MIRA INFORM REPORT

 

                                          

Report Date :

07.07.2007

 

IDENTIFICATION DETAILS

 

Name :

LIZ CLAIBORNE, INC.

 

 

Registered Office :

1441 Broadway, New York - 10018                          

 

 

Country :

United States                   

 

 

Financials (as on) :

31.03.2007

 

 

Date of Incorporation :

1976

 

 

Legal Form :

Corporation – Public

 

 

Line of Business :

Designer and marketer of a range of branded women's fashion apparel and accessories.

 

 

RATING & COMMENTS

 

MIRA’s Rating :

Ba

 

RATING

STATUS

PROPOSED CREDIT LINE

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

Satisfactory

 

Status :

Satisfactory

 

 

Payment Behaviour :

Regular

 

 

Litigation :

Exists

 

 

IDENTIFICATION & EXECUTIVE SUMMARY

 

Company Name:            LIZ CLAIBORNE, INC.

Address:                       1441 BROADWAY

City:                             NEW YORK                    

State/Province:              NEW YORK                    

Zip Code:                      10018                          

Country:                                    UNITED STATES                  

Telephone:                    212 354-4900                   

Facsimile:                     212 626-3416                   

Founded (D/M/Y):          /  /1976

In KUSD  As of:             30/12/2006

Sales / Revenue:            4,994,318

Net Income:                   254,685

Total Equity:                  2,129,981

Number of Employees:   15,400

Legal Form:                   Corporation - Public

Website:                       www.lizclaiborne.com

Maj. Shareholder:           FMR Corp.

Opinion:                        up to $100,000

Business Activity:          Designer and marketer of a range of branded women's fashion apparel and accessories.

 

 

IMPERATIVES

 

The Firm's founder Liz Claiborne, of who the Firm was named after, died on June 26, 2007.

 

 

LEGAL

 

Legal Form:                               Corporation - Public 

Since (D/M/Y):                           02/04/1981

State/Province of Incorporation:   DE

Status:                                                  ACTIVE

Previous Legal Form:

 

Company is required to publish an annual financial report.

 

DELAWARE SECRETARY OF STATE

ID Number: 0911577

Incorporation Date: 04/02/1981

Legal Name: LIZ CLAIBORNE, INC.

Jurisdiction: DE

REGISTERED AGENT:  THE PRENTICE-HALL CORPORATION SYSTEM, INC.

2711 CENTERVILLE ROAD SUITE 400

WILMINGTON, DE 19808

Phone: (302)636-5400

---------------------------------------------------------------------

NEW YORK SECRETARY OF STATE

Legal Name: LIZ CLAIBORNE, INC.

Incorporation Date: APRIL 21, 1981

Jurisdiction: DELAWARE

Status: ACTIVE

Registered Agent:  CT CORPORATION SYSTEM

111 EIGHTH AVENUE

NEW YORK, NEW YORK 10011

 

NOTE: New York State does not issue organizational identification numbers.

______________________________________________________________________

 

STOCK QUOTE

Ticker:  LIZ

Exchange:  New York Stock Exchange

As of Jul. 6, 2007:

 

 Closing Price:         $ 38.14

 52 Weeks High/Low:     $ 46.84 / $ 33.24

 Shares Outstanding:    104,532,000

 Market Value:          $ 3,986,850,480

 

 

Managers/Key Personnel

 

Mr. Kay Koplovitz                      Chairman Of The Board Of Directors

Mr. William L. McComb                          Chief Executive Officer

Mr. Michael Scarpa                                Chief Financial Officer

 

 

OWNERS

 

FMR Corp.             15.00%        Shareholder

AMVESCAP PLC           8.70         Shareholder

 

 

AFFILIATED ENTITIES

 

NOTE:  The Company does not have a parent or any other affiliations.

