Jewelry

[Lorainne]

On 4/4/2014 luvthatboxer said: I don't like her stuff anyway. They sell it at Sam's Club, how fancy is that?

Exactly.

A lot of high-end outlets thought the same thing and dropped her stuff when she came to QVC and started using fake stones. I wonder if she can recover the "couture" reputation she once had. If not, she'll be okay anyway; she's made her money.

[Lorainne]

On 4/4/2014 ValuSkr said:

Poor Judith. I hope the new owner keeps her on.

Kind of like Leslie and Bare Minerals?

[judyakm]

On 4/4/2014 librisfb said:

On 4/4/2014 Me2Me said:

I just hope that they don't move their factories to China?! That will be my end and love for Judith Ripka!

Is this Excel owned or partnered with QVC?

Me, I scanned XCEL's latest posted 10Q which provided info up to the end of September 2013. I'm no business expert, but here's what I understood: XCEL is not owned by the Q but does have a strong tie to it: about 50% of XCEL's revenue comes from the Q's Mizrahi sales, for which XCEL receives royalties based on net sales. According to its 10Q:

In connection with the Company’s agreement with QVC, Inc. (“QVC”), QVC is required to pay fees based primarily on a percentage of its net sales of Isaac Mizrahi branded merchandise. QVC royalty revenue represents a significant portion of the Company’s total revenues. Royalties from QVC totaled $1,992,000 and $1,900,000 for the Current Quarter and the Prior Year Quarter, respectively, representing 51% of the Company’s total revenues each quarter. Royalties from QVC totaled $5,976,000 and $5,700,000 for the Current Nine Months and the Prior Year Nine Months, respectively, representing 58% and 60% of the Company’s total revenues, respectively. As of September 30, 2013 and December 31, 2012, the Company had a receivable from QVC in the amount of $1,901,000, representing 41% and 55% of the Company’s receivables, respectively.

The first thing that struck me in reading the article was and "new product categories"....no longer will I have to explain who Judith Ripka is to most, if they expose her brand the way I assume they will, she will be like Martha Stewart....all over the place....sunglasses, handbags, scarfs, hair ornaments, umbrellas, etc. The cache is probably gone.....some believe it went when she came to QVC, some believe it was when she began using diamonique and some believe it was when she started selling in Sam's Club. I love my beautiful jewelry and have cultivated a very personal collection based on my own sensibilities. That won't change!!!

The bottom of the article is more interesting to me than the top; but the bottom line is she will oversee designs for the next 5 years and be a very wealthy woman. I find no fault in that; she has worked hard and is entitled to parlay that success any way she wants. Tho I am personally not happy about this, I am still thrilled to have what I have and now understand why QVC has taken the prices over the top; they had to prove they could and that was important to the deal!!!

[Favorite Son]

Well good for Judith and I wish her and her family the best. She has worked most of her adult life for this.

But does this mean we're going to start being inundated with all manner of cheesy Judith Ripka accessories, home decorating things, and, say, the occasional Judith Ripka ice scraper/flashlight combo? I sure hope not, and I'm glad I bought my most favored Judith Ripka pieces a long time ago.

Now I understand why the silver weight many of her pieces has dropped so drastically, beyond what would be expected for the raw materials price increases over the past five years. The apple was being polished (meaning, the gross and net profit was being managed for potential sale).

[ennui1]

On 4/4/2014 Hoovermom said:

I agree, thought it was low.The Company acquired the Judith Ripka Brand for a value of approximately $22.5 million comprised of (i) $14 million in cash, (ii) $6 million in interest-free promissory notes due 5 years from the date of issuance, and payable in cash or stock at the Company's option, and (iii) approximately 571,500 shares of the Company's common stock. In addition to the purchase price, Xcel will provide for up to an additional $5 million in contingent future payments, payable in cash or stock at the Company's option, based upon the Company achieving certain net royalties generated by the Judith Ripka Brand during the annual periods from October 2015 through September 2018. The acquisition is expected to be accretive to Xcel's 2014 earnings

I think we can expect to see A LOT of TSVs. Or else y'all are going to have to start buying those $5,000 bracelets in bulk.

This looks like Xcel is a lot smarter than Shiseido (BE). I thought that was a bad deal for Shiseido.

[Lorainne]

On 4/4/2014 Favorite Son said:

But does this mean we're going to start being inundated with all manner of cheesy Judith Ripka accessories, home decorating things, and, say, the occasional Judith Ripka ice scraper/flashlight combo? I sure hope not, and I'm glad I bought my most favored Judith Ripka pieces a long time ago.

In a word: yes

[Favorite Son]

I find the terms of the deal very interesting. A good portion of my prior career was spent in corporate treasury, evaluating acquisitions. When it's a good target, a good fit, and you believe you're getting real value, you pay cash or issue shares in exchange and start integrating the company into your own operations. Here, there is a substantial deferral of some of the sales price, and a looooong period of time over which the final payout will be determined.

[terrier3]

Bethenny Frankel made 120 million when she sold Skinny Girl.

Judith Ripka didn't get much money at all.

Does anyone know what Leslie Blodgett made from BE?

I think Chaz the WEN guy will be next...

[Favorite Son]

Seriously, $120 million for that Skinny Girl stuff? I would have gone home and stayed there if I made that much.

[sunshine45]

there is another thread that was started......all of the 18k pieces that used to be on her website are now gone.