24.24%
Wednesday, April 1, 2020
Volume 3, Issue No. 13

Grassroots, FFANY Cancel June Events

Two more industry events have joined the ranks of COVID-19 related closings. On Tuesday, the Fashion Footwear Association of New York announced it would not be holding June market week, originally planned for June 1 to 5, to concentrate on the August edition... Read the full story.

Eye on Running
RIA Survey Provides Key Insights on Run Specialty Channel

The longer the COVID-19 crisis lurches forward, the more likely U.S. run specialty shops will be challenged to generate higher year-over-year monthly sales. Some 29 percent of run specialty survey respondents projected “up to flat” year-over-year sales in April... Read the full story.

Covid-19: Links to Industry Resources

As the footwear industry grapples with the ongoing effects of the COVID-19 virus, we know you have questions about what the developments mean for your business, your employees and yourself. We’ve compiled a list of the industry resources to turn to for information...
Read the full story.

Duty Relief May Be Coming to Footwear Companies

Seven months after more than 200 U.S. footwear companies urged the Trump administration to cancel higher tariffs on their Chinese imports, some temporary relief may be on the horizon. Read the full story.

Chaco’s Lisa Kondrat Describes the Pivot to Making Masks

ReChaco is resetting. As of Monday, March 30, the Rockford, MI-based factory that creates custom footwear and repairs older footwear for Wolverine’s sandal brand is now in the medical mask-making business. Read the full story.

Brands Stepping Up Efforts to Battle COVID-19

Chaco isn’t the only brand joining the effort. Boston-based New Balance said it was producing face mask prototypes in its Lawrence, MA factory and hoped to scale production to include its other New England factories soon.
Read the full story.

IN THE NEWS
Shoe Carnival, Crocs, Columbia Sportswear, and More

Shoe Carnival senior executives declined to answer an analyst question about footwear vendors possibly extending dating on orders by 60 days during the company’s fourth-quarter conference call last week. Read the full story.

Covid-19 Coverage: Recommended Reads

Each week, we’ll be recommending pieces that address the larger picture on the COVID-19 challenge. This week’s article from The NPD Group: How COVID-19 is impacting consumer spending.
https://www.npd.com/wps/portal/npd/us/news/coronavirus

FOOTWEAR INSIGHT INDEX

The Dow posted its best week since 1938, and the INDEX exceeded its growth to snap a 12-week period as its laggard. There is green across the board as the 20 industry stocks posted a more than 24 percent increase for the week to improve its aggregate score to 98 from 79 last week, when the segment fell 6.5 percent during the reporting period. Fifteen of 20 entrants rose double-digits for the week, paced by Shoe Carnival, Crocs and Nike on a percentage basis. Still, the INDEX could face more troubles ahead given ongoing impacts from the COVID-19 pandemic. Among early shopping reads: NPD reported a 6 percent drop in average selling prices during the week ended March 14, led by apparel declines. And according to a Field Agent U.S. consumer survey, 70 percent are shopping less for attire in-store and 25 percent are shopping less for attire online. Of course, chain-wide closures aren’t helping the brick-and-mortar fortunes. DSW has placed 80 percent of its workforce on unpaid leave. Macy’s stores, closed since March 18, will remain closed until further notice with 125,000 associates being furloughed. Ditto Kohl’s, which no longer intends to re-open its doors today (April 1) and intends to temporarily lay off store and distribution center employees as CEO Michelle Gass forgoes her salary. Tough times for many today, but better times ahead. — Bob McGee 
The Footwear Insight Index tracks 20 of the most important publicly traded companies that have a substantial footwear business (6 retailers, 14 brands).
Index base of 100 is key to the closing prices of 12/29/17

INDEX: 98

24.24%

Weekly Review

Company name
(Ticker Symbol)

% Change over week
Price 03/23/20 • Price 03/30/20

ASICS Corp.
7936.T

33.66%

$7.10 • $9.49

Boot Barn
BOOT

4.78%

$11.93 • $12.50

Crocs
CROX

39.55%

$12.54 • $17.50

Designer Brands
DBI

5.88%

$5.10 • $5.40

Genesco
GCO

25.51%

$10.86 • $13.63

Mizuno
8022.T

27.87%

$14.03 • $17.94

Puma
PMMAF

29.90%

$47.33 • $62.00

Shoe Carnival
SKVL

49.63%

$16.04 • $24.00

Steve Madden
SHOO

5.97%

$21.59 • $22.88

VF Corp.
VFC

29.92%

$45.99 • $59.75

Company name
(Ticker Symbol)

% Change over week
Price 03/23/20 • Price 03/30/20

Adidas
addyy

18.91%

$96.73 • $115.02

Caleres
CAL

19.08%

$4.56 • $5.43

Deckers
DECK

22.38%

$113.69 • $139.13

Foot Locker
FL

23.22%

$18.22 • $22.45

GEOX
GEO.MI

8.11%

$0.74 • $0.80

Nike
NKE

35.96%

$62.80 • $85.38

Rocky Brands
RCKY

16.23%

$15.77 • $18.33

Skechers
SKX

18.78%

$20.66 • $24.54

Under Armour
UAA

18.73%

$8.06 • $9.57

Wolverine
WWW

9.61%

$14.46 • $15.85

TOTAL
Week over week

24.24%

$548.60 • $681.59

ARCHIVES - MArch 25, 2020

Covid-19: Links to Industry Resources

As the footwear industry grapples with the ongoing effects of the COVID-19 virus, we know you have questions about what the developments mean for your business, your employees and yourself. We’ve compiled a list of the industry resources to turn to for information and...
Read the full story.

Nike Holds ‘Playbook’ to Re-Energize Global Markets

In an increasingly digital, inside world prompted by the global spread of COVID-19, Nike senior executives say the company has formulated a strategy out of its business experience with the pandemic in China. Read the full story.

RIA Cancels In-Person 2020 KICK Show; Virtual Trade Show in the Works

Due to COVID-19, the Running Industry Association (RIA) has canceled the RIA KICK Show that was scheduled to take place in Denver on May 11-14.The RIA is currently formalizing plans to re-introduce the show in a digital format. Details will be released in April. Read the full story.

Vibram, Nike, HanesBrands Respond to COVID-19

Citing ongoing developments in Europe and the rest of the world, Vibram late last week decided to temporarily suspend production at its Albizzate, Italy facility for at least a week, and to close Vibram stores in Milan and Montebelluna, Italy and Boston. Read the full story.

Eye on Running
Adidas Will Commercialize FutureCraft.Loop in 2021

Current plans call for the Three Stripes to launch a second generation of Futurecraft.Loop, the 100 percent recycled performance running shoe concept, sometime next year after a current round of testing. Read the full story.

IN THE NEWS
Dick’s, Puma, Hibbett and More

Dick’s Sporting Goods footwear sales accounted for 21 percent of its FY19 revenues, or an implied $1,837.6 million, according to the company’s annual report. The total represents an 8.9 percent increase from the... Read the full story.