 

The Company has the following subsidiaries:

 

COMPANY NAME                                                         JURISDICTION

____________                                                   ____________

0745557 B.C. LTD                                              Canada

C &  C California, Inc.                                                     California

Claiborne Limited                                                           Hong Kong

Cleo Acquisition                                                 Delaware

DB Newco Corp.                                                Delaware

Enyce, L.L.C.                                                                Delaware

Enyce Holding LLC                                            Delaware

Juicy Couture, Inc.                                             California

L.C. Augusta, Inc.                                                          Delaware

L.C. Caribbean Holdings, Inc.                              Delaware

L.C. Libra, LLC                                                              Delaware

L.C. Licensing, Inc.                                                        Delaware

L.C. Service Company, Inc.                                 Delaware

L.C. Special Markets, Inc.                                  Delaware

L.C.K.C., LLC                                                    Delaware

LCI Acquisition U.S., Inc.                                    Delaware

LCI Holdings, Inc.                                               Delaware

LCI Investments, Inc.                                                      Delaware

LCI Laundry, Inc.                                                            Delaware

Liz Claiborne 1 B.V.                                                       Netherlands

Liz Claiborne 2 B.V.                                                       Netherlands

Liz Claiborne 3 B.V.                                                       Netherlands

Liz Claiborne Accessories, Inc.                           Delaware

Liz Claiborne Accessories-Sales, Inc.                  Delaware

Liz Claiborne B.V.                                                          Netherlands

Liz Claiborne Canada Inc.                                               Canada

Liz Claiborne Colombia, Ltda.                              Colombia

Liz Claiborne Cosmetics, Inc.                                          Delaware

Liz Claiborne De El Salvador, S.A., de C.V.          El Salvador

Liz Claiborne de Mexico, S.A. de C.V.                             Mexico

Liz Claiborne do Brasil Industria

E Comercio Ltda.                                               Brazil

Liz Claiborne Europe                                          U.K.

Liz Claiborne Export, Inc.                                    Delaware

Liz Claiborne Foreign Holdings, Inc.                    Delaware

Liz Claiborne Foreign Sales Corporation               US Virgin Islands

Liz Claiborne GmbH                                           Germany

Liz Claiborne International Limited                      Hong Kong

Liz Claiborne (Israel) Ltd.                                    Israel

Liz Claiborne Japan, Inc.                                     Delaware

Liz Claiborne (Malaysia) SDN.BHD                     Malaysia

Liz Claiborne Operations (Israel) 1993 Limited      Israel

Liz Claiborne Puerto Rico, Inc.                           Delaware

Liz Claiborne Sales, Inc.                                     Delaware

Liz Claiborne, S.A.                                             Costa Rica

Liz Claiborne Servicios de Mexico, S.A. de C.V.   Mexico

Liz Claiborne Shoes, Inc.                                    Delaware

Lucky Brand Dungarees, Inc.                                          Delaware

Lucky Brand Dungarees Stores, Inc.                    Delaware

Mexx Europe Holding 1 B.V.                                           Netherlands

Mexx Europe International B.V.                                       Netherlands

Mexx Holding International B.V.                           Netherlands

Mexx Holdings 1 B.V.                                        Netherlands

Monet International, Inc.                                     Delaware

Monet Puerto Rico, Inc.                                      Delaware

Segrets, Inc.                                                      Delaware

Skylark Sport Marketing Corporation                    California

Textiles Liz Claiborne Guatemala, S.A.               Guatemala

Westcoast Contempo Bellevue, LLC                   Washington

Westcoast Contempo Fashions Limited                           Canada

Westcoast Contempo Promenade, Inc.               Washington

Westcoast Contempo Retail, Inc.                                    Washington

Westcoast Contempo USA, Inc.                                      Washington

 

 

BANKS

 

NY

Telephone:

Facsimile:

Account Number:

Account Manager:

 

On October 13, 2006, the Subject entered into a US$750 million five-year revolving credit agreement.

 

 

PAYMENT HISTORY

 

 BUSINESS   DATE  LAST  PAYMENT CREDIT   BALANCE  CUR 1-  31- 61-

 CATEGORY   REPTD SALE  TERMS      $        $      %  30  60  90  91+ COMMENTS

 ---------- ----- ----- ------- -------- -------- --- --- --- --- --- --------

 AIR TRANS  07-04 00-00 0000000 14100    14100    99  0   0   0   1   CUST  6 YR

 ELEC EQUIP 07-05 06-01 CREDIT  100      0        0   0   0   0   0   CUST  1 YR

 

