Wrangler and Lee seek a licensee not to leave the country

In the midst of a textile crisis affecting different companies in the country, the signatures of the traditional Wrangler and Lee jeans, VF Corporation – dueña – will leave operations this year, a move that will affect about 200 employees.

The decision is due to a "global restructuring" of activities in which VF considers that the region of Central America and South America is not a priority.

The company's sources said they were looking for "long-term optimization of the region's business in order to reach consumers more effectively, with a focus on growth, brand building and the performance In this context, the restructuring of the company is decided. "

According to sources consulted by El Cronista, the company is looking for a licensee for the two brands to remain in the national territory, but for now, no interested party is in view.

From the multinational, it was explained that it would proceed to a global split that would separate all its companies into two companies: one that would be responsible for Vans and Timberland, and another, named Kontoor, Wrangler and Lee, that will cease to operate on a national scale.

Meanwhile, the 200 employees of the company have already been informed and many of them will be unemployed as of March.

According to Lu24, 45 families in Benito Juárez are directly dependent on the income distributed by Kontooren, the factory in that city. The site warns that workers will only stay if another company buys the plant and decides to re-produce it.

At the same time, the company will continue to operate in Brazil and Chile, they said. It is through "licensing and distribution" or "strategic alliances with partners local and regional ".

It is estimated that Wrangler and Lee products will remain in stores the rest of the year, but the situation will begin to change over the months.

The full statement of VF Corporation

Buenos Aires, January 28, 2019

VF Corporation has announced Spin Off worldwide, which involves separating its brands into two independent companies, with the goal of creating more effective business models in each of the regions where they operate. In this context, VF maintains the Lifestyle business for the clothing and footwear brands (Vans & Timberland) and creates a new company called Kontoor for the Jeanswear brands (Wrangler & Lee). With regard to the Kontoor business, the decision was made to finalize its activities in Argentina during the year 2019. "