'We Must Go on,' Says Lebanese Designer Elie Saab after Blast

Lebanese haute couture fashion designer Elie Saab. (Reuters)
Lebanese haute couture fashion designer Elie Saab. (Reuters)
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'We Must Go on,' Says Lebanese Designer Elie Saab after Blast

Lebanese haute couture fashion designer Elie Saab. (Reuters)
Lebanese haute couture fashion designer Elie Saab. (Reuters)

It felt like an eternity rather than just a few minutes as haute couture fashion designer Elie Saab scrambled to make sure his 200 staff members, including his son, were safe when this month's massive explosion shook Beirut.

Like many Lebanese on Aug. 4 when chemicals at the port detonated, the 56-year-old felt the blast was on his doorstep.

"I saw my son covered in blood, I could not believe it. I said okay, he is wounded, but it was okay, it was just cuts to his head and arms," Saab said.

"But it was 15 minutes that felt like two days long. It was not just because it is a father and son thing, it was because we all work together like one family under one roof."

The explosion killed 178, injured 6,000 and damaged whole neighborhoods.

Saab said his main office and headquarters were badly damaged. His home a few hundred meters from the port, was gutted.

The blast destroyed the shops and ateliers of at least two other designers, Zuhair Murad and Rabih Keyrouz, himself badly injured.

Saab is no stranger to devastation. He started his label in 1982, at the height of Lebanon's 1975-1990 civil war.

The Aug. 4 blast revived those memories.

"It was the same smell, the same dust, the broken glass. Honestly, we did not want to relive this and it was not necessary," he said.

"This is a huge setback but we have to be like Beirut - every time dusting itself off and returning to the way it was," Saab said.

Saab's team plan to go back to their offices from Aug. 20 to meet a deadline for the September Paris couture show.

He also plans to rebuild his residence, with its high ceilings and arches, marble columns and Arabesque tiles. For now, rubble and dust were everywhere.

"We must go on ... It does not become us as Lebanese to give up," Saab said. "That is the doable part. But the biggest loss is the people you can't bring back."

On a table lay a record by singer Fairouz, "Lebanon Forever". It was broken in two.



Nike's New CEO Plans to Go Back to Basics in Brand Overhaul Effort

The Nike swoosh logo is seen outside the store on 5th Ave in New York, New York, US, March 19, 2019. (Reuters)
The Nike swoosh logo is seen outside the store on 5th Ave in New York, New York, US, March 19, 2019. (Reuters)
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Nike's New CEO Plans to Go Back to Basics in Brand Overhaul Effort

The Nike swoosh logo is seen outside the store on 5th Ave in New York, New York, US, March 19, 2019. (Reuters)
The Nike swoosh logo is seen outside the store on 5th Ave in New York, New York, US, March 19, 2019. (Reuters)

Nike's new CEO Elliott Hill warned of a long road to sales recovery for the sportswear giant, but the veteran executive's plan to turn the spotlight on sports like basketball and running, allayed some investor worries.

The company said on Thursday it was expecting third-quarter revenue to drop to low double digits after the embattled sportswear seller's quarterly results beat market estimates.

Hill, in his first public address as CEO on the post-earnings call, said Nike had "lost its obsession with sport" and vowed to put it back on track by refocusing on sport and selling more items at premium prices, Reuters reported.

"The recovery is going to be a multi-year process, but he(Hill) seems to be going back to the roots, back to Nike being Nike," said John Nagle, chief investment officer at Kavar Capital Partners, which owns Nike shares.

"(Hill plans to shift focus) away from some of the streetwear and fashion that had taken over the brand, the heavy discounting and the neglect of retailers. Just taking it back to what worked," Nagle said.

Hill, who was with Nike for more than three decades, returned as CEO in October to revive demand at the firm that has been struggling with strategy missteps that soured its relations with retailers such as Foot Locker.

Earlier this month, Foot Locker CEO Mary Dillon said Hill was "taking the right actions for the brand" and the retailer was "working closely" with Nike to emphasize newer sportswear styles, including Vomero and Air DT Max.

"(The retailers) they want us to get back to being Nike, and they want us to have the unrelenting flow of innovative products... and they want us to get back to delivering bold brand statements that help drive traffic," Hill said.

The company's market share dwindled as rival brands, including Roger Federer-backed On and Deckers' Hoka , lured consumers with fresher and more innovative styles.

Hill also highlighted that a lack of newness led Nike to become too promotional and said he plans to shift to selling more at full price on its website and app.

"With another half year of franchise management coupled with investment to reinvigorate the brand, we believe the next four quarters could be the worst of the margin erosion and earnings per share reductions," Barclays analyst Adrienne Yih said.

At least seven brokerages cut price targets on the stock with some analysts pointing to the lack of a clear timeline for Nike to return to growth.

Shares of Nike, which have lost about half of its value in the last three years, were down nearly about 2% in early trading on Friday.

Nike's forward price-to-earnings ratio for the next 12 months, a benchmark for valuing stocks, was 27.53, compared with 33.47 for Deckers and 32.32 for Adidas.

"A rudderless ship now has a rudder, and a sailor who knows how to drive it," said Eric Clark, portfolio manager at the Rational Dynamic Brands fund that owns Nike shares.