InterParfums and Burberry extend fragrance licence
The landmark Burberry range has been one of the leaders in InterParfums portfolio over the past few years and strong sales have been attributed to new launches under the name, including The Beat.
With the new agreement, the length of the licence has been extended to 31 December 2017 and the option to extend the license by five years beyond this, with the consent of both parties, becomes exercisable at 2015.
In addition, Burberrys right to buy the license has moved from December 2011 to 31 December 2012.
According to InterParfums SA, the extension allows more flexibility to further develop the projects already started by the two companies.
Burberry and InterParfums currently have a range of projects in various stages of development. The amendment provides the flexibility to execute current priorities while exploring ways to work together in the future, said CEO of InterParfums SA Philippe Benacin.
In addition, Benacin highlighted the Burberry beauty business, which was launched in the third quarter of 2010, as something that would now be expanded beyond its initial test phase.
Burberry cosmetics expected to contribute to 2011 results
The Burberry cosmetics line made a small contribution to sales for the third quarter when it was launched, and the company has since highlighted it as a venture hoped to contribute to a strong 2011 performance.
In November when the company announced its outlook for 2011, CEO of Inter Parfums Jean Madar highlighted the expansion of the line which is expected throughout 2011: With respect to Burberry Beauty, the color cosmetics collection, additional products will be rolled out throughout the year and distribution will be expanded by approximately 30 additional retail outlets.
