SB'S AT FOOTLOCKER or FOOTLOCKER SURF/SKATE SHOP???

[theafoot]

I was wondering if any one else has heard about footlocker possibly caring sbs in the future due to them buying out CCS.  From what i have heard they plan on opening up shops that cater to surfing and skateing   and caring the sbs  . What do you think/ feel??

A screen grab of the CCS homepage


Many of my readers in the skate industry emailed me about this news this morning. I've been out of the office all day and just now had a chance to get it up.
Here's the release:

Foot Locker, Inc. Signs Definitive Agreement to Purchase CCS from dELiA*s
Monday September 29, 8:30 am ET

• $102 Million Acquisition Expected to be Accretive to Foot Locker, Inc.'s Earnings in the First Full Year of Operation
• Closing expected within 60 days

NEW YORK, Sept. 29 /PRNewswire-FirstCall/ -- Foot Locker, Inc. (NYSE: FL - News), the New York-based specialty athletic retailer, today announced that it has signed a definitive agreement with dELiA*s, Inc. to purchase its direct-to-consumers business, CCS, for $102 million in cash. The transaction, which is expected to close within the next 60 days, is subject to certain closing adjustments and review under the Hart-Scott-Rodino Antitrust Improvements Act.

CCS is the leading direct-to-consumers retailer in the United States that sells skateboard footwear, apparel and accessories through catalogs and the Internet with revenues expected to exceed $80 million in 2009. The target customer of CCS is a teenaged boy who actively participates in the sport of skateboarding. CCS, founded in California in 1985, is currently managed by a strong merchant team located in New York City, led by Susan Van Arsdale who will remain with CCS as managing director.

"The impending purchase of CCS is in line with one of our strategic priorities -- pursuing the acquisition of athletic footwear and apparel retailers that are compatible with our existing portfolio of businesses," stated Matthew D. Serra, Chairman and Chief Executive Officer of Foot Locker, Inc.
"We believe that expanding our offerings in the skateboard category will allow us to broaden our appeal to the teenaged male, providing an exciting growth opportunity for our Company. The combination of the highly regarded CCS management team and our well-run Footlocker.com/Eastbay operation is expected to provide significant benefits to both businesses."

"Our Company's strong financial position enables us to complete this opportunistic transaction in a timely manner as an all-cash transaction," continued Mr. Serra. It is expected that the agreed upon acquisition will be accretive to Foot Locker, Inc.'s diluted earnings per share within the first full year of operation."

Barclays Capital is serving as the exclusive financial advisor to Foot Locker, Inc.

Foot Locker, Inc. is a specialty athletic retailer that operates approximately 3,700 stores in 21 countries in North America, Europe and Australia.

 

[justhotkicks]

Nike decides what goes where. This won't change anything.

 

[aj27526]

I would not be a fan

 

[theafoot]

justhotkicks wrote:

---

Nike decides what goes where. This won't change anything.

right but how may stores do they have?? Its the same reason they get restocks in limited shoes and colors that other stores don't carry b/c of how large of a company they are. They hold more than 50% of Nike sales.
  

 

[andown goes frasier]

Ccs don't have no stores didn't u read that? If u were talking bout footlocker where isn't 1?

 

[chronicshoester]

if sbs started being avalible at footlockers it would be the final nail on the coffin of sb
sad

 

[thunderchunk69]

Originally Posted by justhotkicks

Nike decides what goes where. This won't change anything.

QFT
I saw a ccs in the mall, they said Nike wont allow them to carry Sbs for the mall locations.

 

[verse001]

even if FL started carrying SB's, it'd prolly only be GR's
although i was talking to a skate shop owner that said that Nike was actually allowing them to be more selective with which of the GR stuff and apparel they could carry (they used to have to sell everything that was comin out of SB), not so much the QS's tho

 

[senordragon]

Meh, not that big of a deal, Nike SB division has been stale for a while so give them to the masses.

 

[eeibaby]

Only line that are saving the SB brand at the moment are Janoski's IMO

 

[passmethesoysauce]

Originally Posted by SenorDragon

Meh, not that big of a deal, Nike SB division has been stale for a while so give them to the masses.

AGREED.

Only place I would look to buy SB'S is nikesb.org.

 

[daffy 016]

^ I bet you got raped

 

[ll k r e a m 15 ll]

footlocker didnt do it just for sbs....

they wanted to buy ccs because the skate companies would not sell to footlocker directly...they went around it and bought ccs to be able to get their hands on other skate brands...the skate brands probly thought they would "sell out" being sold in footlockers

honestly this has little relevance to nike sb...its more for the bigger brands that wouldnt sell to FTL Inc.

 

[ll k r e a m 15 ll]

ccs is going to be the skateboard distributor like eastbay is the athletic distributor for FTL Inc...

 

[waveyjoneslocker]

I don't car

 

[ddddsmith]

Originally Posted by ll K R E A M 15 ll

footlocker didnt do it just for sbs....

they wanted to buy ccs because the skate companies would not sell to footlocker directly...they went around it and bought ccs to be able to get their hands on other skate brands...the skate brands probly thought they would "sell out" being sold in footlockers

honestly this has little relevance to nike sb...its more for the bigger brands that wouldnt sell to FTL Inc.

That actually makes a LOT of sense, thanks so much for clearing my confusion! Before reading your post, I was wondering why in the world Footlocker was shelling out 102 million for it.

I still don't understand why Footlocker can't get SBs from Nike. Is Nike that protective of the "exclusivity" of SBs?

 

[cowabungaxxx]

eh who cares. sb's been lacking for a while anyway.

 

[cadon23s]

footlocker and sbs do not go well together

 

[ll k r e a m 15 ll]

^ that is why...footlocker is a tech shoe store...runners, basketball, etc...champs and footaction are also their stores and cater to similar but also different markets, as most of us know...

footlocker probably will somehow integrate ccs and skate into their system but it takes time to do it in the right way...especially the right marketing to make it as successful as eastbay...

it will be interesting but dont expect a whole bunch of sbs just because of ccs...they barely get anything that exclusive...

 

[solezprogression]

Smart move on the part of footlocker.  I had no idea CCS was doing so well.

 

[dtb00201]

I was getting ccs back in like 1994. Those were the days lol.

 

[23mcpizzle23]

Originally Posted by ll K R E A M 15 ll

ccs is going to be the skateboard distributor like eastbay is the athletic distributor for FTL Inc...

yep

 

[nikefnhead]

^Ditto