Fossil, Inc.

From Wikipedia, the free encyclopedia
  (Redirected from Fossil, Inc)
Jump to: navigation, search
Fossil, Inc.
Type Public
Traded as NASDAQFOSL
S&P 500 Component
Industry Recreational Goods
Founded 1984
Founders Tom Kartsotis[1]
Headquarters Richardson, Texas, United States
Number of locations 364[2]
Key people Tom Kartsotis, Chairman
Kosta N. Kartsotis, CEO
Michael Barnes , COO
Dennis R. Secor , CFO
Products Watches, Jewelry, Clothing, Wallets,
Revenue
  • Increase US$ 3,259.971 million (2013) [3]
  • Increase US$ 2,857.508 million (2012) [3]
Operating income
  • Increase US$ 561.596 million (2013) [3]
  • Increase US$ 488.84 million (2012) [3]
Net income
  • Increase US$ 378.152 million (2013) [3]
  • Increase US$ 343.401 million (2012) [3]
Total assets
  • Increase US$ 2,230.414 million (2013) [4]
  • Increase US$ 1,841.989 million (2012) [3]
Total equity
  • Decrease US$ 1,075.367 million (2013) [4]
  • Increase US$ 1,240.464 million (2012) [4]
Employees 10,500 (2010)[5]
Website fossil.com

Fossil, Inc. is an American designer and manufacturer of clothing and accessories, primarily watches and jewelry, but also sunglasses, wallets, handbags, belts, shoes and clothing, based in Richardson, Texas, United States. Their brands include Fossil, Relic, Abacus, Michele Watch, Skagen,[6] and Zodiac Watches.

Fossil also makes watches for brands such as Adidas, Emporio Armani, Karl Lagerfeld, Michael Kors, Marc by Marc Jacobs, Burberry, DKNY, Diesel and Armani Exchange.

Two brothers, Tom Kartsotis and Kosta Kartsotis, own approximately 30% of Fossil stock. The company name represents the nickname the brothers had for their father.[7]

Company history[edit]

Fossil was founded in 1984 as Overseas Products International by Tom Kartsotis, a former Texas A&M University student living in Dallas from a suggestion by his older brother, Kosta Kartsotis, a merchandising executive at Sanger Harris. Kosta told his younger brother about the potential large profits that could be made in importing retail goods made in the Far East, specifically in importing moderately-priced fashion watches.[1] Their main product was fashion watches with a retro look. In 1990, they introduced leather goods under the Fossil brand, and the Relic line of watches.

Fossil had an IPO in 1993.[1][8]

Zodiac was a Swiss brand that had been operating since 1882 when Fossil acquired it from Genender International in 2001 for $4.7 million.[9] Fossil's desire to establish a Swiss presence led to the purchase of the Zodiac Watch brand and a complete retooling of that line to reflect a retro modern 1970s style in a higher end watch. The 2004 purchase of Michele Watch completed the cycle by offering a high-end Swiss watch with a designer flair.

In September 2007, Fossil was accused of infringing a patent owned by Financial Innovations Systems, LLC, in a lawsuit filed in the Northern District of Texas. The case was settled for an undisclosed amount and dismissed shortly thereafter.[10]

Fossil has manufacturing facilities in China and Switzerland and distribution centers in Dallas, Germany, and Asia.[11]

In 2012 Fossil, Inc. agreed to purchase Skagen Designs, Ltd. and some of its partners for approximately $225 million in cash and 150,000 Fossil shares. The total value paid by Fossil would be approximately $236.8 million.[6][12]

In early 2013, Fossil introduced their upscale and more expensive "Fossil Swiss" line of watches which are made in Switzerland.[13][14]

License business[edit]

Fossil has financial success with its own brands and this success has led a number of deals for licensed watch lines. In 2001, Fossil collaborated with designer Philippe Starck to create the Starck with Fossil watch collection. The collection features ultra-modern designs and unique movement. Other licensed watch lines that Fossil designs, manufactures, and distributes include Burberry, DKNY, Emporio Armani, Armani Exchange, Columbia Sportswear, Diesel, Frank Gehry, Karl Lagerfeld, Michael Kors, Callaway Golf, Davis Cup, Marc Jacobs, Skagen Designs, Michele and Adidas. When referencing Fossil's watch lines, they are generally regarded as a "manufacturer"; Fossil also designs and manufacture their own movements under the Fossil Twist Line.[15]

Special products[edit]

The Fossil Wrist PDA released in 2003, which runs Palm OS.

In addition, the company produces collectibles, some of which are based on popular films or pop culture characters. Previous designs include: Superman, Batman, Wonder Woman, Elvis Presley, Pirates of the Caribbean, Flash, Green Lantern, Snoopy, Pokémon, Star Wars, Chronicles of Narnia, Cars and The Matrix.

In 2003, the company released the "Fossil Wrist PDA" wristwatch computer which is a tiny Palm OS-based PDA worn like a watch. In 2006, Fossil released a Caller ID watch.[16]

In 2006, Fossil teamed up with the National Football League in the United States to make the official watch collection for each team.[17] Fossil also caters to special markets that seek to customize products.[18]

Awards[edit]

Fossil won awards for "Most Effective Use of Online Creative" and "Best of Show" awards for the 6th Annual DFWIMA Excellence in Interactive Marketing (in 2006).[19]

References[edit]

  1. ^ a b c "Fossil Company History", Funding Universe
  2. ^ Fossil 2010 Annual Report
  3. ^ a b c d e f g "Fossil Group, Inc. 2013 Annual Report Form (10-K)" (XBRL). United States Securities and Exchange Commission. February 26, 2014. 
  4. ^ a b c "Fossil Group, Inc. 2014 Q1 Quarterly Report Form (10-Q)" (XBRL). United States Securities and Exchange Commission. May 15, 2014. 
  5. ^ "Profile: Fossil", Hoover's
  6. ^ a b Thompson, Steven R., "Fossil to acquire accessory maker for $225M", Dallas Business Journal, Tuesday, January 10, 2012
  7. ^ McHugh, Josh, "Wrist-Top Revolution: How fashion watchmaker Fossil teamed up with Microsoft and Palm to change the face of wearable computing", Wired, Issue 11.04, April 2003
  8. ^ Wood, Sean, "Watchmaker Plans IPO to Fund Acquisitions, Expansion", Dallas Business Journal, February 7, 1992, p. 3.
  9. ^ "QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 : For the quarterly period ended: October 6, 2001"
  10. ^ "Docket: Defendant: Fossil Inc"
  11. ^ Halkias, Maria, "Fossil watches empire grow: Popular company marks 20th year", The Dallas Morning News, January 8, 2005
  12. ^ "Fossil to acquire accessory maker for $225M", Yahoo! Finance, Zacks Equity Research, Wed, January 11, 2012
  13. ^ "Introducing Fossil Swiss", Fossil corporate blog, February 2013.
  14. ^ Steigrad, Alexandra, "Fossil Adds Swiss Men's Watches", Women's Wear Daily, February 7, 2013
  15. ^ FOSSIL Watches, Handbags, Wallets & Clothing: About
  16. ^ Segan, Sascha, "Fossil To Sell Caller ID Watch", PC Magazine, September 28, 2006
  17. ^ "Fossil to make NFL watch". 2006-10-04. 
  18. ^ "Fossil Special Markets Division", Fossil corporate
  19. ^ "Excellence in Interactive Marketing Awards (EIMA)", DFW Dallas-Fort Worth Interactive Marketing Association

Further reading[edit]

External links[edit]

Coordinates: 32°58′47″N 96°42′09″W / 32.9798°N 96.7025°W / 32.9798; -96.7025