Tailored Brands

Last updated

Tailored Brands, Inc.
Type Private
Industry Retail
Founded1973 (as Men's Wearhouse)
Founder George Zimmer
Headquarters
Houston, Texas
,
U.S.
Number of locations
1,450 (Feb. 2020) [1]
Area served
United States
Canada
Key people
Bob Hull and Peter Sachse (interim co-CEOs) [2]
ProductsMen's clothing, footwear, tuxedo rentals and suit pressing
RevenueDecrease2.svg US$ 2.881 billion (2019) [1]
Decrease2.svg US$ 97.84 million (2019) [1]
Decrease2.svg US$−82.28 million (2019) [1]
Total assets Increase2.svg US$ 2.219 billion (2019) [1]
Total equity Decrease2.svg US$−98.31 million (2019) [1]
Number of employees
19,300 (Feb. 2020) [1] [2]
Subsidiaries JoS. A. Bank Clothiers
Men's Wearhouse
Moores
K&G Fashion Superstore
Website www.tailoredbrands.com
Men's Wearhouse in Miamisburg, Ohio Mens Wearhouse Miamisburg OH USA.JPG
Men's Wearhouse in Miamisburg, Ohio

Tailored Brands, Inc. is an American retail holding company for various men's apparel stores, including the Men's Wearhouse and Jos. A. Bank brands. [3] The company is headquartered in Houston, Texas, with additional corporate offices in Dublin, California and New York, New York. [4]

Contents

History and operations

Tailored Brands, Inc. was created in January 2016 when Men's Wearhouse reorganized as a holding company and changed its ticker symbol from MW to TLRD. [3] The company operates Men's Wearhouse, Men's Wearhouse & Tux, K&G Superstores (an off-price retail chain), Moores Clothing for Men (a Canadian chain of men's clothing stores), Twin Hill (a provider of corporate uniforms), and Jos. A. Bank.

Men's Wearhouse in Saugus, Massachusetts Mens Warehouse.jpg
Men's Wearhouse in Saugus, Massachusetts

Tailored Brands's predecessor, Men's Wearhouse, was founded in 1973 by George Zimmer as a retail men's clothing store. The business had grown to 100 stores by the time it held an IPO in 1992, raising $13M. [5] Zimmer turned Men's Wearhouse into an industry consolidator, acquiring numerous competitors throughout his tenure leading the firm. In 1997, it purchased, then liquidated, the bankrupt Kuppenheimer chain. [6]

Men's Wearhouse notably ran television and radio commercials featuring Zimmer, and the oft-repeated slogan, "You're going to like the way you look; I guarantee it." [7] According to Business Week , Men's Wearhouse targets the common man, with "the neatly displayed clothes in Zimmer's stores [being] designed to cater to the unpretentious guy who wants to do as little as possible to maintain his wardrobe." [8]

On November 17, 2006, Men's Wearhouse acquired After Hours Formalwear, a clothier specializing in black tie formalwear, from Federated Department Stores, the parent company of department store company Macy's. After Hours Formalwear was originally rebranded MW Tux, but has now been rolled up under the Men's Wearhouse brand. The formalwear group within Men's Wearhouse specializes in tuxedo rentals for men and boys for black tie events.

In 2009, Men's Wearhouse became a major sponsor of the United Football League and continued to sponsor the league in 2010. In that same year, the company acquired the trade and assets of Alexandra plc, which was in administration and Dimensions Corporatewear to develop its presence in Europe.[ citation needed ]

In 2013, the company acquired the Joseph Abboud brand to its lineup. [9]

"You're gonna like the way you look. I guarantee it." Men'slogog.png
"You're gonna like the way you look. I guarantee it."

On June 19, 2013, the company dismissed founder and Executive Chairman George Zimmer for undisclosed reasons. [10] The company later stated that Zimmer was dismissed due to "difficulty accepting the fact that Men's Wearhouse is a public company with an independent board of directors and that he has not been the chief executive officer for two years. He advocated for significant changes that would enable him to regain control." [11]

Acquisition of Jos. A. Bank

In October 2013, Men's Wearhouse received a $2.4 billion acquisition offer from smaller rival Jos. A. Bank. [12] Men's Wearhouse countered with an offer of its own, which sparked a five-month takeover battle between the two menswear retailers. After Jos. A. Bank rejected the initial counteroffer, Men's Wearhouse announced that it would increase its all-cash bid if Jos. A. Bank revealed limited financial information and entered into negotiations. [13] In an attempt to dilute shares and become too large for Men's Wearhouse to purchase, Jos. A. Bank agreed to acquire the men's outdoor clothing company Eddie Bauer for $825 million. [14] Men's Wearhouse immediately responded by filing a lawsuit to block the proposed acquisition, which was expedited by Delaware Judge J. Travis Laster." [15] The lawsuit required Jos. A. Bank to disclose documents relating to the deal and prevented it from closing the deal without giving Men's Wearhouse 10 days' notice.

