JAMES HENRY JANNARD
Founder, Chairman
Oakley Inc.
Born in Los Angeles, June 8, 1949
Lives on Spieden Island, Wash.
DAVID SCOTT OLIVET
CEO, Oakley Inc.
Born in Cheshire, Conn., April 24, 1962
Lives in Laguna Beach
Jannard company founder, visionary, dominant owner.
Olivet change-minded marketing, apparel veteran enlisted as CEO in October.
Olivet steering big changes at sunglasses maker. Former Nike, Gap executive took reins from Jannard in fall, moved fast on plans to spur growth. Made two acquisitions, nixed most of Oakley’s shoe lines, revamped clothing.
Refocused on bread and butter: shades. Sunglasses bulk of 2005’s $648 million in sales.
First moves designed as early signs of intent to change company.
“You can wave your arms and say you’re going to do lots of things,” Olivet says. “Those are quick moves in support of the new strategy.”
Wall Street needed some reassuring. Just days after Olivet took over, Oakley warned 2005 sales were set to come in lower than expected. Shares fell 20%, since have mounted a comeback.
Just getting started. Plans to open some 60 stores this year. Expects 230 in all by year’s end. Company got a boost with recent buys of Aliso Viejo-based Optical Shop of Aspen, which runs upscale chain of sunglass stores. Making a bigger play in fashion shades with acquisition of Los Angeles-based Oliver Peoples.
Company known for sporty shades worn by athletes. Holds license to make glasses, goggles for Northern California’s Fox Racing. Owns majority stake in Carlsbad-based Dragon Optical.
Now targeting women with fashion glasses. On the hunt for new brands but will be “selective,” Olivet says.
Has to answer to Jannard, who owns 64% of Oakley. Only second chief executive other than Jannard in company history.
Olivet crunches numbers. Jannard focuses on design passion.
Says he, Jannard “connect” on new path, “play off each other very well in the branding and product side.”
Agreed to nix most of Oakley’s shoes, favorite of Jannard, who fired first outside CEO who tried to do same thing.
“It’s always difficult when a founder takes on a different role and someone comes in from the outside,” Olivet says. “He was thoughtful about it and supportive.”
Before Oakley, Olivet was Nike VP overseeing several units: Cole Haan, Converse, Starter, Bauer-Nike Hockey, Costa Mesa’s Hurley International. Prior, Olivet was Gap senior VP of real estate, store design, construction for Gap, Banana Republic, Old Navy. Also had stint at Bain & Co. Has business master’s from Stanford University, bachelor’s from Pomona College.
A photography buff, like Jannard. Collects art. Single.
Jannard reclusive to extreme. Rarely grants interviews. Splits time between OC, Spieden Island, Wash., a getaway he bought in 1997 for around $20 million.
Last month, bought another 100,000 shares.
A blunt, cigar-smoking University of Southern California dropout. Shows up at stockholder meetings wearing Oakley shorts, T-shirt, shoes. Sports shaved head, as do several Oakley colleagues. He’s donned radical Oakley headpieces, such as over-the-head contraption with fake dreads shooting out the back.
Started peddling motorcycle handle grips from his station wagon in 1975, moving on to goggles and then sunglasses.
Raises Oakley English Setter show dogs. Company name taken from favorite dog breed.
Recently designed affordable high-resolution digital camera. Oakley engineers working on lens.
Wife Bobbie, seven children. Loves drag racing.
,Jennifer Bellantonio
SETH RUSSELL JOHNSON
CEO
Pacific Sunwear of California Inc.
Born in Minneapolis
Dec. 10, 1953
Runs retailer targeting fickle teens. Has spot to himself after April departure of former executive chairman, CEO, ex-OC 50er Greg Weaver.
Battling sluggish sales at existing stores, hyping much anticipated new shoe store chain, One Thousand Steps. Just opened first three in Riverside, Cerritos, Minneapolis. Plans seven more for first half of year. Targets 18- to 24-year-olds with shoes, belts, bags, watches from hip brands Puma, Diesel, Steve Madden, Kenneth Cole, Tsubo, among others.
Company’s biggest chain, PacSun, sells surf, other West Coast fashions in malls nationwide. Smaller d.e.m.o. sells hip-hop styles Phat Farm, Baby Phat, P. Diddy’s Sean John.
Needs a hit. Off to a slow start in 2006 after seeing a 13% gain in sales to $1.4 billion last year. March same-store sales off 11%, resulted in lower first-quarter profit forecast.
Seeing stepped up competition from other teen clothing chains. Losing shoppers to Zumiez, Abercrombie’s Hollister.
Struggling with fashion misses, revamping d.e.m.o. Testing new products at PacSun geared toward girls, including rugs, lamps, luggage. Hopes new shoe stores spur growth. Shoes bring higher profits than clothes.
