Liz Claiborne Inc. has decided to keep Enyce, the urban brand that had been on the selling block. The decision came as Claiborne reached an agreement to sell its C&C California and Laundry brands to Perry Ellis and close the Sigrid Olsen brand. Prana, among others, remains on the selling block.

Regarding Enyce, Claiborne said that after a thorough analysis of the alternatives for Enyce, the company concluded that “the best way to maximize the value of this profitable brand is to retain and strengthen it.” Enyce will be housed in the company's Partnered Brands segment under the direction of Dave McTague, EVP of Partnered Brands, and will continue to be run by Carmine Petruzello, President of Enyce.

Claiborne CEO William L. McComb said, “After reviewing all of our options, including specific offers from potential buyers, we made the decision to retain Enyce in our brand portfolio. This is a strong brand, with a loyal customer following and we look forward to working closely with the team to enhance its share of the urban contemporary market.”

McTague added, “In 2008 we have plans to invest in Enyce through our advertising, e-commerce, pricing strategies and other aspects of the brand. Also, following the 2007 launch of the RSRV line at top specialty stores nationwide, we are excited about the planned expansion of this brand into better department stores this year.”

Claiborne expects to conclude the strategic review process and announce plans for the five remaining brands — Dana Buchman, Ellen Tracy, Kensie, Mac & Jac, and prAna — by the end of the first quarter of 2008.

Perry Ellis acquired C&C California and Laundry brands from Liz Claiborne Inc. for $37 million and anticipates the brands will contribute an additional $60 million in revenue by 2009.

“These acquisitions, which advance Perry Ellis International’s growth strategy with two strong brands, with a very young following,” said George Feldenkreis, chief executive officer of Perry Ellis. “The addition of C&C California and Laundry will allow us to aggressively pursue women’s apparel in the contemporary segment, which is the fastest growing one of the women’s market today. With this acquisition, we increase our long-term growth potential.”