On November 12, 2013, Ricky Sandler, CEO of Eminence Capital LLC, published a letter he sent to Men's Wearhouse CEO Douglas Ewert discussing a merger with Joseph A. Bank Clothiers Inc. [16] On November 15, 2013, Joseph A. Bank Clothiers Inc. withdrew "its all-cash proposal to purchase Men's Wearhouse for $48 a share after its self-imposed November 14 deadline". [17]

In March 2014, Men's Wearhouse reached an agreement to acquire Jos. A. Bank for $1.8 billion, on the condition that it dropped its acquisition bid for Eddie Bauer. [18] A Federal Trade Commission investigation into the deal concluded in May 2014, concluding that the merger was "not likely to harm consumers"; the completion of this investigation was required for the merger to go forward. [19]

Tailored Brands filed for bankruptcy due to the coronavirus pandemic and its 1.4 billion dollar long term debt load on August 2, 2020, [20] after announcing a few weeks earlier that they would close around 500 locations. [21]

Related Research Articles

<span class="mw-page-title-main">Macy's, Inc.</span> American department store holding company

Macy's, Inc. is an American holding company of department stores. Upon its establishment, Federated held ownership of the regional department store chains Abraham & Straus, Lazarus, Filene's, and Shillito's. Bloomingdale's joined Federated Department Stores the following year. Throughout its early history, frequent acquisitions and divestitures saw the company operate a number of nameplates. In 1994, Federated took over the department store chain Macy's. Despite a long history of preserving regional nameplates, with the acquisition of The May Department Stores Company in 2005, they were retired and replaced by the Macy's and Bloomingdale's brands nationwide by 2006. Ultimately, Federated itself was renamed Macy's, Inc. in 2007.

<span class="mw-page-title-main">Macy's</span> American department store chain

Macy's is an American department store chain founded in 1858 by Rowland Hussey Macy. It has been a sister brand to the Bloomingdale's department store chain since being acquired by Cincinnati-based holding company Federated Department Stores in 1994, which renamed itself Macy's, Inc. in 2007. It is the largest department store company by retail sales in the United States as of 2015.

<span class="mw-page-title-main">JCPenney</span> American department store chain

Penney OpCo LLC, doing business as JCPenney and often abbreviated JCP, is an American department store chain that operates 664 stores across 49 U.S. states and Puerto Rico. Departments inside JCPenney stores include Men's, Women's, Boys', Girls', Baby, Bedding, Home, Fine Jewelry, Shoes, Lingerie, JCPenney Salon, JCPenney Beauty, as well as leased departments such as Seattle's Best Coffee, US Vision optical centers, and Lifetouch portrait studios.

<span class="mw-page-title-main">Eddie Bauer</span> American retail company

Eddie Bauer, LLC is an American clothing store chain headquartered in Seattle, Washington. Eddie Bauer sells its merchandise via retail stores, outlet stores, and online and via phone, with a call center in Groveport, Ohio. Its flagship store is in Bellevue at Bellevue Square. In addition to the three sales channels, the company operates a distribution and fulfillment center in Groveport, Ohio; an IT facility in Westmont, Illinois; and a distribution center in Vaughan, Ontario. Eddie Bauer is also a minority participant in joint ventures in Japan and Germany that include retail stores, catalogs, and websites. The company also selectively licenses the Eddie Bauer brand name and logo for various products sold through other companies including eyewear, furniture, bicycles, and, up until the 2010 model year, upper level versions of Ford Motor Company's Bronco, Explorer, Expedition and Excursion SUVs.

American Eagle Outfitters, Inc. is an American clothing and accessories retailer headquartered at SouthSide Works in Pittsburgh, Pennsylvania. It was founded in 1977 by brothers Jerry and Mark Silverman as a subsidiary of Retail Ventures, Inc., a company that also owned and operated Silverman's Menswear. The Silvermans sold their ownership interests in 1991 to Jacob Price of Knoxville, Tennessee. American Eagle Outfitters is the parent company of Aerie and Todd Snyder.

