development of our largest brands.”
In other news, InterPafums USA entered into an agreement to acquire certain
assets of the fragrance division of Oscar de
la Renta, LLC, the internationally renowned
fashion house. Terms were not disclosed at
Simultaneously, the firms entered into
a worldwide and exclusive licensing agreement to create, produce and distribute perfumes and cosmetics under the Oscar de la
Renta brand. Financo LLC acted as the financial advisor to Inter Parfums, USA, LLC
in connection with this transaction.
The acquisition is expected to be completed by Dec. 2, 2013, when Inter Parfums
will take over production and distribution
of the existing Oscar de la Renta fragrance
collections, which have been operated in-house at Oscar de la Renta since 2009 when
the firm reached an agreement to terminate
their license agreement with L’Oréal.
Upon completion of the acquisition,
Oscar de la Renta, LLC will no longer dircet-ly operate a fragrance and beauty division.
Record Q3 at Nu Skin
•Driven by strong demand for prod-
ucts in its AgeLOC franchise, Nu Skin
Enterprises, Inc. reported record third-quarter results with revenue of $927.6
million, a 76% increase over the prior-year
period. Revenue was negatively impacted
3% by foreign currency fluctuations.
Additionally, the company announced
that it is significantly increasing its full-year 2013 revenue guidance to $3.18 billion to $3.21 billion. The new guidance
includes a projected negative currency impact of 4% for the year.
“We are extremely pleased with our
third-quarter results,” said Truman Hunt,
president and chief executive officer. “The
momentum we have established in the
first half of the year has accelerated as
we posted gains throughout the world,
with particularly impressive results in the
Greater China and South Asia/Pacific regions, as well as South Korea.
US Economy Keeps
Rolling, Says ACC
•The pendulum that is the US economy
remains on the upswing, according to
the American Chemistry Council’s (ACC)
monthly Chemical Activity Barometer
The economic indicator, shown to lead
US business cycles by an average of eight
months at cycle peaks, increased 0.1%
over July on a three-month moving average (3MMA) basis, marking its fourth
consecutive monthly gain.
The barometer is now up 3.8% over
a year ago, the largest year-over-year increase since September 2010. The index itself is at its highest point since June 2008.
Prior CAB readings for March through July
were all revised.
“As we approach the fourth quarter, the
US economy seems to be making strides,
compared to the baby steps of earlier in the
year,” said Dr. Kevin Swift, chief economist
at the American Chemistry Council. “The
Chemical Activity Barometer is showing
a strengthening of year-over-year growth
and suggests an economy which finally
may be gaining momentum,” he added.
While some other economic indicators
continued to paint a mixed picture, Swift
pointed to solid fundamentals in the housing market, confirmed by further gains in
construction-related plastic resins, coatings, pigments and other chemistry, all
suggesting the recovery in housing will
continue. Similarly, production of plastic
resins used in consumer and institutional
applications is growing at a strong pace.
Chemical equities continued to outperform the benchmark S&P 500, and inventory balances as well as future orders
were improved, offering further bright
spots in the index.
The Chemical Activity Barometer is a
leading economic indicator derived from a
composite index of chemical industry activity.
It was developed by the economics department at the American Chemistry Council.
News at Lonza
•Although corporate sales fell 11% in
the second quarter to $1.8 billion, Lonza
executives said there was good news to
report in the recently concluded period.
According to Lonza, specialty ingredients
delivered a good performance, with substan-
tially increased profitability in nearly all sub-
segments and in total. Positive developments
such as the very strong demand for the ag-
rochemical offerings, the good demand for
high-performance products as well as the
successful conclusion of the Arch integration
balanced the significantly lower revenues in
the recreational water business where the
cold and rainy weather led to a record low in
the first six months, after a record high for the
same period in the prior year.
Sales Slip at Blyth
•Blyth, Inc. posted a 32% decrease in
net sales for the three months ended June
30, 2013 to $211.7 million. According to
the company, this is primarily due to lower
sales at ViSalus and, to a lesser extent, at
PartyLite; while Miles Kimball reported a
“We continue to see evidence that focus-
ing on direct-to-consumer sales is the right
strategy for Blyth and that our investments
in technology are a critical underpinning to
that strategy,”said Robert B. Goergen, chair-
man and CEO. “For example, at PartyLite,
where we’ve been selling candles and
home decor products profitably for 40 years
through the traditional party plan model,
our technology investments are helping
PartyLite consultants grow their businesses
by making it easier to do business with
PartyLite through online shopping, con-
sultant websites and direct-to-customer
Blyth is banking on PartyLite to fuel future sales.