Speaking to Bloomberg News, Eric Wiseman, VF Corp's CEO, said the company is in “active discussions” on possible acquisitions to expand its outdoors and action-sports coalitions. Wiseman said, “There are lots of really interesting discussions about brands that may be appropriate. I hope we can make an interesting acquisition this year.”

 


While VF “would always consider a really compelling idea” in any category, it’s now focused on expanding in outdoor, action sports and sportswear, Wiseman said in the interview conducted May 15 at VF’s headquarters in Greensboro, NC.


 


Wiseman told the newswire that he speaks daily with Frank Terkelsen, VF’s vice president of mergers and acquisitions, and the company has also held discussions with potential targets. He declined to identify any.


 


He also noted that moves to cut inventories by $100 million this year will generate an additional $50 million in cash flow from operations, raising the total to $750 million this year. VF had about $276 million in cash as of March 31 and $1.1 billion in credit..


 


“We’re in a position to do something,” Wiseman said.


 


Regarding the environment, Wiseman warned that U.S. retailers may buy “very conservatively” for the BTS season due to job worries. Shipments may fall 1% to 3% in 2009 as stores brace for “a weak retail environment.”


 


VF is looking to cut inventories by more than 10% by the end of December, compared with a 4% reduction as of March 31.


 


“I’d be thrilled if every shelf in America got bought clean, but I don’t expect that to happen,” said Wiseman. “Fear drives conservatism in consumer spending, and the biggest fear now is about losing jobs.”




VF's brands include The North Face, Vans, Reef, Jansport, Eastpak, Wrangler, Lee, Riders, Majestic Athletic, Napapijri, Nautica, Kipling, John Varvatos, 7 For All Mankind and lucy.