NexCen Announces Second Major Area Development Deal for The Athlete's Foot Since Announcing Rebranding Effort
Veteran Apparel Retailer Will Open TAF Stores in Mississippi
NEW YORK, NY--(Marketwire - September 13, 2007) - NexCen Brands, Inc. (NASDAQ: NEXC) ("NexCen")
announced today that a veteran apparel retailer has entered into a
definitive agreement with NexCen to open twenty of The Athlete's Foot (TAF)
franchises throughout the state of Mississippi. These TAF stores will be
the first in the state of Mississippi. Financial terms of the agreement
were not disclosed, but the arrangement calls for a minimum of 12 new TAF
stores to be opened within the next five years. Earlier this month, NexCen
announced the closing of a 100-store agreement with a master franchisee.
Both major expansion plans resulted from the TAF rebranding effort
announced by the parent company this past June at the TAF Global Franchise
Convention in Las Vegas.
"We are gratified and enthused that our rebranding effort for TAF has been
eagerly embraced by existing and new area developers. We look forward to
providing our new area developer with the marketing and operational
resources he needs to enable every one of his 20 stores to be the go-to
retailer for athletic footwear and apparel within its community," commented
Robert W. D'Loren, President & CEO of NexCen Brands, Inc. "NexCen is
continuously looking for new opportunities and markets in which to grow the
TAF brand globally and domestically, and now we can lay claim to the state
of Mississippi."
The entrepreneur inking the deal is an established apparel retailer who
seeks to broaden his current business through athletic and fashion
footwear. Under the deal, he is granted the exclusive rights to operate
premium athletic footwear and apparel stores under the TAF brand, as well
as the right to sub-franchise. He is expected to take advantage of this
opportunity to expedite TAF store development. The first TAF in
Mississippi is expected to open in December of 2007.
About The Athlete's Foot (www.theathletesfoot.com)
The Athlete's Foot® (TAF) is the world's first franchisor of athletic
footwear stores and is recognized today as the world leader in athletic
footwear franchising. Robert and David Lando opened the first The
Athlete's Foot store in 1971 in Pittsburgh, Pennsylvania. It was the first
athletic footwear specialty store of its kind in the United States. Soon
thereafter, TAF began franchising domestically, with the first franchise
store opening in Oshkosh, Wisconsin. The first international franchise
store opened in 1978 in Adelaide, Australia, the beginning of TAF's
expansion into over 45 countries. In June, 2007, NexCen Brands launched a
global re-branding effort for TAF. Plans for reinvigorating the 36 year-old
brand include an innovative new modular merchandising system, new in-store
design, a modernized company logo, and a line of TAF branded apparel.
About NexCen Brands, Inc. (www.nexcenbrands.com)
NexCen Brands, Inc. is the premier 21st century brand acquisition and
management company focused on assembling a diversified portfolio of
intellectual property-centric companies operating in the consumer branded
products and franchise industries. The Company owns, licenses, franchises
and markets a growing portfolio of consumer and franchise brands including
The Athlete's Foot®, Bill Blass®, MaggieMoo's®, Marble Slab
Creamery®, Pretzel Time®, Pretzelmaker® and Waverly®. The Company
licenses and franchises its brands to a network of leading retailers,
manufacturers and franchisees that includes every major segment of retail
distribution from the luxury market to the mass market in the U.S. and in
over 50 countries around the world, and consists of more than 1,500
franchised stores. NexCen, through its information technology and
franchisee support systems and advertising, marketing and public relations
team, markets its brands to continually drive greater consumer awareness
and brand equity for each of its brands. NexCen touches nearly every aspect
of a consumer's lifestyle from the food they eat to the furnishings in
their homes and the clothes and footwear they purchase.
Forward-Looking Statement Disclosure
This press release contains "forward-looking statements," as such term is
used in the Securities Exchange Act of 1934, as amended. Such
forward-looking statements include those regarding expectations for the
development of the new IP strategy business, expectations for the
performance of The Athlete's Foot. When used herein, the words
"anticipate," "believe," "estimate," "intend," "may," "will," "expect" and
similar expressions as they relate to the Company or its management are
intended to identify such forward-looking statements. Forward-looking
statements are based on current expectations and assumptions, which are
subject to risks and uncertainties. They are not guarantees of future
performance or results. The Company's actual results, performance or
achievements could differ materially from the results expressed in, or
implied by, these forward-looking statements, including the estimates and
expectations regarding future revenues and operating margins contained in
this press release. Factors that could cause or contribute to such
differences include: (1) we may not be successful in implementing the new
IP strategy, (2) we may not be successful in operating or expanding The
Athlete's Foot or integrating the acquisitions into our IP business
strategy, (3) risks associated with marketing and franchising our acquired
trademarks and with successfully developing, marketing, licensing or
franchising new products or concepts particularly in light of rapidly
changing market trends (4) risks associated with the ability of franchisees
to successfully market and sell under the Athlete's Foot trademarks, and
(5) other factors discussed in our filings with the Securities and Exchange
Commission. NexCen undertakes no obligation to update or revise any
forward-looking statements, whether as a result of new information, future
events or otherwise.
Contact Information: Media Contact:
Susan Goodell
Warschawski
410.367.2700 ext. 25
Investor Relations Contact:
Jeffrey Goldberger
KCSA Worldwide
212.816.1249