• Burberry walk away from Inter Parfums

    Talks between Burberry and Inter Parfums regarding the their licensing agreement have ended, with Burberry to pull out of the agreement at the end of the year. As previously reported, Burberry will buy out the license rights for €181 million ($220 million).
    Inter Parfums have produced Burberry fragrances since 1993, and the Burberry license is said to account for half of all Inter Parfums' net profits.

    Jean Madar, Chairman & CEO of Inter Parfums, Inc. commented, "Given our many strengths, we are confident in our outlook as we enter a new phase in our history. Based on current growth rates for all of our portfolio's brands, our preliminary full-year sales target for 2013 may reach approximately $400 million at current exchange rates."

    Burberry have said they would "continues to pursue various strategic options to develop fully its fragrance and beauty business in the future."

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    Comments 4 Comments
    1. MysteryBuff40's Avatar
      MysteryBuff40 -
      Hmm, wonder what led to the end of this collaboration. Is Burberry getting serious about creating high quality fragrances? Probably too much to hope.
    1. Oaksbluff's Avatar
      Oaksbluff -
      It is interesting. Perhaps Burberry looks to pursue a flanking line of higher-end fragrances (Exclusifs, Private Blend, etc), and to do so with someone else holding the license would be a foolish move.
    1. kccparis's Avatar
      kccparis -
      (Burberry license is said to account for half of all Inter Parfums' net profits OOOpps 50% of your nett profit walks out the door but with a windfall 2012 of 181 million euro - then to keep the market calm announce that your on target for fulll year sales target for 2013 DREAMER ?????? 2012 you unexpectedly lose your major account in 2012 which accounts for 50% of your profits. You get an extraordinary revenue (buy back rights) a totally unexpected 181 million added to your books for 2012 and you have they have the balls to say they are already on target for 2013??????
      Am I the dumb one? Have I missed something?
    1. scentimus's Avatar
      scentimus -
      I think the whole Burberry Body debacle was the last straw along with Beat money was sunken in for these fragrance and they failed fast. Inter has gone down hill in years. The Body fragrance was so weak smelling that not even in two months they had to launch a edp flanker intense and still that didn't help a sinking ship.