Handpicked by Weaver, who ran company for years, built into retail power. Johnson ramped up with own managers. Hired chief operating officer, division presidents for PacSun, d.e.m.o., new executive vice president of merchandising. Old guard at company gone.
Has track record of growing chains, even during tougher times. Says he likes to “delve down in the details of the business.”
Attended Yale University, earned business master’s at University of Chicago. Worked for Dayton Hudson (now Target), Batus Retail Group, Abercrombie’s former parent. Helped build Hollister chain at Abercrombie, became retailer’s financial chief in 1992, before it went public. Was named chief operating officer in 2000.
Said he grew tired of playing second fiddle at Abercrombie and resigned. Weaver later asked him to dinner. They hit it off.
Has wife Sharon, two daughters, Melissa, 16, Kelsey, 12. Enjoys tennis, golf.
ROBERT BUCHNER MCKNIGHT JR.
Chairman, CEO, Quiksilver Inc.
Born in Pasadena, Aug. 17, 1953
Lives in Laguna Beach (Emerald Bay)
OC surfwear king with a French connection.
Runs dominant mak-er of surf-inspired clothes.
Trying to convince wary Wall Street that last year’s buy of struggling French snow gear maker Skis Rossignol wasn’t a mistake.
Big confidence boost: Launched skis this winter under popular girls’ brand, Roxy. Nailed it.
Designs, including polka dots, were hot. Plans to go wider, expand Rossignol’s now small clothing collection.
Unabashed about Rossignol’s potential. Says brand’s clothing sales, now at some $50 million yearly, to hit $500 million to $1 billion in five, 10 years. Looking to bring Quiksilver’s Midas design touch to Rossignol ski, snow clothes. Biggest expansion of line not expected until fall 2007. Says he eventually would like to do upscale Rossignol garb that could sell in Fred Segal.
Some analysts remain skeptical. Brand losing money, market share before Quiksilver buy. One company watcher calls Rossignol “show-me story.” Said evidence of turnaround could take time.
McKnight already made changes, including installing executives, design team at Rossignol. Planning new headquarters in France, U.S., for business. Cut some 200 Rossignol jobs, streamlined operations.
Expects to save $25 million within three years, including $10 million from back office, marketing savings.
Charismatic, easy-going surfer. Has rode ultimate wave,growing big, staying cool.
Projects yearly sales of $2.25 billion to $2.27 billion with about $105 million in net income this year. Rossignol expected to do some $600 million to $620 million in sales, helping to easily top Quiksilver’s year ago sales of $1.8 billion.
Continues to diversify beyond surf. Sells everything from bikinis, board shorts to watches, luggage, golf clubs with addition of Rossignol’s Cleveland Golf in Huntington Beach. Inked deal with cosmetics maker Inter Parfums to make perfume, sunscreen and skin products. Roxy energy bars,a favorite of McKnight’s,also in works.
Shaking up DC Shoes unit, acquired in 2004. Adding clothes to skateboard brand.
Big on retail with 400-plus stores. Owns Australia’s Surfection. Has company shops, including Quiksilver Boardrider Clubs, Roxy, Hawk Clothing, Quiksilver Youth.
Along with media ventures, marketing geared toward surfing events, magazines, apparel publications, Spin, Rolling Stone.
“Surf City” headquarters spans some 700,000 square feet, including warehouses. Features big-wave video displays, stadium seating conference room, surfboards, custom rattan furniture.
McKnight’s office sits on second floor above lobby, like lifeguard tower. Says his primary role is refining company’s message. Says Quiksilver can become global conglomerate, stay core.
Sticks by friends. Helped organize fund-raiser to cover medical costs for surf videographer Timmy Turner, who caught a virulent staph infection after trip to Mexico. Asked high school buddy, owner of Laguna smoothie, sandwich joint Orange Inn to open stand inside headquarters. Wanted to give workers,mostly surfers, skaters,healthy food. Eatery now a place to brainstorm, he says. His favorite: albacore, avocado sandwich, fresh-squeezed orange juice, smoothies.
Founded Quiksilver USA as surf trunks maker in 1976 with Jeff Hakman, Aussie who he met in Bali. Pair moved to OC that year. Bachelor’s in business from USC. Described himself as “spoiled rich kid in college.” Delta Tau Delta fraternity brother with SEC Chairman Christopher Cox.
Drove Porsche, made surfing films in spare time. Was set to work for dad after college. Turned to plan B after dad’s company went under.
Still finds time to hit waves on custom surfboards, or links with buddies surfer Kelly Slater, Fidra line designer John Ashworth. Company has travel division, full-time boat dedicated to finding surf spots. Inducted into Surfers’ Hall of Fame in Huntington Beach last year.
