CORUM Opens its First Boutique in Switzerland

Officials perform ribbon-cutting ceremony at new Corum boutique in Geneva. (from left) Pierre-François Unger, Geneva government official, Loïck Peyron, sailor and Corum ambassador, Antonio Calce, Corum CEO, and Alain Guttly, boutique general director.

Swiss watch brand Corum opened its first boutique in its home country of Switzerland, in the watch capital of Geneva on Thursday. It’s the second branded store in the company’s 55-year history.

The new boutique is located in the Place Kléberg, along the shores of Lake Geneva, in an historical building inspired by classic Geneva-style architecture with four large bay windows displaying the company’s watches. The door handles are engraved with the brand emblem, the Corum key.

Inside, ebony wood furniture and flooring contrast with walls feature technical drawings of the brand’s movements and timepieces, evoking its watchmaking talent and its horological culture. The simple and refined interior design is enhanced by plasma screens showing films of the brand’s history with hints of its future. Bathed in natural daylight, the 753-square-foot area invites customers to stroll around and explore.

Interior of new Corum boutique in Geneva.

“Opening our first boutique in Switzerland bears witness to the level of maturity that the Corum brand has achieved,” said Antonio Calce, CEO of Corum. “On the one hand, it reflects our global distribution policy aimed at consolidating our selective distribution network while moving it up-market; and on the other, it testifies to the brand’s determination to invest in the long term.”

Corum, based in La Chaux-de-Fonds, opened its first boutique in Hong Kong in December, 2009. Its third store is planned to open in Shanghai in October. The company said more stores will follow.

Harry Winston Reports Strong Retail and Rough Diamond Sales

Harry Winston Diamond Corp. reported Wednesday that consolidated sales increased 62 percent to $153.7 million for the second quarter in a year-over-year comparison. Earnings for the period, ended July 31, were $28.9 million, compared to a loss of $3.9 million for the same quarter of the prior year.

Rough diamond sales rose 89 percent to $86.8 million for the quarter, year-over-year, according to the vertically integrated company with assets in a diamond mine along with luxury retail stores. The increase in sales was a result of a combination of a 62 percent increase in rough diamond prices and a 17 percent increase in volume of carats sold during the quarter.

Retail sales increased 37 percent to $66.9 million for the second quarter. U.S. sales increased 31 percent to $19.6 million, sales in Europe increased 40 percent to $24.7 million, and sales in Asia increased 40 percent to $22.6 million. Earnings from operations of $2.3 million for the quarter compare favorably to a loss of of $5.6 million, in the same quarter of the prior year.

Rough diamond production for the three months ended June 30, was 0.65 million carats, which was 14 percent higher than the comparable quarter of the prior, the company said. Production in the same quarter last year was unusually low, due to the planned lower volume of ore mined that reflected the softness in the rough diamond market last year.

Consolidated net income for the second quarter was $16.5 million, compared to a net loss of $24.5 million in the second quarter of the prior year.

“This quarter has demonstrated the continued recovery in the international diamond business and it has also shown additional improvement from our own business segments,” said Robert Gannicott, Harry Winston chairman and CEO. “Both mine production and rough diamond sales increased in parallel with the growth in retail sales from our network of international stores particularly at the high end. We expect further growth in retail sales supported by renewed marketing efforts as customers seek out true craftsmanship.”

The company also announced Wednesday that it appointed David Carey, president of Hearst Magazines, to its board of directors. Prior to joining Hearst, Carey was group president at Condé Nast, where he served as a member of the company's executive committee and co-lead on all business development efforts, and in other positions at Condé Nast since 1995.

Harry Winston Diamond Corp. has assets in the mining and retail segments of the diamond industry. It supplies rough diamonds to the global market from its 40 percent ownership interest in the Diavik Diamond Mine. The company's retail division is a diamond jeweler and luxury timepiece retailer with salons in key locations, including New York, Paris, London, Beijing, Tokyo, and Beverly Hills.

Julianne Moore’s Bulgari Ad Too Hot for Venice

A billboard advertisement for luxury Italian jeweler Bulgari featuring actress Julianne Moore has been banned in Venice for being a bit too risqué, according to media reports.

The billboard, which was to be displayed on Doge's Palace overlooking St. Mark's Square, features the actress lying naked, covered by a handbag and two lion cubs. Recently elected Mayor Giorgio Orsoni blocked the use of the billboard on the city's landmark, reportedly saying it isn’t appropriate for the famed square.

A different image, showing Moore fully clothed and wearing Bulgari jewelry, will be displayed instead, according to media reports.

Russia Hints at Selling $1B of Alrosa Diamonds

A Russian official said the government may be ready to sell the $1 billion worth diamonds it bought from the country’s mining giant, Alrosa, Bloomberg Businessweek reports.

The Russian government bought the gems to support state-owned Alrosa after diamond prices plunged more than 40 percent from their 2008 record as the global recession reduced jewelry sales.

Finance Minister Alexei Kudrin reportedly said the government is considering requests to sell the diamonds.

Prices of rough diamonds have climbed this year after producers, including De Beers, cut output and gem dealers rebuilt stockpiles, the publication reports.

Graff CEO: U.S. Luxury Consumers See Jewelry as an Investment

In an interview with cable business news channel CNBC, Henri Barguirdjian, president and CEO Graff Holdings, said U.S. sales have rebounded to where they were in 2007. He said since the near collapse of the economy, the jeweler is making fewer transactions but the customers who remain are buying more.

In addition, Barguirdjian said how people buy luxury jewelry has changed. Customers are more cautious and are looking at luxury jewelry as an investment as well as beautiful adornment.

Below is the video from the interview.

India’s Gem and Jewelry Exports Up 40%

Gem and jewelry exports from India for the month of July grew 40.4 percent, year-over-year, to $ 2.34 billion, the Gem and Jewellery Export Promotion Council of India said in statement Tuesday.

Exports of cut and polished diamonds in July increased 36.8 percent year-over-year to $1.68. Gold jewelry exports for the month grew 25.2 percent to $454.87 million. And colored gemstone exports grew at a more modest pace of 5.3 percent to $19.6 million.

How much of that jewelry is being exported to the U.S. wasn’t revealed in the GJEPC statement. The U.S. has been by far the largest purchaser of jewelry from India. However, in recent years because of the economic recession in the U.S., jewelry, diamond and gem manufacturers in India have been working harder to gain inroads in domestic and regional markets.

What to Expect at IJL

Bohemian Butterfly's boho-chic Scale earrings in silver and an unusual green onyx

London-based trade magazine Retail Jeweller has come out with its list of trends to expect at the International Jewellery London trade fair, to be held September 5-8, at Earls Court 2.

Among the trends are a range of gold jewelry mixed with assorted shades of citrine, passion topaz and amethyst. In fact, color gemstones will be in full display at the show, according to the editors. Also, be on the lookout for jewelry with soft, organic shapes.

Read the entire story and view more images here.