Warnaco CEO: 'Feeling Pretty Good' About Future
Despite rapidly rising gasoline prices in the U.S. and the "wildcard" of foreign exchange, Warnaco Chief Executive Joseph Gromek says he is "feeling pretty good about the future."
Warnaco , which owns the Speedo, Olga and Calvin Klein brands, has seen its shares rise more than 80 percent since the start of the year. In an interview with CNBC's Margaret Brennan, Gromek says he expects the momentum the company has seen to continue. (To watch the full interview, click here.)
"We're fortunate in that about 75 percent of our business is Calvin Klein products and more than half of our business comes from retailers outside the U.S.," Gromek says.
According to Gromek, department stores are talking about "everyday value."
"We are providing that," he says, explaining that products like Calvin Klein jeans, underwear and T-shirts are "the lowest common denominator" of designer fashion.
Gromek says the company continues to see strong growth in China, with revenue approaching the $100 million-mark in that region.
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"We're growing dramatically in China," he says. "We'll probably grow by 25% this year."
Gromek also does not expect that consumer demand will be snuffed out by $3-a-share gasoline.
"I think last year when we were marching toward $4 it was a very different thing," Gromek says. "At $3, there's probably some pain and suffering, but I think they will be out there shopping."
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