July 31, 2001
Swiss Army Brands Inc. and Victorinox to Form New Watch Company
Swiss Army Brands Inc. and Victorinox AG announced Monday they will form a new watch company called Victorinox Swiss Army Watch AG to market and distribute a unified brand of Victorinox/Swiss Army watches in all international markets outside the U.S., Canada and the Caribbean.
Swiss Army Brands and Victorinox will contribute equal amounts of cash, inventory and their watch businesses outside the U.S., Canada and the Caribbean to the new company. The companies expect the transaction will be completed by Oct. 2001.
Distribution and logistics for the new company will be located at Victorinox in Ibach, Switzerland. Sales, marketing and product design will be located in Bienno, Switzerland at the current headquarters of Swiss Army Brands Schweiz AG, Swiss Army Brands' existing international watch company. The new company hopes to initiate the introduction of the new Victorinox/Swiss Army brand in Italy in October. New brands are scheduled to be introduced in other international markets shortly thereafter.
Swiss Army Brands is the exclusive U.S., Canadian and Caribbean marketer of Victorinox Original Swiss Army Knives, multitools and SwissCards. The company also has its own line of Swiss Army Brand watches, sunglasses and writing instruments. Victorinox is the majority shareholder of Swiss Army Brands, and the two companies have a business relationship dating back to 1937.
- by Julia M. Duncan