 FACTOR     07-03 00-00 VARIED  0        0        0   0   0   0   0

 FACTOR     07-06 04-02 NET 30  0        0        0   0   0   0   0   CUST  4 YR

 FACTOR     07-02 07-01 NET 30  5400     1100     100 0   0   0   0

 GENERAL    07-05 07-04 OTHER   100      0        0   0   0   0   0   CUST 19 YR

 GENERAL    07-03 00-00 0000000 0        0        0   0   0   0   0

 GIFTWARE   07-03 03-04 0000000 0        0        0   0   0   0   0   CUST  4 YR

 MUSIC INST 07-05 99-07 NET 30  0        0        0   0   0   0   0   CUST  9 YR

 NEWSPAPERS 07-06 06-09 NET 15  0        0        0   0   0   0   0

 NEWSPAPERS 07-02 00-00 NET 30  227900   77700    0   0   100 0   0

 OPTIC SUPL 07-05 04-04 N10 EOM 6100     0        0   0   0   0   0

 PACKAGING  07-06 06-12 NET 30  100      0        0   0   0   0   0   CUST  7 YR

 SAFTY PROD 07-05 00-00 NET 30  0        0        0   0   0   0   0

 TEXTILES   07-05 00-00 NET 30  0        0        0   0   0   0   0   CUST  7 YR

 AIR TRANS  06-11 00-00 NET 30  68700    67900    45  7   36  1   11  CUST 22 YR

 APPAREL    06-09 00-00 VARIED  0        0        0   0   0   0   0

 COMPUTERS  05-05 00-00 CREDIT  0        0        0   0   0   0   0   CUST 37 YR

 FACTOR     05-05 04-03 VARIED  0        0        0   0   0   0   0

 GENERAL    05-02 03-04 NET 30  0        0        0   0   0   0   0   CUST  3 YR

 LEASING    05-01 05-01 NOTE    1700     800      100 0   0   0   0

 LEASING    07-05 00-00 CONTRCT 1000     1000     42  0   0   6   52  COLLECTION

 MANUFCTRNG 06-10 00-00 CERTCHK 0        0        0   0   0   0   0

 MISC MANUF 06-11 06-09 VARIED  7600     0        0   0   0   0   0

 NEWSPAPERS 06-03 00-00 5/15N30 13400    0        0   0   0   0   0

 NEWSPAPERS 06-06 06-04 0000000 5000     0        0   0   0   0   0

 NEWSPAPERS 06-04 00-00 NET 30  13600    9100     100 0   0   0   0

 NEWSPAPERS 06-05 00-00 NET 30  0        0        0   0   0   0   0

 PACKAGING  06-01 04-09 NET 30  0        0        0   0   0   0   0

 PAPER PROD 06-01 04-04 COD     0        0        0   0   0   0   0   CUST  2 YR

 PRNTG& PUBL 06-02 00-00 CONTRCT 25100    25100    0   0   33  67  0   ERN DISC

 TELECOM    05-06 00-00 NET 30  600      0        0   0   0   0   0

 TELECOM    05-07 00-00 NET 30  100      0        0   0   0   0   0   CUST  3 YR

 TELECOM    05-06 00-00 NET 30  0        0        0   0   0   0   0

 TEXTILES   06-10 05-11 COD     0        0        0   0   0   0   0   CUST 13 YR

 TRNS EQUIP 06-06 05-11 NET30   4700     0        0   0   0   0   0   CUST  6 YR

 TRUCK DLR  06-12 00-00 CONTRCT 1100     0        0   0   0   0   0

 CURRENT QUARTER                253800   92900    16  0   84  0   0

 

 Payment Trends

            INDUSTRY     BUSINESS        BALANCE  CUR 1-  31- 61-

 DATE      CUR    DBT       DBT             $      %  30  60  90  91+

 --------  ---    ---       ---          -------- --- --- --- --- ---

 20070600  0      9         37           93400    17  0   83  0   0

 20070500  0      9         37           93400    17  0   83  0   0

 20070400  0      9         44           79300    2   0   98  0   0

 20070300  0      10        42           82600    6   0   94  0   0

 20070200  0      12        14           81500    5   95  0   0   0

 20070100  0      9         0            89700    100 0   0   0   0

 

