American clothing company PVH has extended most of its license agreements with G-III Apparel. The arrangement will allow for a smooth transition of core product categories back to PVH at the end of the extended terms.

PVH intends to work in close partnership with G-III over the next several years to ensure an uninterrupted and responsible transition for consumers and wholesale partners for both brands. PVH’s multi-year strategic growth plan is to unlock the full potential of its two iconic brands, Calvin Klein and Tommy Hilfiger, in the North American market. By bringing these core product categories in-house over time, the company will be able to draw on the power and expertise of its global brand teams and have them fully connected to the demand driven supply chain PVH is developing.

The multi-year transition period will enable PVH to bring these core product categories, which represented about one-third of its global licensing revenue, and less than ten per cent of consolidated ebit in 2021, back in-house in a disciplined and methodical way. G-III will continue to be a key partner as both work together over the next few years to internalise the direct operations of these businesses.

Both the Calvin Klein and Tommy Hilfiger agreements will now have staggered expirations from 2025 through 2027.