Wife Annette (New Zealander he met, along with Hakman, on 1973 trip to Bali), three children.
Trustee, Otis College of Art and Design, where daughter attends. In October, daughter Kristi modeled Roxy garb at Otis benefit bash in Newport.
Lives in beachfront Laguna home. Has land on Hanalei Bay in Kauai. Enjoys surfing, snowboarding, tennis, golf, softball, volleyball, diving.
,Jennifer Bellantonio
PAUL Reneir NAUDE
President, Billabong USA
Executive Director,
Billabong International Ltd.
Born in Durban, South Africa,
Nov. 18, 1955
Lives in Laguna Beach
Built booming U.S. business for Austral-ian-based surfwear giant. Billabong USA second only to Quiksilver in sales of surf-inspired clothes.
Former exec with surf pioneer Gotcha. Onetime South African pro surfer. Took over U.S. arm of Billabong in 1998. Rebuilt after Bob Hurley, founder of Costa Mesa-based Hurley International, left to do his own thing, took Billabong workers with him.
Articulate, straight-shooting Naude dug in. Told surf trade magazine in 2000 it was “like being at the bottom of Mount Everest with no ice ax. It was an incredible task.”
Now counts about 320 workers in Irvine, up from 120 in 2000.
Has driven strong gains, offset slowdown in Australian surf market for publicly traded parent, which has yearly sales of about $650 million. Naude’s division accounts for a major chunk, with sales of about $300 million.
Surfboard shaper Gordon Merchant started parent in 1973 in station wagon.
Surf trunks, bikinis, jackets, other items sold in more than 90 countries, including Australia, New Zealand, Europe, North America, which is under Naude’s watch.
Well respected, keeps vigilant eye on operations.
Observers say he likes to keep things close to his chest personally, professionally. Continues to expand, diversify.
Several key acquisitions made under his watch. In December, bought Nixon Watches, hip watch, accessories maker.
In 2001, grabbed El-ement skateboard clothing company, Von Zipper, sunglasses maker. Helped both brands expand: Element went from boards to clothes, Von Zipper added women’s frames.
Taken bold retail moves. In 2004, bought Beach Access, chain of stores now called Beach Works that carry Billabong brands, other garb. Says gave Billabong a presence in “A” malls, such as South Coast Plaza, Shops at Mission Viejo. Snatched up 22 Honolua Surf Co. stores in Hawaii two years ago. Also has nine Billabong stores (six are company owned), one for Element.
Taking surf east. Turned heads last year with swanky, new 5,800-square-foot shop under MTV’s Times Square studios. First East Coast shop devoted to Billabong, Element. Stone’s throw from Quiksilver’s Big Apple store.
Says he just wants to keep getting better every day.
Launched wholesale line under Honolua Surf brand aimed at older surfers still wanting to look cool. Expanding Billabong Girls, which debuted in 1999. Introduced Kustom surf shoes, an Australian brand Billabong acquired in 2004, to U.S. last year.
No nonsense. Passionate about ocean, surf. Was sergeant in tank regiment in South Africa during years of mandatory military service. Attended college in South Africa. Began repairing, building surfboards in South Africa in 1970s. South African surfing champion in 1976, same year he placed third in Pipe Masters.
Turned to business after few years on pro tour. Co-owner of surfboard maker with three surf stores in Durban from 1974 to 1981. Became chief executive of Gotcha South Africa, moved to U.S. in 1992 to become executive VP of Gotcha.
Has headed Billabong USA since 1998. Vice president of Surf Industry Manufacturers Association. Supports charities Surf Aid International, Surfrider Foundation.
Has used seaplanes on surf trips to South Pacific to spot uncharted spots. Father flew seaplanes during World War II.
Billabong has two “Albatross” seaplanes once used for military search, rescue. Now they shuttle top surfers to undiscovered hot spots. Sponsors big wave contests, movies to promote surfing.
Enjoys surfing, says “older I get, the more passionate I am about it.” Also likes snowboarding, spending time with family, travel, wildlife photography.
Married, wife Debbie. Son Jason, daughter Frances.
HONORABLE MENTION
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Raj Manufacturing Inc.
Bob Hurley
CEO
Nike Inc.’s Hurley International LLC
Philip B. Miller
Interim CEO
St. John Knits International Inc.
TODD SCARBOROUGH
President
Apparel Group, Ennis Inc.
PIERRE ANDRe SENIZERGUES
CEO, founder
Sole Technology Inc.
Ivan Spiers
Owner
n’Zania LLC
JOEL WALLER
CEO, president
Wet Seal Inc.
RICHARD “WOOLY” WOOLCOTT
CEO, president
Volcom Inc.
