Polo-Ralph Lauren announced on Monday it has renewed an agreement with Polgat. The contract was signed by the general mangers of both Polgat and Polo-Ralph Lauren, with the primary intention of setting up a Polo-Ralph Lauren chain in Israel.
The agreement grants Polgat rights for the distribution, manufacture and sale of Polo-Ralph Lauren products in Israel. Polo-Ralph Lauren goods will be marketed via three flagship stores, Polo-Ralph Lauren, Polo Sport and Polo Jeans, which will open in Tel Aviv in 1997. The Polo Jeans will be the world’s first store for the new Polo-Ralph Lauren subdivision.
Over the next three years, Polgat intends to open 30 Polo points of sale around the country. Six months ago, "Globes" reported Polgat had been awarded the Polo-Ralph Lauren franchise, beating out competitors such as Hamashbir Lezarchan and Dov Pollack, owner of the Max Mara franchise. The present contract will remain in effect until the year 2001, with an option for a three-year extension.
Polo-Ralph Lauren’s annual turnover is $5 billion. According to "Fortune" magazine, Polo-Ralph Lauren is considered the number one designer in the world in terms of sales volume. The company is privately-owned, with products sold in 75 countries. Polo-Ralph Lauren products include women’s, men’s and youth fashion, as well as towels, linens and home accessories.