 Payment History - Quarterly Averages

                                         BALANCE  CUR 1-  31- 61-

 QUARTER  YEAR              DBT             $      %  30  60  90  91+

 -------- ------            ---          -------- --- --- --- --- ---

 First    2007              34           81100    4   32  64  0   0

 Fourth   2006              9            82300    41  59  0   0   0

 Third    2006              0            26500    98  2   0   0   0

 Second   2006              19           1200     60  0   39  0   1

 First    2006              19           42000    3   91  1   0   5

 

 

FINANCIAL INFORMATION

 

FINANCIAL FIGURES

 

 Year-End (D/M/Y):               31/03/2007      30/12/2006         31/12/2005

                                 Quarterly      Consolidated      Consolidated

 Sales / Revenues                1,152,979        4,994,318        4,847,753  

 Interest Income                       -              5,357           -2,264  

 Gross Margin                      527,773        2,387,465        2,298,357  

 Operating Income (Loss)            38,883          436,077          525,340  

 Interest on Loans                   8,532           34,898           31,798  

 Other Expenses                    -57,147          -56,156          -33,738  

 

 RESULTS

 Income before Taxes                29,622          406,536          491,278  

 Income Tax                         13,424          151,851          173,912  

 Net Income                         16,198          254,685          317,366  

 

 ASSETS

 Cash and Equivalents               96,504          185,645          328,527  

 Inventory                         644,180          593,445          536,296  

 Accounts Receivables              674,584          559,639          463,537  

 Other Current Assets              151,383          121,937          113,539  

 Total Current Assets            1,576,136        1,470,117        1,456,537  

 Property Plant &  Equip            567,105          581,992          494,693  

 Other Fixed Assets                 21,570           21,838           10,224  

 Total Fixed Assets              2,008,810        2,025,651        1,695,499  

 Intangibles                     1,420,135        1,421,821        1,190,582  

 Total Assets                    3,584,946        3,495,768        3,152,036  

 

 LIABILITIES

 Trade Creditors                   523,111          651,656          548,648  

 Other Current Liab                    -                -             10,362  

 Total Current Liab                549,935          673,922          607,739  

 Long Term Debt                    715,950          570,469          417,833  

 Other Long Term Liab              171,047          121,396          123,758  

 Total Long Term Liab              886,997          691,865          541,591  

 Total Liabilities               1,436,932        1,365,787        1,149,330  

 

 EQUITY

 Retained Earnings               3,353,919        3,354,081        3,122,487  

 Total Equity                    2,148,014        2,129,981        2,002,706  

 

 

 

 

FINANCIAL ANALYSIS

 

                           Actual           Previous    Percentage of total assets

                           31/03/2007        30/12/2006     31/03/2007  30/12/2006

 Cash and Equivalents        96,504          185,645         2.69      5.31

 Inventory                  644,180          593,445        17.97     16.98

 Other Current Assets       151,383          121,937         4.22      3.49

 Total Current Assets     1,576,136        1,470,117        43.97     42.05

 Intangibles              1,420,135        1,421,821        39.61     40.67

 Total Assets             3,584,946        3,495,768       100.00    100.00

 Total Current Liab         549,935          673,922        15.34     19.28

 Long Term Debt             715,950          570,469        19.97     16.32

 Other Long Term Liab       171,047          121,396         4.77      3.47

 Total Liabilities        1,436,932        1,365,787        40.08     39.07

 Total Equity             2,148,014        2,129,981        59.92     60.93

 

 

CURRENT OPERATIONS

 

NAICS Code:   315238    Women's and Girls' Cut and Sew Other Outerwear Man

SIC Code:     2339

 

Number of Employees:          15,400  

 

Business Activity:

Designer and marketer of a range of branded women's fashion apparel and accessories.

 

The Company markets its clothing and accessories as designer items but prices them for a broader market.  Including Ellen Tracy, Laundry, Liz &  Co., Concepts by Claiborne, and Dana Buchman, its brands are sold worldwide in department stores, in nearly 340 specialty stores, in more than 320 outlets, and among numerous brand Web sites.  The Company makes men's clothing and licenses its name for shoes, sunglasses, swimwear, formalwear, home furnishings, and stationery.

 

The heading address is the Company's headquarters.  The location consists of executive offices and showrooms, as well as sales, merchandising and design staffs within 305,000 square feet of leased space.  The Subject is multinational corporation, and has locations throughout the world.

