Talon International Inc., a public company that supplies zippers, fasteners, and trim for the apparel industry, is voluntarily removing itself from the American Stock Exchange because it doesn’t have the minimum required shareholders’ equity.
Woodland Hills-based Talon, formerly called Tag-It Pacific Inc., was warned in May 2006 by the American Stock Exchange that it had dropped below the minimum shareholders’ equity of $4 million and was given until mid-November 2007 to comply.
The company has not met the requirement and is therefore seeking to have its stock removed from Amex and traded on the Over the Counter Bulletin Board instead.
The struggling company has been trying for a number of years to adapt to the quickening turnover pace of the apparel industry, as well as the large-scale shift in manufacturing to Asian markets.
Last year Talon added operations in India, Bangladesh, and Indonesia to send products to manufacturers in a shorter time after the order goes through. In the future it plans to expand to Indonesia, Vietnam, and Eastern Europe.
Toward the end of 2006, the company began to show signs of a comeback, posting, but problems appeared soon after.
In the most recent results for the period ending Sept. 30, sales were $9 million, down from $13.4 million in the corresponding period the year before due in part to the expiration of an existing contract and to export quotas imposed on garment manufacturers.
The company lost $3.7 million in the third quarter and last week saw stock prices between 30 and 46 cents per share as compared to March 2005 when it was trading in the $5 range.
Talon sells its products under the names Talon, Tag-It, and TekFit to more than 60 apparel brands and manufacturers like Levi Strauss & Co., Juicy Couture, Ralph Lauren, Victoria’s Secret, Target Stores, Wal-Mart Stores Inc., and Express. It remains a small and specialized company in an industry sector dominated by Japan-based YKK Corp., which makes more than half the world’s zippers.
Fashionably Late
Mode, a new restaurant by Anthony Jones, is intended to be a fashion-forward restaurant in the middle of the Fashion District complete with a 40-foot Plexiglas catwalk that will be used for runway shows. But its opening was a bit more than fashionably late.
The 24-hours-a-day, seven-days-a-week establishment serving French cuisine, was scheduled for a full-fledged opening on Nov. 30, but due to kitchen and permitting issues, the restaurant opened for only a short time with a limited menu. It reopened again Dec. 7.
Located at 916 S. Olive Street within walking distance of the Fashion Mart and Fashion Institute of Design and Merchandising the restaurant serves dishes such as French onion soup with gruyere, calamari with harissa mayonnaise, and oysters on the half-shell prepared by executive chef Eric Ernest, formerly of Royale and BOA Steakhouse.
Jones, the owner, also owns the 1920s-themed restaurant and lounge Royale in the Mid-Wilshire District.
He said he expects a hit on his hands with his round-the-clock hours.
“People here are generally single, young, and professionally active,” Jones said. “When they come out of a bar or restaurant at 2 a.m. they don’t seem like they are finished to me. While the Pantry is here and is 24 hours, it doesn’t appeal to some of the demographic.”
Skechers China
Through a joint venture with Hong Kong-based Luen Thai Enterprises, Skechers USA Inc. is expanding sales and distribution in China. The effort is expected to generate $10 to $15 million in sales by the end of 2008.
In the next three years, Skechers China will open more than 1,200 points-of-sale across the country. The company now has three stores in China, and plans to have 10 in Shanghai, Beijing, Shenzen, and Guangzhou by the end of 2009. A new active and leisurewear line targeted especially for sale in China will be introduced that year.
“China’s share of the global footwear market is estimated at close to $9 billion for 2008 with this number increasing due to the growing middle class,” said Willie Tan, chief executive of Luen Thai Enterprises and Skechers China in a statement.
Luen Thai Enterprises is a privately held company, part of a $1 billion group of companies involved in apparel, hospitality, travel and other sectors.
Customized Wine
Los Angeles-based San Antonio Winery, which has vineyards in Monterey, Napa, and Paso Robles but produces its vino here, is creating a customized wine for Whole Foods Markets.
The red wine, called Generations, will be sold for $13 a bottle as part of Whole Food’s “locally grown” program.
Staff reporter Sarah Filus can be reached at
[email protected]
, or at (323) 549-5225, ext. 235.