George Zimmer is an American businessman. He is the founder, former executive chairman (1973–2013) and former CEO (1973–2011) of the Men's Wearhouse, a clothing retailer with more than 1,200 stores in the US and Canada, under the brands Moores, Men's Wearhouse and K&G Superstores. After leaving his executive position with the company, he continued as the company's spokesperson, until he was fired in June 2013. Zimmer is now the founder, chairman, and CEO of Generation Tux, an online tuxedo and suit rental platform, and zTailors, a national network of on-demand tailors for men and women.

MW Tux was a division of Men's Wearhouse clothier that specialized in the renting of tuxedos and formal wear for men. In late 2008, the MW Tux Brand was rolled up into the Men's Wearhouse brand, and ceased being an independent brand.

Forever 21 is a multinational fast fashion retailer headquartered in Los Angeles, California, United States. Originally founded as the store Fashion 21 in Highland Park, Los Angeles in 1984, it is currently operated by Authentic Brands Group and Simon Property Group, with about 540 outlets.

<span class="mw-page-title-main">Moores</span> Canadian mens clothing company

Moores the Suit People, Corp. is a Canadian company specializing in business clothing and formalwear for men. It is an affiliate of Men's Wearhouse in the United States.

Grafton Apparel Ltd. is a leading Canadian seller of men's apparel. Grafton Apparel Ltd. operates through its retail chains, Tip Top Tailors, George Richards Big and Tall, Mr. Big & Tall, and Kingsport Clothiers, which are located coast to coast in Canada. The company's leading competitor is Men's Wearhouse's Moores.

<span class="mw-page-title-main">Jos. A. Bank</span> American mens clothing retailer

Jos. A. Bank is an American retailer of men's furnishings specializing in suits. Established in 1905, by Charles Bank and Joseph Alfred Bank, it operates over 180 retail locations, three distribution centers, and seven tailoring centers. The company is headquartered in Fremont, California. Its parent company, Tailored Brands, also owns K&G Fashion Superstores, Men's Wearhouse, and Moores Clothing for Men in Canada.

B.U.M. Equipment, a clothing brand under the ownership of BUM Equipment LLC, is a street fashion clothing company that was founded in 1986 in a Seattle garage. The brand is known for its beginning as a Los Angeles casual sportswear brand for men, women, and children. The brand had financial troubles in the mid-1990s under the management of the original owner, Chauvin International, Ltd. It went bankrupt in 1996 and was acquired by the creditors of B.U.M. International Inc. and managed by SOS Management in 1997. SOS Management, and its successor B.U.M. Equipment LLC, subsequently relaunched B.U.M. Equipment. The brand's fashion lines include men's, women's, junior's, and children's sportswear apparel, as well as hosiery, footwear, backpacks, handbags, luggage, and eyewear. According to the LA Times, B.U.M. Equipment is "one of the most successful young men's sportswear brands in California fashion history."

<span class="mw-page-title-main">Hart Schaffner Marx</span> American menswear manufacturer

Hart Schaffner Marx is an American manufacturer of ready-to-wear menswear owned by New York–based Authentic Brands Group. With origins dating to a family business in 1872 Chicago and incorporated in 1911 as "Hart Schaffner & Marx", the company is now located in Des Plaines, Illinois.

<span class="mw-page-title-main">Kuppenheimer</span>

B. Kuppenheimer & Co., or simply Kuppenheimer, was a men's clothing manufacturing and retail operation based in Chicago, Illinois and later Atlanta, Georgia.

Randa Apparel & Accessories is a manufacturer, distributor, and marketer of men's, women's, and children's clothing and apparel, belts, wallets, neckwear, neckties, jewelry, slippers, hats, gloves, and leather goods.

Tommy Hilfiger B.V., formerly known as Tommy Hilfiger Corporation and Tommy Hilfiger Inc., is an American clothing brand, manufacturing apparel, footwear, accessories, fragrances and home furnishings. The company was founded in 1985, and the brand's merchandise is sold in department stores and over 2000 free-standing retail stores in 100 countries. In 2006, private equity firm Apax Partners acquired the company for approximately $1.6 billion. In March 2010, PVH Corp. bought the company. Daniel Grieder was appointed CEO in July 2014, while founder Tommy Hilfiger remains the company’s principal designer, leading the design teams and overseeing the entire creative process. Global sales in retail through the brand were US $6.4 billion in 2013, and $6.7 billion in 2014.

