Aeropostale Enters Mexican Market
Aeropostale is going south of the border.
On Monday, the clothing chain announced it is signing a licensing agreement with local Mexican department store operator Distribuidora Liverpool. Aeropostale will begin opening store-in-store shops within Liverpool department stores this summer. Simultaneously, Aeropostale will begin opening standalone stores, beginning in the Sante Fe Mall in Mexico City this summer.
CEO Thomas P. Johnson explained the move by calling Mexico "a pivotal market," and praising Liverpool for its "incredible insight and experience into the consumer as the operator of Mexico's largest and preeminent department store."
For its part, Liverpool Commercial Director Graciano Guichard Gonzalez said that company is "excited to capitalize on the popularity and recognition of the Aeropostale brand in Mexico."
Investors were less excited. Aeropostale shares dropped 0.4% in Monday trading, closing at $13.75.
The article Aeropostale Enters Mexican Market originally appeared on Fool.com.Fool contributor Rich Smith and The Motley Fool have no position in any of the stocks mentioned. Try any of our Foolish newsletter services free for 30 days. We Fools don't all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.