The international expansion plans of leading fashion retailer,
American Eagle Outfitters Inc.
), continue to gain pace as it takes another step forward towards
growing internationally, after making its presence felt in Israel,
Japan and the Middle East. The company now targets to capture the
strong and promising Philippines market.
Yesterday, American Eagle entered into a multi-year retail license
agreement with the Suyen Corporation, a retailer and franchisee
that has a large customer base and operates numerous stores for
various brands in Philippines. Suyen has about 744 variety stores
as well as 126 franchised stores in the country.
Per the deal, Suyen will open both American Eagle stores as well as
Aerie shops within existing stores throughout the country. The
company expects to inaugurate its first Philippines store in spring
American Eagle envisions immense potential for business expansion
in Philippines, given its growing economy and the demand for
popular fashion and American brands among Filipino customers.
In an effort to increase its international presence, American Eagle
had opened stores in Israel and Japan earlier this year.
Additionally, the company strengthened its footprint in the Middle
East by expanding the scope of its business that was launched in
Looking ahead, the company expects to bolster its presence in about
13 international locations by the end of 2012. The company also
targets shipping to 77 international countries by year-end 2012.
Headquartered in Pittsburgh, Pennsylvania, American Eagle is a
leading retailer that operates under the American Eagle Outfitters,
'aerie' and 77Kids brands. The offerings of the company's core
American Eagle Outfitters brand include jeans, cargo pants, and
graphic T-shirts, as well as a collection of accessories,
outerwear, and footwear for people within the ages of 15 to 25.
American Eagle, which competes with
Abercrombie & Fitch Co.
), carries a Zacks #2 Rank, translating into short-term Buy rating
for the next 1-3 months. Moreover, we maintain our long-term
Outperform recommendation on the stock.
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