<span class="mw-page-title-main">Mark's</span> Canadian clothing and footwear retailer

Mark's is a Canadian clothing and footwear retailer specializing in casual and industrial wear. Beginning in 1977 as Mark's Work Wearhouse in Calgary, Alberta, it evolved from an industrial accessories dealer to a men’s casual and industrial wear retailer. The company operates over 380 stores across Canada and has been a subsidiary of Canadian Tire since 2002.

<span class="mw-page-title-main">Anderson-Little</span>

Anderson–Little was an American clothing manufacturer and retailer of the 20th century, particularly of men's suits. It operated in the eastern United States, and in New England in particular.

<span class="mw-page-title-main">Generation Tux</span>

Generation Tux is an online suit rental company headquartered in Louisville, Kentucky. Founded by Men's Wearhouse founder and former CEO George Zimmer, its primary business is the rental and delivery of suits, tuxedos, and other formalwear accessories by mail.

C&R Clothiers was a large chain of men's suit and furnishings stores based in Culver City, California. As of 1990 it had 67 stores across California. The chain dates back to 1948.

References

  1. 1 2 3 4 5 6 7 "Inline XBRL Viewer".
  2. 1 2 "Tailored Brands". Fortune. Archived from the original on February 28, 2019. Retrieved June 15, 2020.
  3. 1 2 Men's Wearhouse Announces New Holding Company: Tailored Brands, Inc.
  4. ↑ "company-information". tailoredbrands.com/company-information. Archived from the original on August 18, 2020. Retrieved June 18, 2019.
  5. ↑ The History of Men's Wearhouse
  6. ↑ "Men's Wearhouse to liquidate remaining Kuppenheimer stores", Atlanta Business Chronicle , March 4, 1997.
  7. ↑ "Zimmer no longer there to". tribunedigital-chicagotribune. Retrieved May 12, 2016.
  8. ↑ Lee, Louise. "Spiffing Up Men's Wearhouse", BusinessWeek , November 1, 2004.
  9. ↑ Men's Wearhouse to Acquire Iconic American Designer Brand
  10. ↑ "Men's Wearhouse Fires Founder; He Fires Back". CNBC . June 19, 2013.
  11. ↑ Kaplan, David. "Men's Wearhouse explains why it canned Zimmer." Houston Chronicle . June 25, 2013. Retrieved on June 25, 2013.
  12. ↑ "Men's Wearhouse rejects $2.4 billion bid from Jos. A. Bank". CNN Money. October 9, 2013. Retrieved April 28, 2014.
  13. ↑ "Men's Wearhouse Adds Fiery Lawsuit, More Money to Takeover Fight". Bloomberg.com. Bloomberg Businessweek. February 24, 2014. Archived from the original on March 2, 2014. Retrieved April 28, 2014.
  14. ↑ "Jos. A. Bank agrees to buy Eddie Bauer". CNN Money. February 14, 2014. Retrieved April 28, 2014.
  15. ↑ "Judge Expedites Men's Wearhouse Lawsuit". New York Times Dealbook. February 26, 2014. Retrieved April 28, 2014.
  16. ↑ Karr, Arnold J. (November 12, 2013). "Men's Wearhouse Open to Jos. A. Bank Talks, Investor Says". WWD. Retrieved November 12, 2013.
  17. ↑ Palmieri, Jean E. (November 17, 2013). "Jos. A. Bank Withdraws Bid for Men's Wearhouse – WWD". WWD. Retrieved May 12, 2016.
  18. ↑ Jayakumar, Amrita (March 11, 2014). "Men's Wearhouse finally buys Jos. A. Bank". The Washington Post .
  19. ↑ Briggs, James (May 30, 2014). "FTC gives green light to $1.8B Jos. A. Bank, Men's Wearhouse merger". Baltimore Business Journal .
  20. ↑ "Men's Wearhouse, Jos. A. Banks parent Tailored Brands files for bankruptcy: Report".
  21. ↑ "Tailored Brands is closing 500 stores". CNN . July 21, 2020.


This page is based on this Wikipedia article
Text is available under the CC BY-SA 4.0 license; additional terms may apply.
Images, videos and audio are available under their respective licenses.