Tag: Fruit of the Loom

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Fruit of the Loom

Rupa to Bring Fruit of the Loom Brand to India

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The Fruit if the Loom brand is coming to India in a deal that will bring extensive royalties to Berkshire Hathaway and little risk.

Rupa and Company, the number one knitwear maker in India, has struck a deal with Berkshire’s Fruit of the Loom to license the brand for India.

Rupa, which has the capacity to make over 700,000 pieces of knitwear a day, will pay a fixed royalty for the right to manufacture Fruit of the Loom branded products.

Siddhant Agarwal, VP-Business Development & Acquisitions at Rupa and Company, told CNBC-TV18 that the company plans to debut the Fruit of the Loom brand in September or October 2017.

Rupa has received broad recognition for its success in the knitwear industry, including receiving the Best Corporate Brand Award by The Economic Times at ‘The Economic Times Best Corporate Brands Summit 2015’ held in Mumbai.

The company’s shares are listed at NSE and BSE.

© 2017 David Mazor

Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.

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Fruit of the Loom Warren Buffett

Fruit of the Loom Names Melissa Burgess-Taylor New Chairman & CEO

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Berkshire Hathaway’s Fruit of the Loom has announced the appointment of Melissa Burgess-Taylor as the company’s new Chairman and Chief Executive Officer.

Ms. Burgess-Taylor is currently the Senior Vice President of Brand Management and Sales for Fruit of the Loom and Vanity Fair Brands. She has been with the company more than 17 years focusing on the interests of Fruit of the Loom employees and customers while delivering meaningful results.

Warren Buffett, Chairman and CEO of Berkshire Hathaway, addressed the Fruit of the Loom leadership team today following the unexpected passing of Rick Medlin last week.

“Rick lived and breathed Fruit of the Loom, and he was an inspirational leader to everyone associated with the company. He will be greatly missed. His contributions were significant and his legacy will continue through the success of Fruit of the Loom and the employees.” Mr. Buffett continued, “I am excited to have Melissa take on this important role as CEO. Already an accomplished Fruit of the Loom leader, she is passionate, smart, and cares deeply about Fruit of the Loom customers and employees. She understands the importance of building a great brand, and she’ll add tremendous value to Fruit of the Loom going forward.”

“I’ve been fortunate to be a member of the Fruit of the Loom family and this great company for many years. We have succeeded due to our people, our strong brands and the powerful relationships we have with our customers,” stated Ms. Burgess-Taylor. “I am grateful for Mr. Medlin’s strong leadership and mentorship, and I am deeply committed to continuing to move us forward.”

Ms. Burgess-Taylor has held various leadership roles within the organization. In her current role, she leads Marketing, Merchandising, Sales, Brand Communications and Creative Services for Fruit of the Loom, Vanity Fair, Lily of France, Vassarette and Curvation brands. Prior to joining Fruit of the Loom, Ms. Burgess-Taylor held roles with Hanes Brands and Mercantile Department Stores. She received a Bachelor of Science degree in marketing with a minor in textiles and clothing from Western Kentucky University in Bowling Green, Ky., and currently resides in Bowling Green with her husband and two children.

© 2016 David Mazor

Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.

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Fruit of the Loom

Fruit of the Loom Team Mourns Death of President and CEO Rick Medlin

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Rick Medlin, President and CEO of Fruit of the Loom, Inc., passed away of natural causes on November 27, 2016. The entire Fruit of the Loom, Inc. team worldwide, with nearly 30,000 employees, is incredibly saddened by the loss of their sincere and principled leader.

“Rick was a special leader and a special person. He was extremely proud of the progress and success we have shared in the last 6 years,” said the Fruit of the Loom leadership team. “We owe it to his legacy and honor to continue taking this company forward in accordance with his vision. Our thoughts and prayers go out to the Medlin family at this time of loss.”

The company will name an interim CEO in the coming days who will continue to lead the organization with the same core values and integrity established by Mr. Medlin.

© 2016 David Mazor

Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.

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Fruit of the Loom

Russell Athletic Looks to Get Smart with Smart Basketball Technology

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Berkshire Hathaway’s wholly-owned Russell Athletic is looking to become the leader in smart basketball technology, and the deal looks even smarter.

What’s a smart basketball?

It’s a basketball with a microchip in it that communicates with your smartphone.

Developed by InfoMotion Sports Technologies Inc., the smart basketball enables the player or coach to capture a wide variety of data, including dribble speed and intensity, shooting arc, shot backspin, and shot release speed.

It doesn’t take a genius that this makes for a very smart product.

An Even Smarter Deal

As good as the product looks to be the deal looks even better.

