, June, 2000

VF Corp. has acquired from Chic by H.I.S Inc. the global trademark rights of the CHIC brand name and rights to the H.I.S. brand name outside of Europe. In addition, VF has signed a letter of intent with Chic by H.I.S Inc. to acquire its majority stake in H.I.S. Sportswear AG.

CHIC jeans and related sportswear, which are primarily targeted to women, are marketed in mass merchandise stores. The CHIC brand will become part of VF's Mass Jeanswear unit, which also includes the Wrangler, Rustler, Riders, Brittania and Timber Creek brands. H.I.S. branded jeans and casual pants for men and women are sold primarily through specialty and department stores in Europe. With approximately $90 million in annual sales volume, the H.I.S. brand is a leading women's jeans brand in Germany. The brand will be added to VF's European jeans unit, which also markets the Wrangler, Lee, Maverick and Old Axe brands.

In other news, VF's JanSport division, a leading U.S. backpack producer, has announced its intention to acquire Eastpak, which offers a full line of backpacks, book bags and other school accessories. The combination of the companies will nearly double the size of JanSport's presence in the global backpack business. Commenting on the merger, Paul Delorey, president of JanSport, said: "The acquisition reinforces the JanSport and Wolf Creek brand portfolio by adding a brand that fills gaps and adds strength in our current distribution and pricing strategies, as well as our global presence."