 

 

PUBLIC RECORD

 

Name Searched: LIZ CLAIBORNE INC

Amount: $ 1,749

Creditor: NYS TAX COMMISSION

Debtors: LIZ CLAIBORNE INC

1 CLAIBOURNE AV

 

NORTH BERGEN, NJ 07047

Docket Number: X0305676

Filing Date: 3/20/2003

Type: STATE TAX LIEN

--------------------------------------------------------------------------------

Name Searched: LIZ CLAIBORNE INC

Party Address: 1441 BROADWAY

NEW YORK, NY 10018

Amount: $ 69,955.76

Filing Date: 2/13/2006

Filing Type: FEDERAL TAX LIEN

Type: NEW YORK DEPARTMENT OF STATE, FEDERAL TAX LIEN RECORD

DEBTORS: LIZ CLAIBORNE INC

--------------------------------------------------------------------------------

Name Searched: LIZ CLAIBORNE INC

Defendant Counsel: Cohen, Anita Susan [COR LD NTC]

Rivkin, Radler, LLP

926 Eab Plaza

Uniondale, NY, USA 11556-0111

Troisi, Michael Anthony [COR LD NTC]

Rivkin, Radler, LLP

926 Eab Plaza

Uniondale, NY, USA 11556-0111

(516) 357 3158

Defendant: Liz Claiborne, Inc

Demand: $ 4,000

Filing Date: 10/18/2005

Filing Type: Civil

Plaintiff: Collins, Christopher E

--------------------------------------------------------------------------------

 

NOTE:  A nationwide search of bankruptcy courts shows no bankruptcy filings under the Subject's name.

 

 

GENERAL COMMENTS

 

Liz Claiborne, Inc. is engaged as a designer and marketer of women's and men's clothing and accessories.  Their payment history is excellent, indicating that they generally pay their outstanding debts within agreed terms.  A state tax lien, federal tax lien, and a civil suit were found in public under the Subject's name, but the outcomes of the filings could not be determined.  No other derogatory information was found involving the Firm.  Financial statements show that the Company is profitable.

 

 

 

RATING EXPLANATIONS

 

RATING

STATUS

 

 

PROPOSED CREDIT LINE

>86

Aaa

Possesses an extremely sound financial base with the strongest capability for timely payment of interest and principal sums

 

Unlimited

71-85

Aa

Possesses adequate working capital. No caution needed for credit transaction. It has above average (strong) capability for payment of interest and principal sums

 

Large

56-70

A

Financial & operational base are regarded healthy. General unfavourable factors will not cause fatal effect. Satisfactory capability for payment of interest and principal sums

 

Fairly Large

41-55

Ba

Overall operation is considered normal. Capable to meet normal commitments.

 

Satisfactory

26-40

B

Unfavourable & favourable factors carry similar weight in credit consideration. Capability to overcome financial difficulties seems comparatively below average/normal.

 

Small

11-25

Ca

Adverse factors are apparent. Repayment of interest and principal sums in default or expected to be in default upon maturity

 

Limited with full security

<10

C

Absolute credit risk exists. Caution needed to be exercised

 

 

Credit not recommended

NR

In view of the lack of information, we have no basis upon which to recommend credit dealings

No Rating

 

 

This score serves as a reference to assess SC’s credit risk and to set the amount of credit to be extended. It is calculated from a composite of weighted scores obtained from each of the major sections of this report. The assessed factors and their relative weights (as indicated through %) are as follows:

 

Financial condition (40%)            Ownership background (20%)                 Payment record (10%)

Credit history (10%)                    Market trend (10%)                                Operational size (10%)

 

 

 

 

PRIVATE & CONFIDENTIAL : This information is provided to you at your request, you having employed MIPL for such purpose. You will use the information as aid only in determining the propriety of giving credit and generally as an aid to your business and for no other purpose. You will hold the information in strict confidence, and shall not reveal it or make it known to the subject persons, firms or corporations or to any other. MIPL does not warrant the correctness of the information as you hold it free of any liability whatsoever. You will be liable to and indemnify MIPL for any loss, damage or expense, occasioned by your breach or non observance of any one, or more of these conditions