Due to InfoMotion Sports Technologies Inc.’s March 1 bankruptcy, Russell Athletic is hoping to grab the technology out of bankruptcy for only $1.5 million.

It’s the perfect product for Russell Athletic, which owns sports equipment maker Spaulding, and itself is a division of Berkshire’s Fruit of the Loom, Inc. Russell Athletic (formerly Russell Corporation) was acquired by Berkshire Hathaway in 2006 for roughly $598 million.

It’s clearly an exciting technology, and for every steal on the court that comes from the 94Fifty Smart Sensor Basketball, Berkshire’s hoping it rings up profits due to a steal in the U.S. Bankruptcy Court.

The offer is awaiting the judge’s approval.

© 2016 David Mazor

Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.

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Fruit of the Loom

Fruit of the Loom Cuts Ribbon on Major South Carolina Expansion

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Berkshire Hathaway’s underwear manufacture Fruit of the Loom has cut the ribbon for the opening of its major expansion of its Palmetto Distribution Center in Summerville, South Carolina.

The facility has added 402,000-square-foot to the center’s existing 350,000-square-foot space.

Fruit of the Loom points to increased e-commerce as the main reason for the expansion.

“We’re gearing up and getting ready to do that,” notes Rick Medlin, Fruit of the Loom’s president and CEO. “We’re building platforms and digital capabilities, as is everybody.”

The expanded facility will mean the addition of as many as 50 new employees to the current 225 employees.

The expanded facility will be able to ship up to 60 million packages of underwear a year, using an automated packaging system that designates that shipments for big box retailers such as Walmart.

That’s a lot of boxers and briefs.

© 2016 David Mazor

Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.

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Fruit of the Loom

Fruit of the Loom Negotiating to Sell European Luxury brands to Private Equity Firm

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Berkshire Hathaway’s Fruit of Loom is in negotiations to sell its European lingerie brands to a private equity firm.

In 2014, Fruit of the Loom began looking for a buyer for its European luxury lingerie brands.

According to the Financial Times, private equity group Perceva is in exclusive talks with Fruit of the Loom to purchase Variance, Lou Paris, Vanity Fair, BestForm, and Cherry Beach swimwear.

The lingerie brands were acquired by Fruit of the Loom in 2007 for $350 million from branded lifestyle apparel company VF Corporation . Fruit of the Loom has run them under the umbrella Vanity Fair Brands.

Perceva is interested in the brands because sales of luxury lingerie are strong in France, which leads the Euro-zone in per capita spending on women’s undergarments.

© 2015 David Mazor

Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future performance.

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Fruit of the Loom Marmon Group

Fruit of the Loom Finds Synergy with Sister Company Wells Lamont Industrial

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The term synergy, the positive results that come when businesses work together, is often promised in the creation of conglomerates, but is rarely achieved. Most often it is promised by investment bankers trying to get companies to merge, only to later prove to be a mirage when the actuality of the needs of separate operating units prove incompatible.

Even Small Synergies Make a Difference

Fortunately, for Berkshire Hathaway’s Fruit of the Loom and Wells Lamont Industrial companies the synergies are real and bring benefits to both units.

Wells Lamont Industrial, which operates as a part of Berkshire Hathaway’s Marmon Group, has struck a deal with Berkshire’s Fruit of the Loom to equip the employees in its production facilities with Wells Lamont gloves starting in 2015.

Wells Lamont Industrial manufactures a comprehensive selection of hand protection including cut resistant, heat resistant, general purpose, liquid/chemical resistant, leather gloves, and other types of gloves.

“As a Berkshire Hathaway company we look to support our sister companies and were thus introduced to Wells Lamont Industrial,” says Wendy Emmitt, Senior Manager of Safety for Fruit of the Loom. “We were so pleased to discover their hand and arm solutions were not only more cost effective, but were of the highest quality in the industry.

Whether cutting fabric, welding balancing beams, stitching footballs or handling logistics, we have thousands of employees that require gloves to keep their hands protected,” says Emmitt. “Having the guidance and support to ensure we use the right product for each job is critical and Wells Lamont Industrial has proven to be the right partner in making those decisions.”

Fruit of the Loom was acquired by Berkshire Hathaway in 2002, and the Marmon Group was acquired by Berkshire Hathaway in 2008.

© 2015 David Mazor

Disclosure: David Mazor is a freelance writer focusing on Berkshire Hathaway. The author is long in Berkshire Hathaway, and this article is not a recommendation on whether to buy or sell the stock. The information contained in this article should not be construed as personalized or individualized investment advice. Past performance is no guarantee of future results.