Viva le Jones New York in Canada thanks to buyout
News of the recent acquisition by Grafton-Fraser Inc. (GFI) of Jones New York has resulted in transforming shock and disappointment into relief and joy by the staff and their customers at the Jones New York store located in the commercial centre of the Town of Brome Lake. It means that the Jones New York is alive and kicking.
Much has been happening with the Jones New York brand since the ladies at the Knowlton branch were advised in early 2015 that their store would be among 127 others closing down across North America. They were told that though the closing would not be immediate, to expect things to wind down by year-end of 2015. Though they remained positive that there would be good outcomes for each of them, they did live with a lot of uncertainty in terms of not really knowing what would be next. They had to accept the fact that they were one of 35 Canadian stores closing and thus affecting more than 400 employees.
That decision was taken following a performance review that revealed continued downward spiral of sales in the US stores even though the same could not be said for the Canadian stores which brought in profits, the Knowlton branch being no exception.
When the ladies at the Knowltonbased store caught wind in April that there was a buyer, they all tried to research who it might be. They were unable to figure it out. It was Authentic Brands Group (ABG). But as assistant manager at the Knowlton outlet said, “In the end, the deal with GFI happened quickly and for it to happen we had to hustle.” That meant working intensely long hours to get the details at their
store inventory to the perspective buyer. Manager Louise Vallée said that it was quite a feat because they were already overstocked because they had had to receive all the ordered stock from the warehouse prematurely. Grafton was about to not only buy the brand name, it was taking on all the stock, its employees, its leases, and real estate. Lock, stock and barrel.
Toronto-based Grafton Fraser Inc. is a leading Canadian retailer of men’s wear and has already been carrying the Jones New York brand. ABG, however, maintains control of the Jones New York brand worldwide.
With brand names such as Adreienne Vitani, Juicy Couture, Taryn Rose, Vision Street Wear, and the likes of many others, Authentic Brands Group touts themselves as “curators of world brands and building brand values and elevating brand perceptions.” It has a Canadian veteran retailer at the helm. Jamie Salter, who is currently working out of New York as chairman, CEO, and shareholder of Authentic Brands Group, is confident that with Grafton’s proven leadership and experience, the partnership between ABG and GFI will serve to grow the Jones New York footprint in Canada.
David McGregor, president and CEO of Grafton Fraser Inc., says that, “We are very excited to add Jones New York women’s clothing stores to our growing fashion retail portfolio. For more than two decades Jones New York has been a trusted fashion brand in Canada that women have looked to for its timeless elegance, great quality and style. We bring 100-plus years of experience to Canadian fashion retail, and see Jones New York as a perfect fit for Grafton.”
For the Town of Brome Lake it is a happy situation all around, declared Vallée. “We keep our jobs, and that we are a major drawing card to this town, our customers will continue to come and shop and eat here. We will continue to contribute to the economy. And our landlord doesn’t have to find a new tenant. The only thing that will change is our sign. We will remain Jones New York exclusively and it will still be there on the sign, but there will be a few minor changes in the wording. And the icing on the cake is that Grafton Fraser Inc. is 100 per cent Canadian. It’s truly a really big relief for everyone.”