Building upon its successful international ventures in Saudi Arabia and the United Arab Emirates, retailer Saks Incorporated announced the formation of a strategic relationship to develop potential Saks Fifth Avenue stores in China and Macau.
The company has entered into a licensing and consulting agreement with Roosevelt China Investments Corp. to locate and develop appropriate sites for potential Saks Fifth Avenue stores within China and Macau.
RCIC will own and operate the stores under the license agreement with Saks Fifth Avenue.
The first Saks Fifth Avenue store tentatively is expected to open in 2008 in a heritage building in the historic Bund district of downtown Shanghai.
Stephen I. Sadove, Chief Executive Officer of Saks Incorporated, commented, "Saks Fifth Avenue is one of the most recognized luxury retail brands in the world, and the only American department store retailer with a presence outside of the United States. In an effort to capitalize on the power of the Saks Fifth Avenue brand and to extend further its reach on a global basis, the Company opened its first international licensed store in Riyadh, Saudi Arabia in 2001 followed by its second international location in Dubai in 2004.
The Saks Fifth Avenue store is expected to be approximately 300,000 square feet and cover four floors. The location will be congruent with the Saks Fifth Avenue stores in the United States in both product and service, while being sensitive to local preferences and customs.
Tin Tse, President of Roosevelt China Investments Corp., said, "The extraordinary growth of the economy in China created many new customers for high end merchandising. The time is ripe for a first class American retailer to establish a presence in China to meet this rapidly growing demand. Saks is the ideal store to meet this need, and we are honored to partner with this premier American retailer."